Learning Objectives • Describe the factors that influence consumer behavior online. • Understand the decision-making process of consumer purchasing online. • Discuss the issues of e-loyalty and e-trust in electronic commerce (EC). • Describe segmentation and how companies are building one-to-one relationships with customers. • Describe the major advertising methods used on the Web. • Describe various online advertising strategies and types of promotions Internet marketing Internet marketing is the use of the Internet, mobile devices, social media, search engines, and other channels to reach consumers.
8-2 Why do we need an internet marketing strategy?
…it provides a consistent …the company can
direction for online achieve its hierarchy of marketing activities objectives Gives a focus to choice of target markets, positioning and the use of the …it means analysis of the marketing mix external environment, internal resources and A digital marketing strategy is needed because… capabilities will take place
…following it will help the Tells us how resources will
company achieve competitive be deployed and how the
advantage It helps us to organisation will be
structured to achieve the understand which strategy. strategies and tactics should not be pursued Digital marketing framework Steps in digital marketing Các tiếp cận thay đổi Quảng cáo bán hàng kém hiệu quả Chuyển xu hướng Marketing Phân tán – Bánh đà (Fly – Wheel) MGM (Member Get Member) KOL: Key Online Leader KOC: Key Opinion Consumer Strategic Frameworks AISAS 5W1H O2O/OMNI SOSTAC Model RACE Model AISAS MODEL IN ONLINE MARKETING SOSTAC- a Generic framework for e marketing plan Engaging Customers with Brands (RACE) Reach-Act-Convert-Engage
• Reach – • Interact – Engage
audience and Build encourage them awareness & to act / interact traffic with company or other customers. Step Step 1 2
Step Step 4 3 •Engage – Build •Convert – Achieve customer relationships marketing goals e.g. through time to achieve new fans, leads or sales retention goals
Source: Smart Insights (2010) from REAN (Blanc & Jackson, 2009) OMNI Channel
Website
Sàn TMĐT Thanh toán thẻ
Mạng xã hội Máy chơi game
Người bán hàng
Ứng dụng Di động
Cửa hàng Pop-Up Shop
Máy tính Integrating the models Target marketing
8-14 Customer lifecycle segmentation Supporting the Buying Process with Site Content
Source: Chaffey & Smith, 2013
The Consumer Decision Process and Supporting Communications
19 Decision making behavior in B2B transaction The Consumer Purchasing Decision-Making Process A GENERIC PURCHASING-DECISION MODEL Need identification Information search product brokering Deciding what product to buy merchant brokering Deciding from whom (from what merchant) to buy a product Evaluation of alternatives Purchase and delivery Postpurchase activities The Consumer Purchasing Decision-Making Process PLAYERS IN THE CONSUMER DECISION PROCESS Initiator Influencer Decider Buyer User Loyalty, Satisfaction, and Trust in E-Commerce customer loyalty A deep commitment to repurchase or repatronize a preferred product/service continually in the future, thereby causing repetitive same-brand or same brand- set purchasing, despite situational influences and marketing efforts that have the potential to cause switching behavior e-loyalty Customer loyalty to an e-tailer or loyalty programs delivered online or supported electronically 4-26 Loyalty, Satisfaction, and Trust in E-Commerce TRUST IN EC trust The psychological status of willingness to depend on another person or organization EC Trust Models online trust The belief that an online website or other digital entities can deliver what they promise so that the recipient trusts them Loyalty, Satisfaction, and Trust in E-Commerce How to Increase Trust in EC Improve Your Website Affiliate with an Objective Third Party Establish Trustworthiness Other Methods for Facilitating Trust reputation-based systems Systems used to establish trust among members of online communities where parties with no prior knowledge of each other use the feedback from their peers to assess the trustworthiness of the peers in the community Online Word of Mouth Mass Marketing, and Relationship Marketing FROM MASS MARKETING TO ONE-TO-ONE MARKETING Mass Marketing and Advertising market segmentation The process of dividing a consumer market into logical groups for conducting marketing research and analyzing personal information relationship marketing Marketing method that focuses on building a long-term relationship with customers one-to-one marketing Marketing that treats each customer in a unique way Inbound marketing vs. Outbound marketing Mô hình 4 bước Inbound marketing
31 Personalization and Behavioral Marketing personalization The matching of services, products, and advertising content with individual consumers and their preferences user profile The requirements, preferences, behaviors, and demographic traits of a particular customer Cookies in E-Commerce cookie A data file that is placed on a user’s hard drive by a remote Web server, frequently without disclosure or the user’s consent, which collects information about the user’s activities at a site Using Personalized Techniques to Increase Sales Personalization and Behavioral Marketing
behavioral targeting Targeting that uses information collected about an individual’s Web-browsing behavior, such as the pages they have visited or the searches they have made, to select an advertisement to display to that individual collaborative filtering A market research and personalization method that uses customer data to predict, based on formulas derived from behavioral sciences, what other products or services a customer may enjoy; predictions can be extended to other customers with similar profiles Personalization and Behavioral Marketing
Other Methods Rule-Based Filtering Content-Based Filtering Activity-Based Filtering Legal and Ethical Issues in Collaborative Filtering Social Psychology and Morphing in Behavioral Marketing Use of Customer Database Marketing Market Research for E-Commerce OBJECTIVES AND CONCEPTS OF MARKET RESEARCH ONLINE What Are Marketers Looking For in EC Market Research? REPRESENTATIVE MARKET RESEARCH APPROACHES Market Segmentation Research Data Collection and Analysis Online Surveys Hearing Directly from Customers Market Research for E-Commerce Data Collection in the Web 2.0 Environment Monkey survey Google doc Observing Customers’ Movements Online transaction log A record of user activities at a company’s website clickstream behavior Customer movements on the Internet Online market research
Market Research for E-Commerce Web bugs Tiny graphics files embedded in e-mail messages and in websites that transmit information about users and their movements to a Web server spyware Software that gathers user information over an Internet connection without the user’s knowledge Web Analytics and Mining clickstream data Data that occur inside the Web environment; they provide a trail of the user’s activities (the user’s clickstream behavior) in the website Web mining Data mining techniques for discovering and extracting information from Web documents; explores both Web content and Web usage MARKETING MIX
4-54 Online Advertising Methods MAJOR CATEGORIES OF ADS Classified Ads Display Ads Interactive Ads banner On a Web page, a graphic advertising display linked to the advertiser’s Web page keyword banners Banner ads that appear when a predetermined word is queried from a search engine random banners Banner ads that appear at random, not as the result of the user’s action live banners A banner ad that is created dynamically (or whose content is created dynamically) at the time of display, instead of being preprogrammed with fixed content Benefits and Limitations of Banner Ads Online Advertising Methods pop-up ad An ad that appears in a separate window before, after, or during Internet surfing or when reading e-mail pop-under ad An ad that appears underneath the current browser window, so when the user closes the active window the ad is still on the screen Online Advertising Methods e-mail marketing A form of direct marketing which uses e-mail as a means of communicating commercial messages to an audience e-mail advertising Adding advertisements to e-mail messages sent to customers The Major Advantages and Limitations of E-Mail Advertisement Implementing E-Mail Advertising search advertising A method of placing online advertisements on Web pages that show results from search engine queries URL Listing Keyword Advertising search engine optimization (SEO) The craft of increasing site rank on search engines; the optimizer uses the ranking algorithm of the search engine (which may be different for different search engines) and best search phrases, and tailors the ad accordingly Online Advertising Methods VIDEO ADS Consumer-Generated Videos interactive video A technique used to blend user interaction and videos viral video A video clip that gains widespread popularity through the process of Internet sharing, typically through e-mail or IM messages, blogs, and other media-sharing websites viral marketing (viral advertising) Word-of-mouth marketing by which customers promote a product or service by telling others about it Online Advertising Methods advergaming The practice of using computer games to advertise a product, an organization, or a viewpoint augmented reality (AR) A live direct or indirect view of a physical, real-world environment whose elements are augmented by computer-generated sensory input, such as sound or graphics ADVERTISING IN CHAT ROOMS AND FORUMS Mobile Marketing and Advertising mobile marketing Conducting marketing on or with a mobile device mobile advertising (m-advertising) Ads sent to and presented on mobile devices Mobile Interactive Advertising Types of Mobile Ads Viral Mobile Marketing Mobile Marketing and Advertising Campaigns Representative Examples of Mobile Advertising Advertising Strategies and Promotions
spamming Using e-mail to send unwanted ads (sometimes floods of ads) permission advertising Advertising (marketing) strategy in which customers agree to accept advertising and marketing materials (known as opt-in) affiliate marketing A marketing arrangement by which an organization refers consumers to the selling company’s website affiliate network
A network that acts as an intermediary between publishers
(affiliates) and merchant affiliate programs Ads as a Commodity (Paying People to Watch Ads) Selling Space by Pixels Web Analytics Software that analyzes data at each stage of the customer conversion process ◦ Awareness ◦ Engagement ◦ Interaction ◦ Purchase ◦ Loyalty and post-purchase Helps managers ◦ Optimize ROI on Web site and marketing efforts ◦ Build detailed customer profiles ◦ Measure impact of marketing campaigns
