AProject Report

On

“STUDY OF STRATEGIES AND CHALLENGES IN ONLINE MARKETING WITH REFERENCE TO ANAKIN MANAGEMENT PVT.

LTD. PUNE"

SUBMITTED TO

SAVITRIBAI PHULE PUNE UNIVERSITY

FOR THE PARTIAL FULFILMENTOF THE

BACHELOR OF BUSINESS ADMINISTRATION(B.B.A.)

BY

MR. MOUIZZ GHOUSE SHAIKH

UNDER THE GUIDANCE OF

Prof. Deepika Kininge

THROUGH

ANJUMAN KHAIRUL ISLAM'S

POONA COLLEGE OF ARTS, SCIENCE & COMMERCE, PUNE

ACADEMIC YEAR2015-2016

DECLARATION

I, hereby declare that the project report entitled on “STUDY OF STRATEGIES AND CHALLENGES IN ONLINE MARKETING WITH REFERENCE TO ANAKIN MANAGEMETN PVT. LTD. PUNE” is an independent research carried out by me during the internship period, under the guidance of Prof. DEEPIKA KININGE

I have not copied from any report submitted earlier to Savitribai Phule Pune University, I understand that any such coping is liable to be punished in a way that the University Authority deemed this.

Place: - Pune

Date: -

Mr. Mouizz G. Shaikh

Acknowledgement

The work on this project has been an inspiring, often exciting, sometimes

challenging, but always an interesting experience.

Any project is never an individual task, it is a contributory effort of many hearts,

hands and brains. I sincerely feel that the credit of the project cannot be narrowed

down to only one individual. This task is the outcome of the integrated efforts of

all this associated with it, whose able guidance has enabled its completion.

I would like to thank the principal of our college Dr. Rafique Sarkhawas who gave

me this opportunity.

I fell short of words to express my deep sense of gratitude to the management of

“Anakin Management Pvt. Ltd. Pune” for providing me this opportunity to work

with them. I would also like to thank Mr. Pritul Sangvi, Ms. Madhura P Kulkarni

and all my fellow colleagues who supported me at all times. This ensured the

prompt completion of this project.

At the very outset, I wish to thank Prof. Deepika Kininge for giving me the

opportunity to participate in this interesting research project, that helped me gain

insights into the Internet World. He has supported me with his guidance, insights,

encouragement and many a fruitful discussion on Online Marketing.

This acknowledgment would be incomplete without expressing my sincere

appreciation to all my friends who spent their precious time in filling up the

questionnaires which formed the base of this research.

INDEX

CHAPTER NO. CONTEXT PAGE NO.

Cht.1 INTRODUCTION 11.1 Objective of Study 41.2 Research Methodology 51.3 Scope of Study 61.4 Limitation of Study 7

Cht.2 COMPANY PROFILE 92.1 Introduction of Company 102.2 Organization Chart 112.3 Mission & Business Strategy 122.4 Success Stories 14

Cht.3 THEORETICAL BACKGROUND 16

3.1 Introduction 173.2 Objectives Of Online Marketing 193.3 Features Of Online Marketing 203.4 7P’S Of Online Marketing 223.5 Types Of Online Marketing 243.6 Understanding The Online Customers 313.7 Critical Success Factors In Online Marketing 353.8 Benefits Of Online Marketing 37

Cht.4 DATA REPRESENTATION & INTERPRETATION 39

4.1 Questionnaire 404.2 Graph Analysis 42

Cht.5 FINDING & OBSERVATION 49

Cht.6 SUGGESTION & CONCLUSION 55

Cht.7 BIBLIOGRAPHY 57

Chapter 1 . Introduction

1.1 Objective of the Study

1.2 Research Methodology

1.3 Scope of the Study

1.4 Limitation of the Study

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INTRODUCTION

As the Internet is now part and parcel of our daily life with a lot of activities being

performed online, it presents a lucrative opportunity for all kinds of businesses.

With innumerable visitors visiting the cyberspace to satisfy their varying

requirements, online Marketing of products or services has become indispensable

these days. However, during the initial days, this form of Advertising was targeted

at the elite class of society only. At that time, it was a dream for many to maintain

a computer system and an Internet connection. Therefore, online Marketing was

not considered a profitable option.

When the world entered the 21st century, the scenario for Online Marketing

showed an upward trend with huge investment and incredible returns on

investment. The concept has gained so much momentum now a days that if a

business is not undertaking any online Marketing campaign, it is regarded as a big

blunder, resulting in the potential loss of revenues. The present state of affairs of

this promotional medium revolves around search engine optimization, pay-per-

click management, display advertising, text advertising, affiliate Advertising,

ecommerce newsletters, website lead generation, and classifieds.

Many experts are of the same view that both web promotional companies and

online business owners currently seek more accountability. The majorities of

Online marketing companies have a desire to evaluate and find out the efficiency

of their campaigns to the limit. Similarly, the clients are very keen to know

precisely how effectual the campaign is and what sort of returns on the investments

can be expected. As a result, the industry has witnessed the development of

numerous innovative and sophisticated tools that allow companies as well as their

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clients to obtain meaningful and helpful information implementing different

analyses.

One more trend that has been observed recently is the continually mounting costs

of pay-per-click (PPC) that has resulted in the increased disappointment with this

form of search engine Advertising. According to experts, the reason behind such

high costs is the huge investments made by large business concerns. Consequently,

online business owners have now turned to the organic search results delivered

through search engine optimization to enjoy so many advantages. There is

currently more emphasis given to user-generated content, improved conversion

rates, location- or language specific campaigns, and E-mail newsletters.

The future of online Marketing is going to be more interactive with elevated

bandwidth and computing speed. Viewing and transmitting videos will be a

cakewalk for web surfers. There is also every possibility of witnessing browser-

specific results in the coming days. Social media will consolidate their dominance

further. They will not only make more revenues, but will grab the attention of more

and more users as well. As far as search engine optimization is concerned, the

search engine algorithms and link determination factors will be complicated

further, thereby giving a hard time to online Marketing companies. Websites will

be a lot slimmer to enhance user browsing experience. Last but not least, video

search will grow in prominence with the potentiality to dictate the terms in the

world of Online marketing.

The Internet has become a large market for companies; some of the biggest

companies today have grown by taking advantage of the efficient nature of low-

cost advertising and commerce through the Internet; also known as e-commerce. It

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is the fastest way to spread information to a vast amount of people simultaneously.

The Internet has also greatly facilitated personalized Advertising, which allows a

company to market a product to a specific person or a specific group of people

more so than any other advertising medium.

Examples of personalized Advertising include online communities such as

Fropper.com, Masti4india, Orkut, and others which thousands of Internet users join

to advertise themselves and make friends online. In turn, when they advertise

themselves they advertise interests and hobbies, which online Marketing

companies can use as information as to what those users will purchase online, and

advertise their own companies' products to those users.

The success of many companies that have adopted and integrated the Internet into

their core activities is impressive. Their growth has reached phenomenal levels in

such a short time. How did they do it?

This project seeks to study the experiences of some Internet ‘stars’ by investigating

their winning characteristics and strategies. Some examples taken in this project

report include: yahoo, Google, eBay, Amazon, air Deccan, makemytrip.com,

pvrcinemas.com, Microsoft, Encarta, monster.com, etc

Online advertisement is an increasing business at the Internet and it continuously

grows together with the expanding use of Internet services. There are often a gap

between the economical understanding in a business and the technical

implementation. The lack of understanding between the different directions often

results in software that has not been fully worked out.

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1.1 OBJECTIVES OF THE STUDY :-

1. To study the strategies in online Marketing.2. To find the effectiveness of Online Marketing (reach and creation

of awareness).3. To find the reliability of Online Marketing (recall and

remembrance).4. To identify the challenges in online Marketing.5. To make sure the business is listed in all the most popular search

engines and directories.

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1.2 RESEARCH METHODOLOGYResearch designThis is a descriptive research as it will clarify the doubts about online marketing.It would give us a clear picture on the effectiveness and reliability of online marketing compared to the traditional form of advertising.

Data collection Primary data: Questionnaire, Personal Interview, Interview with Marketing

Professional Secondary data: Online reports related to advertising

Sample universe Basis of sampling:

Sample should be a user of internet or should have knowledge about internet

100 numbers in all

Sampling Design:Judgmental Non Probability sampling can be used to select the individual units for better productivity of the questionnaire. A well educated person may be able to reason out the questions in the better way.

Sample size : 100 respondents

Sampling Method : Random sampling

Sample Unit : Must be an internet user

Measuring Tools : Questionnaire

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1.3 SCOPE OF STUDY

Advertisers are expected to spend Rs. 22,500 million in online marketing in the year 2009 third only to TV and Print ads, which is around 5257% more than that in the year 2004, compound percentage increase of 124% over the last 5 years. This is the new age of advertising.

It is true that people have started realizing that internet can serve as a one stop point for all their needs. Be it communication, entertainment, shopping, information search, internet serves as a panacea for all their requirements. This has led 70% of the ever users to glue themselves to the Internet and access it on a regular basis. This is an opportunity for advertisers to exploit this revolution. But, is it the end of traditional marketing? Is online marketing effective and efficient compared to the traditional form?? Does it fulfill the basic objectives of marketing (create awareness, to generate sales, build positive image, etc…)???

The problem is that, volumes of consumers are online everyday for their personal work, but do they notice the ads, banners etc. displayed on that webpage, most important what is their recall/remembrance value. What about the reach of online marketing, is it effective across over all target groups? We have trusted traditional marketing all these years and it’s a 32 proven medium that fulfills all the objectives of marketing, can one have the same trust for online marketing…

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1.4 LIMITATIONS OF THE STUDY

Money: - Online Marketing is not free as the cost of hardware, software, wed site design, online distribution costs, and maintenance of your site and yes time, all should be factored into the cost of providing your product and service.

Security: -   Is your website safe? Because of the fear of website’s security, many of the visitors will not want to use their credit card to make a purchase if they don’t know that your site is secure.

Competition: - A lot of competition for your product already out there. When your visitor finds you then it means they have been checked many links already. Until and unless they can find what they are looking for quickly, they are gone.

Tangibility of Products: - The consumer is unable to physically feel or try on the product which can be a limitation for certain goods. However a survey of consumers of cosmetics products shows that email marketing can be used to interest a consumer in visiting a store to try a product or to speak with sales representatives; from here a purchase decision can be made.

Physical Interaction: - The marketer will not be able to use personal interaction to influence the audience as the marketing is completely based on the advertisement and the information that the advertisement might lead to (websites, blogs and other channels).

Lack of Trust: - One of the major disadvantages may be the lack of trust of the users because of the constant virtual promotions that appear to be frauds. This is an aspect that deteriorates the image and reputation of quality and honest companies.

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Chapter 2 . Company Profile

2.1 Introduction

2.2 Organization Chart

2.3 Mission & Business Strategy

2.4 Success Stories

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COMPANY PROFILE

2.1 INTRODUCTION

Anakin Management Consultants Pvt. Ltd is a Haria Group company, in the business of Strategic Management and Recruitment Services to provide end to end solutions spreading across the business value chain ensuring tangible results.

Anakin stands for a 'warrior', and as rightly said, "To a real warrior, power perceived may be power achieved."

Anakin is a brainchild of Haria Group of Companies, Mumbai, India. From its modest journey way back in 1956 beginning with trading in cloth, today, after more than five decades, the Haria Group has grown into a reputed and outstanding Industrial Group engaged in a variety of activities.

Companies under the group are engaged in diversified businesses, covering Textiles, Plastics, Engineering Products, Ready-made Garments, Spices, and Cotton Yarn several countries across the globe.

Standing tall as a legend in the industry the Haria Group continues its legacy with the conception of Anakin Management Consultants Pvt. Ltd. in 2009, poised to serve organizations in their growth and transformation phase.

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2.2 ORGANIZATION CHART :-

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2.2 MISSION & BUSINESS STRATEGY

"Anakin aspires to be the most preferred business partner to enable organizational growth and performance"

We believe that a clear vision paves the way for positive short term objectives and long term directions, giving rise to strategic actions and finally ending in productive results.

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Bima Business is a Division of Anakin Management Consultants Pvt. Ltd., which is a Haria Group company. Bima Business is India’s largest online destination for becoming an insurance Advisor. Since Anakin’s inception in June 2009, we have hired more than 10,000 Successful advisers for different companies like Max Life Insurance, ICICI Prudential Life Insurance, Kotak Mahindra Life Insurance, and Exide Life Insurance.

What does Bima Business do?In layman’s term, what we do is hire ‘Quality’ insurance advisers for our partners. We work on their behalf and get them the right personnel who will help in achieving the collective dream of any insurance agency.We have been in this business for years and through our expertise in the field of recruitment we make hiring look easy!

OUR PARTNERS

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SUCCESS STORIES

Punita Gupta

B.com, MA, AFP, LUTCFIRDA Qualified for Life and General Insurance MDRT Life and Qualifying Member for 12 years with 5 years COT Business partner with ICICI Prudential life insurance co ltd. Having built a client base of 2500+ and travelled 11 countries, I can say I have enjoyed every day of my 12 years working as an insurance advisor. When I came into this profession, my kids were too young and I had responsibilities at home. Being your own boss as well as meeting and getting to know people are the best parts about my job! This made me realize that I could tackle personal as well as professional life very easily. All of my clients are now part of my extended family who knows that in times of need, I will be there to help them!With experience, the earning pot just gets bigger and bigger but that is not the only highlight about being an insurance advisor! I love travelling and this profession helped combine two of the things I love – Travelling and Work! I have travelled many countries including Malaysia, China, Italy, Greece, Australia, Moscow, Spain, Germany and UK! This is truly a profession that rewards you and makes you feel satisfied after a good day of work.

Vanshika Aggarwal

Agent Adviser, Private Life Insurance Company, New DelhiBeing an Insurance Advisor is a tough job that requires dedication but, the better you do the bigger the rewards! I have travelled to Dubai, Bangkok and Singapore as a part of work. With over 200 clients, I have gotten to know them really well over these years.

Renewal income and the gifts I receive have made be independent despite being a housewife! If you are a housewife looking for a great profession to be in, Being an insurance advisor is your answer! When you’re in this profession, You converse with many people and realize how much respect people have for insurance advisors. I am so proud to be in this Noble Profession.

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Nilesh Mehta

CLI- Chief Life Insurance Agent, Life Insurance Corporation Mumbai.With many laurels won over 25 years and trips to Dubai, Singapore & Malaysia, I can say that it was indeed a great journey working as an insurance agent. I truly believe dreams and aspirations can be fulfilled at any point of time in life. I always wanted to work independently and yet be able to give time to my family. Being fantasized by the idea of being my own boss I started working as a travel agent. Challenges in life lure me & so looking at the insurance sector made me feel that this is a challenging industry & I can take this up as a profession.

With great communication skills, convincing power & motivation I plunged into this sector. When I joined Insurance industry, it was limited as tax saving instrument & was not accepted widely as financial return base. It was a task to change the rigid perspective of the people towards this sector, make them understand how beneficial insurance actually is & clear their misconception that this typically a commission oriented business. Today my client base ranges to approximately 1500 clients & I handle and have settled nearly 50+ claims of Non life insurance & 3/4 life insurance claims. I sell various bonds and policies viz. including RBI bonds , in general insurance mediclaim policy, personal accident policy ,cancer insurance policy, motor insurance ,Bike policy, workman’s compensations policy, contractor all risk, burglary, professional & doctor’s indemnity, mutual fund and private company fixed deposit. I really like this work as at the end of the day it leaves you content & awarded.

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Chapter 3 . THEORETICAL BACKGROUND

3.1 Introduction

3.2 Objectives of Online Marketing

3.3 Features of Online Marketing

3.4 7p’s Of Online Marketing

3.5 Types of Online Marketing

3.6 Understanding the Online Customers

3.7 Critical Success Factors In Online Marketing

3.8 Benefits of Online Marketing

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Theoretical Background

3.1 INTRODUCTION:-

Marketing is carried out with the intent of reaching out to a maximum number of people in exchange of minimum cost. When Internet was still in its formative years, marketing people used to depend on traditional media such as television, radio, handbills, billboards, newspapers, and magazines.

Today, the Internet is premium source for promoting your business. There has been a rapid rise in the number of internet users since last few years. Thus Internet is the lucrative place to promote the business.

WHAT IS ONLINE MARKETING?

Online marketing is a form of promotion that uses the Internet and World Wide Web for the expressed purpose of delivering marketing messages to attract customers. Examples of online marketing include contextual ads on search engine results pages, banner ads, Rich Media Ads, Social network advertising, online classified advertising, advertising networks and e-mail marketing, including e-mail spam.

Online video directories for brands are a good example of interactive advertising. These directories complement television advertising and allow the viewer to view the commercials of a number of brands. If the advertiser has opted for a response feature, the viewer may then choose to visit the brand’s website, or interact with the advertiser through other touch points such as email, chat or phone. Response to brand communication is instantaneous, and conversion to business is very high. This is because in contrast to conventional forms of interruptive advertising, the viewer has actually chosen to see the commercial.

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Difference between Traditional and Online Marketing:-

The goal of traditional marketing and online marketing are same − to attract and drive visitors of advertise to buy the product thereby increasing the business profit. Let us see the difference between two approaches now

Traditional Marketing Online Marketing

It is difficult to measure. You cannot know how many people read your advertise and how many took favorable action upon viewing it.

It is measurable. You can know the number of people who viewed the online advertise, and the number of ones who purchased the product.

It is not cost-effective. It is more cost-effective.

It is not so good for brand building. It is fast and efficient for brand building.

In some way, it interrupts regular activities of users such as television advertises interrupt the program you are watching, billboards divert focus of the driver, etc.

It is not interrupting. The user can attend online advertises as per his/her convenience

and preferences.

It may leave users’ queries unanswered as printing or narrating complete information about the product or service may not be always feasible.

It can provide maximum information about the product or service, offers, and transactions.

Online marketing is widely practiced strategy of advertising or promoting sales and name of the business. Wise use of the online marketing strategies can take the business to unprecedented levels of success.

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3.2 OBJECTIVES OF ONLINE MARKETING

Advertising: -

As far as advertising on the Internet goes, all advertisements will serve to attract the user's attention and draw him to the company, which is advertising.

Build brand awareness: -

Direct or indirect methods can be used on the websites to build brand awareness of the different brands of a company. This is where the Internet scores traditional media and methods as explained below.

Stimulate direct action: -

Visitors to a company's web site should get involved with the offerings on the site. Valuable customer information can also be captured and tracked for future marketing initiatives.

Promote its brands: -

Promotional give - away or contests generate excitement while simultaneously promoting your brands online, aiding off - line sale.

Building a culture around its brands: -

This goes along with that company's traditional marketing.

Surrogate advertising: -

This is another means of surrogate advertising of the company, where all forms of traditional marketing fail. Surrogate advertising can be proved to be positive in case of marketing on the Internet.

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3.3 FEATURES OF ONLINE MARKETING

Marketing on the Internet has certain unique features that differentiate it from other forms of marketing. They are as follows:

Member registration: -

Member registration is an efficient tool that is used by firms to create their database. Such a database may be used to design promotional campaigns. Allowing registered users to participate in various events can follow systems of free registration.

Online opinion polls: -

Opinion polls are conducted to obtain the responses from users regarding the firms' products and services besides including topics of general interest.

Newsletters: -

Regular newsletters are sent especially to registered users. These contain information about current updation on the site and activities being performed by the company.

Contests and sweepstakes: -

Contests are useful in attracting new users to websites. They may be for simple things depending on the product or service being advertised. The prizes offered are in a wide range and usually have the logo of the company and the homepage address displayed prominently.

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Content: -

The content of the advertisement can be regularly updated with news regarding the activities of the firm. A fact-based section showing the manufacturing processes of a company may also be included. The use of multimedia tools can make this more interactive.

E-cards: -

Users send free cards via e-mail from the site of the company advertising the product. The card prominently displays the logo or the baseline of the brand. The cards may be for different occasions such as birthdays, festivals, birthdays, etc. These cards are used to reinforce brand identity. Star endorsers of the brand may also be included in the picture postcard themes.

Downloads: -

Downloads may include various utilities for the computer such as icons, desktop patterns, screensavers, themes, etc. Registered users get the opportunity of downloading software. Charts and other informative articles may also be included.

Coupons: -

Coupons are used to promote sales off-line. Sending discount coupons for the products and services of the company on special occasions can do this.

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3.4 7 P'S OF ONLINE MARKETING

The four P's - Product, Price, Place and Promotion have long been associated with marketing, but things have changed on the Internet. So along with a change in the nature of the four P’s there are three new P’s which are relevant to the online marketer: Presentation, Processes and Personalization.

1. Product

Product on the Internet usually changes form online, and the user experiences it electronically, in the form of text, images and multimedia. Physical goods are usually presented in the form of a detailed online catalogue that the customer can browse through. Technology allows the user to virtually touch and feel the product on the Internet - rotate it, zoom in or zoom out and even visualize the product in different configurations and combination. Content and software are two avatars of digitized products that can be even distributed over the Internet. On the Internet, E-marketing will be based more on the product qualities rather than on the price. Every company will be able to bring down the cost of its products and hence competition will not be on price. It will rather be on the uniqueness of the product. To be able to attract the customers and retain them, the company will have to provide nouvelle and distinct products that forces the net users to purchase and come back for more.

2. Price

Price has been drastically changed over the Internet. It lets the buyer decides the price. Also it gives the buyers information about multiple sellers selling the same product. It leads to best possible deal for the buyers in terms of price. Pricing is dynamic over the Internet.

3. Place

Place revolves around setting up of a marketing channel to reach the customer. Internet serves as a direct marketing channel that allows the producer to reach the customer directly. The elimination of the intermediate channel allows the producer to pass the reduced distribution cost to the customer in the form of discounts.

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4. Promotion

Promotion is extremely necessary to entice the customer to its website, as there are currently more than one billion web pages. Promoting a website includes both online and offline strategies. Online strategies include search engine optimization, banner ads, multiple points of entry, viral marketing, strategic partnership and affiliate marketing. Presently, the cyberspace is already cluttered with thousands of sites probably selling similar products. For the customers to know of the Company’s existence and to garner information on the kind of products or services that the company is offering, promotion has to be carried out. There can be traded links or banner advertisements for the same. Also the traditional mediums like print, outdoor advertising and television can be used to spread awareness.

5. Presentation

The presentation of the online business needs to have an easy to use navigation. The look and the feel of the web site should be based on corporate logos and standards. About 80% of the people read only 20% of the web page. Therefore, the web page should not be cluttered with a lot of information. Also, simple but powerful navigational aids on all web pages like search engines make it easy for customer to find their way around.

6. Processes

Customer supports needs to be integrated into the online web site. A sales service that will be able to answer the questions of their customers fast and in a reliable manner is necessary. To further enhance after sales service, customers must be able to find out about their order status after the sale has been made.

7. Personalization

Using the latest software it is possible to customize the entire web site for every single user, without any additional costs. The mass customization allows the company to create web pages products and services that suit the requirement of the user. A customized web page does not only include the preferred layout of the customer but also a pre selection of goods the customer may be interested in.

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3.5 TYPES OF ONLINE MARKETING

There are many different technologies to facilitate your Online Advertising strategy. Some of the most common and effective tools are:

Search Engines and Directories:

Search engines are one of the most popular means of finding web sites, second only to following links on web pages. Search engines help people find relevant information on the Internet. Major search engines maintain huge databases of web sites that users can search by typing in keywords or phrases. Advertise your message. Web directories/search engines are information, gateways that have high traffic and are good for displaying advertisement banners. They are used to find Internet information and for this reason, appeal to broad target groups.

E-zines (Online magazines):

These publications are focused on specific topics and may be a way to reach a target audience interested in that subject. Some companies have gathered the e-mail addresses of potential customers and used these lists to send out product information specific to client interests. Six good reasons to establish an E-Zine

1. Establishes Trust

2. Brings Visitors Back

3. Establishes you as an expert

4. Keeps Current & Potential Customers Up to Date on New Products & Services

5. Builds Relationships

6. Allows You to Build an Opt-In Email Advertising List 7. Keeps Your Website Fresh in Visitors' Minds

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E-mail:

Ethical methods of gathering e-mail addresses are through on-line registration built into your corporate Web sites, or requests for information forms that request submission to your opt-in lists. An alternative is to purchase lists of customer e-mail addresses indexed by special interests from a private company such as 'Postmaster Direct'. Online customers are becoming increasingly selective about their relationships, the brands they trust, and what they consider relevant. While most advertisers are aware of privacy issues and the risks of Spam, there is still need for improvement. Email marketing campaign management is still fairly unsophisticated even at the largest of organizations. Advertisers have to think about the drivers of customer response and purchase. Over time, as more is learned about your customer buying behavior, you can will isolate campaign and program characteristics that drive your customer or visitor response and action. Isolating the behavior of high value customers, business customers, or the minority of customers who prefer to buy online will be critical. For example, new online buyers get referrals when shopping online, while experienced frequent buyers prefer search engines.

Affiliate Advertising:

Affiliate Advertising enables you to increase online sales by promoting your products and services through a network of Affiliate sites on a payment-by-results basis. It also provides the opportunity to generate additional revenue by exploiting your site's own content to promote the products and services of other online Merchants. A Merchant recruits content sites to partner with them as Affiliates in exchange for commissions. A common third party provider such as Commission Junction can be used. The Merchant provides their advertising banners and links to their Affiliates and assigns a commission for each click-through to their site, subscription to their service, or purchase of their products that is generated from those links. Affiliates place the tracking code for these ads and links on their Web sites. This allows clickthrough's to be tracked online and commissions to be calculated. If a product or service is purchased, the customer pays the Merchant directly and the Affiliate is paid a commission for that transaction. The dating giant adultfriendfinder.com has used this strategy to the maximum and has earned millions of dollars by proper implementation of this strategy.

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Banner Advertising:

Banner advertising can play an extremely important role within your website strategy. One can use banner advertising as a means of promoting its own products and services, raising awareness, or as a way of generating revenue by selling advertising space on your own website.

Purchasing Advertising:

There are currently two widely recognized methods of purchasing banner advertising. The rates for these are usually quoted on a cost per thousand basis or (CPM). The rates you pay can vary tremendously as there is currently no standard price model - so be prepared to negotiate!

Pay-Per-Impression: This method of purchasing banner advertising is based on a charge for the number of times someone sees your banner. There are no guarantees as to how many visitors will come to your site as a result of seeing your banner; you are simply paying for the number of times your banner is displayed. Websites that offer such programs include paypopup.com and adclicksor.com

Pay-Per-Visitor: This method of purchasing banner advertising is based on a charge for the number of times someone visits your site as a result of clicking on your banner. This is a better method of purchasing banner advertising as you are only paying for results, although expect to pay a premium.

Pay-Per-Click: The revenue model of the Internet giant google.com has its very own service which offers certain share of the profit that it makes by the click-thru that a website generates from its adsense codes. The revenue model is known as Google adsense and almost every successful website uses this model to make profits. The Google adsense ads can be seen on websites like Times of India, Moneycontrol.com, ManagementParadise.com and a lot many other reputed websites.

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Branding:

While CTR and cost per sale relate to direct Advertising objectives, another way of looking at banner ads is as "branding" tools. They create brand awareness, and a brand image in the viewer's mind, whether or not the viewer clicks on the ad Branding is very difficult to measure, but can be very powerful. The average click through ratio on banners is just under 1%, although with a well planned and executed advertising campaign using effective banners you can increase this to as much as 15%, but be prepared to work at it. It is a good idea to have a number of different banner ideas so that you can carry out small test advertising campaigns with each one until you find those that work best. There are a number of key issues that must be considered when designing a successful banner:

It must have an attention-grabbing headline.

It must be simple and get your point across. It must invoke action (i.e.: "Click here") It must download quickly. It must be placed effectively on a web site, Location, Location, Location Any campaign is limited by the amount of advertising you can do

depending on the size of your budget.

Therefore it is important that you target your market carefully so as to maximize advertising spend on effective banner campaigns.

Rich Media Advertising: Looking for ways to make online advertising more compelling, and hopefully thereby more acceptable, advertisers have increasingly been turning to streaming advertising. In effect another kind of rich media advertising, streaming advertising comes in two basic forms. First, it can either be part of a streaming audio or video program on the web. With many people now listening to web radio or watching web broadcasts, this makes perfect sense. After all, everyone is accustomed to getting commercials on their TV or car radio. The other channel for streaming advertising is essentially an infomercial. Consumers can download a streaming clip for a product or service from a advertiser's website. Two new studies recently released suggest that the streaming advertising market is

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going to boom now and in the years to come. The giant ad selling company media turf uses this method for providing content to advertisers.

Conferences: By their nature conferences are organized for special interests. Advertising in conference literature, print and electronic, is an excellent way to contact target markets.

Collaborative Advertising: Team up with other business to:

Cross-promote - e.g. setting up links from one corporate Web site to another or offering special promotions in partnership with complementary goods or services. Advertise - share advertising. Participate in joint sponsorship of events, initiatives, informational Web sites, mailing lists, bulletin board systems, directories, etc. Link exchange with trade/professionals associations to support credibility of firm, provide further market information to customers build their awareness and prepare them for the action of purchasing.

Sales Promotion: Employing methods to stimulate sales through immediate or delayed incentives to the customer. If the incentive is attractive, the price: value ratio is adjusted favorably enough to affect a sale. This strategy should integrate with the overall Advertising mix to balance extra sales with long-term profit motives. Examples of sales promotion strategies are:

Sampling - offering product samples, electronically.

Bonus offers - offering additional goods or services when making single purchases (e.g. buy-one-get-one-free).

Limited time offers - attracting visitors to return to a Web site. Games with prizes: Useful to keep people coming back to Web sites. Cross-product sampling: When a customer makes a purchase they have

an opportunity to try out another company’s product/service. Also, the customer may have the opportunity to try out more than one

company’s product/service while testing another. Useful for complementary products/services. Feature pricing: providing special pricing to those that order electronically.

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Cross-promotions with other companies’ products/services - Buy a company’s product/service and get a coupon for another company’s product/service.

Publicity: The goal of publicity is to have others talk about the small business or its products. It can be inexpensive or even free and it may have the potential to generate far more in sales than even a well executed advertising plan.

Promotional Publications: Facilitate customer education, with the intention of building corporate image and even brand awareness, the small business may sponsor and/or publish its own electronic magazine on the Web, e-mail, etc. These are useful in fields where the customer needs information to develop sufficient knowledge for movement through the first three stages of the sales process of awareness, interest, and desire. Although time consuming, they replace or complement the print versions of newsletters/corporate magazines/flyers.

Subscriptions: Business advertisers may use their Web sites to encourage visitors to subscribe to receive regular email messages from the company. These messages are called digests or newsletters, and are a clever way for advertisers to push product news to willing customers.

Controlled-access Web pages: Clever business advertisers may use their Web site to attract new customers. They might publish a Web page that allows customers to download a free trial version of a software application that expires after a time if not paid for. Or, customers might receive an e-mail message inviting them to visit a private Web page on the company’s intranet, and giving them a password. The company, as a way of encouraging a sale, offers customers who visit the page a prize or enticement of some sort.

Public Forums: These are often community-based or interest-based sites that allow visitors to communicate with one another. An opportunity for small businesses to reach to their intended target group via these forums is by posting messages or by sponsoring such a forum. E-mail based forums appeal to a wider audience due to the greater use of this application over Web-based forums. Web based forums are advantageous for their superior display of advertising images/messages.

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Resellers: Some sites will remarket other companies’ products as intermediaries. The companies that host these sites may have invested significant resources in making them attractive to the target audience a small business is interested in attracted. By piggybacking on another company’s efforts, cost-efficiencies may be realized by engaging in a reselling arrangement.

E-mail Links: Visitors to a site should have the opportunity to correspond with the host of that site, especially if out of the telephone area or time zone. E-mail links may be strategically placed throughout the site to elicit response from visitors for at various points. These are also useful for feedback on site maintenance problems.

On-line Surveys: Information may be collected on the visitors to a Web site through registration forms, on-line surveys, or through tracking of areas of site they visit. These websites also offer referrals wherein if you refer someone to their site and the person becomes a member then you are paid commission on that.

Virtual Malls: Web based sites that allow companies to post their products or services for sale long with other companies. These may be product specific, may be arranged by complementary products, or may have products that are not related except by their companies’ desire to attract a similar target audience.

Measurement: The Internet has the unique ability to provide advertisers with detailed information about the success of their Web Advertising programs. Companies can track visitors to their site and collect information about them from their “cookies,” then process this information using Web site analysis software. Cookies are a type of digital identification, which is read every time the user connects to a public Web site. The Web site can collect some very basic information about the user (e-mail address, time of day the site was accessed, which pages were visited) and use it to create visitor profiles. Visitors can then be identified as “old” or “new” when they visit the site. Cookies are an essential part of many companies’ business strategies. The information collected from them is used to measure site visitors, develop user profiles, and target advertising — in much the same way that television allows advertisers to target their message to a certain demographic.

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3.6 UNDERSTANDING THE ONLINE CUSTOMERS

Now to be able to use the seven P’s effectively in order to achieve the predefined goals of any organization it is imperative to understand the customers. Customization will only be truly effective if we understand our customers and their true needs. Before adapting marketing practices to the Internet, the marketer needs to understand the characteristics of the online customers. The Net users can be classified into five categories depending upon their intention of using the Internet. The five categories of users are:

Directed Information Seekers: They require specific, timely and relevant information about the products and services being offered.

Undirected Information Seekers: These users require something interesting and useful. Something that can give them an edge, advantage, insight or even a pleasant surprise.

Bargain Hunters: They are of two kinds: One who look for free items on the internet and other who are seeking better deals, higher discounts etc.

Entertainment Seekers: They see the Web as an entertainment medium of vast breath and potential and want to explore the medium before the mass gets there.

Directed Buyers: They want to buy something - now. They are sure what they require and just log on to the Web to purchase the item.

Online Marketing Statistics (India)32

Online Marketing

1. Clicking on an ad on a social site is often the first step toward a sale, rather than the last. Because of this, advertisers are undervaluing social advertising by as much as 116%.

2. Ad revenue is up 36% from 2011 to 2013 (86.4 billion to 117.6 billion).3. It’s estimated that by 2016, online ad spend in the US will have doubled

since 2011, hitting 67.4 billion dollars/ year (13.7% compound annual growth).

YouTube

4. The top three video ads of 2006 earned a combined 244,395 shares. In 2013 the top three generated a total of more than 12 million shares - an increase of almost 5000%.

Twitter

5. 65% of Twitter Ad revenue is from mobile tablets and smart phones.6. 87% of Twitter’s revenue comes from advertising.

Facebook

7. The average click-through-rate for Facebook Ads has jumped 275% since 2012.

8. The average click-through-rates for retailers who use Facebook Ads are up 375%.

Google

9. At least 95% of Google’s total revenue comes from advertising (this, of course, includes YouTube).

10. Google rakes in 33% of all online ad revenue (38.6 billion out of 117.6 billion). Facebook rakes in around 5% by comparison.

11. Ben & Jerry’s had run 4 ads since Instagram Ads started in late October. They’ve generated 50,000 new fans in less than 2 months.

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BRAND BUILDING ON THE INTERNET

For the Company on the cyberspace, their web site is their most important brand. The seven P’s of Online marketing mentioned earlier not only have to try and make business successful but also do brand building in the process.

Product and service customization

Companies that have powerful brand awareness on the web all have sites that help consumers do something – whether it’s configuring a computer system (www.dell.com) online or offering personalized services like suburban railway pass ticket in Mumbai (www.rediff.com). Consumer demand and expectations are forecast to drive made-to-order or customized products with rapidly shrinking lead times. Products are configured, as customers want them to be and provide a high level of reliability, excellent quality, and longer life spans. For e.g. ‘Dell’ computer (www.dell.com) has become a leading company in selling computers because of the customization facility it provided on its site. The consumers could build the own computer by ordering the own configuration. The customization highlights the value-for-money aspect and induces the consumer to buy a product that meets his own requirement.

The Evolving Value Propositions:-

The value propositions of goods and services offered in the physical world differ pointedly from those in the digital world. The ultimate aim of the universal marketer is to provide a complete end-to-end consumer experience - right from the promise to satisfy his need to its delivery. But the physical world offers only “Point Solutions” which is basically a solution of his needs in terms of functional benefits. A credit card, for instance, allows consumers to satisfy the immediate necessity of setting a transaction. But today’s consumers are also looking for process and relationship benefit - book referrals at no extra cost or e-mail reminders. The physical world is not able to deliver these benefits because of gaps in time, space and memory. The web, on the other hand provides all of these and more (“reverse marketing, for example, where consumers seek out vendors rather than the other way around”) by giving the company the ownership and control over all interactions with the consumer.

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The Evolving Risk Profiles:-

The on-line customer is not a fickle customer, but he is a risky proposition nevertheless. This is because all his online experience will influence consumer perceptions about the brand. If a consumer buys a product from a retailer and is involved in an unhappy purchase experience at the store, he will punish the store. But if the same experience were to occur to him at the company’s web site, the consequences would be disastrous for the company if he were to share his experience though different user communities using a combination of chat rooms and electronic mails.

3.7 CRITICAL SUCCESS FACTORS IN ONLINE MARKETING

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Having observed the evolving paradigms of business in the Internet era, there are five critical success factors that the Online Marketer has to keep in mind.

Attracting the Right Customer:-

Attracting the Right Customer is the first crucial step. Rising digital penetration would mean that the number of customer visiting particular sites would inevitably go up. While the number of eyeballs or page views has so far been conveniently used as a satisfactory measure by most web sites, it would be foolish to cater to the whole spectrum of digital visitors. Content has to be very target specific. The digital company has to select its target segment by finding out which section of customers are the most profitable in terms of revenue transactions and who are the customers who generate the maximum number of referrals. Here again it is important to note that the majority of online customers are not seeking the lowest price. Rather they are seeking convenience above everything else. The power of customer referrals has never been so enormous, since word of the mouse spreads faster than word of the mouth. E-Bay attracts more than half of its customers through referrals. Not only do referred customers cost less to acquire than those brought in by advertising or other marketing tools, they also cost less to support since they use their friends who referred them for advice rather than using the companies’ own technical desk.

Delivering Content Value:-

Delivering Content Value to engage the user’s interest is the critical importance in retaining customer participation. This is because content serves as a powerful differentiator. Content would include Product enhancements (Software patches for glitches), personalized interactions (through customized navigation paths as seen on the web sites of GM and Toyota) and Problem Resolution (updates of delivery schedules and e-mail responses). Integral to the concept of delivering proper content value is innovation. For e.g. www.campareindia.com

Ensuring E-Loyalty:-

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Ensuring E-Loyalty is vital to the success of any online venture. This is because acquiring customers on the Internet is enormously expensive and unless those customers stick round and make lots of repeat purchases over the years, profits will remain elusive. Web customers stick to sites that they trust and with time consolidate their purchases with one primary supplier to the extent that purchasing from the supplier’s site becomes part of their daily routine. The issue of trust is integral to the issues of privacy and security. Companies like Amazon.com, which command amazing levels of consumer trust, have used a variety of encryption tools and simple ethical decisions like not accepting money for publishers for independent book reviews to maintain the trust of its customers.

E-Learning to facilitate personalized interactions:-

E-Learning to facilitate personalized interactions with customers has been the biggest contribution of the Web to the marketing strategists. Customers in traditional bricks-and mortar stores leave no record of their behavior unless they buy something. In the digital marketplace, however technology has made the entire shopping experience a transparent process. For example, if the customer exits the web-site when the price screen appears, he is a price sensitive consumer. Such minute tracking of customer behavior has major implications for the world of advertising. By monitoring pages selected, click throughs, responses generated, and other indicators, the company would be able to discover which parts of a prospective campaign would work, thus reducing the risk of a potential flop. This would make it possible for the company to modify its product offerings much earlier than usual in the product life cycle.

Providing Digital value to the evolving consumer through his life cycle:-

Providing Digital value to the evolving consumer through his life cycle has become possible because of customized interactions and emerging business models. These models have often disturbed the traditional status quo and created new rules of business. The sectors where new business models will emerge or have emerged are the music industry, the financial services industry, the travel industry, the relating segment and the publishing segment. Digital value is delivered to the consumer by promising him convenience, allowing the customer to feel his ownership of the Web experience, and giving the customer a sense of belonging that traverses the physical boundaries.

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3.8 BENEFITS OF ONLINE MARKETING

The reason why online marketing has become so popular is because they provide three major benefits to potential buyers:

1. Convenience: Customers can order products 24 hours a day wherever they are. They don’t have to sit in traffic, and a parking space, and walk through countless shops to find and examine goods.

2. Information: Customers can find reams of comparative information about companies, products, competitors, and prices without leaving their office or home.

3. Fewer hassles: Customers don’t have to face salespeople or open themselves up to persuasion and emotional factors; they also don’t have to wait in line.

Online marketing also provides a number of benefits to marketers:-

1. Quick adjustments to market conditions: Companies can quickly add products to their offering and change prices and descriptions.

2. Lower costs: On-line marketers avoid the expense of maintaining a store and the costs of rent, insurance, and utilities. They can produce digital catalogs for much less than the cost of printing and mailing paper catalogs.

3. Relationship building: On-line marketers can dialogue with consumers and learn from them.

4. Audience sizing: Marketers can learn how many people visited their on-line site and how many stopped at particular places on the site. This information can help improve offers and ads. Clearly, marketers are adding on-line channels to find, reach, communicate, and sell. Online marketing has at least five great advantages. First, both small and large firms can afford it. Second, there is no real limit on advertising space, in contrast to print and broadcast media. Third, information access and retrieval are fast, compared to overnight mail and even fax. Fourth, the site can be visited by anyone from any place in the world. Fifth, shopping can be done privately and swiftly.

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Chapter4. DATA REPRESENTATION & INTERPRETATION

4.1 Questionnaire

4.2 Graph Analysis

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DATA REPRESENTATION & INTERPRETATION

4.1 QuestionnaireName: __________________________________________________________

Age Group (yrs): □up to 18 □18 to 25 □25 to 40 □40 to 55 □55 +

Gender: □Male □Female

1. Do you like Advertisements?

□Yes □No

□ Informative □Irritating

□ Entertaining □Annoying

□Creates awareness □Waste of time

2. How much time do you spend……?

TV, Movies □ < 1hr □ 1 - 2hrs □ 2 - 4hrs □4 - 6hrs

□> 6hrs

Newspaper, Magazines □ < 1hr □ 1 - 2hrs □ 2 - 4hrs □4 - 6hrs

□> 6hrs

Radio □ < 1hr □ 1 - 2hrs □ 2 - 4hrs □4 - 6hrs

□> 6hrs

Internet □ < 1hr □ 1 - 2hrs □2 - 4hrs □4 - 6hrs

□> 6hrs

3. Do you see/check online ads/mails when you surf the internet?

□ Never □ sometimes □ depends on ad □ often □ every time

4. You use the internet for….. (Rank them in order of your preference)

□ Chatting and Social Networking ______

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□ Email ______

□ Information ______

□ Entertainment ______

□ E-Commerce ______

□ Downloading ______

5. What mode of advertising influences you to buy/suggest any product?

□ Magazines and newspaper

□ Friends and relatives

□ TV Commercial

□ Online advertisements

□ Social Media – Blogs, forums, Social Networking

6. Which mode of advertising would you prefer? (Rank in order of preference)

□TV commercials _______

□Print Ads: Newspaper, Magazines _______

□OOH: Banners, Posters _______

□Online Ads: Banners, Emails _______

7. You cannot live without… (Rank in order of preference)

□Computer with Internet _______

□TV _______

□Mobile _______

□iPod/Music Player _______

□Books _______

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8. Do you think that the face of advertising is transforming in terms of technological and Cultural impact?

□Yes □No

4.2 GRAPH ANALYSIS

Q1. Do you like advertisements?

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Attitude towards Ads

InformativeEntertainingCreates awarenessIrritatingAnnoyingWaste of time

35%

25%

31%

3%

3% 3%

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Q2. How much time do you spend……?

44

TV Movies

Newspaper, Mags

Radio

Internet

0 1 2 3 4 5 6 7 8 9

Time Spent

Time Spent

Q3. Do you see/check online ads/mails when you surf the internet?

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It depends

Never

0 1 2 3 4 5 6 7 8 9

I see/check ads online

I see/check ads online

Q4.You use the internet for….. (Rank them in order of your preference)

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Sales

DownloadingE - CommerceEntertainmentInformationEmailChatting & Social networking

30%

18%

14%

14%

10%14%

Q5. What mode of advertising influences you to buy/suggest any product?

Sales

Friends & RelativesTV CommercialMagzines & NewspapersSocial Media – Blogs, forums, Social NetworkingOnline advertisements

40%

29%

17%

8%6%

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Q6. Which mode of advertising would you prefer? (Rank in order of preference)

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Sales

TV CommercialsPrint Ads: Newspaper, Mag-azinesOOH: Banners, PostersOnline Ads: Banners, Emails

34%

31%

18%

17%

Q7. You cannot live without… (Rank in order of preference)

Computer with In-ternet

TV Mobile iPod/Music Player

Books0%

5%

10%

15%

20%

25%

30%

35%

40%

Cannot live without

Cannot live without

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Q8. Do you think that the face of advertising is transforming in terms of technological and Cultural impact?

NO

YES

0% 10% 20% 30% 40% 50% 60% 70%

Is Advertisment transforming from cultural to technological?

Is Advertisment transforming from cultural to technological?

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Chapter 5. FINDING & OBSERVATION

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FINDING & OBSERVATION

Attitude towards Advertisements:-

One can clearly make out that consumers perceive advertisements as a source of information and awareness, be it general or towards TV commercials. Not many people find advertisements to be irritating, annoying or waste of time. This clearly shows a positive attitude toward them and hence is a good indication for marketers.

For television commercials, around 70% of consumers had a positive perception towards advertising on TV.

Influencer behind Decision Making:-

Influencers influence the decision making process of a potential consumer. Influencers can be advertisements, friends, relatives, third party or it can be self motivated also. In Mumbai (as the target market is Mumbai) we can infer that friends and relatives are the major influencers behind decision making.

One can infer from the Geert Hofsted Cultural Dimensions a possible reason for friends and relatives to be a major influencer.

Geert Hofsted Cultural Dimensions:-

Indian culture is collectivistic. On the collectivist side, we find societies in which people from birth onwards are integrated into strong, cohesive in-groups, often extended families (with uncles, aunts and grandparents) which continue protecting them in exchange for unquestioning loyalty.

India is low on Uncertainty Avoidance, i.e. the culture is more open to unstructured ideas and situations. The population may have fewer rules and regulations with which to attempt control of every unknown and unexpected event or situation .The recommendation of someone else remains the most trusted sources of information when consumers decide which products and services to buy. And even though new media technologies are playing a role in ‘globalizing’ society, many purchasing decisions are still based on firmly held national and cultural attitudes.

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Being collectivistic, Indian consumers tend to trust the immediate group of people in the decision making process. They are open to new things, but advise, suggestions and comments of friends and relatives hold more value.

If not friends and relatives, Traditional mode of advertising i.e. ATL would influence them. It’s obvious as it the oldest form promotion and it goes by the saying “Old is Gold”. There is also a hand in the awareness part of which is discussed later on in the analysis. Internet marketing has a long way to go before it starts influencing the decision making process.

Consumer preference of advertising:-

Again, one can easily make out that traditional form of advertising has an edge over internet advertising in terms of consumer preference mode of advertising. Traditional mode got over 82% preferences than that of internet advertising which is a huge margin. The reason for this is same as that of influencer, i.e. cultural attitude of consumers towards advertising. Consumers would prefer to check out ATL elements in case there is a need i.e. information search and take their decision in terms of purchasing.

Consumers Trust on advertising:-

The above is the chart for trust level of advertisement medium from consumer’s point of view. Again recommendation and traditional advertisement are a leap ahead of online mobile and BTL form of advertising. One can say that Indian mentality towards online form of advertising is still at the baseline and that of mobile is even worse.

Time spent….:-

On an average, a person spends more than 4 hours on the internet during his free time which is 70% more than that of TV and movies and around 300% more than that of radio and print medium.

Hence, on an average the exposure of internet to an individual is around 150% more than that of other mediums i.e. the reach of medium internet is much better than that of others.

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But one cannot infer anything about the effectiveness of the medium through exposure (reach) alone. One needs to calculate the impressions (actual number of times an individual sees the ad) of the medium also.

Reach:-

Reach refers to the total number of different people or households exposed, at least once, to a medium during a given period of time.

Impressions:-

This is a term used by media to describe and quantify the number of individuals who have an "opportunity" to see an AD in a given amount of time.

Impression of TV Ads (Ad avoidance):-

When there were only 2 channels which were “Doordarshan”, consumers didn’t have any choice but the see the commercial ads in between the programs. That time the impression was very high and hence was a very effective and efficient medium of promotion.

Now, with more than 250 TV channels, 20 Radio channels, the consumer has lot of options, he may change the channel, or may ignore it completely.

According to the survey, around 64% of consumers see the ad if they find it to be entertaining, creative, humorous or in some way attractive and appealing.

Of course there are people (26%) who change channels during breaks but not always.

In fact, according to the survey there was no one who change the channel each and every time. Effectively, 75% of viewers will see the advertisement if the ad is attractive and appealing.

Hence there is a probability of .75 of a consumer viewing the particular advertisement (for creating awareness and information) on television making it an effective mode of communication. As it is, it is the second most trusted mode of communication in the minds of people.

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Impression of Online Ads (Ad avoidance):-

Whereas in case of online advertising, around 79% of consumers ignore it completely, i.e. they don’t even see them and that of 21% see them if they find it to be attractive.

Out of that 21%, 15% said that the intension was not to see those ads, but they didn’t have any option but to see them as they were Interstitial Adverts, Pop – up ads or Floating ads.

These ads either block the view of the content, or appear right in the middle of the page, or keeps on floating (moving) around which is considered to be very irritating for the consumers.

Effectively, only 6% saw the online advertisement coz they were of their interest or was attractive. Some said they liked few ads coz of their interactivity and animation effects. This might give that flash ads are more appealing.Trust levels of online advertisements are at the bottom of the list. Hence considering the trust levels and the effective impression, one can conclude that it is not an effective mode of communication.

Remembrance:-

Remembrance is the remembering only the brand name or its color or the contents or some part of the advertisement and not the whole thing.

Recall:-

Recall is bringing something back from memory. One can recall most of the elements of the advertisement. A high recall value infers that the awareness of the brand is high.

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Ad Remembrance:-

The question that was asked in the survey was the latest ad that they remember in the specific medium. Only 11 % could remember their last online ad, whereas 90% could remember the TV commercial.

In this case also, traditional form of advertising has a huge edge over the online form.

Ad Remembrance & Recall:-

This is for the last five ads that they had seen consciously or unconsciously. In case of TV ads, 84% remembered their last five ads and of them 83% could recall them which is a very good score in terms of creating awareness.

In case of Online ads, only 54% could remember their last five interaction and of them only 30% could recall.

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Chapter 6. SUGGESTION AND CONCLUSION

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SUGGESTION AND CONCLUSION

Practically it has been proved through the research that online advertising is neither effective nor reliable as compared to the traditional medium which is Television commercials and print media i.e. newspapers and magazines. Also, consumers trust the traditional medium more than that of online and there is a vast difference in their trust levels.

Conclusion I

One can confidently conclude that consumers still trust and prefer the traditional form of advertising than that of online.

Conclusion II

Even though the reach of internet is much higher than that of other modes, its ability to attract consumers for awareness creation is very low. Hence comparatively, traditional modes especially TV commercials are a better option.

Conclusion III

One can easily make out the reliability of online and TV ads through the remembrance and recall values. It’s pretty clear that TV ads are much reliable than that of their counterparts.

LAST WORD

Finally I would like to end by saying that even though the internet has opened up a new avenue for reaching the end consumer; it is still very much an open field. This is true as there is no fixed way or strategy for marketing on the net. It is still very much an arena where ingenuity and creative thinking very much rule the roost. Thus marketing as usual has not changed, i.e. it is still the same usual self……. unpredictable but very much required.

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Chapter 7. Bibliography

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BIBLIOGRAPHY

DigiMarketing – The Essential Guide to New Media & Digital Marketing

- Kent Wertime, Ian FenwickPrincipals of Advertising and IMC

- Tom DunkanConsumer Behavior

WEBLIOGRAPHY

http://www.wikipediaorg/http://www.wisegeek.com/http://www.geert-hofstede.com/http://www.truckads.com/http://www.afaqs.com/http://www.buzzmachine.com/archives/cat_dell.html

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