E Marketing Week10
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Transcript of E Marketing Week10
MKTG2032 / MKTG7037 E-Marketing
The Internet. Neither a truck nor a series of tubes
MKTG7037 / MKTG2032
E-marketingWeek n+1 where n=“last week”
Course StructureWeek No Week beginning Topic(s)/Task(s)
1 19 February Chapter 3 Unique features of internet-based marketing
2 26 February Chapter 4 Consumer behaviour
3 5 March Chapter 5 Creating cybercommunities
4 12 March Chapter 6 Applications for business and non-business
5 19 March* Chapter 7 The internet in marketing strategy
6 26 March Chapter 8 The role of product in internet marketing
7 2 April Chapter 9 Promotion: the internet in the promotional mix
8 23 April Chapter 10 Promotion 2: the internet as a promotional medium
9 30 April Chapter 11 Pricing strategies
10 7 May Chapter 12 Distribution
11 14 May Chapter 13 Services marketing online
13 28 May Chapter 14 Relationship marketing
12 21 May Chapter 15 International marketing
Assessment Due Dates
Task Weighting Due• Essay Registration 01 March 16• Solo Assignment 20 March 26• Group-Optional Essay 29 May 21• Final Examination 30 June• Online Forum 20 During semester
MKTG2032 / MKTG7037 E-Marketing
The Internet. Neither a truck nor a series of tubes
Now, a very serious question of internet related
matters
Pirates versus Ninjas?
LOLPIRATES AND ICANHASNINJASTARCATS DO NOT COUNT
Twitter Redux
• Just when you thought I had a life*– http://twitthis.com/
*Actually you probably didn’t…
Second Life
• A Supercharged Hoover Deluxe in a world of vastly superior alternatives.– (And if I’m wrong, I don’t care. I still don’t like the
current implementation)
SL v WoW
World of Add-on Packs
• Wow Basic– Not good
• WoW + 3rd Party Plugins– ROCK ON!
MKTG2032 / MKTG7037 E-Marketing
The Internet. Neither a truck nor a series of tubes
Distribution
Oh yeah, the content
Reputation Distribution
• People can make or break companies.• People make the difference between
relevance and obsolescence.• People foster innovation, or kill it dead.• People are your ticket to growth and
success. – http://thebrandbuilder.blogspot.com/2007/05/p
eople-principle.html
Social Media as a Distribution Hub
• del.icio.us • Digg it • ma.gnolia • Yahoo MyWeb • Google • StumbleUpon
• If the product is data, ideas or reputation, the shipping agency is other people
Web2.0 Distribution metaphors
• I think of Velcro as an analogy for how Web 2.0 works by allowing for lots of little connections. Viewed one way, it's messy. Viewed another it's rather beautiful. And offers the possibility of a lot of grip...
• http://www.johnniemoore.com/blog/archives/001748.php
MKTG2032 / MKTG7037 E-Marketing
The Internet. Neither a truck nor a series of tubes
Distributions and the Mix
Distribution and product
• The first and foremost aspect of the impact of distribution is that it determines in part what product can be offered through the Internet channel
• Three elements of information-based marketing– Digital transmission of information– Interactive transmission of information– Individualised transmission
Distribution and price
• Consumers have problems with cost of shipping
• uncertainty stems from the following:– Shipping speed– Viability of shipping fragile or perishable goods– Local alternatives for face-to-face pick-up
Distribution and Promotion
• Ideas / brands / reputation can be distributed as they’re promoted
• Promotion v marketspace
• An area to look to your own experience for an example and answer.
• http://blog.digg.com/?p=74
MKTG2032 / MKTG7037 E-Marketing
The Internet. Neither a truck nor a series of tubes
Distribution.
Determining the right distribution
• Mols (1998) outlines a three-step model to determine distribution:– Ask first– How can the services be provided?– What are the costs of the alternative channels?
Marketspace: the place of electronic distribution
• Marketspaces are an artificial intangible market for information. A marketspace is defined by three parameters:– Content: the idea or information being traded– Context: the digital channel– Infrastructure: the Internet
Marketspace, marketplace and the value chain
Source: Weiber, R. & Kollman, T. 1998,
‘Competitive advantages in virtual
markets –– perspectives of
information-based marketing in
cyberspace’, European Journal of Marketing, vol. 32,
no. 7/8, pp. 603–15.
Big issues in Internet distribution
• Channel conflict:– Channel conflict– Territory– International
distribution
• Non-store distribution:– Offering a money-back
guarantee– Offering well-known
brands– Selling at a reduced
price
• Contemporary Distribution Issues– Physical delays in
shipping– Peer2peer networks– Copyright, patents,
legal blocks, DRM and EULA
– Last mile capacity
Technical implications of Internet distribution
• Technical considerations of distribution channel on the Internet are affected by the type of product and the nature of the distribution channel:– Non-store information channel– Non-store reservation channel– Non-store purchase and distribution channel
• Keeping it real– Network access– Server capacity– compatibility
Compatibility
• Technical– Windows
• Which flavour?
– Linux• Which build?
– Mac• Which version?
• How new?– Bleeding edge– Cutting edge– The rest of the
population
• Rogers’ five features of innovations:– Relative advantage– Compatibility– Complexity– Trialability– Observability
Rules for compatibility for e-distribution
• There are five general rules for establishing compatibility to the widest market:– Use the widest protocol.
– Macintosh, Linux and Unix users may also like to see products.
– Accept that the bleeding edge/cutting edge is the narrowest part of the user base.
– Use Mols (1998) to establish distribution.
– Provide free software if you must establish unique protocols.
Strategic value – last mile solutions
• four forms of ‘last mile’ solutions for the movement of physical goods ordered online:– Unattended home
delivery– Attended home delivery– Reception boxes– Shared reception boxes
• Bear box– www.bearbox.com
Discussion Questions for the Board
• Define ‘marketspace’ in your own words.
• Give an example of a set of marketspaces that do not have a physical world marketplace counterpart.
• Can a marketplace exist without having a marketspace associated with it?