internet marketing : integrating online and offline strategies

© 2008 Thomson, a part of the Thomson Corporation. Thomson, the Star logo, and Atomic Dog are trademarks used herein under license. All rights reserved.

INTERNET MARKETING:INTEGRATING ONLINE AND OFFLINE STRATEGIES

Chapter 14

The Future -- Wireless and Convergence

Internet Marketing: Integrating Online and Offline Strategies

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© 2008 Thomson, a part of the Thomson Corporation.

Wireless and Converged Devices

Are Undergoing the Process

Of Adoption and Diffusion.

More Rapidly in Europe, Asia and Pacific Rim

Less Rapidly in the United States

But US Accelerating


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CONVERGED MULTIMEDIA

http://www.livescribe.com/

http://adage.com/brightcove/lineup.php?lineup=1266084202


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CONSUMER ADOPTION PROCESS


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DIFFUSION OF INNOVATIONS


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PRODUCT FACTORS THAT AFFECT DIFFUSION OF INNOVATIONS

• Relative Advantage

• Compatibility

• Complexity

• Divisibility

• Communicability


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GLOBAL INNOVATION

• Pace of Innovation Accelerating Across Product Types and National Boundaries

• Requires Collaboration Across Scientific and Technical Disciplines

• Concept of Intellectual Property Needs to Evolve From Hoarded Possession to Shared Asset


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THE PACE OF INNOVATIONIS INCREASING


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O’REILLY–INNOVATION=OPEN SOURCE

• Open Source Software

• Open Platforms

• Open Mobile Devices, Content Services• http://arstechnica.com/news.ars/post/20080725-tim-oreilly-internet-innovation-requires-an-open-web.html

Including Apps


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• Pervasive Computing Ubiquitous Computing

• Wireless Internet Wireless Advertising, Mobile Marketing

• Digital Convergence Devices, Media

INNOVATIVE TECHNOLOGIES


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MEDIA CONVERGENCE IS HUGE

http://adage.com/brightcove/lineup.php?lineup=1266084202


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The Wireless Web


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What is Meant By

Pervasive/Ubiquitous

Computing?

What Are The Implications

Of A Pervasive Computing

Environment?


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CHARACTERISTICS OFPERVASIVE COMPUTING

• In All Areas of Daily Life

• Variety of Wired and Wireless Devices

• Chips Embedded in Everyday Articles

• Access to the Network Any Time, From Any Place

• Devices Communicate With One Another (M2M)


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SPEEDPASSRFID-BASED PAYMENT SYSTEM


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“HELLO, IT’S YOUR PARKING METER CALLING”


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SMART BUILDINGS

http://www.dukenews.duke.edu/2007/11/smarthome.html


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6a’s OF PERVASIVE COMPUTING

• Authorized

• Access

• Anyone

• Any Time

• Anywhere

• Any Internet-Enabled Device


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LOCATION-BASED

http://www.nytimes.com/2009/12/07/technology/internet/07cities.html?_r=1&ref=technology

http://www.youtube.com/watch?v=Q-Oq-9enE-k


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MULTIMEDIA


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SUPERBOWL MOBILE TIE-INS (2009)

Each week throughout the NFL’s 17-week regular season, any Sprint customer who uses NFL Mobile Live will be automatically entered for a chance to win two tickets to the NFL’s biggest game.

http://www.mobilemarketer.com/cms/news/messaging/1618.html


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2010—MORE SOCIAL NETS?


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AD AGE ADVICE

• Capitalize on Pregame Buzz• Build in Viral• Buy Smart Search Terms• Real-Time (Twitter, etc.)• Good Call to Action• EXECUTE!

http://adage.com/digital/article?article_id=140896


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• 1G Analog Devices

• 2G Digital; Voice/Data; 14.4 kbps

• 2.5G Enhancement of E-Mail & Internet Access

• 3G Speed Eventually Equivalent to Broadband

EVOLUTIONARY STAGES OF WIRELESS


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REASONS FOR DIFFERENCES

• Early/Satisfactory Adoption Of Wired Internet

• Lack Of Land-Line Infrastructure• Compact, High Population Coverage• Cultural Orientation Toward

Electronics• Greater Standardization Of Wireless• Political Barriers To Wireless

Licenses


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WIRELESS STANDARDS

• CDMA (Code Division Multiple Access)

• TDMA (Time Division Multiple Access)

• GSM (Global Standard for Mobil Communications) Europe

• i-Mode Japan

• Wi-Fi (802.xx)

US


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NIELSEN MOBILEhttp://www.nielsenmobile.com/index.html

258.9 wireless lines in US57% remember seeing ads


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UK MOBILE INTERNET GROWTH 8X GREATER THAN PC-BASED INTERNET GROWTH

http://www.nielsenmobile.com/html/press%20releases/MobileInternetGrowth.html


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2.9 M RECEIVED OBAMA VP TEXT MESSAGE


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DISPLAY ADVERTISING NOT PRIMARY

http://www.marketingcharts.com/direct/mobile-advertising-spending-to-surpass-65-billion-in-2012-4097/


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TESCO MOBILE

http://www.tesco.com/mobilenetwork/


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SMARTPHONES CHANGE MOBILE USE


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SNAPPLE’s CELL PHONE PROMOTION

Figure 14-5


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WIRELESS GOING MAINSTREAM

• Podcasts are Attracting Sponsors

• More Recently

Blogs are Attracting Advertising


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TRANSACTIONS IN AUSTRALIA

Figure 14-7


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BARRIERS TO MOBILE USE


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STRATEGIC DRIVERS OF WIRELESS

• Context Localization, Personalization

• Time Sensitivity

• High Value

• Voice Activation

• One-Click Payment

• Security

• Privacy

• Expanded Permission Marketing

NOT ADVERTISINGNOT ADVERTISING


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BUT. . .ADVERTISING INCREASING

http://blog.admob.com/2009/11/17/new-interactive-video-ad-units-for-iphone/


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INDUSTRY SELF REGULATION

• Choice

• Control

• Customization

• Consideration

• Constraints

• Confidentiality

Code of Conducthttp://www.mmaglobal.co.uk/documents/mma_code_of_conduct_nov_05.pdf


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Digital Convergence –

Devices and Media


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What Do We Mean

By

Digital Convergence?


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A DEFINITION

“the Power of Digital Media

To Combine

Voice, Video, Data, Text and Money

In New

Applications, Devices and Networks”

Syracuse University Convergence Center


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CONVERGED DEVICES

Individual

• Cell Phones GPS, E911, Camera,

Bluetooth

• PDA +

• Tablet PCs

• Game Players

• Touch Screen

Household

Wireless Added To

• Appliances

• TVs

Many Other Devices Connected to Internet


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CONVERGED MEDIA

• Television Programming, Movies on PCs

• Video Available on All Wireless Devices Streaming Provides Access

• Satellite Radio Offers Choice, Access

• Broadcast and Print Media Go Electronic

The List Will Continue To GrowThe List Will Continue To Grow


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DEVICES, MEDIA OPEN PLATFORMS

http://blogs.howstuffworks.com/2009/10/19/the-new-andriod-enough-to-take-on-the-iphone/

http://www.youtube.com/watch?v=opZ69P-0Jbc&feature=player_embedded


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The Common Theme is

The Network,

Not the Device.


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SUMMARY

• Adoption Of Technological Innovations Process, Diffusion, Product Factors

• Pervasive Computing, Wireless Internet And Digital Convergence Are Innovative

• Pervasive Computing 6 a’s Different Standards, Infrastructure, And Cultural Issues

Differential Growth Rates

• Important Applications, B2C, B2B Cell Phones, iPods, Other Devices

• Digital Convergence Is Beginning To Occur Devices, Media

• Strategic Drivers Of/Barriers To Wireless Marketers Proceed With Care

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