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Slide 21-1

Slide 21-1. C HAPTER. IMPLEMENTING INTERACTIVE AND MULTICHANNEL MARKETING. Slide 21-2. AFTER READING THIS CHAPTER YOU SHOULD BE ABLE TO:. Describe what interactive marketing is and how it creates customer value, customer relationships, and customer experiences.

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Slide 21-1

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  1. Slide 21-1

  2. CHAPTER IMPLEMENTING INTERACTIVE AND MULTICHANNEL MARKETING Slide 21-2

  3. AFTER READING THIS CHAPTERYOU SHOULD BE ABLE TO: • Describe what interactive marketing is and how it creates customer value, customer relationships, and customer experiences. • Identify the demographic and lifestyle profile of online consumers. • Explain why certain types of products and services are particularly suited for interactive marketing. Slide 21-3

  4. AFTER READING THIS CHAPTERYOU SHOULD BE ABLE TO: • Describe why consumers shop and buy online and how marketers influence online purchasing behavior. • Define multichannel marketing and the role of transactional and promotional websites in reaching online consumers. Slide 21-4

  5. REFLECT.COM: CREATING CUSTOMIZED COSMETICS Slide 21-5

  6. CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE • Marketplace • Marketspace • Customer Value Creation in Marketspace Slide 21-6

  7. FIGURE 21-1 Trend in online shoppers and online retail sales revenue in the United States Slide 21-7

  8. FIGURE 21-1A Online shoppers in the United States Slide 21-8

  9. FIGURE 21-1B Online retail sales revenue in the United States Slide 21-9

  10. Godiva ChocolatierWhat utility is created by its website? Slide 21-10

  11. CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE • Interactivity, Individuality, and Customer Relationships in Marketspace • Interactivity • Interactive Marketing • Choiceboards • Collaborative Filtering Slide 21-11

  12. WEB LINK Interactivity and Individuality—Your Nike iD Customized Product? Slide 21-12

  13. CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE • Interactivity, Individuality, and Customer Relationships in Marketspace • Personalization • Permission Marketing • Opt-In • Opt-Out Slide 21-13

  14. CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE • Creating an Online Customer Experience • Context • Communication • Content • Community • Customization • Commerce • Connection Slide 21-14

  15. FIGURE 21-2 Website design elements that drive customer experience Slide 21-15

  16. Harley-DavidsonWhat customer experience is createdby its website? Slide 21-16

  17. Concept Check 1. The greatest marketspace opportunity for marketers lies in the creation of what kind of utility? A: form utility Slide 21-17

  18. Concept Check 2. The consumer-initiated practice of generating content on a marketer’s website that is custom tailored to an individual’s specific needs and preferences is called ____________. personalization Slide 21-18

  19. Concept Check 3. Companies produce a customer experience through what seven website design elements? A: These design elements are: context, content, community, customization, communication, connection, and commerce. Slide 21-19

  20. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Profiling the Online Consumer • Online Consumer Lifestyle Segmentation • Click-and-Mortar • Time-Sensitive Materialists • Hunter-Gatherers • Hooked, Online, & Single • Brand Loyalists • Ebivalent Newbies Slide 21-20

  21. FIGURE 21-3 Internet access at home among U.S. households Slide 21-21

  22. FIGURE 21-3A Internet access at home among U.S. households Slide 21-22

  23. FIGURE 21-3B Internet access at home among U.S. households Slide 21-23

  24. FIGURE 21-3C Internet access at home among U.S. households Slide 21-24

  25. FIGURE 21-3D Internet access at home among U.S. households Slide 21-25

  26. MARKETING NEWSNET Meet Today’s Internet Mom—All 31 Million! Slide 21-26

  27. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • What Online Consumers Buy • Product Information • Unique Items • Audio/Video Demos • Regular & Convenient Items • Delivered Digitally • Standard Items/Price Slide 21-27

  28. FIGURE 21-4 Online consumer retail sales by product/service category: 2003 and 2007 Slide 21-28

  29. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Why Consumers Shop and Buy Online • Convenience • Bots • Eight-Second Rule • Choice Slide 21-29

  30. FIGURE 21-5 Why consumers shop and buy online Slide 21-30

  31. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Why Consumers Shop and Buy Online • Customization • Customization • Customerization Slide 21-31

  32. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Why Consumers Shop and Buy Online • Communication • Marketer-to-Consumer • Consumer-to-Marketer • Consumer-to-Consumer Slide 21-32

  33. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Why Consumers Shop and Buy Online • Communication • Web Communities • Blog • Spam • Buzz • Viral Marketing Slide 21-33

  34. De BeersHow did these firms apply viral marketing? De Beers Physique Slide 21-34

  35. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • Why Consumers Shop and Buy Online • Cost • Dynamic Pricing • Control • Portals • Cookies Slide 21-35

  36. ETHICS AND SOCIAL RESPONSIBILITY ALERT Sweet and Sour Cookiesin the New Marketspace PrivacyAlliance TRUSTe Slide 21-36

  37. ONLINE CONSUMER BEHAVIORAND MARKETING PRACTICEIN MARKETSPACE • The Online Consumer • When and Where Consumers Shop and Buy Online • Monday - Friday • Normal Work Hours Slide 21-37

  38. Concept Check 1. What is the eight-second rule? A: The eight-second rule is a view that customers will abandon their efforts to enter and navigate a website if download time exceeds eight seconds. Slide 21-38

  39. Concept Check 2. Which online consumer lifestyle segment spends the most money online and which spends the most time online? A: The “brand loyalists” segment spends the most money online whereas the “hooked, online, and single” segment spends more time online. Slide 21-39

  40. Concept Check 3. What are the six reasons consumers prefer to shop and buy online? A: convenience, choice, customization, communication, cost, and control Slide 21-40

  41. MULTICHANNEL MARKETINGTO THE ONLINE CONSUMER • Integrating and Leveraging Multiple Channels with Multichannel Marketing • Dual Distribution • Multichannel Retailers • Multichannel Marketing Slide 21-41

  42. MARKETING NEWSNET The Multichannel Marketing Multiplier Slide 21-42

  43. MULTICHANNEL MARKETINGTO THE ONLINE CONSUMER • Implementing Multichannel Marketing • Multichannel Marketing with Transactional Websites • Channel Conflict • Multichannel Marketing with Promotional Websites Slide 21-43

  44. FIGURE 21-6 Implementing multichannel marketing with promotional websites Slide 21-44

  45. Concept Check 1. Multichannel marketing is _______. the blending of different communi-cation and delivery channels that aremutually reinforcing in attracting,retaining, and building relationshipswith consumers who shop and buy inthe traditional marketplace andmarketspace Slide 21-45

  46. Concept Check 2. Channel conflict between manufacturers and retailers is likely to arise when manufacturers use __________ websites. transactional Slide 21-46

  47. TRACKING TRENDS IN INTERACTIVE MARKETING GOING ONLINE Slide 21-47

  48. Going Online • 1.Visit the Clickz website, then click the “Stats” link. Your assignment is as follows:Choose a topic covered in the chapter that interests you, such as the demographics of Internet users. Compare and contrast the most recent research published in Clickz.com with information contained in the chapter. Don’t be surprised if you find differences. Slide 21-48

  49. Going Online • 2.Choose two regions of the world,such as North America and Europe. How do Internet usage and interactive marketing differ between the two regions based on the most recent research? Slide 21-49

  50. JUST LOOKING, THANKS: WHY E-SHOPPERS ABANDON THEIR SHOPPING CARTS SUPPLEMENTALLECTURE NOTE 21-1 Slide 21-50

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