Professional Documents
Culture Documents
E Marketing and Business
E Marketing and Business
E Marketing and Business
What is e-marketing?
E-marketing is: Applying Internet and other digital technology (web, e-mail, wireless, iTV, databases)
to
by
acquire and retain customers (through a multi-channel buying process and customer lifecycle)
Drivers
Cost/efficiency drivers
Increase speed of dispatch Reduce sales cost Reduce operating costs
Competitiveness drivers
Customer demand Range and quality of services offered Avoid losing market share Exploit new markets
Distinguishing e-marketing and e-business (a) Electronic business has some degree of overlap with
electronic marketing. From the discussion of the marketing concept above we can reject this since both e-marketing and e-marketing are broad topics. (b) Electronic business is broadly equivalent to electronic marketing. This is perhaps more realistic, and indeed some marketers would consider e-business and e-marketing to be synonymous. (c) Electronic marketing is a subset of electronic business. It can be argued that this is most realistic since e-marketing is essentially customer-oriented and it has less emphasis on supply chain and procurement activities in comparison with e-business.
Learning Objectives
Describe electronic commerce, its scope, benefits, limitations, and types. Describe the major applications of business-to-consumer commerce, including service industries, and major issues faced by e-tailers. Describe business-to-business applications. Describe emerging EC applications such as intra-business and B2E commerce.
Electronic commerce can take several forms depending on the degree of digitization (the transformation from physical to digital). The degree of digitization relates to:
the product (service) sold the process the delivery agent (or intermediary).
Government-to-citizens (G2C)
Mobile commerce (m-commerce)
Turban et al., 2005
Reach
the number of customers a business can connect with; the number of products it can offer to those customers.
Unconstrained by physical limitations - Reach explodes ! Example : Navigation function (catalogue) separated from physical function (inventory).
Implications of Reach
Richness
Two dimensions :
Depth and detail of information that the business can give the customer;
Richness
Rich Customer Information
Affiliation
Affiliation - whose interests the business represents; Navigators - opportunity to affiliate with customers;
Reduction in physical boundaries and distance; Serve larger customer base more efficiently; Target specific customer groups; The Internet is an interactive marketing medium;
Communications Types
C1 C5
Content
O
M
C4
Content
Content
C4
Internet Medium
M M
O C3
Content
C2
C - Customers
The myth of lower cost and price; Firms must have viable business models; Implications for physical activities in the value chain; Internet firms do not always offer lower prices;
bandwidth;
Business-To-Consumer B2C
Electronic retailing (e-tailing) is the direct sale of products through electronic storefronts or electronic malls, usually designed around an electronic catalog format and/or auctions.
Electronic Storefronts. Hundreds of thousands of solo storefronts can be found on the Internet, each with its own Internet name and EC portal, such as Home Depot, The Sharper Image, or Wal-Mart.
Electronic mall, also known as a cybermall or e-mall, is a collection of individual shops under one Internet address.
Resolving channel conflict Resolving conflicts within click-and-mortar organizations Organizing order fulfillment and logistics Determining viability and risk of online e-tailers Identifying appropriate revenue models
Does the Internet enable a company to significantly enhance its value proposition to customers?
Does the Internet suit the nature of the companys products and
appeal?
Can the company brand attract customers to the web site? What value-added services and techniques can be employed to encourage customer lock-in?
What is the relationship between online and offline activities? Where do we obtain the necessary online marketing and web site capabilities?
Electronic banking International and Multiple-Currency Banking Online Securities Trading Online Job Market Travel Services Real Estate