E-MARKETING

Past, Present, and Future

 OBJECTIVES
you will be able to:
• Explain how advances in internet and information
technology offer benefits and challenges to consumers,
businesses, marketers, and society.
• Distinguish between e-business and e-marketing.
• Explain how increasing buyer control is changing the
marketing landscape.
• Understand the distinction between information or
entertainment as data.
• Identify several trends that may shape the future of e-
marketing, including the semantic Web.
 INTERNET 101
• The internet is a global network of
interconnected networks.
• Data move over phone lines, cables and
satellites.
• There are three types of access to the internet:
• Public internet
• Intranet: network that runs internally in an
organization
• Extranet: two or more joined networks that
share information
 E-BUSINESS, E-
COMMERCE, E-
MARKETING

• E-business is the optimization of a

company’s business activities using
digital technology.
• E-commerce is the subset of e-business
focused on transactions.
• E-marketing is the result of
information technology applied to
traditional marketing.
 E-MARKETING IS
BIGGER THAN THE WEB
• The Web is the portion of the internet that
supports a graphical user interface for hypertext
navigation with a browser.
• The Web is what most people think about when
they think of the internet.
• Electronic marketing reaches far beyond the
Web.
 THE WEB IS ONLY ONE
ASPECT OF E-MARKETING
 E-MARKETING IS BIGGER
THAN TECHNOLOGY
• Individuals: The internet provides individual users
with convenient and continuous access to information,
entertainment, networking, and communication.
• Communities form around shared photos (Flickr),
videos (YouTube), and individual or company profiles
(Facebook).
• Businesses: The digital environment enhances
processes and activities for businesses.
• Societies and economies are enhanced through more
efficient markets, more jobs, information access,
communication globalization, and more.
GLOBAL INTERNET USERS
 E-MARKETING’S PAST: WEB 1.0
• The internet started in 1969 as the ARPANET, a
network for academic and military use.
• Web pages and browsers appeared in 1993.
• The first generation of e-business was like a gold
rush.
• Companies quickly attracted sales and market
share, but negative profits.
• Between 2000 and 2002, more than 500 internet
firms shut down in the U.S.
• By Q4 2003, almost 60% of public dot-coms were
profitable.
INTERNET TIMELINE
 THE “E” DROPS FROM E-MARKETING

• Gartner predicted that the e would drop, making e-

business just business and e-marketing just
marketing.
• Nevertheless, e-business will always have its unique
models, concepts, and practices.
• The e-marketing landscape is changing rapidly due to
consumer-generated content, mobile internet access,
social media and disruptive technologies.
 E-MARKETING WEB 2.0 :
• Web 2.0 technologies connect people with each other
through social media, which have created opportunities
and challenges for marketers.
• Power shift from sellers to buyers.
• Consumers trust each other more than companies.
• Market and media fragmentation.
• Online connections are critical.
• Everyone is a content producer.
• Information transparency.
• Social commerce.
Power Shift From Companies To
Individuals
 NEW TECHNOLOGIES
• Wireless networking and
mobile computing.
• 4G is a fourth-generation
high speed wireless
technology.
• Appliance convergence.
• LG internet refrigerator is
many digital appliances in
one.
• Voice navigation.
 Other Opportunities And Challenges
In Web 2.0

• Decline of print media.

• Online fundraising increases.
• Internet adoption matures.
• Location-based services.
• Online retail sales equal 4%
• The long tail.
+ of all sales.
• Everything is “FSTR.”
• Search engines are now
reputation engines.
• Image recognition takes
root.
• Improved online and offline
strategy integration.
• Intellectual capital rules.
 THE FUTURE: WEB 3.0
• Sir Tim Berners-Lee, coinventor of the World Wide
Web, has been working on technology to organize
online data for greater user convenience, i.e., the
semantic Web.
• Users can easily find information based on its
type.
• The value of the semantic Web is information on
demand.
• Experts believe the semantic Web will become a
reality over the next decade.
 EVOLUTION FROM WEB 1.0 TO
WEB 3.0
Web 1.0
Content creator (cc) Consumer (c)

cc & c

Web 2.0
cc & c

cc & c
cc & c cc & c
Web 3.0
Semantic Web
@
agent cc & c
 WEB 4.0-SMART WEB

• The web 4.0 is also known as the “Symbiotic Web”. The idea
being the symbiotic web is that once the metadata are organized
(web 3.0), human and machines can interact in symbiosis.
Meaning that we would be able to build more powerful interfaces
 WEB 4.0-SMART WEB

• Web 4.0 services will be autonomous, proactive, content-

exploring, self-learning, collaborative, and content-generating
agents based on fully matured semantic and reasoning technologies
as well as AI. They will support adaptive content presentation that
will use the Web database via an intelligent agent. Examples might
be services interacting with sensors and implants, natural-language
services, or virtual reality services.
 WEB 5.0

• Web 5.0, the sensory and emotive Web, is designed to develop

computers that interact with human beings. This relationship will
become a daily habit for many people. ... Using headphones, users
can interact with content that responds to their emotions or
changes the facial expression of their avatars in real time
 WEB 3.0 REQUIRES:
• Higher bandwidth
• Faster connection speeds
• Artificial intelligence
• Seamless social networking
• Modular Web applications
CHARACTERISTICS
OF SOCIAL MEDIA
np
 • Observations imply is that there are basic
characteristics that differentiate a social
network from a regular website. Some of these
SOCIAL characteristics are:

MEDIA VS. 1. User-based

Traditional Media
TRADITIONA -websites were based on content that was updated
L MEDIA by one user and read by Internet visitors. The flow
of information was in a single direction, and the
direction of future updates was determined by the
webmaster, or writer.
 SOCIAL MEDIA VS.
TRADITIONAL MEDIA
Social Networks-
Social networks are built and directed by users themselves. Without
the users, the network would be an empty space filled with empty
forums, applications, and chat rooms. Users populate the network
with conversations and content. The direction of that content is
determined by anyone who takes part in the discussion.
 2. Interactive
SOCIAL
MEDIA VS. social network is not just a collection of chat-
TRADITIONA rooms and forums anymore. Websites like
Facebook are filled with network-based gaming
L MEDIA applications, where you can play poker together or
challenge a friend to a chess tournament.
 3. Community-driven
SOCIAL
MEDIA VS. Social networks are built and thrive from
community concepts. Within most modern online
TRADITIONA social networks today, you'll find sub-
communities of people who share commonalities,
L MEDIA such as alumni of a particular high school, or an
animal welfare group.
 SOCIAL 4. Relationships

MEDIA VS. Unlike the websites of the past, social networks

thrive on relationships. The more relationships
TRADITIONA that you have within the network, the more
established you are toward the center of that
L MEDIA network.
 5. Emotion over content
SOCIAL Another unique characteristic of social networks is
MEDIA VS. the emotional factor. While websites of the past
were focused primarily on providing information
TRADITIONA to a visitor, the social networks actually provide
users with emotional security and a sense that no
L MEDIA matter what happens, their friends are within easy
reach.
 FORMS OF SOCIAL
MEDIA
Social networks.
• These sites allow people to build personal web pages and then
connect with friends to share content and communication. The
biggest social networks are Facebook and Bebo.
Blogs.
• Perhaps the best-known form of social media, blogs are online
journals, with entries appearing with the most recent first.
Wikis.
• These websites allow people to add content to or edit the information
on them, acting as a communal document or database. The best-
known wiki is Wikipedia4, the online encyclopedia which has over 2
million English language articles
 FORMS OF SOCIAL
MEDIA
Podcasts.
• Audio and video files that are available by subscription, through
services like Apple iTunes.
Forums.
• Areas for online discussion, often around specific topics and
interests. Forums came about before the term “social media” and
are a powerful and popular element of online communities.
 FORMS OF SOCIAL
MEDIA
Content communities.
• Communities which organise and share particular kinds of content.
The most popular content communities tend to form around photos
(Flickr), bookmarked links (del.icio.us) and videos (YouTube).
 FORMS OF SOCIAL
MEDIA

Micro-blogging.
• Social networking combined with bite-sized blogging, where small
amounts of content “updates” are distributed online and through
the mobile phone network. Twitter is the clear leader in this field.
 A good tool to use to publicize your
work.

Costs very little money to set up

online.
PROS OF
Easy to create groups and forming
SOCIAL communities of interest.
MEDIA
Online participation can be easier
than face to face.

Cross border collaboration can be

facilitated.
 Connections mean power and money
for many companies .

PROS OF • Constant flows of information from

SOCIAL updates and real time communication
MEDIA Ex. Twitter.

• Breaks down barriers for people

who want to stay in touch with other
people.
 Companies can obtain information from
their demographics.

May be used for educational reasons such

PROS OF as:
SOCIAL
MEDIA
- publishing and sharing content.

- collaborating with others

 Provide added context and value to knowledge.

PROS OF With social networking sites, you are not bound by any
geographical and cultural differences. You get to meet
SOCIAL and know a variety of people whose interests are
similar to your own. These sites are a window to
MEDIA different cultures and places.

The social networking sites also facilitate you to

procure information on any subjects from anywhere.
 The most glaring
Your message can be
disadvantage of social
caught up in ‘commercial
networking sites is the risk
noise’.
of identity theft and fraud.

CONS OF
USING Harder to gauge
participation and
commitment.
Not as effective as a face-
to-face conversation.

SOCIAL
MEDIA
Hits do not necessarily
User drop-out.
indicate attitude change.