E-Commerce and Direct Marketing Plan

Checklist to Success

Step One – Executive Summary

be no more than 10% or so of the length of the main

report be written in business/professional style consist of short and concise paragraphs with a title

sentence and 2-3 support phrases Begin with a summary of the purpose of the project Be ordered with discussion similar to primary document only include material present in the main report – no

winging it! Summarize findings/recommendations provide a justification for findings Include a conclusion Be inserted immediately following the table of contents

Step Two - Situation Analysis

Internal› Covers the four P’s – product, place,

distribution and pricing External

› Marketplace and marketing environment› Economy› Legal› Competition

** Discusses the importance of the information and includes some discussion of analysis

Target Group Profiles & SWOT Analysis – Traditional Approach

Who are you wanting to communicate with and what do you want the response to be?

Potential Variables› Demos› Geographics› Behavioristics

Psychographics Intended Usage Usage Rates Occasion?

Opportunities and Issues Analysis› SWOT

Market Segmentation

Markets are not unitary› Various customer needs exhibited› Differentiation enables firms to match

their products to meet the needs of customers in each segment

› Can increase revenues by modifying goods to better meet expectations and needs

Marketing Products from Product to Brands

Marketing consumer research

ConsumerProduct Design

Core ProductPrimary benefit

Branded

Product

Augmented Product

Differentiating featuresQuality SupportPrice Reliability

Create Expectations TrustAffectionLoyaltyReputation

Consumer Experience

Major Types of Online Market Segmentation and Targeting

Behavioral – based on behavior in the market, observe behavior in the market

Web site owners and members of advertising networks can dynamically assign users to groups, and merge their behavioral information with other

data. Using preferences and mentions on social

networks to assign ads to individuals and network groups of friends

Demographic – using age, religion, and other demos to segment. › On the Internet, using registration data or other self-

revelations. Sites visited are also a proxy for age. (i.e., music sites tend to be visited by younger consumers.

Major Types of Online Market Segmentation and Targeting

Psychographic – using common interests, values, opinions along with personality, attitude and lifestyle preferences to segment customers into groups. › On the Internet websites can

substitute for direct measurement e.g., the fashion web sites visited by consumers reflect a self-chosen lifestyle and values.

Major Types of Market Segmentation and Targeting

Technical – using information gathered by a shopping technology as a basis for segmentation. Nearly everyone who shops at the malls owns a car. › On the Internet, each consumer visit

generates a recorded of the user’s domain, IP address, browser, computer platform, and connection type as well as the URL the user linked to the site from, and the date and time. People who connect via broadband media, for instance, are much more likely to download music and video from the Internet.

Major Types of Market Segmentation and Targeting

Contextual – using the context of the event, or the content of an event, as a basis for segmentation. People who attend rock concerts tend to purchase music, CDs as well. On the Internet, people who read online

Wall Street Journal are very good targets for financial service advertising.

Search – using consumers’ explicitly expressed interest at this moment to segment and target. Perhaps the simplest of all segmenting, search direct response follows the ageless maxim “sell them what they want.”

Marketing StrategiesTarget Marketing

Differentiation› Differentiated Marketing, Niche

Marketing (focused)› Mass Market Marketing

Positioning – perceptual mapping Uniqueness

Goals and Objectives Quantitative

› Build lead database› Acquire new customer› Cross-sell› New product introduction› Prospect cost per lead› Acquisition cost› Retention› Win back cost› ROI – return on investment (total or related to e-

commerce and direct marketing) Qualitative

› Increase Customer Satisfaction, enhance brand satisfaction

Tactics

Goal› To win the war

Objective › To win the war in twelve months

Strategy – an idea of how the goal could be achieved› Divide and Conquer

Tactics – action to execute the strategy› CIA spies gather intelligence› Navy Seals knock out enemy communications› Paratroopers secure the airport

Test Plan

Test your media selections› Do you reach the customers you

anticipated? Does your offer generate

responses? Do you visuals tell the story,

capture attention? Copy – is it easily comprehended

and include relevant information?

Budget/Financial

How much does your media cost?› Placement, reach, CPM, quantity discounts?

BEP ?

E-Commerce and Direct Marketing Strategy & Campaign Plan Checklist

Objectives › Primary (sales, response)› Secondary (brand awareness, familiarity)

Marketing Message – “The Promise” Product/Service Description – benefits, benefits,

benefits Customer Problem Creative Must Solve Media Plan

› Media Mix – when, where and how will you deliver the message

› Budget – frequency and placement costs

E-Commerce and Direct Marketing Strategy & Campaign Plan Checklist

Creative Strategy – Know your audience interactive approach with media selections

Offers and Call to Action – hard offers, soft offers

Direct Marketing Essentials – urgency, ways to respond, messages/affiliation to reduce risk in mind of consumer

Copy/Layout Legal – know FTC, FDA and FCC advertising

guidelines, disclaimers and self-regulation

Fundamentals

The right offer to the right person at the right time› Aperture, problem solution

Relevancy and personalization are ways to win better response in direct marketing

Test, test, test Track, track, track