Chapter 4 Key Concepts

Marketing on the Web

7 Pages every website should have: (this link is on WebCT)
Contact us
Testimonials
Privacy Policy
FAQ (do you have PayPal, MC, etc.)
“Gimme” page (if people want to sign up for newsletters/special offers etc. where they have to leave their contact info to get something in return)
About us
Confirmation (an order confirmation)

Web Marketing
-Product-based strategies (Staples, NCIX)
-Customer-based strategies (BMO, Okanagan College)
-Trust and Media Selection (low level of trust [mass media mass market], one on one selling: high level of trust = repeat customer [personal contact])
-Market Segmentation (Dell or BMO categorize by what needs are) similar to customer-based strategies
-The Long Tail (companies ignore products that are not as profitable on the long tail, although the profit from products on the short tail is not nearly as much as that of the long tail. E commerce is better at offering the long tail because it has no inventory costs. Ie Netflix)

Consumer Behavior
-Segmentation
Browsers [people who have no intentions of buying, only looking]
Shoppers [people who have a specific need and shop around]
Buyers [people making purchases from the site]
each group needs different strategy
-Relationship Marketing
Awareness (making people aware; wanting to go to your site)
Exploration (get people to explore and look up info)
Familiarity (when they buy and know how the process works)
Commitment (people like to come back because they are committed)
Separation (when people become disillusioned or unhappy from negative experiences)

Consumer Strategies
-Acquisition (cost of getting someone to your site)
-Conversion (what it takes to convert someone from a browser to a buyer)
-Retention (trying to get people to be committed)

Advertising Strategies
-Banner Ads, Pop-up ads, active ads, interstitial ads, site sponsorships
-problems: measuring effectiveness of advertising
-CPM (cost per thousand banner impressions)
-CPC (cost per click)
-CPT (cost per transaction if the customer ends up purchasing thorough a media)

Email and CRM Strategies
-Permission marketing (when people ask to receive newletters, etc)
-Content and advising (sending other info in addition to products)
-Outsourcing processing (processing email for people, spam mail and filters)
-eCRM solutions (Customer Relationship Management) is more important in ecommerce

Branding Strategies
-Leveraging and Consolidation (adding of services ie Google News)
-Affiliate Marketing (commissioned salesperson using a known brand)
-Viral Marketing (word of mouth through technology)

Search Engine Strategies
-Search engines (Google, Yahoo, etc.)
-web directories (people gather information, not a crawler)
-SEO for keywords (Search Engine Optimization) using key search words to get your site to be the first site hit in search results
-Paid Inclusion (paying to have your site be the first hit on search results)
-Blogs, Social Media Sites, Forums
-Website domain names (.net or .com etc incase people misspell the website)