Download as pdf or txt
Download as pdf or txt
You are on page 1of 43

Chapter 15

The Internet: Digital


and Social Media

©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education.
Learning Objectives 1 of 2
LO1 Describe the role of the Internet and digital and
social media in an IMC program.
LO2 Discuss the use of Web 1.0 and Web 2.0 media
platforms in the IMC process.
LO3 Explain how to evaluate the effectiveness of
communications through the Internet and digital
and social media.

©McGraw-Hill Education.
Learning Objectives 2 of 2
LO4 Compare the advantages and disadvantages of
the Internet and digital and social media.
LO5 Discuss the social and ethical issues associated
with the Internet and digital and social media.

©McGraw-Hill Education.
The Growth of the Internet 1 of 2
Why the Rapid Adoption of the Internet?
– Increased desire for information
– Speed and convenience
– Ability to control the flow of information being received
– Ability to conduct e-commerce
• E-commerce: Direct selling of goods and services on the internet

– Ability to target customers effectively


– Increased accountability of businesses

©McGraw-Hill Education.
The Growth of the Internet 2 of 2
Web Objectives
• Creating awareness for companies with limited budgets,
the Web offers awareness opportunities beyond what can
be achieved through traditional media.
• Generating interest—News, downloads, videos,
promotions, and so on
• Disseminating information—Done more quickly than
through other media

Source: SweetBling.com
©McGraw-Hill Education.
The Growth of the Internet 2 of 2
• Creating an image—Websites reflect the image the
company wants to display.
• Creating a strong brand—Can be a useful branding tool
• Stimulating trial—Offering samples, promotions, and/or
sweepstakes
• Creating buzz—Social networking sites are attractive to
marketers.
• Gaining consideration—Blogs and discussion boards are

Source: SweetBling.com
useful for providing information

©McGraw-Hill Education.
Figure 15-1 Differences in the Way Organizations Have
Interacted with Customers on the Web

•Web 1.0—Consisted
mainly of static sites,
resulting in a one-way
flow of information.
•Web 2.0—Decentralized
content and interactivity,
with information
provided by users as
contributors
Jump to Appendix 1 long image
description
©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 1 of 21

Advertising on the Internet—Web 1.0


– Banner Ads
• Create awareness or recognition
• Used to seek entry into contests and sweepstakes
• Fulfill direct-marketing objectives

– Sponsorships
• Regular sponsorship: Company pays to sponsor a section of a site
• Content sponsorship: Sponsor not only provides money in return
for name association but also participates in providing the content
itself

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 2 of 21

Advertising on the Internet—Web 1.0 continued


– Pop-ups
• Ads that appear when certain sites are accessed

– Pop-unders
• Ads that appear underneath the web page and
become visible only when the user leaves the site

– Interstitials
• Ads that appear on screen while waiting for a site’s

© Darrell Coomes, HeyBannerBanner. com


content to download

Pop-ups are usually larger than banner ads but smaller than a full screen

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 3 of 21

Advertising on the
Internet—Web 1.0 continued
– Paid Searches
• The higher a site appears
on a search page, the more
visitors it will receive.
• Organic search results
• Appear due to their
relevance to the search
terms

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 3 of 21
• Pay-per-click
– Placing ads on web
pages that display
results from search
engine queries
• Search engine optimization
(SEO) - improving the
volume of traffic driven to
one’s site by a search
engine through unpaid
(organic) results as
opposed to paid inclusions.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 4 of 21

Advertising on the Internet—Web 1.0 continued


– Behavioral Targeting
• based on advertisers’ targeting consumers by tracking their
website surfing behaviors, such as which websites they have
visited and/or searches they have made.
• Retargeting
– Once a user visits a website and leaves without purchasing the
product, a specifically targeted ad will display on participating
subsequent websites the user visits.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 5 of 21

Advertising on the Internet—Web 1.0 continued


– Contextual Ads
• Ads are determined by the content on the web page
• Native advertising
– a web advertising in which the advertiser attempts to gain
attention by providing valuable content in the context of the
user’s experience; it is similar in concept to an advertorial
which is a paid placement attempting to look like an article.”
– Controversial
– May be deceptive
– (Content rather than ads)

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 6 of 21

Advertising on the Internet—Web 1.0 continued


Rich Media
– “a broad range of interactive digital media that exhibit
dynamic motion, taking advantage of enhanced sensory
features such as video, audio, and animation.”
– Online commercials
• The equivalent of traditional television commercials, online
commercials are appearing more often on the net. Online
advertising spending continues to rise, and consumer acceptance
of these ads is increasing.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 6 of 21
• Pre-rolls: Commercials that appear before the content that the
user is seeking
– Video on demand
• consists of various entertainment activities (which include ads or
are sponsored) that are also available through the Internet.
– Webisodes
• short featured films created by the advertiser, in which companies
create their own content to advertise their products.

©McGraw-Hill Education.
Figure 15-2 Types of New Media 1 of 2
Types of New Media Primary Purpose Material Examples
Forums and Chat Discussion on topics, Forums, discussion Hardwarezone.com
Rooms interest group sharing of boards Forums
information
E-mail Sending of electronic Web-based and non- Hotmail, Gmail,
mail with file web-based e-mail Yahoo! Mail
attachments platforms
Social Networking Peer networking Fan sites, alumni Facebook, Twitter,
Sites networks, personal LinkedIn
news updates
Content Aggregators Hosting of content for Informative content, YouTube, Hulu
information and podcasts, videos,
entertainment channels
Virtual Reality 3-D experience, Simulated Second Life
alternate space environments,
experiences

©McGraw-Hill Education.
Figure 15-2 Types of New Media 2 of 2
Types of New Media Primary Purpose Material Examples
Online Gaming Alternate fantasy, MMORPG (massively World of Warcraft,
entertainment, gaming multiplayer online role- StarCraft II
playing games),
multiplayer online
games
Blogs Opinions, information, Helpdesk, viewpoints, MrBrown.com
viewpoints opinions Xiaxue.com
Portals Aggregating news, News studies, Asiaone.com, Yahoo!
communication tools sponsored pages, ads
Social News Sites Peer-ranked news News stories, popular Digg.com
stories blog content

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 7 of 21

IMC Using Social and Other Media—Web 2.0


•Allow the creation and exchange of user-generated content
•To educate one another about products, brands, services,
people and other topics of interest
– Social networking sites: Platforms for networks or social
relations
• Allow sharing interests, activities, backgrounds, or real-life
connections

©McGraw-Hill Education.
Figure 15-3 Social Media Landscape

Jump to Appendix 2 long image


description
©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 8 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Motivations for Using Social Media
• To share ideas, activities, and events
• Community involvement
• To gain information
• Entertainment
• Remuneration

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 9 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Marketers’ Reasons for Using Social Media
• Driving traffic to one’s site
• Communicating with customers
• Gaining brand exposure

Source: SweetBling.com
©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 10 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Facebook
Facebook Has More Than 2 Billion Daily Active Users
YouTube has 1.5 billion monthly active users.
WeChat has 889 million monthly active users.
Instagram has 700 million monthly active users.
Twitter has 328 million monthly active users.
Snapchat has an estimated 255 million monthly active users.
Feb 15, 2018

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 10 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Facebook
• Largest of all social networks (1.4 billion users)
• Allows advertising that targets subsets of Facebook users
– Based on demographic and geographic data and interests and
activities
• Used to: The Majority of Facebook Users in
Egypt Are Android Owners,2018.
– Create and push content Crowd Analyzer. The total number
of Egyptian Facebook
– Help manage reputation active users reached 35 million,
The total number of male users22
million, while the number of
female users is 12 million.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 11 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Twitter
• Enables users to send and receive text-based messages up to 140
characters
• Benefits
– Best channel for direct communication with customers
– Easy and cost-effective way to gain brand exposure
– Good ability to drive traffic directly to a site
• Used to:
– Respond to customer complaints and/or inquiries
– Re-tweet important information
– Monitor the market for opportunities or threats
©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 12 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Instagram
• Fastest-growing social network
• Allows users to:
– Post and edit pictures
– Share them on a variety of social networks
• Visual content allows companies to post pictures or video news,
events, new product introductions, and other company- or brand-
related activities
• Many marketers feel that Instagram is the most engaging of all
social networks

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 13 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Snapchat
• Originally developed as an app that had disappearing pictures
• Now, a mix of private messaging and public content, including:
– Brand networks
– Publications
– Live events
• Fast growth of the app among millennials has made Snapchat
attractive to advertisers

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 14 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Pinterest
• Pinboard-style photo-sharing site
• Allows users to create and manage theme-based image collections
• Most attractive to females (71% of users)

– LinkedIn
• Social network for business professionals
• Over 400 million members (128 million in US)
• Marketers target a professional audience

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 15 of 21

IMC Using Social and Other Media—Web 2.0 continued


– YouTube
• Hosts content for information and entertainment
• Users can upload and share their own videos and those placed by
others
• Used as an advertising medium or search platform by marketers

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 16 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Additional Social Media
• Periscope
– New but quickly growing live streaming app
– Gives users 24 hours to watch a live stream of an event
– Encourages engagement by having viewers use “likes”
– Brands using Periscope in a variety of ways

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 17 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Podcasting
• Podcasting is a medium that uses the Internet to distribute audio
or video files for downloading into iPods, iPads, and other portable
devices.

– Really Simple Syndication (RSS)


• Really Simple Syndication (RSS) is a specification that uses XML to
organize and format web-based content in a standard way.
Content owners create an RSS feed, which usually consists of titles
and brief descriptions of about 10 articles elsewhere on the site.
• Extensible Markup Language (XML) is a markup language that
defines a set of rules for encoding documents in a format that is
both human-readable and machine-readable.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 17 of 21
– Blog
• (or weblog) is a web-based publication consisting primarily of
periodic articles, normally presented in reverse chronological
order.
• Blogs may reflect the writings of an individual, a community, a
political organization, or a corporation, and they offer advertisers a
new way to reach their target audiences.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 18 of 21

IMC Using Social and Other Media—Web 2.0 continued


– Other 2.0 Media Forms
• Virtual and augmented reality - One example is the virtual reality
world Second Life. Companies are now incorporating augmented
reality into their catalogs, brochures, and so on (Wikitude World
Browser).
• QR codes
– Barcodes used in print ads
• Near field communication (NFC)
– Delivers content through an embedded chip that allows
wireless communications just by touching the material
– NFC tag performs same function as a QR code but with much
less effort.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 19 of 21

Sales Promotion on the Internet


– Websites
– Social media
– Other forms of digital media
the use of sales
promotion on the
Internet. Internet is a
very effective medium
for disseminating sales
promotions. Numerous

Source: The Ghirardelli Chocolate Company


companies tie in sales
promotions to their
websites and/or
through other forms of
digital and social media.

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 20 of 21

Personal Selling on the Internet


– Disadvantage
• Companies are reducing staff to build a strong online presence

– Advantages
• Websites enhance and support the selling effort
• Website visitors become part of a prospect database
• Enables companies to serve and qualify prospects more cost-
effectively
• Stimulates trial
• Improves one-on-one relationships between customers and sellers
• Increases opportunity for cross-selling and customer retention

©McGraw-Hill Education.
The Internet and Integrated Marketing Communications 21 of 21

Public Relations and Direct Marketing on the Internet


– Websites
• Provide information about a company, its philanthropic activities,
and annual reports

– Internet based direct-marketing tools


• E-mails and infomercials

– E-commerce
• Used in direct marketing

©McGraw-Hill Education.
Mobile 1 of 2
Has significant impact on companies’ IMC programs
Rapid growth and adoption by consumers is making
marketers realize their potential in a marketing context

IMC programs. Spawned by the rapid adoption


of smartphones and tablets, mobile is now
receiving strong attention from marketers, and
ad revenues continue to climb, primarily
through applications (apps).

©McGraw-Hill Education.
Figure 15-8 U.S. Digital Ad Spending, by Device, 2013–2019 (in billions)

Source: eMarketer, March 2015.


Note: Desktop includes spending primarily on desktop-based ads. Mobile includes classifieds, display
(banners and other, rich media, and video), e-mail, lead generation, messaging-based advertising and
search advertising; ad spending on tablets is included.
Jump to Appendix 3 long image
description
©McGraw-Hill Education.
Mobile 2 of 2
Disadvantages of Mobile
– Creative challenges
• Small screens are limiting

– Time
• Viewers are on the move

– Sharing
• 99% of mobile device users do not share what they see

– Reach
• Demographics outside millennials hard to reach

©McGraw-Hill Education.
Internet Metrics
Audience Measures and Measures of Effectiveness
– Internet-specific measures
• Allows measures to be taken in real time
• Includes audience measures specific to the Internet and
interactive industry, such as: clicks, post-click conversions, unique
visitors, and more.

– Traditional measures
• Recall and retention—A number of companies use traditional
measures of recall and retention to test their Internet ads. These
same measures have been used to pretest online commercials as
well.
• Surveys—Survey research, conducted both online and through
traditional methods, is employed to determine everything from
site usage to attitudes toward a site.
©McGraw-Hill Education.
Internet Metrics
•Sales—For the e-commerce marketers, a prime indicator of
effectiveness is the volume of sales generated. Adding
information regarding demographics, user behaviors, and
so on can increase the effectiveness of this measure.
•Tracking—Some companies now offer more traditional
tracking measures such as brand awareness, ad recall,
message association, and purchase intent.
•ROI—A study conducted by comScore, MySpace, and
dunnhumby measured the ROI of online sales generated by
a $1 million campaign on MySpace.

©McGraw-Hill Education.
Advantages and Disadvantages of the Internet
and Digital and Social Media 1 of 2
Advantages
– Target marketing
– Message tailoring
– Interactive capabilities
– Information access
– Sales potential
– Creativity
– Exposure
– Speed
– Complement to IMC
– Timeliness
©McGraw-Hill Education.
Advantages and Disadvantages of the Internet
and Digital and Social Media 2 of 2
Disadvantages
– Measurement problems
– Clutter
– Potential for deception
– Lack of privacy
– Irritation

©McGraw-Hill Education.
Figure 15-9 Example Internet Metrics
Clicks Ad interaction rate
Post-click conversions View-through rate
Cost per conversion Visits
Webpage eye tracking
Unique visitors
Offline sales lift
Average frequency
Cross-media models
Frequency to conversion
ratios
Advertising exposure time

Source: IAB.net.
©McGraw-Hill Education.

You might also like