e-marketing, new marketing applications
TRANSCRIPT
E-Marketing: New Marketing Applications In a Digital World
MSYS555-16A (NET)E-Business Management
Roberto Pavez
Introduction
Rob Pavez
Marketing has been in a constant change since the revolution of internet. Businesses are turning into Ebusiness, new business model has been created. Today Marketing and internet have changed the way of the classic marketing applications in a new digital world.
History of E-Marketing
Neil H Borden Jeromy McCarthy
Rob Pavez
In 1950 Neil H. Borden pioneered the concept of the marketing mix as controlled variables, teen years later E jeremy McCarthy introduce teh concepts of marketing mix The 4P as Prodcust place promotion and price.
E-Marketing Definitions
19951993 1995
Rob Pavez
Rob Pavez
In 1993 Hoges defined Emarketing as selling via electronic devices as television, radio, telephones, video catalog and multimedia kiosk. In 1995 Kiley defined Emarketing as selling on line or via internet. Koschnick in 1995 defined "electronic Shoping" as the utilization of electronic devices to purchase online.
E-Marketing Mix
Internet
Rob Pavez
Rob Pavez
In the next slides we eill review the marketing mix product. price, promotion and place with the introdcution on ITC, we will see many new concepts as we have reviwed in class as Digital Value, New price models, New Ebusiness models and new distributions models just say some examples. none of them could without internet.
Marketing Mix
People Physical Evidence Process Partnerships
Rob Pavez
Also we will review neew element ion the emarketing mix and those are people Physical eveidence proccess and partneships.
Product
Physical Products
Digital Products Service
sShikhar Ghosh 1998 Products become services
Rob Pavez
In the emarketing mix product are related to services and physical items being a copy of a cd the first item sold under a secure transaction in 1994. in 2013 amazon sold more than 235 million of items. Today is possible to buy everything via online. Also with the introduction of the internet today we can buy digital products as music, movies, games, ebooks and device applications. A good example is Apple they revenue does not come only for selling hardware devises (phones and laptops and copmtures) They also sell digital products in their apple store.
PRICEFree Subscription
sPay per
view
Rob Pavez
In the Emarketing mix we have different price models as free services as Hotmail, subscriptions as Netflix, and pay per view as Xbox video. A very interesting example is You Tube which operate under these Three price model, they offer free services to users supported by advertisers, a new subscriptions model with no advertise and pay per view to watch new movies of sports events.
PRICE
Rob Pavez
Other good examples of new price strategies is Grupon who offers low prices in items and services for a short period of time, many companies uses these platforms to promote their business or to reduce stock. in 2015 the global revenue of Grupon was 3.12 billion dollars. Others price strategies that we can see today are video games offered for free to engage consumers, for Candy Crash the main revenue comes from add-ons as extra lives and special movements.
PLACE
Rob Pavez
in the emarketing mix brand place is related to the digital world and the most consurred sites are social media as facebook, instagram and twitter.
PLACE
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In the website categories Google and Yahoo where the most visited in 2015.
PLACE
Rob Pavez
Rob Pavez
Also is very intersting how many brand are using marketplaces to sell their products, actions sites like ebay and and amazon started selling used items. today many companies list their brand new items using these plattforms selling directly to customers cutting intermediaries making it more convienent to buyers.
PLACE
Rob Pavez
App stores like Apple, Google Play and microsoft Store are the channels to sell digital content. For apple iTunes store is a significant source of revenue only in 2015 it was 20 billion doilars
PROMOTION
Rob Pavez
imperative for brands is to be exposed in the digital world, the main promoting activites are seraching advertise, enewsletters, video adds and social media networks. in Canada 26% of the the online adds were placed in social media sites.
PROMOTION
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Google adds started generating 0.07 billion dollars in 2001 to 67.39 billion dollars in 2015.
PROMOTION
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Marketers have incurred in very creative practices as every brand want their video add become viral and be seen for millions.
PROMOTION
$ 3-5 million
Rob Pavez
Using Emarketing brands seek engage with customers via social media websites generating valuable customer’s data. Many marketing companies offers social media services as Foxtail Marketing founded in 2013 who handle over 60 brands one of them is new balance shoes, only in 2013 Fox Tail generate revenue for 3-5 million dollars.
PEOPLE
Rob Pavez
In this slice we start with the new elements of the marketing mix. People. its refer to anyone involved in the activity of the business, stuff customers and shareholders. it means employ the right people to give the best experience to customers. Also customers became very important when they have the chance to review their experiences online. Sites as amazon customers can rate and review products and sellers. Here in New Zealand trademe marketplace is focused in rating transaction, buyers and sellers. High rates or good feedback mean trust and trusted sellers are likely preferred by new customers. Also there is many pages related to products review where customers create communities and they interact with others answering questions or resolve issues helping to make buying decitions.
PHYSICAL EVIDENCE
Rob Pavez
Rob Pavez
As in physical business bulldings, business cars, uniforms and logos are very important generating trust for customers in the digital world websites are represent ation of the business. Ebusiness with profecionals designed websites generate trust as well security process as payments are essential. also is very imopirtant to constantly update social media sites and deliver usefull content to customers.
PROCESS
Rob Pavez
The blog of Oxford College of Marketing defined Process “as everything your customer experiences throughout the transaction, from the initial promotion right through to the aftercare of the sale”. Automatization throughout the process is very important and minimizes error without reducing customer satisfaction. Email recommendations, cookies reminders leave shopping cart, tracking items online with email notifications, answering questions online, website support online via chat, quality websites, well elaborated FAQ (Frequently Answers and Question).measurement system constantly to improve customer experience, bounce rate, timing spend in the website, and conversion rate are very important indicator and keep an eye on it is fundamental.
PARTNERSHIPS
Rob Pavez
To increase online presence many companies, recur to partnership with bloggers, and websites.Affiliate marketing is good way to generate revenue for blogger and dedicates websites, it consists of promoting services and products and getting a percentage of the sales, the most affiliate programs are Amazon.com Associates, eBay Partner Network and Aliexpress Affiliate Program.
PARTNERSHIPS
Over 1.93 million people visit Trade Me every month** Nielsen Online, June '13
Rob Pavez
in New Zealand trademe is ranked in the 5th place (alexa.com) companies in partnerships with trademe get benefits of this traffic generated. At the moment trademe have partnership websites: findsomeone.com, Holiday Houses, Travelbug, Life Direct, Motor Web, Harmoney and Trade Me Insured launched in 2015 in partnership with Tower, a local insurer.
CONCLUSIONS
Rob Pavez
Rob Pavez
In conclusion with the introduction of the internet The Marketing Mix has evolved to and new practice of marketing have emerged, Today it is possible to see more often new models of business, new practice of promotion, new price models and new markets for digital products.Social media has become an important place to promote items, also people as customers interact in real time with their favorite brands becoming very important and in many cases the key for other customers to make buying decisions.In this digital world we can see companies running many different business models with different price models as Youtube having at the same time 3 ways of revenue.For Online business must have high quality websites, look professional and deliver the best experience to customers, to achieve customer’s satisfaction process is the key to respond fast to customer demand.And finally partnerships must be considering to generate marketing alliances and expand presence in the digital world.