Internet Marketing Study Guide

October 2

MKTG 470 Exam 1 Study Guide

(Chapters 1, 4, 5, 12 and 15)

Chapter 1: Internet Marketing as Part of the Communications Mix

Web 2.0

• Services not packaged software, scalability
• Unique (behavioral) data
• Users = co-developers

Web 3.0

• Real time
• Semantic
• Open communication/data transfer
• Mobile and geolocation

Profile of the Internet & Users

1. Influencers

1. Internet = intergral part of life
2. Many followers
3. Klout score: score your online influence
4. Big mobile internet user, almost always connected
5. Big online shopper

1. Communicators

1. Love talking and expressing themselves

1. Knowledge-Seekers

1. Use internet for information
2. Not big on social media, but wants to hear from like minded people
3. Use a lot for purchase decisions

1. Networkers

1. Way to establish and build relationships
2. Busy life, internet necessary to maintain relationships
3. Home user
4. Doesn’t post many opinions

1. Aspirers

1. Trying to create a personal space online
2. New to the internet
3. Not doing much at the moment, but desperate to do more later

1. Functionals

1. Internet is a functional tool
2. Don’t express themselves online
3. Like email, checking sports and weather
4. Not really interested in social media/networking via internet
5. Older, using internet for a while

Chapter 4: Direct and Database Foundations

The 4 I’s of Internet Marketing

1. Interactive

1. Two-way form of communication

1. Information Driven

1. We are always trying to collect information
2. Bundle/cartition pricing – bundle price of shipping into the item, so give free shipping
3. Study click patterns, SEO

1. Immediate (Interaction)

1. Don’t have to wait for responses anymore

1. Involving

1. Have a media rich website

The Basic Strategies

Behavioral vs. attitudinal loyalty

        Behavioral → not enduring

Attitudinal → harder to change but the goal is to be the go to even when just thinking of buying (ex. Amazon)

Strategy Elements

1. Offer

1. Product, service, positioning

1. List

1. Targeting mechanism
2. Hopefully from database
3. Customer list you’re targeting
4. List brokers – never as good

1. Media
2. Creative Execution

1. Actual looks of website, graphic design
2. Trust in website/products directly related to aesthetics and look of website

1. Service and Support

** All direct response promotions have a clear call to action **

Front end – all activities leading to sale

• Branding, marketing, advertising, website or retail display
• Good back end = satisfied customer = higher CLV

Back end – All post-sale activities

• Fulfillment, customer service, customer support/help

Owned media your own media; you create and produce

        Ex. Your website, your magazine/newsletter

Paid Media media you buy, mass media

Earned media bloggers, tweets, facebook posts

        When people are talking about your brand

Testing

• Should be continuous
• A/B Test → only change 1 element

• Most common with email marketing
• Test big things

• Test execution        

• Test new vs control
• Test version a vs version b

Hierarchy of database marketing

• Customization
• Personalization
• Transaction
• Interaction
• Information

The Database Imperative → marketing management, marketing support, external, other business areas

Chapter 12: Developing and Maintain Effective Websites

Stickiness – get customer to stay on site as long as possible → more likely to be and stay engaged

Roles/Objectives of Websites

• Increase sales revenue
• Increase visibility/branding
• Advertise
• Provide customer service
• Generate sales leads
• Retain and grow customers
• Build an online community
• Provide cost savings

Multichannel shoppers → purchase more frequently, make larger purchases, prefer Internet shopping

Website Development Process

1. Establish Site Objectives

1. Develop based on consumer lifestyle
2. Pay attention to branding vs. sales objectives

1. Identify and Describe Target Market

1. Who is your target? What would they like?
2. How do you get info about them?

1. Design Site Content and Navigation Structure

1. What is the necessary content and the appropriate presentation
2. Simplify message and improve visual appeal
3. Eyes first land on upper left
4. Look at 5 headlines before clicking
5. Use heat maps
6. Divide website into 16 quadrants

1. Priority = upper left
2. 2nd priority = middle
3. lowest priority = bottom and right

1. develop a simple graphical flow chart for navigational structure & mock ups of pages

1. Conduct Usability Tests

1. Should be able to navigate without instructions
2. Visitor should be able to do 2 things if all else fails

1. Refer to a site map
2. Should have 1+ links to homepage on every page

1. Website Usability Criteria

1. Value – of content to user
2. Navigational Structure
3. Presentation
4. Trust

1. Deploy and Tune Site

1. Technical stage
2. Fine tune to ensure the fastest speed

1. Measure and Evaluate Site Effectiveness

1. Responsible for measuring business effectiveness
2. Technical Task – measuring and improving site performance
3. Marketing Task – measuring and improving business effectiveness
4. Research Based Approach

1. Exploratory research – how those who want to use site should come
2. Concept testing – refine design & navigation
3. Prototyping – page mock ups
4. Beta Testing
5. Customer feedback & usage stats
6. Ongoing exploratory research

1. Refine and Improve Site Effectiveness

4 Dimensions of Customer Experience

1. Physical presence & appearance

2. Cognition

3. Emotion or attitude

4. Connectedness

Chapter 5: Online Branding and Video Marketing

• Make your media choice based on your brand objective
• Consumers now used to on-demand media at all times
• Having a strong and trusted brand is essential to success on the web

Brand equity measures the strength of a brand

        Set of associations that allow it to earn more and have a sustainable advantage

        Is a financial asset and competitive advantage