Strategy, Implementation and Practice Companion Site

Strategy, Implementation and Practice
Visit the Internet Marketing, Strategy, Implementation and Practice, Fourth Edition
Companion Website at www.pearsoned.co.uk/chaffey to find valuable student learning
material including:
Multiple choice questions for every chapter

Links to video material, on YouTube and FT.com, that demonstrates marketing theory
Annotated weblinks which provide, examples for further study
A comprehensive online glossary and flashcards which help define key terms and phrases
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Welcome to t h e C o m p a n i o n W e b s i t e f o r I n t e r n e t M a r k e t i n g : S t r a l e y y , I m p l e m e n t a t i o n and
Practice, F o u r t h Edition.
ielow to access the student
lent resources for each chapter, including:
o Multiple choice Questions to test your understanding,
o Unks to relevant video material on YouTube and FT websites
o Annotated links to relevant sites on the web
o An online glossary to explain key terms
o Interactive online flash cards to review key terms and definitions
it the Instructor Pesc
eg to a
s password-protected resources accompanying this bCle.
Preface
Guided tour
About the authors
Acknowledgements
XIII
xxiv
xxvi
xxvii
Internet marketing fundamentals

1 Introducing Internet marketing
Learning objectives / Questions for marketers /
Links to other chapters
Introduction - how has the Internet transformed
marketing?
Digital marketing in practice
The EConsultancy interview: Ted Speroni, Director,
EMEA (Europe-Middle East and Asia), HP.com
Definitions - what is Internet marketing and
multichannel marketing?
E-marketing defined
Digital marketing defined
E-commerce and e-business defined
Introduction to digital marketing strategy
Key features of Internet marketing strategy
Applications of Internet marketing
Digital marketing benefits
Alternative digital business models
Different forms of online presence
Challenges in developing and managing Internet
marketing strategy
A strategic framework for developing Internet
marketing strategy
Introduction to digital marketing communications
The relationship between digital and traditional
communications
The key types of digital media channels
What benefits do digital media provide for the
marketer?
Key challenges of digital communications
Case study 1
eBay thrives in the global marketplace
Summary
Exercises
Self-assessment exercises
Essay and discussion questions
Examination questions
References
Further reading
Web links
2
2
3
5
8
9
10
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3
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47
The Internet micro-environment

Introduction
Different environment components
Internal organisation characteristics and capabilities
The EConsultancy interview: Martin Newman,
Head of E-commerce at fashion chain Ted Baker
Online marketplace analysis
Resources for analysing the online marketplace
Customer analysis and consumer behaviour
Demand analysis and conversion modelling
Online demand for business services
Online consumer behaviour
1 Information/experience seeking behaviour models
2 Hierarchy of response buying process models
3 Multichannel buying models
,
4 Trust-based models
5 Social interaction communication models
Competitors
Suppliers
Intermediaries
Portals
Marketplace models
Competitive forces
Value creation and value chain analysis
New channel structures
Location of trading
Commercial arrangement for transactions
Business models in e-commerce
t
Revenue models
48
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109
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114
Case study 2
Zopa launches the peer-to-peer lending model
Summary
Exercises
References
Further reading
Web links
121
121
121
122
124
125
The Internet macro-environment
127

Introduction
The EConsultancy interview: Mike Clark,
Managing Director of GD Worldwide,
supplier to the social network bands
118
120
127
128
128
Contents
The rate of environment change
131
Strategic agility
131
133
Social factors
134
Social exclusion
135
Cultural factors
Environmental and green issues related to Internet
usage
135
137
Legal and ethical issues of Internet usage
138
Legal activities can be considered unethical
156
Technological factors
A short introduction to Internet technology
, 156
How does the Internet work?
158
From the Internet to intranets and extranets
160
Web security
160
167
Alternative digital technologies
Assessing the marketing value of technology
180
innovation
184
Economic factors
184
Globalisation
Political factors
186
187
Political control of online comparison intermediaries
188
Internet governance
Taxation
188
Tax jurisdiction
189
Case study 3
Boo hoo - learning from the largest European
dot-com failure
189
Summary
192
Exercises
192
193
193
193
References
195
Further reading
195
Web links
Internet strategy development

4
Internet marketing strategy

Introduction
Internet strategy is a channel marketing strategy
The scope of Internet marketing strategy
The EConsultancy interview: Sharon Shaw,
Standard Life, on strategy and planning
An integrated Internet marketing strategy
Is a separate Internet marketing plan needed?
A generic strategic approach
Situation review
Internal audit or analysis
Strategic goal setting
Frameworks for objective setting
199
200
200
201
201
202
204
207
208
210
214
215
222
228
Strategy formulation
Decision 1: Market and product development
strategies
Decision 2: Business and revenue models strategies
Decision 3: Target marketing strategy
Decision 4: Positioning and differentiation strategy
(including the marketing mix)
Decision 5: Multichannel distribution strategy
Decision 6: Multichannel communications strategy
Decision 7: Online communications mix and budget
Decision 8: Organisational capabilities (7 S framework)
Strategy implementation
Case study 4
Tesco.com uses the Internet to support its
diversification strategy
Summary
Exercises
References
Further reading
Web links
The Internet and the marketing mix

.
Introduction
The EConsultancy interview: William Reeves,
Chief Operating Officer, online DVD retailer
LOVEFiLM
Product
The long tail concept
The Internet and branding
The importance of brand online
Price
1 Increased price transparency
*
2 Downward pressure on price
3 New pricing approaches (including auctions)
4 Alternative pricing structure or policies
Place
1 Place of purchase
2 New channel structures
3 Channel conflicts
4 Virtual organisations
Promotion
People, process and physical evidence
People
Process
Physical evidence
Case study 5
The re-launched Napster changes the music
marketing mix
Summary
Exercises
232
234
237
239
244
251
253
256
257
264
267
269
270
270
271
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288
289
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295
296
299
303
306
306
307
310
311
312
314
315
316
318
319
319
323
324
Contents

References
Further reading
Web links
324
324
324
327
328
Relationship marketing using the Internet
329

329
Introduction
330
The EConsultancy interview: Timo Soininen,
CEO, Sulake (Habbo Hotel)
331
Key concepts of relationship marketing
333
Benefits of relationship marketing
334
Differentiating customers by value
335
Customer loyalty
336
The relationship between satisfaction and loyalty
337
Net Promoter Score
338
Key concepts of electronic customer
relationship management (e-CRM)
339
Customer engagement
340
Benefits of e-CRM
341
Marketing applications of CRM
342
CRM technologies and data
,
342
Customer lifecycle management
344
Permission marketing
345
'Right touching' through online contact strategies
347
Personalisation and mass customisation
349
Online and multichannel service quality
350
Approaches to implementing e-CRM
350
Stage 1: Attract new and existing customers to site
350
Stage 2a: Incentivise visitors to action
'
351
Stage 2b: Capture customer information to maintain
relationship
351
Stage 3: Maintain dialogue using online
communication
354
Stage 4: Maintain dialogue using offline
communication
355
The IDIC approach to relationship building
355
Techniques for managing customer activity and value 356
Lifetime value modelling
358
Loyalty schemes
369
Virtual communities and social networks
369
Marketing to consumers using independent social
networks
372
Customer experience - the missing element required for
customer loyalty
374
Case study 6
Dell gets closer to its customers online
375
Summary
377
Exercises
378
379
379
References
379
Further reading
381
Web links
381
Internet marketing: implementation

and practice
7
Delivering the online customer experience

Introduction
The EConsultancy interview: Steve Nicholas,
Assistant Director of E-commerce, Guess
Planning website design and build
Who is involved in a website project?
Website prototyping and agile software development
Initiation of the website project
Domain name registration
Selecting an Internet service provider
Researching site users' requirements
Usability
Web accessibility
Localisation
'
Reviewing competitors' websites
Designing the information architecture
Designing the user experience
Developing customer-oriented content
Marketing-led site design
Elements of site design
Development and testing of content
Testing content
Tools for website development and testing
Online retail merchandising
Promote site
Service quality
Tangibles
Reliability
Responsiveness
*
Assurance
Empathy
The relationship between service quality,
customer satisfaction and loyalty
Case study 7
Refining the online customer experience at
dabs.com
Summary
Exercises
References
Further reading
Web links
Campaign planning for digital media
Introduction
ix
383
386
386
387
389
391
393
395
397
397
397
399
400
401
404
405
406
411
412
413
413
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424
428
428
430
431
432
432
433
435
436
439
440
440
440
440
443
443.
445
445
446
Contents
Goals of interactive marketing communications
446
The structure of this chapter
447
The EConsultancy interview: Matthew Finch,
Warner Breaks, on silver surfers
448
The characteristics of digital media
450
Step 1. Goal setting and tracking for interactive
marketing communications
457
Terminology for measuring digital campaigns
457
Examples of digital campaign measures
460
Conversion marketing value objectives
462
Step 2. Campaign insight
467
Customer insight for digital marketing campaigns
468
Step 3. Segmentation and targeting
470
Step 4. Offer, message development and creative 472
Step 5. Budgeting and selecting the digital
media mix
475
1 Level of investment in digital media techniques in
comparison to offline promotion
476
2 Selecting the right mix of digital media communications
tools
480
3 Level of investment in digital assets
484
Step 6. Integration into overall media schedule
or plan
487
Planning integrated marketing communications
488
Key activities in media selection and planning
489
Case study 8
A short history of Facebook
493
Summary
497
Exercises
498
, 498
y
499
References
499
Further reading
501
Web links
501
Marketing communications using digital

media channels
Introduction
How is this chapter structured?
The EConsultancy interview: Nick Robertson,
CEO, ASOS, on the tension between affiliate
and brand marketing
Search engine marketing
What is SEO?
Advantages and disadvantages of SEO
Best practice in planning and managing SEO
Paid search marketing
Advantages and disadvantages of paid search
marketing
Best practice in planning and managing paid
search marketing
Online public relations
What is online public relations (E-PR)?
502
502
503
503
504
506
509
511
511
517
519
520
522
522
Advantages and disadvantages of online

public relations
Best practice in planning and managing online
public relations
Online partnerships including affiliate marketing
Affiliate marketing
Advantages and disadvantages of affiliate marketing
Best practice in planning and managing affiliate
marketing
Online sponsorship
Interactive display advertising
What is display advertising?
Advantages and disadvantages of display advertising
Best practice in planning and managing display
ad campaigns
Opt-in e-mail marketing and mobile text
messaging
What is e-mail marketing?
Opt-in e-mail options for customer acquisition
Opt-in e-mail options for prospect conversion and
customer retention (house list)
Advantages and disadvantages of e-mail marketing
Best practice in planning and managing e-mail
marketing
Mobile text messaging
Viral and electronic word-of-mouth marketing
What is viral marketing and word-of-mouth?
Advantages and disadvantages of viral marketing
Best practice in planning and managing viral marketing
Offline promotion techniques
Advantages and disadvantages of using offline
communications to support e-commerce
Incidental and specific advertising of the online
presence
Public relations
Direct marketing
Other physical reminders
Word-of-mouth marketing
*
Case study 9
Innovation at Google
Summary
Exercises
References
Further reading
Web links
10 Evaluation and improvement of digital

channel performance
Introduction
The EConsultancy interview: Justin Basini,
Head of Brand Marketing, Capital One
524
525
534
535
536
537
538
539
539
540
542
547
547
547
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551
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577
Contents
Performance management for digital channels
579
Stage 1: Creating a performance management
system
580
Stage 2: Defining the performance metrics framework 582
Stage 3: Tools and techniques for collecting metrics
and summarising results
The maintenance process
How often should material be updated?
Responsibilities in website maintenance
Who owns the process?
Who owns the content?
Who owns the format?
Who owns the technology?
o
Content management
Case study 10
Learning from Amazon's culture of metrics
Summary
Exercises
References
Further reading
Web links
586
600
601
601
602
604
604
605
606
607
613
614
614
614
615
616
616
11 Business-to-consumer Internet marketing 618

Introduction
Key themes and concepts
The consumer perspective: online consumer
behaviour
Who are the online customers?
The retail perspective: e-retailing
Development of e-retailing
E-retail formats and operational strategies
Implications for e-retail marketing strategy
Case study 11
E-strategy in the UK retail grocery sector:
exploring the strategic pathways
followed by the UK's five leading grocery retailers
618
619
619
619
620
627
628
629
636
638
Summary
Exercises
' Essay and discussion questions
References
Further reading
Web links
642
643
644
644
644
647
647
12 Business-to-business Internet marketing

Introduction
,
Key themes and concepts
B2B trading environments and electronic
marketplaces
Types of organisational markets
Growth, volume and dispersion of B2B electronic
markets
E-marketplaces
Online marketing efficiency gains
How organisations make efficiency gains
Analysing the factors which influence the
adoption of Internet technologies
Digital marketing strategies
Case study 12
B2B adoption of the Internet: Inspirational
Cosmetics
Summary
Exercises
Examination question
References
Further reading
Glossary
Index
648
648
649
649
650
650
651
653
656
657
659
661
664
665
666
666
666
666
667
668
693

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Strategy, Implementation and Practice

Multiple choice questions for every chapter

Internet Marketing $Jg

s password-protected resources accompanying this bCle.

Internet marketing fundamentals

The Internet micro-environment

The Internet macro-environment

Learning objectives / Questions for marketers /

Internet strategy development

Internet marketing strategy

The Internet and the marketing mix

Essay and discussion questions

Relationship marketing using the Internet

Learning objectives / Questions for marketers /

Internet marketing: implementation

Delivering the online customer experience

Marketing communications using digital

Advantages and disadvantages of online

10 Evaluation and improvement of digital

11 Business-to-consumer Internet marketing 618

12 Business-to-business Internet marketing

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