CHAPTER 4 : SELLING TO CONSUMER

*WEB MARKETING STRATEGIES

The 4P's of Marketing

Product - The physical items or service that company is selling

Price - The amount that customers pays for the product

Place - The need to have products or service available in many different locations

Promotions - any means of spreading the word about the product. It requires decisions about advertising, public relations, personal selling, and overall promotions of the product

Marketing Strategy

Customer-based marketing strategy

This strategy accommodates different needs of various types of customers

Places that focus on a certain segment of the market, that research or other data has determined will be most interest in the products being offered

Example : University web sites today focus on design or need of stakeholders such as perspective students, parents of students.

Product-based marketing strategy

Suitable if customers are most likely to buys items from particular product categories

Place that focus of all promotions on the items being sold, their availibility and usefulness

Example : Product differentiate and low-cost based on strategics

MARKET SEGMENTATION **

Communicating With Different Market segment

MASS MEDIA -> THE WEB -> PERSONAL CONTACT

Definition :

  1. Companies response to identify specific portions of their markets and target them with specific advertising message
  1. Divides the pool of potential customers into groups or segments

3 Categories of variables to identify market segment

Graphic segmentation

Demographic segmentation

Based on locations

Based on age, family sizes, income, education, religion, etnicity and group of customers

Psychographic segmentation

Based on social class, personality or their approach

Market Segmentation on the Web

Web Stores

  • Present different stores environment online
  • Separate visual spaces for different market segments.

Limitations of physical retail stores

  • Floor and display space

*Must convey one particular messages

Offering Customer a Choice on the Web

One to one marketing

  • Offering products, service matched to needs of a particular customers
  • Highly customized interactions with customers

Segmentation

Behavioral

Bahavioral segmentation is the creation of separate customer experience based on their behavior

Occasion

Occasion segmentation is the bahavioral segmentation based on things happenings at a specific time or occasions

Usage-Based

Customizing visitor experiences to match the sites usage behavior patterns of each visitors or type of visitors. There are 3 categories : browsers, buyers and shoppers.

Alternative models : McKinsey & Company's 6 Bahaviors - based catagories**

Simplifiers - Convenience

Surfurs - find information, explore new ideas, or shop

Bargainers - search for goods deals

Connectors - stay in touch with others people

Routines - return to same sites over and over

Spotsters - Spend time on sport , entertainment sites

Tools or facilates that make doing business easier, faster or more efficient

Content that is entertaining, attractive, well displayed and constantly updated

Aucations, discount, coupons and sales

Chat room, disscussion boards, social networking features, online greeting cards, email services

News, financial information, a familiar and stable users interface

Sports, entertaiment and familiar

STAGE 1 - AWARENESS

Recognize the name of the company or one of its product

STAGE 2 - EXPLORATION

Potential customer learn more about the company or its product

STAGE 3 - FAMILIARITY

Customer have completed severals transaction and are aware of the company's policy regarding returns, credits and pricing flexibilities

STAGE 4 - COMMITMENT

When a customer is willingly to tell other about how happy they are with their interactions

STAGE 5 - SAPERATIONS

When the relationship of the customer and the company faded.

BRAND ON THE WEB

Branding element

  1. Relevance

The degree to which the product offers utility to a potential customers

  1. Perceived Value

is a key element in creating a brand that has value

  1. Differentiation

The company must clearly distinguish its product from all others in the market.

Head or Heart ??

Rational Branding

Devised considering the benefits of a products. It highlights the reasons for picking a product

Emotional Branding

Developed considering the emotions of the target audience

How to implement affiliates marketing???

  1. One the firm's websites the affiliates firms includes descriptions, reviews, rating or other informations about a product that is linked to another firms sites that offers the item for sales.
  1. For every visitors who followa a link from the afficiliates site to the sellers sites, the affiliates site receives a commisions.
  1. The afficialites sites also obtain the benefits of the selling sites brand in exchange for the referral.
  1. Affiliate sites choose books or the other items that are related to the visitors interest and include links to the sellers site in their web page.

CONCEPT

1. Pay-per-conversion model

The affiliates earns a commisions each time a site visitors is converted from a visitors into either prospect or a customers

2. Affiliates Program Broker

A company that serves as a clearinghouse or marketplace for sites that run affiliates programs and sites that want to become affiliates.

3. Cause Marketing

An affiliates marketing program that benefits a charitable organize

4. Pay-per-click model

The affiliates earns a commisions each time a site visitors clicks the link and loads the sellers page

THE TOOLS

FACEBOOK

BLUEMOUNTAINS

YOUTUBE

TWITTERS