Internet Marketing - Assignment Example

Internet Marketing Task LO 1: Understanding Internet Marketing Internet marketing is e-marketing or online marketing. It refersto the conduction of sales activities on the Internet. E-marketing involves social networking, email and online advertisement. It is indispensable to note that all the aspects of online marketing are digital (Rakić & Rakić, 2014 p. 190). Marketing online involves the transfer of electronic information through computer devices. E-Commerce relates to the buying and selling of services and goods or the transmission of data or funds primarily over the internet. On the other hand, e-business refers to the application of communication and information technology to support business activities. Digital marketing is the use of technological innovations or any advanced platform to promote a business. There are several principles of online marketing. The principles guide a successful market and allow businesses and organizations to adapt to the marketing conditions. Such principles are unique to online selling and are applicable to both large and small-scale businesses (Rakić & Rakić, 2014 p. 196). Online marketing is a strategy and requires experience. Fortunately, there exist several guidelines for establishing a reliable online market. The principles of online marketing include immediacy, personalisation and relevance. LO 1.2 Evaluating internet marketing mix It is indispensable for online marketing information to remain relevant all the time. The online communication must be pertinent and interesting to the reader. Information on advertisements must be captivating, or ignorance of the same is inevitable. Notably, a lot of information exists on the internet, and there is stiff competition for the readers’ attention. Therefore, an online marketer must find efficient means to be unique and engage customers. Apparently, the sure way of sustaining customer loyalty is through timely delivery and consumer satisfaction. Online marketing is cheap and covers a large population. Traditional marketing involves distribution of products in the local or international market depending on market trends. It is very difficult to make adjustments, as it is not flexible. Moreover, traditional marketing is not favourable for fast growth of small-scale producers. Marketing online is imperative as it covers virtually every part of the world. A business only needs the internet access and valid credentials for operations (Rakić & Rakić, 2014 p. 189). The target market is broad thus eliminating localisation of small-scale organizations. The global trends in online marketing have never been stable. For example, social media marketing changes quite often. Social media are making an indelible mark on the internet, and concurrently, on selling tactics. Marketing on social media involves the use of peer recommendations, building and personality and sharing. It also requires a new approach to addressing the market. The market for social media appears to be a heterogeneous collection of consumers. It motivates customers to create buzz and content around individual product. LO 1.3 Internet marketing tools Viral marketing is another form of selling. It entails exponential spread of messages online. The meme is a significant component of viral communication. It virally spreads and depends on the embedment of the message in the collective consciousness. Viral marketing relates to social media. The two approaches share platforms for spreading messages. Cautiously, viral marketing never makes holistic internet campaigns. It has limitations in encouraging interactions and creating awareness. Online marketing also entails branding of products. Creation of personas and identification of brands is significant. Online space offers customers a platform to converse and interact with a brand directly and personally. Targeting is also another crucial part of e-marketing. All marketing targets particular groups of readers. Web targeting is precise. There is an immense amount of data usage available. The data facilitates automatic and successful targeting of consumers. The graph below shows impact of social media in marketing. Figure 1.0 LO 1.4 Interactive order processing Internet marketing could sometimes tie with traditional offline sales and advertising. All the marketing activities done manually are applicable to the internet as well. For instance, there are negotiations, product promotions, display of samples, and orders for goods. It also offers a platform for the consumers, producers and investors to deliberate on the products and services. Interestingly, only the environment for marketing changes to an online platform. The graph below shows prevalence in the online marketing. Figure 1.1 Globalisation and technological innovations are making online marketing a necessity. Perhaps, the advantages of e-marketing make it attractive as well. The benefits include a ready availability of competitors and market. The internet allows specific targets such as to middle- class and first-class clientele. Apart from convenience, web marketing is engaging. Customers not only buy products but give feedback as well. It is easy to supply an extensive and diverse customer base through internet links. The internet also enables business organizations to monitor competitors hence promoting healthy competition. Task 2 LO 2: Using the internet for promotions LO 2.1 Search engine marketing Internet advertising has two primary functions. First, it displays the product in the cyber world and presents it as unique. Therefore, it provides information to the rest of the world on how to find the product and the internet site. Such information should be on accessible via all the search engines including yahoo and Google. Someone might stumble on the product or across the website. All commercial enterprises have opportunities to advertise online. Delivering respectable advertising is advisable on the internet in order to command a large following. For example, retails sales will channel large sum of money to web promotions and sales fliers. Virtually every business combines both free and paid advertisements. The combination is the best approach to successful online marketing. Following active online market competition, business strives to put out the best on display to attract customers. It is advisable to find a relevant and strong niche for promotion of products. Using the internet for product promotions is very simple and entails several techniques. Seemingly, the method of choice must target the specific audience and produce results. Using joint sites and blogs is a primary way of advertising. Marketers can use blogs to display products. Such blogs must be credible and accessible at all times. A successful blog has outstanding and regular content that attracts customers. Setting of joint sites promotes promotion of similar products on the same platforms. Freelancers use common sites for development of combined skills rather than advertising individuals. Standard approach in advertisements sustains consumer by presentation of diverse products. Use of contacts on social media for promotions is rampant. Social media facilitate the building of substantial networks about products. Social media sites are, easy to link up with clients. The sites also enhance relationships with potential key influencers and fans. Celebrities are the best at advertising products on personal social media accounts. LO 2.2 Suitable opt-in email marketing newsletter Writing emails on newsletter encourages people to purchase the product more. For opt case scenario, such a mail would be suitable. To customers, have you ever had a wonderful memorable experience of optional practicing training? Kindly visit us and enjoy what you’re missing. Our company has qualified staff that will take you through our production and any other activities of choice. Be part of us no! LO 2.3 Online public relations Public relations comprise several activities that promote good relationships between people and organizations in the public. Businesses utilize PI agencies in order to influence the behaviour of customers and clients .PR also entails strategic communications that establish mutually beneficial relationships with organizations. It is important to bring together individuals and organizations with the main stakeholders for successful business operations. There exist numerous PR strategies. Notably, reputation of an organization is always at a stake whenever any is in use. Therefore, every company must engage relevant agencies in building self-image (Ucok , 2014 p.96) Publicizing a business is only effective if the consumer response is positive and the target audience take no offense for the nature of brand display. LO 2.4: Using digital media communications Rapid evolution of technical media creates new platforms for advertisements. There are devices that access digital media enabling exponential growth of online promotions. Using digital communication is central to advertising. Promotions stem from organizations or companies employing Online Behavioural Advertising OBA. Notably, there are rules on advertising. Such laws are in place to regulate the content of adverts. OBA protects the privacy of consumers and data. Using online communications require transparent mechanisms that enable users to choose whether to give up personal data for marketing or advertising purposes. It also entails genuine indications of social networks as commercial and in control of the business organization. Apparently, there are limits that dictate direct communications from marketers. Standard procedure requires that there be reasonable grounds to believe that a customer has an interest in a product. Regulating the use of digital marketing communication has numerous challenges. There is no standard criterion for monitoring communications (Ucok , 2014 p.98). Self-regulatory systems are not efficient. For instance, some systems have overwhelming concerns with the other media rather than the digital media. Application of national codes, to regulate the same, is equally challenging since digital marketing communications are global. LO 3. Online market research for a chosen product LO 3.1 Marketing Plan for Coca-Cola Target market Coca-Cola company is an international; company that operates from the United States. The company has branches globally and a strategic management system that ensure effective marketing. The target market remains spread all over the world. As at now, Coca-Cola products consume more than 200 countries. Since the drinks are non-alcoholic, Coca-Cola targets all the age groups (Yadav & Pavlou, 2014 p. 34). The prices of the drinks are fair thus making both the rich and the poor a potential target for marketing. Market size As aforementioned, Coca-Cola is a global company that operates in more than 200 countries. The market size is large and comprises of people from different classes. The United States and England is the leading market base for the company. Over half of the consumers are based in England and United States (Yadav & Pavlou, 2014 p. 38). The market size is one of the largest in the world. For instance, Coca-Cola has approximately 89 million Facebook followers. Marketing share Market research report of the company shows that Coca-Cola has an excellent performance in the global market. The net operating revenue is $ 46,854 million globally. Indeed, North America has the largest distribution of the shares at 46%. The distribution of product portfolio shares is 38%. In the of drink market, Coca-Cola has a market share of $79.21 billion as the brand value. The United States equally leads in the share of the brand value. Sales trends Sales trends continue to shift because of the fluctuation of competition in the market. Nevertheless, Coca-Cola continues to register successful sales because of strategic marketing plans. Figure 3.1 LO 3.2 Online market research The sub-task identifies a market data about Coca-Cola and proposes a primary research design for collecting the market data. The data of choice is the frequency by which Coca-Cola customers access the company’s website. Sample: The research seeks to investigate the frequency by which Coca-Cola customers access the company’s website. The study will focus on Coke consumers based in United States alone as a representation of all the customers globally. Coca-Cola customers are over 400 million in the Unites states. A greater percentage of the customers are familiar with internet marketing and the company’s official website. Methodology The research will remain conducted through general survey of Coca-Cola website. Researchers should conduct the survey within six months. Surveying also should include observation of customer relationship management through online engagement of the clients. In addition, a questionnaire should have presentation to collect information concerning the investigation. The survey uses digital tools like mobile phones to contact distribution channels and to link up with customers throughout social media sources including twitter and Facebook. Online questionnaire The questionnaire should address the consumers directly. It should also consist of questions that have relation to internet marketing and the customer’s knowledge of existence of the same. For instance, the questions could seek clarification on the customer’s frequency of internet use, the sites of preference and impact of presentation of Coca-Cola drinks/brands online. The language should be explicit and straightforward. At the same time, the questions should not be leading. The research team could put up an advert on the website and create a place where users click to indicate their ‘likes’ for the advert. The researchers should then monitor response of users within a particular period. Data analysis The data collected require further analysis using descriptive statistical tests. Such include measures of central tendency and calculation of the range. However, calculation of the average number of site access in a day could answer the research objective and infer the frequency of customer access to the Coca-Cola official website. LO 3.3 Electronic customer relationship management CRM   Customer relationship management CRM are strategies, technologies and practices that organizations use to record, manage and evaluate user interactions son as to increases sales by enriching and deepening relationships with client bases. CRM systems handle both current and future clients. It involves the use of technology to automate, synchronize and organize marketing, sales, technical support, and customer service. Coca-Cola CRM analyses and manages customer data and interactions throughout consumer lifecycle. The goal of CRM is to improve Coca-coal’s business relationships with consumers and retain customers. CRM compile customer information over varying channels or points of interactions between the company and the customers. Such points include the Coca-Cola website, live customer chat, telephone, social media, and direct mail and marketing material (Brison, 2012 p. 195). The CRM system of Coke Company gives details on customer’s purchase history, personal information, concerns and buying preferences. CRM software is a consolidation of customer documents and information into a particular database for easy management and access by business users (Brison, 2012 p. 195). The software records client interactions and its capabilities vary depending on the communication channels used by customers. Salesforces is the major CRM service and software provider for the Coca-Cola Company. Coca-Cola operates the provider’s ExactTarget software and Sales Cloud. Through salesforce, Coca-Cola applied for a charter and promoted staff orientation and interactions. Coca-Cola has different CRM techniques worldwide. LO 4.1 Internet marketing plan outline Environmental analysis The factors that influence internal fitness of the Coca-Cola Company include threat of entrants, competitive rivalry, barriers to entry, power of the buyers and the suppliers. Soft drink industry is very competitive (Polk, 2009 p. 76). High capital investments bar many from joining the industry. Apparently, Coca-Cola is currently earning up to 48% of the industry. The company has numerous brands that are potential substitutes and meet consumer preference. Buyers are can change coke brands at zero cost difference. Notably, entry into the carbonated beverage industry is rising. There is a need for Coca-Cola to remain loyal in the production of genuine products. It is necessary to attract consumers by reliable products. Competitors’ analysis The competitors for the Coca-Cola Company are benign. Some are well-established international companies while others are only local participants. Many soft drink manufacturers are profitable. Notably, Coke encounters intense competition from Nestle, PepsiCo, and Dr. Pepper. Spread fixing of costs over units is a strategy of economies of scale utilized by the competitors. It entails reduction in production costs through efficient technology or by commanding better agreements from suppliers. Chanel analysis and market segmentation Coca-Cola has a system that entails the board of management, operational managers and product distribution chains. Most importantly, the system ensures that drinks reach all the target markets in time and accrue profits (Polk, 2009 p. 72). The drink processors transfer products to bottlers who thereafter send the same to the market. Marketing chain consist of wholesale, retail and individual consumers. Coca Cola’s market segments consist of countries, businesses and consumer subsets. A strategic marketing technique exists that efficiently targets all the groups. SWOT analysis SWOT analysis illustrates the strengths, weaknesses, opportunities and threats of the company. SWOT analysis enables the management to evaluate current performance and predict future business in the company. It describes the Coca Cola’s potential and helps in making thoughtful and sensible marketing decisions (Polk, 2009 p. 71). Strengths and weaknesses are internal while threats and opportunities focus on external factors. Coca-Cola boasts of excellent nutritional counselling and products. Additional strengths include convenient location of manufacturing industries particularly in towns and explicit Customer relationship management program. Moreover, there is excellent understanding of client demands. The opportunities for Coca-Cola include increasing interest in beverage drinks compared to alcohol and industrialization of rural areas opening up new markets. Unfortunately, Coca-Cola experiences challenges in product differentiation and promotion of new brands in a competitive market. Notably, there is a need to implement strategic business plans in order to counteract threats like increasing competition unpredictable clients turn up. LO 4.2 Pay per click advertising (Power point presentation) Bibliography Brison, NT 2012, False advertising on enhanced water labels: an analysis of Ackerman v. The Coca-Cola Company, Sport Marketing Quarterly, 3, p. 195, Business Insights: Essentials, EBSCOhost, viewed 15 January 2015. Polk, XL 2009, Coca-Cola: Long Term Innovation (A Case Study), Consortium Journal Of Hospitality & Tourism, 13, 2, pp. 61-78, Hospitality & Tourism Complete, EBSCOhost, viewed 15 January 2015. Rakić, B, & Rakić, M 2014, Integrated Marketing Communications Paradigm In Digital Environment: The Five Pillars Of Integration, Megatrend Review, 11, 1, pp. 187-203, Business Source Complete, EBSCOhost, viewed 7 January 2015. Tiago, M, & Veríssimo, J 2014, Digital marketing and social media: Why bother?, Business Horizons, 57, 6, pp. 703-708, Business Source Complete, EBSCOhost, viewed 7 January 2015. Ucok Hughes, M 2014, A Social Media Campaign Application In A Marketing Field Experience Course, Business Education & Accreditation, 6, 1, pp. 95-100, Business Source Complete, EBSCOhost, viewed 7 January 2015. Yadav, M, & Pavlou, P 2014, Marketing in Computer-Mediated Environments: Research Synthesis and New Directions, Journal Of Marketing, 78, 1, pp. 20-40, Business Source Complete, EBSCOhost, viewed 7 January 2015. Read More