This document provides an introduction to internet marketing. It discusses the scope and impact of internet marketing, outlines a seven-stage cycle for internet marketing, describes the four key relationship stages with customers, and provides guidelines for success. Some of the key topics covered include assessing market opportunities, developing integrated marketing strategies, designing customer experiences and interfaces, and evaluating marketing programs. The importance of customer insights, integration, balanced thinking and risk-taking for internet marketing success are also emphasized.

1. A S U N G S H I M R A Y
D E P A R T M E N T O F M A N A G E M E N T S T U D I E S
P O N D I C H E R R Y U N I V E R S I T Y
Introduction to Internet Marketing

2. Introduction to Internet Marketing
 The Scope and Impact of Internet Marketing
 The Seven-Stage Cycle of Internet Marketing
 The Four Key Relationship Stages
 Guidelines for Internet Marketing Success

3. Introduction to Internet Marketing
 The Scope and Impact of Internet Marketing
 The Seven-Stage Cycle of Internet Marketing
 The Four Key Relationship Stages
 Guidelines for Internet Marketing Success

4. Assessing the Impact of Internet Marketing
The Broadened Scope of Internet Marketing
Cell 4 Cell 2
Cell 3 Cell 1
Location of
Revenue
Stream
Bricks
and
Mortar
Online
Marketing Resource
Allocation
Offline Online

5. New Rules or Old Rules of Marketing
New Rules Old Rules
Several basic conceptual and process
changes occur in online marketing
One such change is the increased ability
to deliver on the promise of one-to-one
marketing
There is also a fundamental shift to a
more consumer-driven and controlled
world — for example, a shift towards
pull-marketing and the use of more
“pull” levers, such as online community
Differences in the online marketing world
are overstated
Segmentation is still at the core of
marketing — “clusters” of consumers will
emerge that share behavior
From the supply side, it is most efficient
to aggregate these consumers to reduce
costs
Successful marketing programs include
mixing different marketing levers, both
new and old: the “master-mixer” concept
still remains
Point-Counterpoint

6. Introduction to Internet Marketing
 The Scope and Impact of Internet Marketing
 The Seven-Stage Cycle of Internet Marketing
 The Four Key Relationship Stages
 Guidelines for Internet Marketing Success

7. The Seven-Stage Cycle of Internet Marketing
Step 2
Analyze the Market
Opportunity
Step 3
Marketing
Strategy
Step 4
Design the
Customer
Experience
Step 5
Design the Marketing
Program
Step 6
Design the
Customer
Interface
Step 7
Evaluate the
Marketing
Program
Step 1
Corporate
and
Business-
Unit
Strategy

8. Framework for Market Opportunity
Seed Opportunity in Existing or New
Value System
Identify Unmet and Underserved
Need(s)
Identify Target Segment(s)
Declare Company’s Resource-Based
Opportunity for Advantage
Assess Competitive, Technological and
Financial Opportunity Attractiveness
Make “Go / No-Go” Assessment

9. Corporate, Business-Unit and Marketing Strategy
Corporate
Business Unit
Amazon
Tools and Hardware
Integrated Marketing
Strategy for Tools and
Hardware Unit
Linkages Example
Integrated Marketing
Strategy for Unit
Internet
Marketing
Traditional
Marketing
Online
Marketing
Mix
Offline
Marketing
Mix

10. Introduction to Internet Marketing
 The Scope and Impact of Internet Marketing
 The Seven-Stage Cycle of Internet Marketing
 The Four Key Relationship Stages
 Guidelines for Internet Marketing Success

11. The Four Key Stages of Customer Relationship
Awareness
Exploration /
Expansion
Commitment Dissolution
Four Key Stages of Customer Relationship

12. The Four Key Stages of Customer Relationship by
Level of Intensity
Level of
Intensity
Stages of Customer Relationships
Awareness Exploration Commitment Dissolution
Intensity

13. Internet Marketing Mix
Branding
Product Pricing Communicatio
n
Community Distribution

14. Impact of the 2is on the Internet Marketing Mix
Branding
Product Pricing
Individual
Communication DistributionCommunity
Interactivity

15. Introduction to Internet Marketing
 The Scope and Impact of Internet Marketing
 The Seven-Stage Cycle of Internet Marketing
 The Four Key Relationship Stages
 Guidelines for Internet Marketing Success

16. Marketing for the Global Digital World
 The New Rules
1. Target segments of one and create virtual communities
2. Design for customer-led positioning
3. Expand the role of branding in the global portfolio
4. Leverage consumers as co-producers through customization
5. Use creative pricing in the Priceline.com world
6. Create anytime-anyplace distribution and integrated supply chains
7. Redesign advertising as interactive and integrated marketing,
communication, education and entertainment
8. Reinvent marketing research and modeling as knowledge creation and
dissemination
9. Use adaptive experimentation
10. Redesign the strategy process and supporting organizational
architecture

17. Critical Success Factors for Internet Marketing Executives
Customer Advocacy and
Insight
Integration
Balanced Thinking
Passion and
Entrepreneurial Spirit
Willingness to Accept
Risk and Ambiguity
 The willingness to understand customer needs
and provide added value to each customer
interaction
 The ability to manage marketing campaigns in a
more uncertain, dynamic environment, with a
new set of tools that often have few records of
successes, failures or best-practices
 The ability to have a holistic view of the
customer and the enterprise in order to create
a uniquely advantaged strategic plan
 Being able to understand the dynamic tension
between one-to-one marketing and mass
marketing and being able to strike a strategic
balance between them
 The willingness to change the status quo, take
chances and use “bleeding edge” tools to lead
teams to success