INTERNET MARKETING

ASSIGNMENT
1. Discus the internet marketing Strategy
The internet has radically transformed how we build and promote businesses: We
have access to far more resources and far more potential than ever before. So, why
do so many entrepreneurs end up neglecting these fruitful opportunities by forgoing
marketing, or delaying it as an unnecessary expenditure?
The way I see it, there are a handful of online marketing strategies you need-- as in,
your startup wont be able to thrive without them.
Criteria for need
What do I mean, you need these strategies? After all, isnt marketing optional?
Isnt it possible to build a business even without an online presence? Technically,
yes, but youll be missing out on enormous potential by doing so.

All the strategies I qualify as necessary exhibit the following traits:

Expected. People expect you to have these things in place, and if you dont
have them, they may think less of your company.
Accessible. None of these strategies is particularly hard or
complicated; there may be a bit of a learning curve, but on some level, these
are accessible strategies.
Affordable. You wont have to spend much money on any of these
strategies, making them easy to pick up even for tight-budget startups.
Valuable. These strategies all offer high potential returns, meaning that the
cost for you, if you neglect them, will be significant potential.
Time-sensitive. The more time you invest in these strategies, the more
powerful they become. The sooner you get involved, the bigger the payoff
you can potentially get.
Its the combination of these factors that makes your work in these areas
necessary. These are the strategies I deem necessary:
1. Personal branding.
Successful businesses can generate a ton of momentum from successful
entrepreneurs who lead them Branding yourself, before your company, gives you
the opportunity to leverage a more trustworthy, personal image to promote your
brand.
It also gives you more power to meet and network with others, form more
partnerships and lend a face to your otherwise faceless organization. And it's free to
do, from a monetary perspective, though you will need to invest a significant
amount of time.
2. Content marketing.
Content marketing takes a variety of forms, and depending on how you form your
strategy, could accomplish a number of different goals. For example, you could use
white papers, ebooks and other long-form content to attract downloads,
signups and conversions, or you could use an on-site blog to attract more inbound
traffic to your site.
You could even use content as a form of help and troubleshooting, or some
combination of these applications. Content marketing is incredibly versatile and
useful, and, if it's valuable, your customers will expect you to have at least some of
it in place for them.
3. Search engine optimization (SEO).
SEO is the process of making your site more visible in search engines, so you get
more traffic from people searching for the products or services you offer. Much of
your organic search position ranking comes from the technical structure of your site
and your ongoing content development strategy.
So, SEO is not much more of an investment if youre already creating new content
regularly -- and its well worth that extra investment if for no other reason than to
make sure your site is properly indexed.
4. Conversion optimization.
Most of these strategies aim to get more people on your site, but what do those
people do once theyre there? Conversion optimization helps you ensure you get
more value out of each and every visitor by maximizing your rate of conversion.
Sometimes, this means including more conversion opportunities, and other times,
improving the ones you already have.
5. Social media marketing.
Social media marketing isnt the get-rich-quick scheme you may have been
promised, but there is significant potential in building and nurturing a social media
audience. Again, content will come into play heavily here, as it will likely be the
factor that attracts your audience to begin with. Here, you stand to gain greater
brand visibility, a greater reputation and far more inbound traffic with your
syndicated links.
6. Email marketing.
Email marketing has astounding potential for ROI because it costs almost nothing to
execute. Start collecting subscribers from your existing customer base, your social
media followers and other new opportunities; from there, even a simple content
newsletter can help you encourage repeat traffic to your site, facilitate more
engagement with your brand and keep your brand top-of-mind with your audience.
2. Integrated Internet Marketing Channel/Communication.
Integrated Marketing Communications is a simple concept. It ensures that all forms
of communications and messages are carefully linked together.
At its most basic level, Integrated Marketing Communications, or IMC, as well call it,
means integrating all the promotional tools, so that they work together in harmony.
Promotion is one of the Ps in the marketing mix. Promotions has its own mix of
communications tools.
All of these communications tools work better if they work together in harmony
rather than in isolation. Their sum is greater than their parts providing they speak
consistently with one voice all the time, every time.
This is enhanced when integration goes beyond just the basic communications
tools. There are other levels of integration such as Horizontal, Vertical, Internal,
External and Data integration. Here is how they help to strengthen Integrated
Communications.
Horizontal Integration occurs across the marketing mix and across business
functions for example, production, finance, distribution and communications
should work together and be conscious that their decisions and actions send
messages to customers.
While different departments such as sales, direct mail and advertising can
help each other through Data Integration. This requires a marketing
information system which collects and shares relevant data across different
departments.
Vertical Integration means marketing and communications objectives must
support the higher level corporate objectives and corporate missions.
Meanwhile Internal Integration requires internal marketing keeping all staff
informed and motivated about any new developments from new
advertisements, to new corporate identities, new service standards, new
strategic partners and so on.
External Integration, on the other hand, requires external partners such as
advertising and PR agencies to work closely together to deliver a single
seamless solution a cohesive message an integrated message.

Benefits of Integrated Marketing Communications

 Although Integrated Marketing Communications requires a lot of effort it
delivers many benefits. It can create competitive advantage, boost sales and
profits, while saving money, time and stress.
IMC wraps communications around customers and helps them move through
the various stages of the buying process. The organisation simultaneously
consolidates its image, develops a dialogue and nurtures its relationship with
customers.
This Relationship Marketing cements a bond of loyalty with customers which
can protect them from the inevitable onslaught of competition. The ability to
keep a customer for life is a powerful competitive advantage.
IMC also increases profits through increased effectiveness. At its most basic
level, a unified message has more impact than a disjointed myriad of
messages. In a busy world, a consistent, consolidated and crystal clear
message has a better chance of cutting through the noise of over five
hundred commercial messages which bombard customers each and every
day.
At another level, initial research suggests that images shared in advertising
and direct mail boost both advertising awareness and mail shot responses. So
IMC can boost sales by stretching messages across several communications
tools to create more avenues for customers to become aware, aroused, and
ultimately, to make a purchase
Carefully linked messages also help buyers by giving timely reminders,
updated information and special offers which, when presented in a planned
sequence, help them move comfortably through the stages of their buying
process and this reduces their misery of choice in a complex and busy
world.
IMC also makes messages more consistent and therefore more credible. This
reduces risk in the mind of the buyer which, in turn, shortens the search
process and helps to dictate the outcome of brand comparisons.
Un-integrated communications send disjointed messages which dilute the
impact of the message. This may also confuse, frustrate and arouse anxiety
in customers. On the other hand, integrated communications present a
reassuring sense of order.
Consistent images and relevant, useful, messages help nurture long term
relationships with customers. Here, customer databases can identify precisely
which customers need what information when and throughout their whole
buying life.
Finally, IMC saves money as it eliminates duplication in areas such as
graphics and photography since they can be shared and used in say,
advertising, exhibitions and sales literature. Agency fees are reduced by
using a single agency for all communications and even if there are several
agencies, time is saved when meetings bring all the agencies together for
briefings, creative sessions, tactical or strategic planning. This reduces
workload and subsequent stress levels one of the many benefits of IMC.

Barriers to Integrated Marketing Communications

Despite its many benefits, Integrated Marketing Communications, or IMC, has
many barriers.
 In addition to the usual resistance to change and the special problems of
communicating with a wide variety of target audiences, there are many other
obstacles which restrict IMC. These include: Functional Silos; Stifled
Creativity; Time Scale Conflicts and a lack of Management know-how.
Take functional silos. Rigid organisational structures are infested with
managers who protect both their budgets and their power base.
Sadly, some organisational structures isolate communications, data, and
even managers from each other. For example the PR department often
doesnt report to marketing. The sales force rarely meet the advertising or
sales promotion people and so on. Imagine what can happen when sales reps
are not told about a new promotional offer!
And all of this can be aggravated by turf wars or internal power battles where
specific managers resist having some of their decisions (and budgets)
determined or even influenced by someone from another department.
Here are two difficult questions What should a truly integrated marketing
department look like? And how will it affect creativity?
It shouldnt matter whose creative idea it is, but often, it does. An advertising
agency may not be so enthusiastic about developing a creative idea
generated by, say, a PR or a direct marketing consultant.
IMC can restrict creativity. No more wild and wacky sales promotions unless
they fit into the overall marketing communications strategy. The joy of
rampant creativity may be stifled, but the creative challenge may be greater
and ultimately more satisfying when operating within a tighter, integrated,
creative brief.
Add different time scales into a creative brief and youll see Time Horizons
provide one more barrier to IMC. For example, image advertising, designed to
nurture the brand over the longer term, may conflict with shorter term
advertising or sales promotions designed to boost quarterly sales. However
the two objectives can be accommodated within an overall IMC if carefully
planned.
But this kind of planning is not common. A survey in 1995, revealed that most
managers lack expertise in IMC. But its not just managers, but also agencies.
There is a proliferation of single discipline agencies. There appear to be very
few people who have real experience of all the marketing communications
disciplines. This lack of know how is then compounded by a lack of
commitment.
For now, understanding the barriers is the first step in successfully
implementing IMC.

Golden Rules
Despite the many benefits of Integrated Marketing Communications (or IMC);
there are also many barriers. Heres how you can ensure you become
integrated and stay integrated 10 Golden Rules of Integration.
(1) Get Senior Management Support for the initiative by ensuring they
understand the benefitsof IMC.
(2) Integrate At Different Levels of management. Put integration on the
agenda for various types of management meetings whether annual reviews
or creative sessions. Horizontally ensure that all managers, not just
 marketing managers understand the importance of a consistent message
whether on delivery trucks or product quality. Also ensure that Advertising,
PR, Sales Promotions staff are integrating their messages. To do this you must
have carefully planned internal communications, that is, good internal
marketing.
(3) Ensure the Design Manual or even a Brand Book is used to maintain
common visual standards for the use of logos, type faces, colours and so on.
(4) Focus on a clear marketing communications strategy. Have crystal clear
communications objectives; clear positioning statements. Link core values
into every communication. Ensure all communications add value to (instead
of dilute) the brand or organisation. Exploit areas of sustainable competitive
advantage.
(5) Start with a Zero Budget. Start from scratch. Build a new communications
plan. Specify what you need to do in order to achieve your objectives. In
reality, the budget you get is often less than you ideally need, so you may
have to prioritise communications activities accordingly.
(6) Think Customers First. Wrap communications around the customers
buying process. Identify the stages they go through before, during and after a
purchase. Select communication tools which are right for each stage. Develop
a sequence of communications activities which help the customer to move
easily through each stage.
(7) Build Relationships and Brand Values. All communications should help to
develop stronger and stronger relationships with customers. Ask how each
communication tool helps to do this. Remember: customer retention is as
important as customer acquisition.
(8) Develop a Good Marketing Information System which defines who needs
what information when. A customer database for example, can help the
telesales, direct marketing and sales force. IMC can help to define, collect and
share vital information.
(9) Share Artwork and Other Media. Consider how, say, advertising imagery
can be used in mail shots, exhibition stands, Christmas cards, news releases
and web sites.
(10) Be prepared to change it all. Learn from experience. Constantly search
for the optimum communications mix. Test. Test. Test. Improve each year.
Kaizen.
Just a few ways to beat the barriers and enjoy the benefits of integrated
marketing communications.

3. Althrough Last Question of Case Study.

Based on the case study and your own research on competitors,
summaries the strategic approaches which have helped Tesco.com achieve
success online.

Decision 1: Market and product development strategies

. Tesco has used the Internet to extend its market into new product markets such as
financial services, white goods and DVD rental. While these are promoted through
the store, the web provides a wider choice of products, more detailed information
about products and a method of purchase. The Internet can also support entry
intone geographical markets.

Decision 2: Business and revenue model strategies

. New revenue sources are available through extending the product range online as
explained above, but also with new digital revenue streams such as those for music
downloads and e-Diets. Tesco also supports advertising on its site of related product
such as financial services.

Decision 3: Target market strategy.

Tesco.com has a broad market of customer types, so it is less relevant for them to
use online to selectively target these with communications. However, the article
explains how Tesco has used the web and e-mail channel to target more closely
through targeting different lifecycle groups these are customers who are grouped
according to their level of adoption of online service. Tesco also uses the web to
target specific requirements such as diets and financial services through search
engine marketing.

Decision 4: Positioning and differentiation strategy (including the marketing mix).

Tesco offers some unique online promotions and lower online prices for selected
products such as financial services, which could attract a percentage discount when
purchased online. It appears not to use the service elements of the mix for
positioning beyond the slogan You Shop, We Drop. But attention has been paid to
improving the Service.
Decision 5: Multi-channel distribution strategy
Wade-Gery is also director of Tesco Mobile, the joint pay-as-you-go venture with O2
which is mainly serviced online, although promoted in-store and via direct mail.
Tesco also offers broadband and dial-up ISP services, but believe the market for
Internet telephony (provided through Skype and Vonage, for example) is not
sufficiently developed. Tesco.com has concentrated on more traditional services
which have the demand, for example, Tesco Telecom fixed-line services attracted
over a million customers in their first year.
Decision 6: Multi-channel communications strategy
Tesco introduced a music download service and just six months later, Wade-Gery
estimates they have around 10% market share one of the benefits of launching
relatively early. Again, there is synergy, this time with hardware sales. NMA (2005)
reported that as MP3 players were unwrapped, sales went up even on Christmas
Day. The growth overseen by Wade-Gery has been achieved through a combination
of initiatives. Product range development is one key area. In early 2005, Tesco.com
fulfilled 150,000 grocery orders a week but now also offers more intangible
offerings, such as e-diets and music downloads. Laura has also focused on
improving the customer experience online the time it takes for a new customer to
complete their first order has been decreased from over an hour to 35 minutes
through usability work culminating in a major site revision
Decision 7: Online communications mix and budget
The implication is that there was insufficient revenue from ad sales on village and
insufficient opportunities to promote Tesco.com sales. However, village was a useful
learning experience in that there are some parallels with village, such as message
boards and community advisers. However, this is not to say that Tesco.com will not
invest in relatively new services. In November 2004, Tesco introduced a music
download service and just six months later, Wade-Gery estimates they have around
10% market share one of the benefits of launching relatively early. Again, there is
synergy, this time with hardware sales.
Decision 8: Organizational capabilities .
, Tesco.com relies on in-store advertising and marketing to the supermarkets
Clubcard loyalty schemes customer base to persuade customers to shop online.
New Media Age (2005) quotes Nigel Dodd, marketing director at Tesco.com, as
saying: These are invaluable sources as we have such a strong customer base.

4. Key Takeaway of the case Study.

Market and product development strategies
Business and revenue models strategies
Target market strategy
Positioning and differentiation strategy (including the marketing mix)
Multi-channel distribution strategy
Multi-channel communications strategy
Online communications mix and budget
Organizational capabilities (7S)