Transcript eMarketing in Context - faculty.georgebrown.ca

E-MARKETING
FROST
E-Marketing in Context
Past, Present, and Future
WITH EXCERPTS FROM JUDY
STRAUSS AND RAYMOND
Objectives
1-2

After reading this slideshow, you will be able to:
Explain how the internet and information technology
advances offer benefits and challenges to consumers,
businesses, marketers, and society.
 Distinguish between e-business and e-marketing.
 Explain how increasing buyer control is changing the
marketing landscape.
 Understand the distinction between information or
entertainment as data.
 Identify several trends that may shape the future of emarketing.

Social Media Revolution Movie
1-3
http://www.youtube.com/watch?v=lFZ0z5FmNg&feature=related
Write down three points presented in the movie that
surprised you the most!
Dell Starts Listening
1-4
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


In 2004, Dell held 28.2% of U.S. computer market
share.
To reduce costs, Dell Computer began outsourcing
customer service to a firm in India.
Market share increased to 28.8% but complaints
and consumer dissatisfaction rose.
Dell digital media manager initiated blogs in
several languages to improve communication.
Dell Starts Listening, cont.
1-5



Dell’s blogs became mechanisms for handling
consumer complaints and ideas.
Blog usage resulted in over 20 changes to the
company.
What are the opportunities and risks in utilizing
blogs for improving customer service?
Blogs...
6


More harm than good?
More good than harm?
Marketing Landscape
7



...has not changed; companies must still meet
customers’ needs
...must be able to face instant communication and
feedback – both negative and positive
What works in an era of “e”...
 Integration
of traditional and e-marketing creating seamless
strategies and tactics
 E-commerce, Advertising online, Search engine advertising,
User-generated content, Online communities, Personalization,
Internet communications, Mobile Internet access, Local
marketing, Online aggregators
Activity
8

Please turn to the person beside you
 You
want to buy a new home theatre (we’ll do this
together)
 a new car, or want to make travel plans to tour a faroff country
 Suggest the online resources you may use to help you
make a decision
 Points-of-purchase;
Comparisons…
 Blogs?
 Communities?
 Something else?
Manufacturers; Advice; Reviews,
Internet 101
1-9



The internet is a global network of interconnected
networks.
E-mail and data files move over phone lines, cables,
and satellites from sender to receiver.
There are two special uses of the internet:
 Intranet:
network that runs internally in an organization.
 Extranet: two joined networks that share information.
Internet 101, cont.
1-10



E-business is the continuous optimization of a firm’s
business activities through digital technology.
E-commerce is the subset of e-business focused on
transactions.
E-marketing is one part of an organization’s ebusiness activities.
E-Marketing is Bigger than the Web
1-11

The Web is the portion of the internet that supports
a graphical user interface for hypertext navigation
with a browser.
 Many
eMarketing technologies exist that predate the
Web
 eMail

and newsgroups
The Web is what most people think about when they
think of the Internet.
The Web Is One Aspect of E-Marketing
1-12

Exhibit 1
E-Marketing is Bigger than Technology
1-13

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
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The internet provides individual users with
convenient and continuous access to information,
entertainment, and communication.
Communities form around shared photos, videos,
and online profiles.
The digital environment enhances processes and
activities for businesses.
Societies are enhanced through more efficient
markets, more jobs, and information access.
Global Internet Users
1-14

Exhibit 2
Consider...
15

The Web was developed at the European Particle Physics
Center (CERN) in Geneva. The original purpose of the Web
was to enable researchers all over the world to collaborate on
the same documents without needing to travel. When the
World Wide Web was released in 1991, it was purely textbased. In 1993, the National Center for Supercomputer
Applications (NCSA) released a program called “Mosaic”,
which was a GUI allowing Web pages to use pictures and
include links to audio and video. In 1994, Netscape was
started by some of Mosaic’s developers and over the next few
years became the most popular Web browser.
E-Marketing’s Past: Web 1.0
1-16
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

The Internet started in 1969 as the ARPANET, a
network for academic and military use.
Web pages and browsers appeared in 1993.
The first generation of e-business was like a gold
rush.
 Between
2000 and 2002, more than 500 internet firms
shut down in the U.S.
 By Q4 2003, almost 60% of public dot-coms were
profitable.
E-Business to Just Business
1-17

Exhibit 3
©2009 Pearson Education, Inc.
Publishing as Prentice Hall
Watch this
18
http://www.youtube.com/watch?v=rcfNC_x0VvE


Have you heard of any new, potential technologies
that will enhance marketing and communication in
the near or far future?
What trends in what industries do you see as
changing because of the web.
E-Marketing Today: Web 2.0
1-19
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
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Web 1.0 connected people to networks.
Web 2.0 connected people with machines and each
other.
Web 2.0 is the second generation of internet
technology and includes:
 Blogs
 Social
networking
 Photo, video, and bookmark sharing
Watch this
20
http://www.youtube.com/watch?v=ddO9idmax0o&e
url=http://www.mindmuze.com/blog/2009/01/04
/looking-for-learning-in-strangeplaces/&feature=player_embedded
What real-world phenomena does the movie see
Twitter as facilitating? Is it the “real world”?
Then this:
http://www.youtube.com/watch?v=PN2HAroA12w&f
eature=fvst
eMarketing Today
21

Strengths
 Research
resource for buyers, sellers and learners
 Elevates and extends strong brands
 Cost-effective for customer self-service
 Allows unprecedented one-to-one communications and
dynamic personalization
 Opens the market to new groups of customers
 Unlimited real estate on the Web
 Allows for profitable strategic business alliances
 Offers unique ways to present information
The Future: Web 3.0
1-22

The newest technologies allow marketers to focus on
user:
 Engagement
 Participation
 Co-creation



Online gaming represented over $1 billion in
revenue and 15 million players in 2006.
What is a current estimate for the number of users
playing World of Warcrack Warcraft? How much
does each of them pay?
What are recent trends in gaming?
Consumers Have More Control
1-23

The internet provides a communication platform for
individual comments, both positive and negative.
 Comments



can spread quickly and rapidly.
New technologies such as digital video recorders
(DVRs) will increase consumer control.
Where else have users/consumers increased
control?
Do you think user control is a good thing?
Power Shift from Companies to Individuals
1-24

Exhibit 4
©2009 Pearson Education, Inc.
Publishing as Prentice Hall
Additional changes...
25
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Fragmentation of markets
Death of distance
Time compression
Knowledge management
Wireless Networking Increases
1-26

Cell phones, PDAs, and laptops connect to the
internet via wireless modem worldwide.
 Starbucks
 Hotels
and airports
 Queen Mary II luxury liner
 Amtrak train stations

Customers will have information, entertainment, and
communication when, where, and how they want it.
WiFi at Train Station in France
1-27
Appliance Convergence
1-28

The receiving appliance is separate from the media
type.
 Computers
can receive digital radio and TV.
 TV sets can receive the Web.

New types of “smart” receiving appliances will
emerge.
 Internet
refrigerator is many digital appliances in one.
 Global positioning systems (GPS) allow in-car
communication and entertainment.
 What is the buzz-word for all these devices and
systems joining together?
Semantic Web
1-29
The Semantic Web will utilize a standard definition
protocol that will allow users to find information
based on its type, such as:
 The
next available appointment for a doctor.
 Details about an upcoming concert.
 Menu at the local restaurant.



Represents the next huge advance: providing
worldwide access to data on demand without
effort.
Semantic = meaning (of information)
Facilitated by metadata
Activity
30

Turn to the person beside you...
 Can
you remember a time when you had dial-up access
in your home?
 What has high speed access in your home meant for
marketers? Why?
What will characterize Web 3.0?
31
My prediction would be that Web 3.0 will ultimately be seen as
applications which are pieced together. There are a number
of characteristics: the applications are relatively small, the
data is in the cloud, the applications can run on any device, PC
or mobile phone, the applications are very fast and they’re
very customizable. Futhermore, the applications are
distributed virtually: literally by social networks, by email.
You won’t go the store and purchase them. That’s a very
different application model than we’ve ever seen in computing.
-Eric Schmidt, CEO Google
Summary
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What is the Internet?
What is eMarketing?
Why do we care about buyer control?
Why should we be thinking of our refrigerator when
we think of the Internet?