internet marketing effectiveness

8/8/2019 Internet Marketing Effectiveness

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Measuring Internet Marketing

Effectiveness

By-

Pankaj Kumar

Department of Management Studies

Pondicherry University


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Objectives

The maintenance Process

Measuring internet marketing effectiveness

Measuring the flow effect

Responsibilities in web site maintenance


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Web Document Review & Update

ProcessWrite

Publish Review

Test Correct

Publish


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The Maintenance Process

Write This stage involves writing the marketingcopy, designing the layout of copy and associatedimages

Review check for errors before document ispublished

Correct updating results of stage 2

Pub

lish putting the corrected copy on a web

page that can be checked further

Test final test is performed for technical issues

Publish published to the main web site


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Updating Material

Within two days of a factual errorbeing

identified

A new news item is added at least once amonth

When product information has been static for

two months


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Responsibilities inWeb Site

Maintenance

The questions to ask are:

Who owns the process?

Who owns the content?

Who owns the format? Who owns the technology?


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Standard Details Applies to

Site structure Will specify the main areas of the site, e.g.

products, customer service, press releases,responsibilities

Content developers

Navigation Main menu on the left, home button must be

accessible from everywhere

Web site

designer.webmaster

usually achieve these

through site templates

Copy style General guidelines, product specifications,digestibility on screen Individual contentdevelopers

Testing standards Check site functions for:

Different browser types and versions

Plug-ins, individual links

Speed of download of graphics

Spellcheck each page

Web site

designer/webmaster

Corporate branding &

graphic design

Specifies the appearance of company logos and

the colors and typefaces used to convey the

brand message

Web site

designer/webmaster

Process The sequence of events for publishing a new

page or updating an existing page

all

Performance Availability and download speed figures

Web site standards


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Measuring Internet Marketing

Effectiveness Are corporate objectives identified in the Internet

marketing strategy being met?

Are marketing objectives defined in the internet

marketing strategy and plan achieved?

Are marketing communications objectives

identified in the internet marketing plan achieved?

How effective are the different promotional

techniques used to attract visitors to a site?


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Creating a Measurement Process

Highlighting the need for metrics

Identifying metrics (SMART)

x Specific

x

Measurab

lex Actionable

x Relevant

x Timely

Introducing techniques to collect metrics andsummarize results

Reviewing the metrics

Acting on the results


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Which Measures toUse

Level 1: Business effectiveness measures

Level 2: Marketing effectiveness measures

Level 3: Internet marketing effectiveness


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Level 1: Business Effectiveness

Measures Direct online contribution to revenue

Indirect online contribution to revenue

Profitability of web site

Return on investment (ROI)

Operational cost reductions


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Level 2: Marketing Effectiveness

Measures Customer acquisition or new leads generated by the web

site

Sales generated directly and indirectly by the web site Impact on market penetration and demand

Customer satisfaction and retention rates of clients who

use the internet, compared with those who do not

Incremental or cross-sales achieved through the Internet

Impact of Internet on customer satisfaction, loyalty andbrand


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Level 2 Internet sales

Internet sales as proportion of all sales made

by company compared with sales by all

companies operating in the market

Internet sales as a proportion of all internet

sales for company


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Level 2 Marketing costs

Reduction in cost of promotional material

Cost of acquiring a new customer

Cost of developing/supporting an existingcustomer relationship through time

Also some less tangible elements such as

corporate image and brand enhancement

Building long-term client relationships andreducing churn of customers


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Level 3: Internet Marketing Effectiveness

Capture how effective are we in attractingcustomers to site using online and offline promotionmethods

Content how well are customers supported with

information and ease of use through the content anddesign of the site

Customer orientation does the content suit its targetaudience

Community and interactivity how well are thecustomers needs as an individual met by providingcommunity facilities and establishing an interactivedialogue


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Level 3 - Further Elements

Awareness efficiency target web-users/all web-users

Locatability/attractability efficiency number ofindividual visits/number of seekers

Contact efficiency number of activevisitors/number of visits

Conversion efficiency number ofpurchases/number of active visits

Retention efficiency number of

repurchases/number of purchases


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Online Measurement Methods

Online web metric and server log files

Hits and page impressions (views)

Site visits (user sessions)

Web site auditors


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Log File Information

Page impressions for different parts of the site

Page impressions broken down by different timeintervals

Page impression by domain

Page impression by browser type

Referring sites

Exit pages Document trails

Average length of visit


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Tools for MeasuringWeb Site

Performance WebTrends www.webtrends.com Analog: a freeware tool

www.statslab.cam.ac.uk/~sret1/analog Wusage www.boutell.com/wusage

Andromedia www.andromedia.com I/Pro site audit www.ipro.com Microsoft site analyst www.microsoft.com Superstats; a basic web analyzer

www.superstats.com

Hitbox www.hitbox.com NetOutcome www.redeye.com


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Measuring Individual Behavior

Registration

A suitable incentive most customers will giveinformation if they will receive something in return

A tacit agreement to enter into a medium to long termagreement with customer that he or she will enter thesite again

Trust on the part of the customer, which will be basedon his or her perception of a companys brand and

credibility

Cookies

Click-tracking


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Offline Methods of Metric Collection

Measure Measured through

Enquiries or leads Number of online e-mails

Phone calls mentioning web site

Faxed enquiries mentioning web site

Sales Online sales or sales in which customers state they found

out about the product on the web site

Conversion rate Can be calculated separately for customers who are

registered online and those who are not

Retention rates Is the churn of customers using the web site lower?

Customer

satisfaction

Focus groups, questionnaires and interviews

Mystery shoppers

Brand enhancement Focus groups, surveys


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Evaluation of Promotional Methods

Unaware

Aware

Attitude

Preference

Intention

Trial Repeat


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Communication Effects

How well does the page catch the readers

attention?

How well does the page lead the reader to gofurther?

How effective is the particular appeal?

How well does the page suggest followthrough or call to action?


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Customer Loyalty, Satisfaction and

Brand Impact

Online questionnaires

Online focus groups


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Thank You

internet marketing effectiveness

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