Week 12

1) Read the affiliate marketing article. What is the difference between affiliate marketing and PPC (Pay per click) marketing and what are the advantages and disadvantages of both.

2) How is CRM relevant to affiliate marketing?

3) Where does viral marketing fit into this mix? For an example check out the 'Obama girl'. Who/what is the purpose of the Obama girl. Find your own links for this one!

4) In the powerpoint presentation there is a link to Overture which was a 'key word' search tool. You will find that it is no longer there - one of the ongoing issues with web resources. Yahoo bought Overture and shut it down. Do your own search and see if you can find an alternative to Overture. Also see the discussion page and share your thoughts there.

5) Methods used to improve search engine ranking include

Frequency of occurrence in body copy

Number of inbound links

Inclusion in directories such as dmoz

Title HTML Tag

Meta tags

Hidden graphic text

What is dmoz? Read about dmoxz in wikipedia. What seach engines use dmox? I have a personal online book business called OZRURAL. Is it listed in dmoz?

Search engines (currently) do not recognise images, so it is neccessary to provide an alternative text description of each image. This is particularly important for company logos.

week 11

1) What did Monster.com want to use CRM for?

They wanted to use a package to provide their sales force with instant information on prospective buyers.

2) What were some of the issues and problems caused in the first 12 months and how were they resolved.

PROBLEM: The system was slow and sales people couldn’t access the database for one year.

RESOULTION: lots of money and management time was invested into the system .

The article states that 'Simply put, CRM software is designed to help companies keep track of their customers and boost revenues by increasing customer loyalty'

3) Do some research yourself. Who were the major CRM vendors in 2002 (from the article) and are there any new players now? See the video in the powerpoint presentation as well.

MAJOR VENDORS: Fortune and a telecommunications company

4) What is the main reason CIO's (Chief Information Officer) run into trouble with the introduction of CRM systems? What is the best way to achieve a successful introduction?

The main reason is that employees don’t have the skills and training to be able to use the system properly. They are implemented to quickly and employees actually don’t want to have to use them

5) Find three additional references on CRM and write several paragraphs to demonstrate your understanding of the key elements of CRM.

What is CRM – custom relationship managament.

What is E-CRM

Assess the relevance of the concepts of relationship, direct and database marketing marketing on the Internet. It also evaluate the potential of the Internet to support one-to-one marketing and the range of techniques and systems available to support dialogue with the customer over the Internet.

CRM Applications

1 Sales force automation

2 Customer service management

3 Managing the sales process

4 Campaign management

5Analysis

Examples of CRM data

• Personal and profile data

– Contact details

– Preferences

• Transaction data

– Sales history

• Communications data

– Campaign history

– Research / Feedback / Support queries

– Contact reports (B2B)

CRM incorporates permission marketing. Therefore, no spam, requires opt-in and opt-out.

Some companies who do good CRM are:

· Blackberry

Week 10

1) In Chaffey (2008) chapter 4 three types of shopper behaviour are identified. These are the tracker, the hunter, and the explorer. What are the characteristics of these customer behaviours and how in particular might you encourage an explorer to purchase online?

The tracker – they know exactly what product they want and use the web to track it down. They check price, availability, delivery time, delivery chargers and after sales support.

The Hunter- doesn’t have a specific product in mind, but they know what sort of product they are looking for, ie digital camera. They probably have a feature in mind, the use the net to reseach products and make an informed decision about the available alternatives.

The Explorer – They don’t have a particular product in mind, but they have an objective – buy a present for a friend.

2) Given that the main fears about using the Internet are securtity and privacy, what can organisations do to reassure customers?

Organisations need to establish systems so that customers feel sucure about the purchase. This can be done by setting up a blog encourgaing users to rate how satisfied they are. They could also implement a 30 day money back if the product is not delivered. Furthermore, they need to make a privacy statement reassuring customers that there information is sercure.

3) Onsite information processing can be divided into 5 stages.

1) Exposure

2) Attention

3) Comprehension and perception

4) yielding and acceptance and the last is

5)loyalty.

Explain what is meant by each of these stages.

EXPOSURE – is the site reaching your target market? Are the customers exposed to it?

ATTENTION- does the site appear to attract the attention of your target market?

COMPREHENSION AND PRECEPTION- does the target market see the advertisment in the way you want them to?

YEILDING AND ACCEPTANCE- do they accept the add and the message in the add? Will the buy the product?

LOYALTY- will these customers become repeat customers?

4) How can customer loyalty be improved? Discuss the importance of loyalty and give some examples that would help build loyalty online.

The primary determinants of loyalty online include quality customer support, on-time delivery, good product presentation, reasonable pricing and clear privacy policies.Customer loyality can be improved by creating a loyalty program that encourages return business. An example – giving 20% off their next purchase. Online businesses could also create an online community –depending on the product, but if it was a game, an on line community would be prefect to encourage consumers to continue buying the product from yor site. Users could trade hints, compete with each other etc

5) It is very cost effective to conduct online market research, but there is also potential for sampling errors. One of the powerpoint slides shows that 78% of women would rather have a pet than a husband. Do you think this figure is accurate? Give reasons for your answer.

This figure could very well be accurate depending on the target amrket. Because it the target market was over 40 it is a possabily that they may want a pet rather than a husband, because they have already been married once or don’t believe that they will ever get married again after tehprevious experience. At the younger end, these people are career orientated and no not wish to be in a relationship now. But posibly they will in the future. However, i cant see a dog doing some of the more active things that a husband could do, such as driving the kids to school.....

6) As more and more services can be delivered via mobile devices, there is already talk of the post-PC consumer. What impact will this have on marketing?

i don’t think this will have a dramatic impact on the PC market, as businesses are still going to want their standard PC, the same as families and anyone who is only purchasing one computer for a group of people. Although, it will affect the sales of laptops, if consumers can replace their laptops with lighter, more moblie devices they will – purely for the profitability aspect.

7) Watch the 1800 flowers video. If you want to just watch the 2 minutes versions. How does 1800 flowers optimise fresh delivery of flowers in all states of America?

8) Watch the Yahoo video (or just the 2 minute version). What are the key elements of a social network that are identified?

Week 9 Reflection chapter 10

I think that new media has come a long way as pretty much everyone knows, coming from the old days of boy bands and computer games that housed about 3 different colours in total. Now the sophistication that is in the world today, the I-Phone, I-Pad just to name 2 that wouldnt even be in the wildest dreams of the child i once was.

The world used to be completly controlled by the governing body which at the time was the corporation its self, now days its very much focused on the consumer. If a company still operates in the old way, itsw a matter of time until they dissapear inot this air.

The consumer likes to be in control and almost determine what a corporation should make and do and how to operate, massive power and influence!

Week 6 Questions

1) When talking about Yahoo auctions, what did Seth Godin mean by 'billion dollar decisions do not have anything to do with technology'?

Their marketing wins involved word of mouth marketing,

2) What has story telling got to do with cat food?

Consumers purchase the product because the believe the message about how the cat must like the taste. But do we really know that?

3) Explain the concept of funnel marketing, and how would 'flipping the funnel' help the marketing of a product?

That people want to be on top and will do anything to do that. Once at the top that is when people can affect how the product is being marketed to the consumer.

4) What does the term 'remarkable' mean in the context of purple cows?

It means that the cow is always changing to adapt and this is remarkable.

As e-Marketers we all want 'happy surfers'. Godin talks about the fashion/permission complex. He lists four parts to the fashion/complex.

They are -

1) Make it (the message) worth listening to

2) Tell it to the people who want to hear

3) Tell their friends

4) Get permission to tell about your next fashion.

The complex states that marketing need to do something amazing, something out of the ordinary ,something that will really change the way a consumer will look at the marketer and how their product is advertised to the market.

Blogs and twitter has now become the new fashion, since twitter burst onto the internet scene every man and his dog jumped on the bandwagon just to become part of the craze. Celebrities, sports stars and even news readers have their followers on this site and to some people will watch their every word like it was their last on earth. Politics has jumped on to with both leaders looking to become prime minister are using twitter to announce developments and throwing down their propaganda to their loyal followers.

Week 5 Questions

New idea Distribution models

-Affiliation: Affiliation programmes can turn consumers into sales people.

-Disintermediation: This is removing the middleman to deal direct with customers instead of through agents, distributors and wholesalers.

-Reintermediation: this is the emergence of new types of middlemen who are brokers such as Bizrate, who unite buyers with sellers.

-Peer to peer service: Music swapping services such as Napster and Nutella opened up an entirely new approach to music distribution with both supplier and middlemen.

-Infomediation: A related concept where middlemen hold data or information to benefit customers and suppliers.

-Channel confluence: This has occurred where distribution channels state to offer the same deal to the end customer.

10 Promotion Tools that can be used online

1. advertising - Interactive display ads, pay per click search advertising

2. selling - Virtual sales staff and chat and affiliate marketing

3. sales promotion - incentives, rewards, online loyalty schemes

4. PR - online editorial, ezines, newsletters, social networks,.links and virals

5. Sponsorship - sponsoring an online event, site or service

6. direct mail - opt out email using e newsletters and e blats plus web response

7. exhibitions - virtual exhibitions and whitepaper distribution

8. merchandizing - promotional ad seving on retail sites, personalised recommendations and e-alerts

9. packaging - virtual tours, real packaging is displayed online

10. word of mouth - viral, affilate marketing, email a friend, links

Winner of the Grand Prix

Monopoly Street

Client: Hasbro

It used Global advertising to attract attention. They then took their product to the next level partnering with google and making their maps authentic with google maps as to make it a real world experience. Also exhibitions for younger people was used to attract more people in.

Winner of the best Business to Business Campaign

SAGE Taxation Personalised URL

Client: Sage Accounts Division

Things used were Sales promotions, Word of Mouth, Selling and also PR was used very well

Week 4 Questions

1) A decrease in prices is inevitable in an online marketing environment. Do you agree or disagree?

I agree that it is mostly inevitable but it all depends on what market the product is in.

This is due to price transparency, customer knowledge of the product increases which will make them look for the product at the best price. This will in turn cause the products to drop durastically in price as to compete, standardisation becomes a factor here. While this then becomes a good result for the consumer as they now have low prices coming from across many different companies and the ability to pick and chose from whom they choose is becoming bigger than ever, companies feel the pinch as profits diminish as the ability to effectively compete in the market becomes harder.

Price reduction can also be good for the business as they will attract more customers and increase sales with consumers looking for a good quality product at a competitive price. Innovation is now becoming more important than ever as being the market leader is harder to achieve these days. Competition will increase also due to this.

2) Disintermediation will ultimately lead to channel conflict. Discuss.

There are 4 steps involved in a purchase. The first 'place' as it is known as in the process is Place of purchase. This first place involves being categorised as one of 5 sites

-seller controlled sites

-seller orientated sites

-neutral sites

-seller orientated sites

-seller controlled sites

Place 2 has 3 processes in it. A. Distintermediation which is the removal of an intermediary, or middleman, from a transaction or communication. B, Reintermeditation which is the emergence of new types of middlemen who act as brokers, who unite buyers and sellers, and C. Countermediation which is the creation of a new intermediary inside an established company.

Place 3 is Channel Conflicts. This occurs when a significant threat arises from the introduction of an internet channel is that while disintermediation gives the opportunity for a company to sell direct and increase profitability on products, it can also threaten existing distribution arrangements with existing partners.

The channel conflicts may be dependent on:

1. A communication channel only

2. A distribution channel to intermediaries

3. A direct sales channel to customers

4. Any combination of the above

the fourth place is that of virtual organisations

does disintermediation cause channel conflict. The answer is up to the individual but personally I think it contributes. A establsihed company may be looking at expanding into the web but while costs are cut the usual ways of operation may be disturbed and thesefore operations may be pushed inwards and conflict may occur due to this.

3) What are the five elements of promotion and what are some examples of combining online/offline promotion?

Online promotion uses communication via the internet. It may take the form of links from other sites, banner adverts or targeted emails messages. Offline promotion uses traditional media such as tv or newspaper advertising and word of mouth to promote a companys web site

1. Advertising - Interactive display ads, pay per click search advertising

2. Selling - Affiliate marketing and chat and virtual sales staff

3. Sales Promotion- Incentives, rewardsm online loyalty schemes

4. Public Relations- Online editorial, e-zines, newsletters, social networds, links and virals

5. Direct Marketing- exhibitions, word of mouth, virtual tours, sponsoring, events, sites