chap15 the internet and interactive media
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The Internet and Interactive MediaThe Internet and Interactive Media
15
McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved.
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Internet - Overview
A worldwide means of exchanging A worldwide means of exchanging information and communicating through a information and communicating through a system of interconnected computers from system of interconnected computers from military, government, educational and military, government, educational and commercial sources.commercial sources.
Components include:Electronic mail – method of sending messages
electronically
World Wide Web – universal database of
information available to internet users
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Uses of the Internet for Marketing
Electronic businessElectronic business – use of the Internet to
conduct business activities
Electronic marketingElectronic marketing – the use of the Internet
to conduct marketing activities
Electronic commerceElectronic commerce – use of the Internet for
buying and selling products and services
Electronic mediaElectronic media – using the Internet as an
advertising medium and a way to disseminate
information to consumers
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Elements of the Internet
Electronic mail (e-mail))– Allows users to send electronic mail
Usenet– Discussion groups, newsgroups, bulletin boards
Telnet– Databases, library catalogs, and electronic journals
File transfer protocol (ftp)– Software protocol for transferring files
Hypertext transfer protocol (http)– Software protocol for transferring hypertext language files
Client server– Computer system for transferring files between computers
Gopher– Document retrieval system used to search for Information
Wide Area Information Server (WAIS)– Use of keywords in databases to retrieve full text information
World Wide Web (WWW)– Sound, graphic images, video, and hypertext on single pages
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The Internet Picture
Senders Internet Receivers
InternetInternet
AdvertisersAdvertisers
SponsorsSponsors
e-CommerceMerchants
e-CommerceMerchants
UsersUsers
ShoppersShoppers
CustomersCustomers
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Internet Terms
Ad clicksAd click rateAd views (impressions)
BannerButtonCPCCPMDomain nameHit
InterstitialLinkOpt-in-e-mailPage viewsRich mediaSponsorshipsUnique usersValid hitsVisits
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Internet Communications Objectives
To create awarenessTo generate interestTo disseminate informationTo create an imageTo create a strong brandTo stimulate trial
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Skyy Blue creates an image for the brand through its web site
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Internet Advertising
SponsorshipSponsorship– Ownership of an entire site or page
Banner AdsBanner Ads– A portion of another owner’s page
PopPop--UpsUps– Small windows that appear automatically
Interstitial– Ads appearing while waiting for a page to load
Push Technologies or Push Technologies or WebcastingWebcasting– Automatic or unsolicited message delivery
LinksLinks– Hypertext links to other sites, pages or locations
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iVillage has numerous sponsorship partners
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Banner ads come in a variety of formats
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Personal Selling on the Internet
May May replacereplace personal sellingpersonal selling– Reduces high cost of personal calls– Vastly increases potential reach
May May enhanceenhance personal selling effortspersonal selling efforts– Provides quick, easy, information to prospects– May be a source of leads– May help to enhance customer data bases– May stimulate trial of the goods or service– May improve one-on-one communications– May serve as a sales conference medium
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Sales Promotion on the Internet
Offering consumers special incentives via the internet to encourage trial, repeat purchase, or customer loyalty
Distribution of samples, couponsAbility to enter contests, sweepstakesPremium offersLoyalty programs
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Pepsi uses the Internet for promotions
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Public Relations on the Internet
Internet as a medium for conducting PR
Media relations websitesDissemination of customized informationProvision of information on the company
and its productsPhilanthropic activities
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Chicken of the Sea International uses the Internet for public relations
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Internet Direct Marketing
Direct MailDirect Mail– Highly targeted– Relies on e-mail lists– Attempts to reach those with specific needs– Often used by catalogers
Marketing Databases on the NetMarketing Databases on the Net– Companies build or acquire a database– The database is sold to subscribers– Delivery may be on- or off-line
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Internet Direct Marketing
InfomercialsInfomercials– Program content similar to television,
cable or satellite– Web provides for greater audience
interaction
EE--CommerceCommerce– Rapid growth rates likely to continue– CDs, books, travel are main categories– Clothing, cars, financial services are all
gaining ground
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ebaY is a popular site for e-commerce
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Measures of Effectiveness
Online MeasuringData on demographics, psychographics, location of access, media used, buying habits, and more.
Recall and RetentionDaily user interviews to measure recall and retention of web content viewed
NonresponseMeasures of destination after failure to click-through
SurveysOn- and off-line surveys to determine usage factors
PanelsUsage and attitude data obtained from a specific group
SalesSales volume keyed to specific times and sites
TrackingAccumulation of site performance data
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Sources of Measurement Data
ArbitronMRI and SMRBAudit Bureau of CirculationInternet Advertising Bureau (IAB)iVALSPC-MetereMarketereAdvertiserDouble-Click24/7Jupiter, Forrester and MediaMetricsBusiness 2.0, Industry Standard, Fast CompanyInternet Advertising Report and Individual.com
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Internet Advantages
Target MarketingMessage TailoringInteractive CapabilitiesInformation AccessSales PotentialCreativityExposureSpeed
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Internet Disadvantages
Measurement problemsAudience characteristicsWebsnarlClutterPotential for deceptionCostsLimited production qualityPoor reach