E-Marketing Research Proposal on Attracting People and Future of E-Marketing
1. A REPORT ON
RESEARCH PROPOSAL
For
E - MARKETING IN INDIA
Submitted to
INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)
CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY (CHARUSAT)
CHANGA
Prepared by
ROBIN CHRISTIAN
ID No.: 11PGDM003
PGDM QUARTER-3
Under the Guidance of
DR.GOVIND DAVE
INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)
CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOL (CHARUSAT)
AT. & PO. CHANGA – 388 421 TA: PETLAD DIST. ANAND, GUJARAT
2. Introduction to E-Marketing
E-Marketing is also known as Internet marketing & it is a component of electronic commerce. E-Marketing can
include information management, public relations, customer service, and sales. Electronic commerce and E-
Marketing have become popular as Internet access is becoming more widely available and used. Well over one
third of consumers who have Internet access in their homes report using the Internet to make purchases.1
My research proposal is on E-Marketing and its practical implementation of it in which I will try to find out why
the net era needs more innovation and how to get people attracted towards the net advertising.
For this I have selected and done research work on the net and finding solutions to the problem and for
future how it can be overcome. My research is totally based on pure research that is basic research.
In my research design I am trying to explain the study, which I use in my problem area of how to get people
attracted towards E-Marketing and the future of E-Marketing.
Check Out Some E-Commerce Ready Websites
International Websites
http://www.tigerdirect.com
http://www.deals2buys.com
http://www.ebuyer.com
http://www.ebay.com
http://www.bestbuyer.com
Local Websites
http://www.flipcart.com
http://www.homeshop18.com
http://www.naaptol.com
http://www.yebhi.com
http://www.futurebazaar.com
1
http://www.informiv.com/internet_marketing.html
3. Objective:
Strategies to develop E-Marketing
Problem statement:
Why people are not attracted towards E-Marketing.
E-Marketing Future.
Utilization of Resources.
Misuse.
Reasons:
Wastage of time in the peoples mind.
Wrong facts and Quality.
Late Delivery Time.
False Deductions.
Fewer features in the product.
Sometimes there is not proper feed back to the buyer and the amount has been deducted from his
account.
Fear of Hackers on the net.
LITERATURE REVIEW:
It illustrates the main objective of E-marking which is creating the exchanges that satisfy individual
and organizational needs. Moreover it is the official definition for E-marketing adopted by the E-Marketing
Association. Lots of young people like to buy the things on the Internet. Thus, it product a name called
Internet Marketing that it also referred to as I-marketing, online-marketing or e-marketing is the marketing
of products or services over the Internet.2
Firstly, traditional marketing is much more expensive than E-marketing. That is why most of young
people like to buy the purchase on the Internet. With E- marketing, they can have direct communication with
thousands upon thousands of customers and prospects world-wide from their desktop. It is very convenient
people to select purchases. However, if they choose traditional way that will waste long time to go each
shops. Sometimes, people want buy expensive purchases, it better to choose traditional market as they can
touch and try the purchases. New media turn our life. E-marketing changes our habit and also brings a new
way to sell the purchases. At the same time, it creates lots of jobs and decreases the rate of unemployed and
promotes the development of small companies. Nowadays, more and more people use blog, video, digital
picture to record their life. New media have become a very important in our life3.
A marketing campaign that is built on strategy and a deep knowledge of an audience, whilst firmly
keeping the marketing objectives in mind, can be extremely powerful. An marketing campaign that
effectively uses the internet as a platform, a jumping off' point to create value and relationships, and a means
to speak specifically to marketers' targets and create two-way value, is one that can succeed beyond many
marketers wildest expectations.4
2
http://www.researchandmarkets.com/research/8a8d54/how_to_harness_the
3
http://www.quirk.biz/resources/88/What-is-eMarketing-and-how-is-it-better-than-traditional-marketing
4
http://www.businesswire.com/news/home/20110720005794/en/Research-Markets-Harness-Power-Social-Media-Pharmaceutical
4. VARIABLES
Purpose
Target audience
Survey type and how respondents are recruited
Number of Responses
Survey Frequency
Survey Purpose: - A survey should have clear objectives; there must be a reason why they want to do it.
There could be more than one research objective in a survey, but they must be clearly stated, easily
understood, and consistent. From the objective flows everything else: the type of survey needed, the target
audience, and so on.
The Target Audience: - The objective should make it clear who they want to survey. They probably don't
want to invest time and effort understanding everything about everybody who visits their site. Their primary
interest will be about learning the right information about the visitor types that are of the most interest to
them, such as customers and subscribers.
Survey Type: - Having determined the survey's objectives and audience, you can better choose the type of
survey that will meet your needs. There are two main types of online surveys: pop-ups and site-based.
A pop-up survey (as the name implies) pops up in a window on your site. Generally, it must be short and
easy to answer. A site-based survey is potentially more extensive and people are directed to a separate part
of the site or another site altogether. Here are some key differences between the two types:
Number of Responses: - Another key consideration is the number of completed responses you need. This
can vary enormously with your type of work and the survey's target audience. For consumer analysis, you'd
ideally need about 400 respondents to do any meaningful analysis.
Survey Frequency: - The final consideration is how often you will run the survey. Many surveys are run
only once to get some insight into a particular issue, such as the effects of a new site design. But some
surveys, such as a customer satisfaction monitor, run more than once or continually.5
Hypothesis
Mass Communication Equals Better Marketing because it gives the chance for the people to look for
what they are demanding.
E-Marketing Today with the concept of globalization is expanding businesses through effective
techniques.
Search Engine Optimization relevant information should be given on the net for products to satisfy
customers and potential users.
Search Engine marketing could give marketers access to large number of consumers.6
Search for Marketing Perfection such tools are to be designed which represented the true picture and
association with customer objectives.
Textual Advertising should be compact and precise because too much information is difficult to
handle so graphical representation is essential.
Directories & Search Engines should be on the target of providing accurate information to the
required tasks.
Advertising causes costs because costs is an essential feature & should be look after before the
launch of anything.
Potential for deception according to understanding of others representation must be designed
according to their intellectual level.7
5
http://www.clickz.com/clickz/column/1693929/six-variables-online-surveys
6
http://www.searchmarketing-uk.com/Hypothesis.php
5. The Internet has emerged as an important medium for advertising, direct marketing, communication
and electronic commerce. Rapid expansion of the Internet user base and the unique advantages of Internet
Advertising have spurred businesses to devote larger portions of the marketing budgets to E-Marketing.8
Advertising on the Web is fundamentally different from advertising on other media. The ability to target and
interact with their customers on the web brings an entirely new edge to marketing. It is an attractive and
inexpensive advertising medium. Their company services or product is advertised, globally, 24 hours a day,
7 days a week, even on holidays and weekends. Internet Advertising is multi-layered. They can include
photographs, maps, list, financial information and graphs, brand advertising, as well as other product
information.
Electronic Advertising can be updated regularly. Their customers can make contact with they directly and
interactively.
In India the area of E-Marketing is not developed yet because there are not many organizations,
which are operating on the net. Managers still believe on the manual work but due to the investments in
India it is now emerging towards Internet and is starting to think about the advertising and promotion on the
net because the people living in India are now addicted towards net and have a much time for surfing.
Some new firms in the Market are adopting strategies that are good for them as well as for its
customers because they are totally customer-oriented and are focusing on Net Advertising that saves time
for the Managers to think and get results.
As we know that the net users of India have a great mind of Internet but still they think negative. I
am talking about Hackers, the individual, group or teams which work for their own benefits and cause
troubles to others. These try to find the password of the net users having master card and then shop with
those cards illegally.
If they are planning on using the Internet to sell their own products on-line, there is no need to do all of the
selling them self. Just like the major on-line retailers have created affiliate programs to increase their sales,
there is no reason that they cannot do the same with their products. Since they only need to pay their
affiliates when they generate sales, there are some real advantages to pursuing this course.
To create and affiliate network they must first determine how much money they can afford to give away on
each sale. The more popular affiliate programs have thousands of web sites that are members and generate
tremendous revenue. The more they are willing to pay their affiliates for each transaction, the more web
sites they will be able to ultimately attract to their affiliate program.
The key to being able to compete for market share in any retail venture they may operate on the Internet is
the ability to complete the sale on the spot. If they don't, someone else will. Almost all sales on the web are
completed using secure, on-line, credit card transactions. This is the preferred method of payment for both
buyers and sellers as the process is entirely automated and can be completed in less than two minutes.9
7
http://repository.upenn.edu/cgi/viewcontent.cgi?article=1026&context=marketing_papers&sei-
redir=1&referer=http%3A%2F%2Fwww.google.co.in%2Furl%3Fsa%3Dt%26rct%3Dj%26q%3DHypothesis%2BOf%2Bmarketing%26source
%3Dweb%26cd%3D5%26ved%3D0CGoQFjAE%26url%3Dhttp%253A%252F%252Frepository.upenn.edu%252Fcgi%252Fviewcontent.cgi%
253Farticle%253D1026%2526context%253Dmarketing_papers%26ei%3D7dHLT4OpAczNrQf2-
NyqDg%26usg%3DAFQjCNEq4Wwelq45o6oUWrpXAUbIxxqHnA%26cad%3Drja#search=%22Hypothesis%20marketing%22
8
http://freebestads.com/advertising.php
9
http://www.virtuallyignorant.com/monetize.htm
6. History of e marketing
Internet Marketing today has become an integral part of people’s lives. When internet was first introduced
not a single business house recognized the huge potential it had in store as a marketing tool. As early as
1993 it was just a tool used for emailing & data transfer. The best of the business units had declared it unfit
for marketing purposes.
Then in 1995 Netscape the ISP went public and bought the online world into prominence by exploring its
commercial potential. The wide reach, cost effectiveness, capabilities to measure the spending and easy
accessibility made internet as the most feasible marketing tool.
The flood-gates opened after that:
Spending on Internet advertising in 1996 totaled $301 million in the U.S. While significant compared to the
zero dollars spent in 1994, the figure paled in comparison to the $175 billion spent on traditional advertising
as a whole that year. Online advertising grew to an industry worth nearly $1 billion in 1997.
In India, as reported by PWC, advertising industry recorded a growth of 22% over 2006 and thus contributed
an estimated Rs. 196 billion in 2007 as compared with Rs. 161 billion in 2006. In the years 2004-2007, the
advertising industry recorded a cumulative growth of 20% on an overall basis.
Though different segments of the industry grew at different rates, the highest growth was recorded by the
smallest segment in the industry- online advertising. This segment grew by 69% from the previous year,
albeit from a low base of Rs. 1.6 billion in 2006 to Rs. 2.7 billion in 2007. Its share in the overall advertising
pie grew to 1.4% in 2007, up from 1.0% in 2006. In the last four years 2004-2007, the segment recorded a
cumulative growth of 65% on an overall basis.
As broadband penetration increase in the Indian homes and also the mobile devices become more internets
friendly, web/wap publishing companies would develop more content on the Internet. This would make
online advertising more relevant, more creative and more informative.10
Merits and Demerits
Merits:
Reduction in costs through automation and use of electronic media
Faster response to both marketers and the end user 11
Increased ability to measure and collect data
Opens the possibility to a market of one through personalization
Extremely low risk
Increased interactivity
Increased exposure of products and services
Boundless universal accessibility12
Demerits:
Security, privacy issues
Poor reach and lack of Intrusiveness
Measurement problems.
Audience characteristics.
Potential for deception.
Costs.
Limited production quality.
Dependability on technology
Maintenance costs due to a constantly evolving environment
10
http://mangonetwork.wordpress.com/2009/02/15/history-of-internet-marketing/
11
http://v2.epivietnam.com/knowledge.php?cat=12&s=12ma
12
http://www.studentwebstuff.com/mis/showthread.php?t=8648
7. Higher transparency of pricing and increased price competition
Worldwide competition through globalization.13
Growth and Development
In the early days, when static content was used over the internet, any hyperlink from one site to another
could be considered as an advertisement for the other site. Formally, Internet advertising began in 1994,
when the first commercially available web browser, Netscape Navigator 1.0, was released and the first ever
banner advertisements were sold. Since then, the E-Marketing industry has faced many obstacles in securing
a strong hold in today’s marketplace. The boost in advertising spending was led by a growing number of
corporation’s explosive growth of advertising impressions. Search engine technologies created the highest
level of buzz.14
Online advertisers are continuing to demand more powerful advertising models that better capture and
sustain user attention, like the emergence of real digital audio/visual approaching the standard-setting
slickness of television commercials. With online demographics becoming more diverse and targeting
becoming more precise, advertiser spending on the Web clearly moved out of its experimental stage during
the past year.
NOTE:
U.S. E-Marketing spending is currently around $12 billion but expected to go over $35 billion by 2006-
2007.
A BUSINESS LIMITATION
It's nice when they can open a business and attract new customers the next day. It's great when a web site
guarantees their profitability. But none of those things happen without good planning. Without a good plan,
and the proper execution, businesses die very quickly.
3-RULES TO ATTRACT NEW CUSTOMERS:
Let people know they exist:
Advertise herself if people don't know where they are and what they do, they can't buy from they.
Advertising greatly increases their chances of success.
Don't scare the customer:
Make the customer feel comfortable with their product or service. Provide an environment that they
will feel safe in. Make them feel good about spending their money. Don't scare the customer.
Look the part:
Businessmen wear suits. Policemen carry guns. They should effectively display their ability to attract
new customers. They can do the same when they look the part.
Advertising Cost
Getting their message out costs money, they have to spend money to make money. But if they plan to
advertise their business online, it also pays to know their options before they spend money to make money
online. This is a basic fact of business. E-Marketing is the one tool that they can use to attract new customers
with a tight budget. Targeted e-mail campaigns, banner advertising and newsletters can all be highly
effective ways to attract new customers. The key however is not in using them, but in using them correctly.
Give people reasons to buy online:
Good advertising techniques are useless without an effective message. An effective message gives people
reasons to spend their money with their business. An effective message attracts new customers.
Strategies to Enhance E-Marketing
13
http://www.wewanttraffic.com/ebusiness/emarketing/advantages.aspx
14
http://www.angelfire.com/cantina/group1/week9/week9.html
8. To help him start selling online, and to help him obtain the most from their advertising dollar, I researched
some of the more popular ways to advertise by soliciting the advice of advertising experts. Here's what we
found out about the following advertising options.
Online Publications
One way to do this is to advertise their business in an online publication, such as a newspaper or magazine,
just as they would in a paper publication.
Directories & Search Engines
If they own a gas station, motel, or restaurant near an interstate, they would probably advertise on a billboard
along the highway to alert motorists that their business is ahead and ready to take care of their needs. In the
same way, if they plan to advertise on the information superhighway, an obvious place to do so is at high-traffic
areas where they'll have the largest possible audience.
Banners Ads
If they spend much time on the Web, they've probably seen hundreds of banner ads. They come in different
sizes, but generally are rectangular- or button-shaped graphics with a few enticing words that invite the Web
user to "click here" for more information about a company or product. So popular are these ubiquitous ads
that Jupiter Communications reports that they currently comprise 80% of online ad placements.
Web Sites
Regarding Web sites, a small-business owner must answer two questions: should they have one, and if they
do, should they hire personnel to create and maintain it, or let an advertising agency or service bureau do
that?
As we already mentioned, it's not imperative that they have a Web site if they advertise on the Internet. If
they are interested in their product or services, many consumers will be satisfied reaching them over the
phone. But if they choose to have a site, they must have the power to handle questions and orders that will
come to online.
If they own a small business, it's more likely they'll turn to an ad agency to help create their site. An
advertising expert can help they decide which parts of the site need to be updated, and how frequently, and
which can remain static. An agency also can write press releases, News articles, and new product
announcements that should appear on their site.
Other Options
Some businesses like to use micro sites to do special, one-time promotions that they don't want
to tie in to their main site. A micro site is a Web page used for a specific, limited purpose, such as
announcing a special event or offer. There are various ways available to host a micro site, whether it is done
by their business or by an advertising firm. Another option is simply to link their Web site to any number of
national online malls. If they don't have an online store, they can set up one through a number of services. If
they want to take their business directly to their customers, try advertising with push technology. Using push
technology, programs such as PointCast deliver information automatically to a Web user's hard drive, where
he or she can call it up at his or her convenience. Another minor option is interstitials, or advertisements that
"pop up" on a user's screen. They appear between Web pages so they are not as intrusive as, say, a television
commercial.
9. Online advertising in Indian Scenario
Currently finance sector is most dominating sector in online advertising and accounted about 40% of
total online advertising in India
The survey estimated that the value of Internet Advertising has been double to Rs 450 crore in2007,
and will valued at Rs 2,250 crore by the end of 2010, and thus increasing 10 times from 2006. This means it
will overtake spends on radio, cinema and outdoor advertising in two years.
The report adds that of the Rs 210 crore was spent on Internet Advertising in 2006, display advertising
contributed Rs 117.6 crore, classified was Rs 50.4 crore and search was Rs 42 crore. It estimates classified
advertising to be the key driver of growth with a Rs 900 crore contribution (out of the total Rs 2,250 crore)
by 2009, followed by search’s Rs 742.5 crore, and display advertising bringing in Rs 607.5 crore.
This is by far the most optimistic estimate of online advertising in India made by any research
agency. The IAMAI estimated in 2006 that Internet Advertising would grow at 40 per cent and reach a value
of Rs 750 crore by 2010. The FICCI-PWC reported in March 2007 that puts the figure at Rs 950 crore.
Internet penetration in India is estimated to have grown at an average of 60 per cent between 2000 and 2006.
Yet, it is difficult to believe that online advertisers, a reluctant lot, will change their mind enough in
two years to multiply their spend by 10.15
QUESTIONNAIRE
This is a questionnaire as a part of an effort to gauge the E-Marketing in India. Your sincere and
honest cooperation is expected.
Name: __________________________________
Age: ___________________________________
Sex: ___________________________________
Qualification: ___________________________
Occupation: _____________________________
Address: _______________________________
_______________________________________
Email: ________________________________
1. How would you like to make a purchase, please give the ranking from 1(most favorable) to 5(least
favorable)
a) Directly from the shop
b) Through mail-order
c) Through net
d) Through phone
e) Any other (specify)______________
2. For how many hours on an average do you surf net in a week? _______
3. With the falling Internet prices from RS. 40 an hour to RS. 5 an hour how many hours will you surf net
in a week. ______
15
http://e-marketingindia.blogspot.in/
10. 4. For what purposes do you surf net:
a) E-mail/chat
b) Entertainment
c) Getting information
d) Downloading
e) Buying things
f) Any other (specify)
5. Have you ever used Internet for purchasing? Yes No
If No
6. Are you planning to make purchase on net in future.? Yes No
7. What kind of products would you like to buy on net? Please mention.
a) _________________
b) _________________
c) _________________
d) _________________
e) _________________
8. How often do you click on advertisement on sites?
a) 0 to 10% of the time.
b) 10 to 25% of the time.
c) 25 to 50% of the time.
d) 50 to 75% of the time.
e) 75 to 100% of the time.
9. Do you feel ads on net give more insights of product/service than other media? Yes No
10. Do you receive mail from business sites? Yes No
11. How often do you respond to it? Please mention the percentage. ______
12. Please mention what factors motivate you or stop you from making purchase on net.
a) Motivate you:
i. Convenience
ii. Secrecy
iii. Wide range of choices
iv. Saving of time
v. Any other (specify) _________________________
b) Stop you:
i. Security
ii. Late delivery
iii. Wrong delivery
11. iv. Lack of actually feeling the product
v. Any other (specify) _________________________
Thanks for sharing your valuable time for filling of our questionnaire.
References
(Source: Worldata, http://www.worldata.com/wdnet8/articles/the_history_of_Internet_Advertising.htm)
1. www.ciaadvertising.org
2. www.doubleclick.net
3. www.adage.com
4. www.banner-mania.com
5. www.searchenginewatch.com
6. www.googlee.com
7. www.scholar.google.com