Online Marketing

1. Online Marketing
Gaurav Awasthi

2. Online Marketing
• Online Marketing is the fastest growing form of
Direct Marketing.
• Recent technological advantages have created a
digital age.
• Big Data - 90% of World’s data present today is
created in last 2 years
• This has wide impact on buyers as well as sellers.
• Marketing strategy hence has to adapt to take
advantage of today’s technology.
• Online Marketing is thus company’s efforts to
market products and services and build
relationships over the internet.

3. Marketing and Internet
• Consumers spend 100 billion dollars everyday
Online!
• Internet is a vast public web of computer
networks, connecting people all across the world
and has large information repository.
• Internet Penetration has already crossed 2 Crore
households in India.
• The web has dramatically changed consumer’s
notions of convenience, speed, price, product
information and services.
• As a result, it has given marketers a whole new
way to create value and build relationships with
the customers.

4. Classification of Online Businesses
• All types of companies now market online.
Click-only Companies Click-and-mortar companies
•They operate only on internet
•They include wide array of firms.
•E.g. e-tailers such as Amazon.com
and makemytrip.com that sells
product and services directly to the
buyers via internet.
•Search Engines and Portals –
Yahoo, Google, MSN
•Transaction sites – ebay
•Content Sites – Times of India on
internet, encyclopedia britannica
•As internet grew the successful
brick-and-mortar companies
started to re-examine their existing
business models.
•Now almost all traditional
companies own online sales and
communication channels
becoming, Click and Mortar
Companies.
•E.g. Successful retail chain
BigBazar started their online bazaar
called www.futerebazaar.com
where you can search their
extensive catalogue for information
and make purchase.

5. Online Marketing Domains
• Online Marketing can be classified by who
initiates it and to whom it is targeted.
Targeted to
consumers
Targeted to
Businesses
Initiated by
Business
B2C
(Business-to-
Consumer)
B2B
(Business to
Business)
Initiated by
Consumers
C2C
(Consumer-to-
Consumer)
C2B
(Consumer-to-
Business)

6. Business-to-Consumers (B2C)
• B2C – business selling goods and services to final
consumers has garnered the most attention by popular
press.
• People buy rail tickets from irctc.co.in, books and
gadgets from flipkart.com, clothing from
futurebazaar.com similarly almost everything online
these days.
• Still, internet consumers differ from traditional offline
one in their approaches to buying(self initiated) and
response to marketing ( more personalized).
• Hence companies interact more personally with
consumers and offer wide array of options. E.g. irctc
has recently started selling apparels, gadgets etc also in
addition to ticket and hotel booking sales.

7. Business-to Business (B2B) online
marketing
• Businesses using B2B websites, e-mail, online
catalogues, online trading networks to reach new
business customers, serve current customers
more effectively and efficiently.
• A personal sales call costs approx 320$ more per
contact and hence can be used only for specific
customers.
• E.g. corporate buyers can visit Sun Microsystem’s
site and select detailed description of Servers,
request sales and interact with technical persons.
• Cisco and Dell takes more than 80% of their
orders online.

8. Consumer-to-consumer (C2C) Online
Marketing
• Online exchange of Goods and services between
final consumers.
• E.g. Ebay.com online auction and trading, olx.com
etc.
• C2C means online buyers not only consume prod
and information they also create it.
• Marketers are also targeting approx 15 million
active bloggers read by 57 million people
everyday.
• Tripadvisor.com offers reviews of hotels and
destinations by certified felloe travelers and
users in turn contribute themselves also.

9. Consumer-to-Business (C2B)
• Online exchanges in which consumers search
out sellers, learn about their offers and initiate
purchases, sometimes even driving
transaction terms.
• E.g. using priceline.com you can not only
know the cheapest airline tickets, hotel rooms
etc but also bid with your offer and seller
decide whether to accept the offer or not.

10. Setting up an Online Marketing
Presence
Conducting
Online
Marketing
Creating a
website
Setting up
Online social
networks
Placing ads
or online
promotions
Using e-mail

11. Creating a Website
• Types of Websites
– Corporate or Brand Website: a website designed
to build customer goodwill, collect customer
feedback and supplement other sales channels,
rather than to sell the company’s products
directly. E.g. Dove’s www.campaignfor
realbeauty.com
– Marketing Website: A website that engages
consumers in interaction that will move them
closer to a direct purchase. E.g. www.sony.com
consumers can learn about products, promotional
campaigns, hot deals and place orders online.

12. Designing Effective Website
• Context: The site’s layout and Design
• Content: the text, pictures, sounds and videos that a
website contains
• Community: the way that the site enables user-to-user
communication
• Customization: the site’s ability to tailor itself to
different users or to allow users to personalize the site
• Communication: the way the site enables site-to-user,
user-to-site or 2 way communication
• Connection: the degree that the site is linked to other
sites
• Commerce: the site is capable for commercial
transactions.
• Constant Change: Keep redefining the content and
interactions

13. Placing Ads and Promotions Online
• Forms of Online Advertising:
– Most common form is Banners found anywhere on
the page. E.g. if you are looking for cheap air tickets
the banner for cheap hotel rooms may appear.
– Interstitials are display ads that appear while screen
change.
– Pop-ups are online ads that appear suddenly in a new
window.
– Rich Multimedia Ads which incorporates animation,
video, sound and interactivity
– Search Related Ads comes on top of search window.
E.g Google Ad-words program

14. Other Forms of Online Promotion
• Content Sponsorship: Sponsoring information
such as mutual funds basics
• Alliance: Work with other companies to
promote each other.
• Affiliate Programs
• Viral Advertising: The internet version of
word-of-mouth. Recent Video of Modi-Modi
chant during RG’s appearance at wankhede.

15. Creating and Participating in Online
Social Networks
• Very Important to be present where people
interact, socialize and gather information.
• They may create their own page or create a
new social page for like minded people’s
interaction. E.g. www.Jaagore.com to discuss
the poll related contents and register as a
voter.

16. Using E-mail
• Personalized, non-intrusive to-the-point mails.
• Interactive and Multimedia rich. In-build
video.
• Nice way to contact loyal customers. E.g
Naresh Goyal, Jet Airways sends personalized
mail on the birthdays of Frequent Flyers.