Download 4.1 Introduction - Gadjah Mada University

Outline
4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
4.9
4.10
4.11
4.12
Introduction
Choosing a Domain Name
Internet Marketing Research
Web Design
E-mail Marketing
Promotions
E-business Advertising
4.7.1
Banner Advertising
4.7.2
Buying and Selling Advertising on the Web
Webcasting and Interactive Advertising
E-business Public Relations
Customer Relationship Management (CRM)
4.10.1 Keeping Track of Your Visitors
4.10.2 Customer Registration
4.10.3 Personalization
Business-to-Business Marketing on the Web
Search Engines
Internet Marketing
Risanuri Hidayat, Ir.,M.Sc.
4.13
4.14
4.12.1 META Tags
4.12.2 Search Engine Registration
Partnerships
4.13.1 Affiliate Programs
4.13.2 Creating an Affiliate Program
Marketing to the World
4.1 Introduction
Internet marketing campaigns

Advertising, promotions, public relations, partnering,
Customer Relationship Management (CRM) systems,
affiliate programs and search engine registration
Target market

The group of people toward whom it is most profitable to
aim your marketing campaign
Use Internet marketing with traditional marketing to
enhance overall corporate marketing strategies
4.2 Choosing a Domain Name
Domain name


The name used in the URL for a Web site
Recognizable, easily typed, worldwide interpretations
Dot-com (.com) Dot-net (.net) and Dot-org (.org)
Available domain names decreasing

ICANN (Internet Corporation for Assigned Names and
Numbers) considering new suffixes
Registration

Domain-it.com, register.com and Network
Solutions
4.3 Internet Marketing Research
Traditional: focus groups, interviews,
paper and telephone surveys,
questionnaires and secondary research

Findings based on previously conducted
investigations
Internet: faster option for finding and
analyzing industry, customer and
competitor information

Relaxed, anonymous setting for focus group
discussions and questionnaire distribution
4.3 Internet Marketing Research
Research current industry trends for ecommerce

Forrester Research , Adknowledge, Jupiter
Communications, Media Metrix
Data collected from Web site provides
valuable research
Technologies exist that can reveal
consumer preferences
4.4 Web Design
Low switching costs

The ability to select one product over another
Appealing, user friendly, simple to navigate
Privacy policy

Details intended uses of consumers’ private information
Frequently asked questions (FAQs) link

Links to answers of common questions
Provide consumers with less complex technology with
simpler but equally effective Web pages
Understanding customer preferences enables the
creation of more effective Web sites
4.5 E-mail Marketing
Fast, cheap, far-reaching
Can arrive if recipients are busy or away
Receivers can read e-mails at their
convenience
Telemarketing



Can be more expensive than e-mailing
Offers benefit of being interactive
People likely to answer phone whereas can
ignore e-mail
Global businesses send translated e-mails
4.5 E-mail Marketing
Define the reach

The span of people you would like to target,
including geographic locations and
demographic profiles
Determine the level of personalization

Personalized direct e-mail targets consumers
with specific information and offers by using
customer names, offering the right products at
the right time and sending promotions
Response rate
4.5 E-mail Marketing
Traditional direct marketing includes
sending information by mail and using
telemarketers to contact prospective
customers


Used in conjunction with e-mailing to reach
largest number of possible customers
Direct mailing
often more expensive, more difficult to analyze and
has lower response rate than direct e-mailing
Direct mail specialists: Eletter and MBS/Multimode
4.5 E-mail Marketing
Outsourcing



Parts of a company’s operations are
performed by other companies
Used when direct e-mailing is too difficult to
manage due to e-mail volume and inadequate
staff or technical support
Messagemedia, Digital Impact, iLux, 24/7
Media and e-Contacts
Internet mailing lists

Include contact information for people who
have expressed interest in receiving
4.5 E-mail Marketing

Opt-in e-mails are sent to people who "opt-in"
to receive offers, information and promotions
by e-mail
PostMasterDirect.com will send your e-mail
campaign to those on a list who have expressed
interest in your business category
Yesmail.com and Xactmail.com create lists of
people who have opted-in to receive information
about a certain subject
Spamming

Mass e-mailing to customers who have not
expressed interest
4.6 Promotions
Online and offline e-business promotions

Attract visitors to sites and may influence
purchasing
Frequent-flyer miles



Offered to consumers for making online purchases
Increase brand loyalty, offers a reason return visits
ClickRewards allows customers to accumulate
ClickMiles
Points-based promotion

Customer performs a prespecified action and
4.6 Promotions
Offer discounts when purchases are made
online
Offer free trials
Online coupons for online shopping



Place coupons on sites to bring them to your
site
Sites that advertise coupons include
DirectCoupons, Coolsavings.com and
valupage.com
Offer free promotional items: free.com,
4.7 E-business Advertising
Traditional: television, movies, newspapers
and magazines
Prime-time television slots most expensive
times to air commercials

(monster.com advertisement)
Establish and continually strengthen branding

Brand is a symbol or name that distinguishes a
company and its products or services from its
competitors and should be unique, recognizable
and easy to remember
Publicize URL on direct mailings and business
4.7.1 Banner Advertising
Banner ads


Located on Web pages, act like small billboards,
usually contain graphics and an advertising
message
Benefits include:
Increased brand recognition, exposure and possible
revenue


Created in different sizes and placed in various
positions on a Web site
Banner advertisements are losing their
effectiveness
4.7.1 Banner Advertising
Inventive color schemes and movement

Flashing, scrolling text, pop-up boxes and
color changes
Pop-up box is a square screen containing an
advertisement that appears separate from the
screen the user is viewing, pops up randomly or as
a result of user actions
Determine the best position on sites for a
banner

Web sites cluttered with ads annoy visitors
Space can be more expensive during high
4.7.2 Buying and Selling
Advertising on the Web
Buy advertising space on sites that receive a
large number of hits and target a similar
market
Selling ad space on a site provides additional
income
Monthly charges for online advertising rarely
used today
CPM (cost per thousand)

A designated fee for every one thousand people
who view the site on which your advertisement is
4.7.2 Buying and Selling
Advertising on the Web
Unique visitors versus total number of hits



Visiting any site registers one unique visit
Hits are recorded for each object that is
downloaded
To determine the value of a Web site for
advertising purposes, use the number of unique
visitors, not total hits
Advertising payment options

Pay-per-click: you pay the host according to the
number of click-throughs to your site
4.7.2 Buying and Selling
Advertising on the Web
Selling advertising space


Provide appropriate contact information on your
Web site
Register with organizations that will sell your
space for you
These companies typically charge a percentage of the
revenue you receive from the advertisements placed on
your site: ValueClick, DoubleClick, AdSmart and
LinkExchange
4.7.2 ValueClick Feature
ValueClick acts as a broker for people who
want to buy and sell advertising space
Gives you the option of targeting specific
markets
To buy advertising through ValueClick:



Design a banner
Contact a representative of ValueClick to
determine what program best fits your advertising
needs
Pre-pay for the service based on the number of
4.7.2 ValueClick Feature
Offers many segmented markets for
advertising
 Segmented markets are people or companies
that are grouped together based on similar
characteristics
Earnings depend on number of click-throughs
resulting from the advertisements
Pays host monthly if revenues are greater than
certain amount
Offers four options for hosting advertisements
on your site
4.8 Webcasting and Interactive
Advertising
Webcasting


Involves using streaming media to broadcast an
event over the Web
Streaming video simulates television, streaming
delivers a flow of data in real time.
Resource Marketing, Clear Digital, Navisite, CyberLogics, www.streamingmedia.com and
Macromedia

Many people have relatively slow Internet access
The slower the connection, the more disconnected the
video appears
4.8 Webcasting and Interactive
Advertising
Bursting

There is a substantial build up of content at the
receiving end, causing a video to appear smoother
Burst.com
Interactive advertising


Involves using a combination of rich media (such
as audio, video, images and animations) and
traditional advertising forms (such as print,
television and radio advertisements) to execute an
advertising campaign
Involve consumers in the advertising process
4.9 E-business Public Relations
Public relations (PR)

Keeps customers and company current on latest
information about products, services and internal
and external issues such as company promotions
and consumer reactions
Methods

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Chat sessions
Bulletin board
Special events or functions on Web site
Trade shows and exhibitions
Press releases (can be delivered over Web,
4.9 E-business Public Relations
Crisis management

Another responsibility of PR, is conducted in
response to problems the company is having
4.10 Customer Relationship
Management
Customer Relationship Management
(CRM) system


The aggregate of a company’s customer
service solutions
Can include
Call handling (the maintenance of out-bound and
in-bound calls from customers and service
representatives)
Sales tracking (the tracing and recording of all
sales made)
Transaction support (the technology and personnel
used for conducting transactions) as well as other
4.10 Customer Relationship
Management
Customers should be able to conduct
transactions and get answers to their
questions through a call center

House customer service representatives who
can be reached by 800 numbers, e-mail, text
chatting or realtime voice communications
Data mining


Uses algorithms and other statistical tools to
find patterns in data gathered from customer
visits
Data Distilleries, Applied Metrix and Data
Instincts
4.10.1 Keeping Track of Your
Visitors
Log file analysis

Log files consist of data generated by site visits,
including each visitor’s location, IP address, time
of visit, frequency of visits and many other
indicators
Cookie

Technology that keeps a profile on each visitor
Data gathered used to personalize each
visitor’s experience, find trends in customer
use and demonstrate Web site effectiveness
4.10.1 Feature: WebTrends
WebTrends provides solutions for tracking
visitors

Offers products allowing you to profile site
visitors and measure the effectiveness of
each of your Web pages
After downloading a WebTrends product,
the user must specify the source of the log
files, types of reports and location where
data is stored
The analysis is conducted automatically

The program can be scheduled to analyze
4.10.1 Feature: WebTrends
Offers free-trial versions of many of its
products
View reports in one of many applications
including Microsoft Word, Excel, HTML
and text format
Will report its progress as it analyzes the
data
View demographic and geographic data,
technical analysis of the Web site’s
effectiveness and top-referring sites
4.10.2 Customer Registration
Customer registration


Requiring visitors to fill out a form with personal
information that is then used to create a profile
Recommended when it will provide a benefit to the
consumer
Require only minimum information
Give customers an incentive to register

Free-trial run or a free demonstration to familiarize
the user
After customer registration, send an e-mail
4.10.3 Personalization
Personalization



The customization of a person’s interactions with a
company’s products, services, Web site and
employees
Involving customers in personalization process
will make them feel more comfortable and more in
control of site visits
Allaire, Blaze Software, NetGenesis and Personify
Human-to-human contact

E-mails that confirm purchases and offer new
products
4.10.3 Personalization
Personalization versus privacy

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Ethical implication of personalization
technology
Some customers are not aware that cookies
are stored on their computers
Marketers must be careful how they use the
personal information gained from data
research
Filtering

Combing through content to determine what
the consumer would like to access versus
4.11 Business-to-Business
Marketing on the Web
Emerging key to business-to-business (B2B) ecommerce is effective Customer Relationship
Management (CRM)

In the context of B2B e-commerce, CRM includes
integrating systems to combine selling, buying,
marketing and front-end and back-end operations
performed within a company and between
companies
B2B marketing versus B2C marketing

When you sell your product to another business,
you may be selling to someone who is not the
direct user of your product
4.12 Search Engines
Search-engine ranking important to bring
consumers to a site

Method used by search engines to rank your
Web site will determine how "high" your site
appears in search results
Make sure all Web pages have been
published on the Web and linked correctly
By registering with search engines a
company will increase traffic to its site
4.12.1 META Tags
META tag



An HTML tag that contains information about a
Web page
Does not change how Web page is displayed
Can contain description of page, keywords and
title of page
Most search engines rank your site by
sending out a spider to inspect the site

The spider reads the META tags, determines
the relevance of the Web page’s information
4.12.2 Search Engine
Registration
Submit keywords and a description of business
Search engine will add information to its
database
Registering will increase the possibility that a
site will make an appearance in search-engine
results
Many search engines do not charge a fee for
registering

AltaVista, Yahoo!, Lycos, Excite, Google and Ask
Jeeves
4.13 Partnerships
Partnering



Forming a strategic union with another company
legal contracts written to define the relationship
precisely and to protect the interests of each
company
E-business partnerships typically require some
level of technical conformity
Provides consumers with complementary
services and products
Exchange technical research or customer
4.13.1 Affiliate Programs
Affiliate program


An agreement between two parties that one will
pay the other a commission based on a designated
consumer action
Establishes new income streams for affiliates
When a person clicks through the merchant’s
site via the link on the affiliate’s site and
makes a purchase, a commission on the sale is
typically awarded to the affiliate
Creates a "win-win" situation
4.13.2 Creating an Affiliate
Program
Decide on a reward structure

Pay-per-click model rewards an affiliate for each
click-through that is generated by a banner hosted
by the affiliate
click-throughs can be generated falsely.


Pay-per-lead model rewards affiliates based on the
number of qualified leads generated
Pay-per-sale model compensates affiliates for each
sale resulting from affiliate-hosted advertisements
the reward to the affiliate is usually larger than other
model rewards
Track the effectiveness of each affiliate
4.13.2 Be Free, Inc. Feature
Offers BFAST

BFAST product is an affiliate-program enabler
Allows its merchant customers to retain the
look and feel of their brand on the interface
that affiliates use to manage their programs
Rewards determined by merchant
Acts as intermediary, tracking impressions,
click-throughs and sales for merchant and its
affiliates
Merchants place promotions on affiliated Web sites
that are relevant to their industry.
4.14 Marketing to the World
Sensitivity to linguistic, legal and cultural
differences
International interaction with Web sites


Content in various languages
Currency differences (exchange rate
information)
Distribution methods

Costs of shipping to various countries
Translation services and software


Translations will not be perfect
Transparent Language and Alis
4.14 Logos Group, Italy Feature
Logos, an Italian translation company,
provides translation assistance and an
online language translation dictionary

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Its “Multi-lingual e-translation portal" will
instantly translate any typed word or phrase
into many different languages
You can click on a button to hear how the
word is pronounced
If you are not sure how one of the translated
words is used, Logos’ Wordtheque
demonstrates the use of the word in context
You can click on the Word Exchange Forum,