E marketing-global scenario

E-marketing-global scenario

Advisor:-Proff. Jagruti BhattAssistant professor

Speaker:-Archi JainReg. no.- J4-01297-2015Roll no.- 05

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E-marketing

Most important marketing tool in an entrepreneur’s arsenal

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Contents

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E-marketingConcept of E-marketingWhat is E-marketing and E-commerce?Internet marketing vs. E-marketing vs. E-commerceWhy E-Commerce and E-marketing?Scope of E-marketingObjectives of E-marketingGlobal and Indian scenario of E-marketingMethods of E-marketing

Traditional methods Modern methods Marketing through mobile phone

Contents

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Advantages of E-marketingE-marketing mixSWOT analysisE-CRMCase study: E-CRMCase study: Viral MarketingConclusion

E-marketing

Uses internet and digital media capabilities.

Addition to traditional marketing approaches.

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Source: Anonymous (2015)

Concept of E-marketingRelatively new concept that crept into the

business vocabulary in 1970s.

Flawless application of information technology from the point of origin to the ultimate destination of the products.

Process of using modern technology for providing information to the consumers regarding products and services by companies.

6 Source: Anonymous (2015)

What is E-Marketing and E-Commerce?

E-marketing (Electronic Marketing) is the moving of marketing strategies and activities to a computerized, networked environment such as the internet.

Strategic process of creating, distributing, promoting, and pricing goods and services over the internet or through wireless digital tools.

E-commerce (Electronic Commerce or EC) is the buying and selling of these goods and services on the internet. 7


Internet-marketing vs. E-Marketing vs. E-commerceE-Marketing has a broader

scope than internet marketing.

Internet marketing (IM) refers only to the internet, world wide web, e-mails.

E marketing=internet marketing +other E-marketing tools like: intranets, extranets and mobile phones.

Figure:-Differences between internet-marketing, E-Marketing, E-commerce and E-BusinessSource: El-Gohary et al (2010)

8 Source: El-Gohary et al (2010)

Why E-Commerce and E-Marketing?

Consumers research products and services on the internet.

Businesses don’t need a shop everywhere with a website.

Expensive and repetitive methods need not be used.

Staff can spend valuable time in the workplace.

Businesses can contribute in the economical growth.

9Source: Anonymous (2015)

Why E-Commerce and E-Marketing?

Return on Investment (ROI) exceed that of traditional marketing strategies.

Forefront of redefinition of way businesses interact with their customers.

10Source: Saylor Foundation(2009)

Scope of E-marketing

The digital technologies used as delivery and communication mediums within the scope of E-marketing include:-

Internet media such as websites and e-mail

Digital media such as wireless, mobile, cable and satellite.


Objectives of E-marketing

E-marketing objectives differ with companies and their circumstances

5 S framework includes:-

Sell

Serve

Speak

Save

Sizzle12


Objectives of E-marketingE-marketing objectives should be:-

Specific

Measurable

Action-oriented

Realistic

Time-specific13


Global and Indian scenario of E-marketing

Current E-commerce statistics state that 40 percent of worldwide internet users have bought products or goods online via desktop, mobile, tablet or other online devices. This amounts to more than 1 billion online buyers and is projected to continuously grow.

YouTube has become the 2nd Largest Search Engine – bigger than Bing, Yahoo, Ask & AOL combined.

71per cent of shoppers believe they will get a better deal online than in stores.


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Out of 137 million internet users India, only 25 million shops online that is just 18per cent of total internet population (IAMAI report, 2013).

Total internet users in India may increase to 500 Million by 2018(Rajan Anandan, MD, Google India).

Indian digital commerce market reached INR 81,525Cr In 2014(IAMAI).

E-commerce in India is expected to reach $24 billion (Rs 1,07,800 crores) by the year 2015.

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Methods of E-marketing

Traditional methods in internetBanner-AdsPop ups Interstitials

Modern methods in internetWebisodesViral Marketing

Interactive games or puzzles Bribes(discounts and offer information through e-

mails) Viral E-mail campaigns

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Methods of E-marketing

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Search engine marketing Search engine optimization Pay per click

Social media marketingMarketing through mobile phones

App based marketing In-game mobile marketingMobile web marketing

A. Banner ads1. Traditional methods of E-marketing

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B. Pop-ups

1. Traditional methods of E-marketing

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C. Interstitials1. Traditional methods of E-marketing

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A. Webisodes

2. Modern methods of E-marketing

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Cocaine's Environmental CostFood Not Bomb

s: Using Food Waste to Feed the Planet

Climate, Agriculture and the Challenges Ahead

http://www.planetforward.org/media/infographic/cocaines-environmental-cost

http://www.planetforward.org/media/infographic/cocaines-environmental-cost

http://www.planetforward.org/media/webisodes/food-not-bombs-using-food-waste-to-feed-the-planet




http://www.planetforward.org/media/webisodes/climate-agriculture-and-the-challenges-ahead



B. Viral marketing•Electronic equivalent of ‘word of mouth’.

•Facilitates consumer to consumer (C to C) promotion at a rapid pace in internet.

•Types of Viral Marketing• Interactive games or puzzles• Bribes (discounts and offer information)• Viral e mail marketing campaigns


27 Source: Senthil (2009)

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C. Search engine marketing2. Modern methods of E-marketing

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•One of the principle tools.

•This prominence is because of increased use of search engines.

•The principal techniques employed in SEM are:• SEO• PPC• Paid inclusionSource: Anonymous (2015)

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•Search engine optimization(SEO): A set of practices employed to get ranking for WebPages on relevant keywords(search queries).

•Pay per click(PPC): PPC drives relevant traffic to a website by competitive bidding structure.

•Paid Inclusion: The businesses pay for their website to be ranked higher in the natural listing of search engines.


D. Social media marketing

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Utilizes social networking websites as a marketing tool.

Help company increase brand exposure and broaden customer reach.



D. Social media marketing

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Electronic Word of Mouth (E-WoM)-Any statement consumers share via the internet about an event, product, service, brand or company.

This form of marketing results in earned media rather than paid media


Source: Anonymous( 2015)

App based marketing

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3. Marketing through mobile phone


In-game mobile marketing

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MOBILE WEB MARKETING

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Source: IMRB international

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S.No.

Industry Suitable E-marketing methods

Target audience for suggested methods

Advantages

1 Banking and financial services

1.Interstitials2.Pop-ups3.Viral marketing(games, e-mail campaigns discount and offer e-mails)4.Search engine marketing

Higher income, middle income and aspiring urban consumer groups that have access to internet in either office or home.

1.Wider reach2.Individual targeting3.Interactivity4.Measurability

2 Consumer durables

1.Pop-ups combined with Webisodes and viral marketing(games, e-mail campaigns discount and offer e-mails)

Middle income and aspiring urban consumer groups that have access to internet in either office or home.

1.Wider reach2.Individual targeting3.Interactivity4.Measurability

Advantages of E-marketing

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3 Food & beverages, FMCG

1.Pop-ups combined with webisodes and viral marketing

Middle income and aspiring urban consumer groups that have access to internet in either office or home.

1.Wider reach2.Interactivity3.Measurability

1. Marketing through mobile phone and rural internet kiosks using banner ads, pop-ups, interstitials and animated screen savers in future.

Rural markets having purchasing capability and telecommunication penetration in market.

Advantages of E-marketing

Source: Senthil(2009)

E-marketing mix

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Traditionally the marketing mix is coordinated so efficient product, price, promotion and place

strategies are developed for products purchased in shops.

The E-marketing mix considers the elements of presenting the marketing mix online.


E-Product Strategies

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Online, there are facts mentioned about the products.

Buying process customized for returning visitors.

Ancillary products can be offered immediately along with the main purchase.

The product can also be customized to consumers needs.


Top categories of products consumer buy online

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E-Price strategiesThe internet gives consumers the power

to shop around for the best deal at a click of a button.

Growth of online auction.

Loyalty incentives to repeat visitors.

Easy payment.

Downside is rapidly internet fraud.Source: Anonymous (2015)

E-place strategies

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Consumers can purchase direct from manufacturers.

The challenge is to ensure product delivery within time.

Location is important within the place strategy.

Online location-where links are placed on other websites.

Knowing customer preferences would help in placing links.


E-promotion strategies

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Approaches to E-promotion:-

Recognizable domain name.

Banner advertisements on other web pages.Source: Anonymous (2015)

E-promotion strategies

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Web public relations (WPR).

Direct email. Direct emailing also known as SPAM (Sending persistent annoying email).

Social media.(anonymous)


SWOT analysis

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STRENGTH WEAKNESS

OPPORTUNITIES

THREATS

•Lower employment cost•Time savvy management•Search engine optimization•Consumer approach•24x7 access to consumers

•No direct consumer seller interaction•Low consumer trust•Customer loyalty•Slow product verification

•Development of new tech.•Quick access to customer issues•Increased no. of internet users

•Impersonality•Failure to innovate•Complacency•Channel conflicts•Trust issues


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Traditional CRM + Internet = E-CRM

Electronic Customer Relationship Management (E-CRM)

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The phenomenon of building a relationship with customers via the internet is known as E-CRM.

Main difference between CRM and E-CRM is the medium used for providing services to the customer.

E-CRM focuses on electronic channels mainly internet and technologies.

E-CRM helps companies understand, anticipate and manage customer needs.

E-CRM

Source: Sudhakar (2009)

Objectives of E-CRM

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To provide better customer service.

To help staff close deals faster.

To discover new customers.

To increase customer revenues.

To simplify marketing and sales processes


Difference between CRM and E-CRM

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CRM E-CRM1. Wide area coverage Not possible Possible2. Response time More time taken Reduced3. Response from

customerQuick response May or may not happen (poor

response from online customer)

4. Cost Organization spend money to collect data but since the response is good, the cost is nominal

Organization spends money but the response is not good

5. Security Data is secure and no additional cost is incurred to secure the data

Data may be made secure using firewalls etc. increasing the cost of the process.

6. Effectiveness More effective Optional response limits its effectiveness.

7. Innovation Optional Necessary8. Attraction May or may not be an

attractive optionAttractive because of audio visual features, animations etc.

Why companies need E-CRM

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To get customer loyalty companies.

To get a 360 degree view of the customer.

To identify new market trends

To meet the needs of the customer more fully.

To increase interaction with the customer.


Major trends in E-CRM

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Three major trends that will create an explosion in E-CRM services are:-

Explosion of broadband and telecommunication networks and services.

Penetration of mobile data services.

Customer care using offshore and web based technology.Source: Sudhakar (2009)

Major trends in E-CRM

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Three major trends that will create an explosion in E-CRM services are:-

Explosion of broadband and telecommunication networks and services.

Penetration of mobile data services.

Customer care using offshore and web based technology.Source: Sudhakar (2009)

Global scenario for E-CRM

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Source: Rethinking the role of marketing

Case Study: Customer Service as Public Relations

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Zappos (http://www.zappos.com), a U.S. online shoe retailer, bases much of its success on its customer service.

It offers free shipping on all its purchases, as well as free returns.

In fact, goods are shipped with a preprinted return label, making the process straightforward for customers.

Zappos also invests heavily in its customer service team, empowering each member of the team to do what he needs to do to delight customers.

Source: Saylor Foundation(2009)

Case Study: Customer Service as Public Relations

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For example, Zaz LaMarr blogged about her experience with Zappos. She had meant to return some shoes to Zappos, but her mother passed away, and naturally she just didn’t have time. Zappos arranged to have UPS come pick up the shoes and then sent her flowers.

Yahoo! shows nearly two thousand links to her blog post, which has generated some good comments increasing the goodwill of the company.

The return to Zappos in terms of goodwill is almost immeasurable (although its online reputation is excellent) but no doubt leads to increased referrals and sales and customer loyalty.


Case Study 2 : Viral Marketing

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Firebox.com and Speedy Santa

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In December 2004, firebox.com, a leading UK gifts and gadgets E-tailer, hired Inbox.co.uk to create a Christmas viral to drive online traffic to them and increase sales.

Inbox.co.uk created SPEEDY SANTA-a game to drag Santa around his lapland track in quickest time.

Players were given a global position and won a £5 firebox voucher on completing a lap.

The hook: A system of private leagues was devised where players could invite four friends or colleagues to join a leader board.



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Everyone in that league was e-mailed a personal Web site link and scores were updated in real time.

These leagues proved to be a big hit and created a lot of office buzz.

The Speedy Santa game was played over twenty-two million times in the run-up to Christmas.

On average, people played the game over sixty times each.



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Of people who played the Firebox Speedy Santa game, 87 percent clicked through to the Firebox.com site, at a cost to Firebox of under $0.02 per click-through

And they each had a Firebox voucher to spend right before Christmas.

Christian Robinson, marketing director of Firebox.com, said, “It has definitely been one of the most successful promotions we have ever run, generated hundreds of thousands of pounds in revenue and bringing the Firebox brand to tens of thousands of new customers.”


Conclusion

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It can be concluded that the scope of E-marketing is vast and innumerable opportunities will be presented in the near future.

Marketers need to learn to harness these opportunities through different marketing methods.

The increased number of internet users presents vast opportunities for E-commerce and E-marketing.

The number of online buyers have increased and are continuously growing.

Email marketing and search engine marketing give the best returns to the marketers.

Conclusion

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Viral and social media marketing help marketers spread the word quickly.

One of the plus points of E-marketing is quick access to customer issues.

Loyalty and trust are some of the issues an E-marketer needs to deal with.

Apparels and groceries are most demanded products digitally.

Importance of E-CRM has been realized and marketers are adopting it in due course of time.

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