14-1 copyright 2012 mcgraw-hill australia pty ltd powerpoint slides t/a advertising and promotion...
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14-1Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Chapter 14
Interactive marketing
14-2Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Learning objectives
1. To examine the development and evaluate the reasons for growth of the internet and interactive media.
2. To define the role and relationships of the internet and interactive media and apply them in an IMC program.
3. To compare the advantages and disadvantages of direct communication on the internet and interactive media.
4. To evaluate the effectiveness of communication through direct communication via the internet.
14-3Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
History and
growth
Interactive and social media marketing
Measuring effectiveness
Advantages and
limitations
Behavioural targeting
Part of IMC
internet
Objectives
Sales promotion
Personal selling
Advertising PRDirect
marketing
14-4Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Be more kissable
14-5Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
A brief history of the internet
1969 ARPANETLaunched in USA
1986Commercial internet services permitted
1996
Google launched and soon becomes number one search engine in the West
2008 More than 65% of Australian households are connected to the internet
1991
First search engine, Archie,
launched
14-6Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Growth of internet access (Australia)
Source: Australian Bureau of Statistics, Household Use of Information Technology, Australia, 2008–09 (Catalogue 8146.0)
Household Home Computer or internet Access
14-7Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Use of digital media
0
10
20
30
40
50
60
Online Social Networking
Ho
urs
(p
er
mo
nth
)
Time spent with digital mediaAustralia
57
7
14-8Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Social networking participation rates (New Zealand)
0
1
2
3
4
5
6
7
8
All PPL 15+ All PPL 15+ 15-24 25-34 35-44 45-54 55+
Total Population (15+)
Males
FemalesHo
urs
sp
ent
(p
er m
on
th)
Time spent on social networking sites
Source: ComScore, State of The internet with a Focus on New Zealand, July, 2011
14-9Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
The web as an IMC channel
14-10Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Modified hierarchy of effects model for the internet
AttractAttract
EngageEngage
RetainRetain
LearnLearn
RelateRelate
14-11Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Internet communications objectives
Create awarenessCreate awareness
Create an imageCreate an image
Generate interestGenerate interest
Disseminate information
Disseminate information
Stimulate trialStimulate trial
Create a strong brand
Create a strong brand
ObjectivesObjectives
14-12Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Absolut drinks
14-13Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Business-to-business websites
14-14Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Huggies go well beyond providing information
14-15Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Sportsgirl offers multiple interaction opportunities
14-16Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Ebay offers personalisation and online community
14-17Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Integrating the internet into an IMC program
AdvertisingAdvertising
Sales promotionsSales promotions
Personal sellingPersonal selling
Public relationsPublic relations
Direct marketingDirect marketing
The internet site should be integrated
with…
The internet site should be integrated
with…
14-18Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
The marketer–customer interface
14-19Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Advertising on the internet
BannersBanners
SponsorshipsSponsorships
Pop-ups/undersPop-ups/unders
Push technologies(webcasting)
Push technologies(webcasting)
LinksLinks
InterstitialsInterstitials
Internet advertising has a variety
of forms:
Internet advertising has a variety
of forms:
Paid searchPaid search
Contextual adsContextual ads
Rich mediaRich media
14-20Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Standard internet advertising sizes
Leaderboard (728X 90 pixels)
Banner (468 X 90 pixels)Skyscraper
(120 X 600pixels)
Rectangle(180 X 150 pixels)
Button(125 X 125
pixels)
Not to scale
14-21Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Types of rich media
WebisodesWebisodesA broad range of interactive digital media
that exhibit dynamic motion, utilising
advanced technologies such as videos
streaming applets.
A broad range of interactive digital media
that exhibit dynamic motion, utilising
advanced technologies such as videos
streaming applets.
Podcasting Podcasting
RSSRSS
Online commercials Online commercials
BlogsBlogs
14-22Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Marketing bloggers
14-23Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Sales promotion on the internet
14-24Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Personal selling on the internet
Vastly increases potential reach
Vastly increases potential reach
Reduces high cost of personal calls
Reduces high cost of personal calls
Provides quick, easy information to
prospects
Provides quick, easy information to
prospects
May be a source of leads
May be a source of leads
May improve one-on-one communications
May improve one-on-one communications
May replace personal selling
May replace personal selling
May enhance personal selling efforts
May enhance personal selling efforts
May serve as a sales conference medium
May serve as a sales conference medium
May help to enhance customer databases
May help to enhance customer databases
May stimulate trial of the goods or service
May stimulate trial of the goods or service
14-25Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Caterpillar provides information
14-26Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Public relations on the internet
Press kitsPress kitsPopular PR applicationsPopular PR applications
PhotographsPhotographs
Cross references to other sites or media
Cross references to other sites or media
News stories and press releases
News stories and press releases
Support other activities (e.g. cause-related marketing)
Support other activities (e.g. cause-related marketing)
14-27Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Public relations on the internet (cont.)
14-28Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Public relations on the internet (cont.)
14-29Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
History and
growth
Interactive and social media marketing
Measuring effectiveness
Advantages and
limitations
Behavioural targeting
Part of IMC
internet
Objectives
Sales promotion
Personal selling
Advertising PRDirect
marketing
14-30Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Measures of effectiveness
Internet-specific measuresInternet-specific measures
SurveysSurveys
Cross-media optimisation studies (XMOS)
Cross-media optimisation studies (XMOS)
SalesSales
Recall/retentionRecall/retention TrackingTracking
Traditional measuresTraditional measures
14-31Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Measuring the internet
14-32Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Cross-media optimisation
14-33Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Measuring interactive media
Traditional measures
Traditional measures
Recall and retentionRecall and retention
SurveysSurveys
SalesSales
TrackingTracking
14-34Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Sources of audience measurement data
Syndicated research (e.g. Roy Morgan)Syndicated research (e.g. Roy Morgan)
internet Advertising Bureau (IAB)internet Advertising Bureau (IAB)
Bureaux of statisticsBureaux of statistics
Internet service providersInternet service providers
Nielsen Net RatingsNielsen Net Ratings
Data sources
Data sources
14-35Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
The internet and creative impact
14-36Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Internet advantages and disadvantages
Target marketingTarget marketing
Message tailoringMessage tailoring
Interactive capabilitiesInteractive capabilities
Information accessInformation access
Sales potentialSales potential
CreativityCreativity
Exposure/speedExposure/speed
AdvantagesAdvantages DisadvantagesDisadvantages
Complement to IMCComplement to IMC
Poor reachPoor reach
IrritationIrritation
AnnoyanceAnnoyance
Potential for deceptionPotential for deception
Measurement problemsMeasurement problems
ClutterClutter
PrivacyPrivacy
14-37Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Additional interactive media
Interactive TV
(ITV)
Interactive TV
(ITV) Wireless Wireless
KiosksKiosks Interactive CDs/DVDsInteractive CDs/DVDs
Location-based technologies
Location-based technologies
Interactive mobile phones
Interactive mobile phones
Emerging interactive
media
Emerging interactive
media
14-38Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell
Summary and conclusions As advertisers search for more engaging ways to
interact with customers, new marketing applications for online and interactive technologies continue to emerge.
Interactive marketing communications are changing the interface between organisations and consumers.
Online communications must be integrated into the IMC program.
Advantages of the internet include its versatility, interactivity and its use in building customer relationships.
Interactive media present challenges for audience measurement.