INTERNET MARKETING CHAPTER 3 Interactive marketing communications Pranjoy Arup Das

Topics to be covered as per syllabus 1. Introduction to Internet Marketing: meaning, scope and importance of internet marketing, Application of internet marketing, Internet versus Traditional marketing. Business to Consumer and Business to Business Internet Marketing, Internet Marketing Strategy 2.  Online buyer behavior and models: The marketing mix in an online context : product, price, distribution, promotion, people, process and physical evidence ; Managing the Online customer experience : planning website design, Understanding site user requirements, site design and structure, developing and testing content, service quality. 3. Characteristics of interactive marketing communications: Integrated internet marketing communication (IIMC) ; Online Promotion techniques : Search engine marketing, online PR, Interactive advertising, online partnerships, viral marketing, opt-in-e-mail, offline communications 4.  Foundation of Social Marketing: definition, scope and importance; Social Marketing Challenges ; Conceptual Framework of Social Marketing, Social Markets Segmentations, Marketing Mix : product, pricing, promotion and distribution strategies 5. Business Models & revenue models over Internet: Introduction to E-Business - Electronic business, Electronic Commerce, Types of Electronic Commerce, Benefits, E-Commerce Models, Value chain in E-commerce, E-commerce in India, E-governance, Digital Commerce, Mobile Commerce, Strategies for E-commerce, Internet based Business Model, Emerging trends in e-business, 6.   Electronic Payment Systems: concept of e-money, Electronic payment system, types of electronic payment systems, smart cards, stored value cards and electronic payment systems, B2B electronic payments, infrastructure issues in EPS, Electronic fund transfer.

Chapter 3 Part 1 Session 6 –06.08.13

Recap - Stages Build your brand name using traditional marketing methods Understand your consumers & your competitors Develop the internet marketing mix Develop an E.A.R.N.E.R website Use the website and online communication methods to : - Build traffic into the website, i.e., get more and more people to visit the website and spend some time browsing the content and interacting with the company and other customers. - Convert internet public (users or surfers) to prospects (using both online & offline methods) and also convert the online prospects and existing offline customers to online customers. - Retain the online customers. - Build an online relationship with the online customers. CUSTOMER ACQUISITION

Customer Acquisition Management Using the website and online marketing communication tools to: - Attract internet public to the website - Convert internet public to customers - Convert existing offline customers to online customers Customer Acquisition Cost Cost Per Acquisition (CPA) - Cost of using different online media such as search engines, affiliates, etc. + Selling costs such as discounts, offers etc. Offline marketing communications: Using traditional techniques such a print & TV advertising to promote a company’s website and encourage people to visit the website. Online marketing communications

Characteristics of online marketing communications Attract Engage Inform Interact Personalize Intermediate Integrate

Traffic building campaigns Search Engine Marketing Online PR Online Partnerships Interactive Advertising Email Marketing Social Media Marketing

TRAFFIC BUILDING CAMPAIGNS - Search Engine Marketing Using Search Engines to get in touch with internet public and prospects. Search Engine websites give the online public unlimited access to the search engines server containing a massive database of registered websites and their content. A company’s internet marketing tactics is to become prominent on search engines preferably on the first page. In other words, secure a high search engine page rank and a high position on the search engine results page. Search Engines scan the internet for new websites and changes in existing websites. They scan registered websites and their contents and list out the corresponding URL’s for later indexing and analysis for ranking websites. So unless a company’s website is registered and hosted, search engines will not be able to recognise the website. Most companies seek professional help for their search engine marketing.

Search Engines

How search engines work 1) Crawling - Done by ‘Spiders’ or ‘Bots’ which ‘Crawl’ around registered websites to identify new and changed content. - Spiders or bots are software access a registered website, scan the content of the website, create a list of the content and references and the URL’s of each webpage of the website. - They also identify the links on each page to other websites and webpages and then access those newly identified websites or webpages and repeats the process. 2) Indexing - An index is created using the list created by the ‘crawling spiders’. - An index contains the name of the website, URL’s of the webpages, the title of each page, specific words and links on each page. - The index helps the search engine server to retrieve required and relevant webpages and make them available to a user exactly as per the search word typed by the user.

4) Query request and result serving 3) Ranking or Scoring - After indexing, the web documents are ranked according to their relevance. - Ranking enables the search engine to display the results on the Search Engine Results Pages (SERP’s) in a more orderly, relevant and meaningful way. 4) Query request and result serving - The search engine interface or the homepage or the mainpage accepts the users search request and passes on the search words to the server alongwith the IP address of the users computer. - The server then refers to its database according the search words and relays a ranked list containing links to each website back to the interface SERPs. - The server uses its bots or spiders to keep its database constantly updated, indexed and ranked in real time, i.e., any change made by the websites is immediately reflected in the search engines database.

What internet marketers need to do for search engine marketing? Key word and Key-phrase analysis Search Engine Optimisation Paid Search marketing

Key word and Key word phrase analysis: - Keywords or search words are the words users type into the search engine box to search for their required information. - Keyword phrases are the collection of keywords typed by users. Usually users do not search with just one or two words but with a phrase. Eg. MBA Institutes in Assam that offer placement. - Internet marketers need to identify what are the potential keywords users may type into the search engines to find out information about their brand (Eg. Levis denim jeans), about their type of product (Eg. Slim Fit denim jeans), about their company (Levis) or similar kind of company (Lee, Pepe etc), etc. ACTIVITY: Suppose your company sells all kinds of balloons from birthday balloons to hot air balloons. List out all possible keywords relating to your product. (Try Google Adwords)

2) Search Engine Optimisation: - It is a structured approach that internet marketers use to increase the position of a company’s website or its products in a search engines natural or organic result listings for the selected keyword phrases. - This is based on the following findings from numerous studies about behavioral traits of search engine users: 1) Most users consider those companies that are featured on the first or second page of a Search Engine Results Page as genuine and credible. 2) Most users don’t look beyond the first page. 3) Most users stick to one search engine but use different keyword phrases to search. 4) Most Users prefer to click on the natural results rather than the paid listings.

How a search engine ranks different websites is known only to a search engine engineer. However, some fundamental factors have been identified which can influence a websites position or rank : 1) Increasing keywords density : The number of times the keywords are repeated in the webpages.

We all love films. Most of us watch at least one full film in a week We all love films. Most of us watch at least one full film in a week. A lot of people watch two films in a week. Some watch three movies in a week. There are some who end up watching four films in a week. People who love films a lot watch almost five movies in a week. And then there are movie buffs who watch a film everyday. I know people who watch two films in a day one film after another. People with a lot of free time watch three films a day film after movie after movie. Of course film studies students have to watch a lot of films, even four to five movies in a day. That too continuously – film after film after film. And then there are movie addicts who cant help but watch films all day. They are people with jobs who take leave form work just to sit at home all day and watch movies. A lot of people like to go to the cinema to watch a movie. However, most people cannot afford to go to the cinema regularly. Thanks to digital and cable television and improvement in sound and picture quality of modern day television sets, movie buffs can get the experience of the cinema hall without spending almost anything at all. They can sit at home on their comfortable sofa’s and beds and watch movies all day long. Movie after movie after movie. All you need is an unlimited supply of popcorn and coke. But this article is not about films or movies or cinema. It is about how keyword density in webpages can be used to get a good ranking by search engines.

How a search engine ranks different websites is known only to a search engine engineer. However, some fundamental factors have been identified which can influence a websites position or rank : 1) Increasing keywords density : The number of times the keywords are repeated in the webpages. 2) Quantity & Quality of links on the webpages : The more links there are on the website from good quality sites, the better will be the ranking given by a search engine to the website. (Try GOOGLE ADSENSE)

Link Building

How a search engine ranks different websites is known only to a search engine engineer. However, some fundamental factors have been identified which can influence a websites position or rank : 1) Increasing keywords density : The number of times the keywords are repeated in the webpages. 2) Quantity & Quality of links on the webpages : The more links there are on the website from good quality sites, the better will be the ranking given by a search engine to the website. 3) HTML Title tag: Search engines identify websites and webpages better by the HTML title tag on each webpage. So if each page title contains the keywords relating to the company and its product, the better are the chances of getting identified and positioned higher by search engines. 4) HTML Meta tags: Meta tags allow keywords and description to be added to the title of the HTML title of the webpages. Meta tags cannot be seen by the user but can be read only by the ‘spiders’ or ‘bots’.

HTML Title tag & Meta tag

How a search engine ranks different websites is known only to a search engine engineer. However, some fundamental factors have been identified which can influence a websites position or rank : 1) Increasing keywords density : The number of times the keywords are repeated in the webpages. 2) Quantity & Quality of links on the webpages : The more links there are on the website from good quality sites, the better will be the ranking given by a search engine to the website. 3) HTML Title tag: Search engines identify websites and webpages better by the HTML title tag on each webpage. So if each page title contains the keywords relating to the company and its product, the better are the chances of getting identified and positioned higher by search engines. 4) HTML Meta tags: Meta tags allow keywords and description to be added to the title of the HTML title of the webpages. Meta tags cannot be seen by the user but can be read only by the ‘spiders’ or ‘bots’. 5) ALT tags : ALT tags allow keywords to be assigned to images, graphics, videos etc. which can be seen by the user and also read by the ‘spiders’ or ‘bots’.

ALT tags

3) Paid search marketing:

Companies need to bid for advertisement space on search engines. The bid is usually on cost per click (CPC) basis. The highest bidders are featured as sponsored links. Payment to the search engine is made based on the number of clicks the advertisement it gets from users. Also called Pay Per Click (PPC) advertising or PPC marketing. Search engines may also place a company’s advertisement on other relevant sites. Here payment is made either on per click basis or Cost per thousand impressions. It is shared by the search engine and the third party website.

CHAPTER 3 PART 2 SESSION 7 - 07.08.12

RECAP Develop internet marketing mix Develop EARNER website (Registered, hosted, well designed and 100% tested) Build site traffic - Using offline communication tools - Using online communication tools : Traffic Building Campaigns 1) Search Engine Marketing * Keywords & Keywords phrase analysis * Search Engine Optimisation * Paid Search marketing 2) Online PR

TRAFFIC BUILDING CAMPAIGNS - Online Public Relations (PR) Maintaining the goodwill and reputation of an organisation in the eyes of the public. Online PR : Maintaining the goodwill and reputation of an organisation, its products and its website on third party websites and social media. In other words, making sure that favourable things are being mentioned about the company, its products and the website on other websites which are visited by prospective customers. (For Eg. Reviews about Samsung Mobile phones on Flipkart.com, Comparison of Reliance Mutual Funds with other funds on moneycontrol.com) Also Online PR involves attending immediately to any unfavourable or negative mentions. The more favorably a company, a product or a website and its contents are mentioned on other sites and the more efficiently they handle unfavourable mentions, the better are the chances of getting a good rank and a good position in the natural listings of the SERP.

Activities of online PR Communicating online with the media > Press releases through emails, on the website or on third party sites (Eg. On twitter.com) Link Building > A key activity for successful SEO. > Linking to a number of good quality websites. > Getting good quality hyperlinks on the website from other well ranked and relevant websites. Posting Blogs, Podcasts & RSS about company news, product updates > Blogs : Online journals or diaries which are updated regularly either hourly, daily, weekly > Podcasts: Online audio and video journals or lectures which are updated regularly. > RSS (Really Simple Syndication) Collection of blog entries, news headlines, audio, and video, published frequently on the website in a summarized format. Also called ‘FEEDS” Managing brand perception & feedback > Monitoring product reviews, comments, blogs, etc. to check for both positive and also negative perceptions and feedback and taking appropriate actions. Viral marketing > Online word of mouth. Product related or company related information is circulated through interesting emails, videos, etc. to generate awareness amongst the public.

TRAFFIC BUILDING CAMPAIGNS - Online partnerships Collaborating with other websites to promote the company and its products and its website. Types of online partnerships: Link Building – Placing own website’s links on other high ranking sites and getting their links placed on own website. Affiliate marketing : > Affiliates or publishers are online commission agent websites that promote products of different companies or different products of an e-retailer by featuring their advertisements and links. Affiliates earn their commission on Cost Per Acquisition basis (CPA) or on Cost Per Click basis. (Flipkart, Jet Airways, Yatra etc. offer affiliate programmes) Online Sponsorships: > A company sponsoring another company’s website due to certain similarities in their products and services that may lead to mutual benefits for both companies. Eg. A Balloon manufacturer sponsoring a Balloon Art designer.

TRAFFIC BUILDING CAMPAIGNS - Interactive advertising SELF STUDY ASSIGNMENT SSA 5 Dave Chaffey, Chapter 9, Page 491 - 494

E-MAIL MARKETING Outbound email marketing: > Sending emails or e-newsletters to prospective and existing customers. Inbound email marketing: > Receiving emails from prospective and existing customers regarding enquiries, complaints, suggestions , feedback etc.

Opt – in emailing (Permission marketing) > To protect customers from Spam, emails are added with an ‘Opt-in’ checkbox are sent to customers. > Customers can then specify whether they want to ‘Opt – in’ or go for the offer mentioned in the email or not. > The email address list may be rented from an Email list provider. Such emails are called Cold Emails. > The emails may promote a special combo offer of two partner companies. For Eg. A mobile service provider may partner with a handset manufacturer and offer a special handset cum connection offer. This is called co-branded emailing. These too may have an ‘opt –in’. > In case a company’s name or its products appear in an e-newletter’s or an e –zine’s article or news item, the company may send out the e-newsletter or the e-zine to its customers via email. This is called Third Party E-newsletter.

Knowledge corner SPAM: also known as junk email or unsolicited bulk email (UBE), are messages sent to numerous recipients by email. Clicking on links in spam email may send users to phishing web sites or sites that are hosting malware. PHISHING: is the act of attempting to acquire information such as usernames, passwords, and credit card details (and sometimes, indirectly, money) by masquerading as a trustworthy entity in an electronic communication. Phishing is typically carried out by email spoofing or instant messaging, and it often directs users to enter details at a fake website whose look and feel are almost identical to the legitimate one. MALWARE: Malware, short for malicious software, is software used or programmed by attackers to disrupt computer operation, gather sensitive information, or gain access to private computer systemsMalware includes computer viruses, worms, trojan horses, spyware, adware, rogue security software and other malicious programs.

END OF CHAPTER 3