The Opportunity

Online in Australia still in its

infancy Ecommerce represents 3% of retail

spending in Australia whereas in the UK and

the US 7-8% of all retail is done online. (Deborah Sharkey, MD eBay Australia)

$23B spent online in 2008 and

$32B estimated by 2012 9% annual growth rate. (Forrester Research)

• 75% of Internet users research

health online (Pew Research Foundation)

Customer Service as a Marketing Tool Zappos.com – delivering WOW! through service and they

have the revenue and return customers to show that it works. Recently acquired by Amazon for $1.2B USD.

Everything that improves the customer experience is really a

marketing expense. - Tony Hsieh, CEO

Zappos.com

Does this make customers happy? Yes

Will they buy again? Yes

Will they tell their friends? Absolutely

Online Marketing Breakdown

Based on a survey of the

top ecommerce sites in the

US. Nov/09.

1. Website (27%)

• None of the other marketing will achieve its potential if when they get to the

site they can’t find the product or become frustrated with the useability.

“Web sites have become the hub of marketing strategy for many organizations. As such, the majority of content stored on a company Web site is created as the destination point for visitors arriving from email, search and other marketing campaigns.”

Website Objectives

1. Generating Online Sales (ecommerce)

2. Driving sales to offline stores

3. Growing the brand to promote further group

expansion

• “For every $1 of sales captured online, a further $3 is

driven to its bricks and mortar equivalent.” - Google.

Website enhancement

Usability Easy and Intuitive to navigate, clear pictures and information.

Dynamic website which promotes: Seasonality, highest margin products, or for specific events

Up-selling to increase avg. basket value

Online Assistants,

Video Blogs filmed in store

Streamlined checkout process

Loyalty program – 10% off for members

2. PPC & SEO (21% & 10% of pie)

Used for customer acquisition rather than loyalty

Once we get them, we then use email

marketing, social networks and outstanding

customer service to turn them into loyal

customers.

Already in good hands – as long as there’s ROI then

keep increasing.

Currently may account for 85% of the pie.

3. Email Marketing (19%) Enormous potential to create an ongoing relationship and leverage

repeat business.

Target emails to what their

interests are based on

previous purchases

Time for a refill? Click here

and they’ll be on your

doorstep in 24 hours

Happy Birthday! – treat

yourself to something nice

with 25% off.

Get feedback on what they

bought.

Personalised emails deliver results

“The Power of Personalisation - Blackmores Online

Success Story:

Result: >50% open

rates for

personalised

emails

4 X the CTR of non-

personalised

emails.

4. Social Media (11%)

When businesses creates a dialogue with their customers using interactive-marketing strategies, they show the public that they care about the customers' experience before, during, and after the sale.

- Marketing Profs.

Reasons to Embrace Social Media Growing brand/website awareness

Customer service and feedback channel

Promotion of events & special deals

Word of mouth is the #1 influencer of purchases

Does not require a media budget

Viral effect can carry a message a long way

Among top 100 Brands (US), those using social

media saw 18% lift in revenue (Altimeter/Wet

Paint)

Social Media in Action…

Advertising/Partnering with Blogs – cheap & targeted advertising

Comparison sites

Forums

Coupons

Promoting offline stores on free classifieds sites - True Local, Hot frog,

Aussie Web etc…

5. Online Display Advertising and Other Marketing

(12%)

Roadmap

Optimise website

Increase demand for the Brand

Engage and Interact

Measure Results

Mark Segal

marksegal1@yahoo.com.au