ACCA SBL Syllabus E. Technology And Data Analytics - e-Marketing - Notes ^{5 / 6}

e-marketing media includes websites, search engines, advertising on others sites, banner adverts, posting on popular blogs, free downloadable materials, social media

Social media can be great for offering immediate support.

Posting on popular blogs means giving great advice and thus building up a strong reputation within the industry

Free material could be in the form of a FREEMIUM model - like aCOWtancy.com where a high quality product is offered at no costs - building trust with future customers

More traditional push advertising is available in google (including Search engine optimisation) as well as on others sites

The impact of e-business on the marketing mix for products and services is outlined below:

• Product

  A wider range of products is made available.  

  An opportunity to provide customised offerings is further created particularly as a result of increased knowledge of the specific needs of the customer.

• Price

  Lower costs are incurred due to process automation which could in turn result in lower prices.  

  Although, direct comparison with others puts further pressure to lower prices

  The web also offers the option of "differential" pricing - where different prices can be charged in different parts of the world

• Promotion

  Opportunity are created to use other Web-sites to promote an organisation’s own web-site. 

  Search Engine Optimisation has become a key Promotional tool.

• Place

  Elimination of the middle man and wider reach across a far reaching geographic base.  

  Has enabled direct delivery of knowledge based products over the internet.

• People/ Participants

  Automation, reduces the need for front line personnel to generate sales.  

  On the other, increased customer support is required.

• Processes

  Business Processes are pushed down to the consumer.  

  Whilst business cost is reduced, this creates consumer frustration

• Physical Evidence

  A Web-site provides a first impression and hence becomes an ambassador for the company which it represents.

Elements of eMarketing

eMarketing forms a critical part of downstream supply chain management systems. 

The key elements of eMarketing comprise the following:

• Interactivity:
   
  This is the extent to which the website promotes a two way communication channel between the customer and the supplier. 

  This comes in many forms: forums, emails, polls, online chat, webinars etc

  In the exam, you will often have to think of ways of making the site more interactive (the pull side of marketing). 

  Think of getting communication with the customer, or getting them to trial a product, or giving feedback, or getting them to ask a question if they so wish (eBay does this for example)

• Intelligence:
   
  This is the extent to which customer information can be collected to form meaningful patterns & analysis; 

  Every business can track who has been on their website, where they come from, how long they stayed etc.

  Furthermore, sign up forms also give an opportunity for more information to be gathered

  Additionally there are online polls etc

• Individualisation:
   
  This is the extent to which a web-site content is customised to the specific need of the customer; 

  Think of personalised content only being shown, with filters being applied so you only get shown what you're interested in

  Also recommendations can be made using complex algorithms.

  Think Amazon and how they recommend books etc for you based on past purchases

  This form of relevant after sales service is vital

• Integration:
   
  Think here of booking something on the website and it is immediately updated on the organisation’s back end systems; 

  So, think of booking a seat on a course and immediately it is reserved and confirmation emails sent out and materials ordered for you etc

• Industry Structure:
   
  This is the extent and potential opportunities for disintermediation and reintermediation; 

  Think of how the music industry has been transformed - artists can now sell directly to their fans, or iTunes / Spotify can be incredible middle men allowing easy and immediate downloads of music

• Independence of Location:
   
  Basically businesses are not restricted to their own locality anymore. It is not called the world-wide web for nothing you know

  Be careful here though for some businesses, the internet doesn't help them. 

  E.g. Your local newsagent

eBranding

A Brand is a representation of the values, quality & positioning of an organisation’s products and services as compared to those of its competitors. 

eBranding is the process through which an organisation’s products and services are effectively positioning on the on-line market place.

There are choices that need to be made available for organisations on how to apply ebranding initiatives.  These are:

• Retain the same Branding

  On the Web-Site to that being applied to its brick and mortar business. In this case the ebrand replicates the physical brand.  

  Airmalta uses the same brand for the sale of air tickets both over the counter as well as over the internet.

• Offer a Slightly Amended Product:

  This is normally the case for information products.  

  For example, the Times of Malta offers additional interactivity functionalities to its on-line electronic version as compared to its paper version;

• Form a partnership with an existing brand:

  Such partnerships enable the sharing of costs and resources necessary to build the strength of the eBrand.  

  This is particularly commonplace in the case where electronic payments need to be channelled through the internet whereby companies partner up with brands such as Paypal to give the consumer comfort on the security and reliability of the transactions processed on-line.

• Develop an entirely new brand:

  This may be necessary in the case of product or service offerings which target a completely separate market than that which is originally targeted in the brick and mortar business.

  This technique is commonly used by Insurance Companies that may offer Insurance Policies over the internet using a different brand name.

Learn more list

Lost my Name

A beautiful example of Individualisation