Preface ........................................................ xv
About the Authors ............................................. xxi
PART 1 E-Marketing in Context .................................. 1
Chapter 1 Past, Present, and Future ............................ 3
E-Marketing Landscape ........................................... 4
What Works? .................................................. 4
Internet 101 ................................................. 5
E-Marketing Is Bigger than the Web ........................... 6
E-Marketing Is Bigger than Technology ........................... 7
E-Marketing's Past: Web 1.0 ..................................... 9
The E Drops from E-Marketing ................................ 11
Marketing Implications of Internet Technologies ............. 12
E-Marketing Today: Web 2.0 ..................................... 13
Power Shift from Sellers to Buyers .......................... 13
Inbound Marketing ........................................... 16
Customer Engagement ......................................... 17
Social Media Metrics ........................................ 17
Other Opportunities and Challenges in Web 2.0 ............... 18
The Future: Web 3.0 20 Appliance Convergence ................... 20
Traditional and Social Media Lose Their Distinction ......... 20
Wireless Networking Increases ............................... 21
Semantic Web ................................................ 21
What Will Characterize Web 3.0? ............................. 23
Read On ........................................................ 23
Chapter 2 Strategic E-Marketing and Performance Metrics ....... 26
Strategic Planning ............................................. 27
Environment, Strategy, and Performance ...................... 28
Strategy .................................................... 29
From Strategy to Electronic Strategy ........................... 29
From Business Models to E-Business Models ...................... 30
E-Business Models .............................................. 31
Value and Revenue ........................................... 31
Menu of Strategie E-Business Models ......................... 31
Performance Metrics Inform Strategy ............................ 38
The Balanced Scorecard ......................................... 39
Four Perspectives ........................................... 40
Applying the Balanced Scorecard to E-Business and
E-Marketing Balanced Scorecard for Raytheon's E-Business .... 45
Chapter 3 The E-Marketing Plan ................................ 47
Overview of the E-Marketing Planning Process ................... 48
Creating an E-Marketing Plan ................................... 48
The Napkin Plan ............................................. 49
The Venture Capital E-Marketing Plan ........................ 50
A Seven-Step E-Marketing Plan .................................. 50
Step 1—Situation Analysis ...................................... 52
Step 2—E-Marketing Strategic Planning .......................... 53
Step 3—Objectives .............................................. 54
Step 4—E-Marketing Strategies .................................. 54
The Offer: Product Strategies ............................... 55
The Value: Pricing Strategies ............................... 55
Distribution Strategies ..................................... 56
Marketing Communication Strategies .......................... 56
Relationship Management Strategies .......................... 56
Step 5—Implementation Plan ..................................... 56
Step 6—Budget .................................................. 57
Revenue Forecast ............................................ 57
E-Marketing Costs ........................................... 58
Step 7—Evaluation Plan ......................................... 58
PART 2 E-Marketing Environment ................................ 63
Chapter 4 Building Inclusive E-Markets ........................ 65
Overview of Global E-Marketing Issues .......................... 67
Global Markets .............................................. 67
Emerging Economies .......................................... 69
Importance of Information Technology ........................ 71
Country and Market Opportunity Analysis ........................ 71
Market Similarity ........................................... 72
E-Commerce Payment and Trust Issues ......................... 73
Technological Readiness Influences Marketing ................... 77
Computers and Telephones .................................... 77
nternet Connection Costs .................................... 79
Connection Speeds: Broadband's Influence .................... 80
Electricity Problems ........................................ 81
Wireless Internet Access ....................................... 82
The Digital Divide ............................................. 84
Building Inclusive E-Markets ................................... 86
Chapter 5 Ethical and Legal Issues ............................ 92
Overview of Ethics and Legal Issues ............................ 93
Ethics and Ethical Codes .................................... 94
The Problem of Self-Regulation .............................. 95
Privacy ........................................................ 97
Privacy Within Digital Contexts ............................. 98
International Privacy Issues ............................... 101
Digital Property .............................................. 103
Patents .................................................... 103
Copyright .................................................. 104
Trademarks ................................................. 105
Licenses ................................................... 107
Trade Secrets .............................................. 109
Data Ownership ............................................. 109
Online Expression ............................................. 110
Emerging Issues ............................................... 112
Online Governance and ICANN ............................... 112
Jurisdiction ............................................... 112
Fraud ...................................................... 113
PART 3 E-Marketing Strategy .................................. 119
Chapter 6 E-Marketing Research ............................... 121
Data Drive Strategy ........................................... 122
Marketing Knowledge Management ................................ 124
The Electronic Marketing Information System ................ 125
Source 1: Internal Records ................................. 126
Source 2: Secondary Data ................................... 128
Source 3: Primary Data ..................................... 133
Monitoring the Social Media ................................... 142
Other Technology-Enabled Approaches ........................... 144
Client-Side Data Collection ................................ 145
Server-Side Data Collection ................................ 145
Real-Space Approaches ......................................... 146
Marketing Databases and Data Warehouses ....................... 147
Data Analysis and Distribution ................................ 148
Knowledge Management Metrics .................................. 149
Chapter 7 Consumer Behavior Online ........................... 153
Consumers in the Twenty-First Century ......................... 154
Inside the Internet Exchange Process .......................... 155
Technological Context ...................................... 156
Social and Cultural Contexts ............................... 157
Legal Context .............................................. 163
Individual Characteristics and Resources ................... 163
Internet Exchange .......................................... 166
Exchange Outcomes .......................................... 166
Chapter 8 Segmentation, Targeting, Differentiation, and
Positioning Strategies ........................................ 172
Segmentation and Targeting Overview ........................... 173
Three Markets ................................................. 174
Business Market ............................................ 175
Government Market .......................................... 175
Consumer Market ............................................ 175
Market Segmentation Bases and Variables ....................... 175
Geographic Segments ........................................ 177
Important Geographic Segments for E-Marketing .............. 177
Demographic Segments ....................................... 179
Psychographic Segments ..................................... 183
Behavior Segments .......................................... 187
Targeting Online Customers .................................... 191
Differentiation Online ........................................ 191
Online Positioning Bases ...................................... 194
PART 4 E-Marketing Management ................................ 199
Chapter 9 Product: The Online Offer .......................... 201
Many Products Capitalize on Internet Properties ............... 203
Creating Customer Value Online ................................ 203
Product Benefits .............................................. 204
Attributes ................................................. 204
Branding ................................................... 205
Support Services ........................................... 213
Labeling ................................................... 213
E-Marketing Enhanced Product Development ...................... 214
Customer Codesign .......................................... 214
Internet Properties Spawn Other Opportunities .............. 216
New-Product Strategies for E-Marketing ..................... 216
Chapter 10 Price: The Online Value ............................ 220
The Internet Changes Pricing Strategies ....................... 221
Buyer and Seller Perspectives ................................. 221
Buyer View ................................................. 221
Seller View ................................................ 225
Payment Options ............................................... 232
Pricing Strategies ............................................ 235
Fixed Pricing .............................................. 236
Dynamic Pricing ............................................ 236
Renting Software ........................................... 240
Chapter 11 The Internet for Distribution ...................... 242
Distribution Channel Overview ................................. 243
Online Channel Intermediaries ................................. 244
Content Sponsorship ........................................ 245
Infomediary ................................................ 246
Intermediary Models ........................................ 247
Distribution Channel Length and Functions ..................... 254
Functions of a Distribution Channel ........................ 255
Distribution System ........................................ 261
Channel Management and Power .................................. 263
Distribution Channel Metrics .................................. 264
B2C Market ................................................. 264
B2B Market ................................................. 265
Chapter 12 E-Marketing Communication Tools .................... 268
E-Marketing Communication ..................................... 269
Integrated Marketing Communication (IMC) ................... 270
Marketing Communication Tools .............................. 270
IMC Goals and Strategies ................................... 271
Branding Versus Direct Response ............................ 272
Internet Advertising .......................................... 272
Trends in Internet Advertising ............................. 273
Internet Advertising Formats and Types ..................... 274
Marketing Public Relations (MPR) .............................. 281
WebSite .................................................... 281
Online Events .............................................. 282
Podcasts ................................................... 283
Build a Buzz Online ........................................ 283
Sales Promotion Offers ........................................ 284
Sampling ................................................... 285
Сontests, Sweepstakes, and Games ........................... 286
Sales Promotion Metrics .................................... 288
Direct Marketing .............................................. 288
E-Mail ..................................................... 288
Permission Marketing: Opt-In, Opt-Out ...................... 290
Rules for Successful E-Mail Marketing ...................... 291
Viral Marketing ............................................ 292
Text Messaging ............................................. 293
Location-Based Marketing ................................... 296
Direct Marketing Metrics ................................... 296
Spam ....................................................... 298
Privacy .................................................... 298
Personal Selling .............................................. 299
IMC Metrics ................................................... 300
Effectiveness Evidence ..................................... 301
Chapter 13 Engaging Customers with Social Media ............... 305
Elements of Social Media ...................................... 306
What Are the Social Media? ................................. 306
Types of Social Media 307
How Businesses Use Social
Media ...................................................... 311
Social Media Strategies .................................... 312
Community Building Principles .............................. 320
Social Media Performance Metrics .............................. 320
Chapter 14 Buying Digital Media Space ......................... 325
Marketing Communication Media ................................. 326
Media Characteristics ...................................... 327
Digital Media ................................................. 329
Search Engines as Reputation Aggregators ................... 330
Social Media Advertising ................................... 337
Mobile Advertising ......................................... 339
Branding and Direct Response Media Goals ...................... 340
Which Media to Buy? ........................................... 340
Effective Internet Buys .................................... 342
Efficient Internet Buys .................................... 342
Metrics Example ............................................ 344
Chapter 15 Customer Relationship Management ................... 348
Building Customer Relationships, 1:1 .......................... 349
Relationship Marketing Defined ................................ 350
Stakeholders .................................................. 351
Three Pillars of Relationship Marketing ....................... 352
Customer Relationship Management (CRM) ........................ 353
CRM Benefits ............................................... 353
CRM Building Blocks ........................................... 354
1 CRM Vision ................................................. 355
2 CRM Strategy ............................................... 357
3 Customer Experience Management ............................. 359
4 Customer Collaboration Management .......................... 360
5 Organizational Collaboration ............................... 361
6 CRM Processes .............................................. 363
7 CRM Information ............................................ 367
8 CRM Technology ............................................. 368
9 CRM Metrics ................................................ 377
Ten Rules for CRM Success ..................................... 379
Appendix A Internet Penetration Worldwide as of April 30,
2010 .............................................. 383
Appendix В Glossary .......................................... 389
Appendix С References ........................................ 403
Index ......................................................... 409
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