INTERNET MARKETING:INTEGRATING ONLINE AND OFFLINE STRATEGIES

Chapter 5

Understanding the Internet Consumer

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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Internet Consumer Behavior Challenge

• “Democratization” of Internet

• Active Involvement of Customers Content on Demand, User-Created Content,

and Much More

• Statistics Change Daily Sources of Current Data Crucial

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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CONSUMER BEHAVIOR ON THE NET

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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CONSUMER SATISFACTION AND LOYALTYTHE ACSI MODEL

Figure 5-4

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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THE DIGITAL DIVIDE IS CLOSING

Difference in Quality of Access Remains

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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SOME OF THE BEST DATA SOURCES

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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ALSO A CONTENT AGGREGATOR

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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ACQUIRED INT’L SITES, BUT. . .

Stats not reliably updated

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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DETAILED, UPDATED DATA

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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FREE WEBSITE DATA

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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Capturing and Using

Online Data

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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MODEL OF ONLINE DATA FLOWS

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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TWO SOURCES OF DATA

• Conventional Marketing Research

• Online Data Capture

Third-Party Data (Mostly Purchased)

Captured On Site/From Marketing Programs

What is the Role/Importance of Each?

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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MARKETING RESEARCH ON WEB

Both Qualitative and Quantitative

• Faster

• Cheaper

• Quality Equivalent Often Need to Include Non-Internet Users Ensure that Respondent is Sample Member

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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POLLS AND SURVEYS

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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POLLS AND SURVEYS

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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PANELS ARE IMPORTANT

• Many Members

• Researchers Can Draw Specialized Samples

• Managed Online

• Can Collect Longitudinal Data

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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AN ONLINE PANEL

http://www.harrispollonline.com/

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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ONLINE DATA CAPTURE

• From Third Party Suppliers Pew Internet and American Life Project

and Nielsen//NetRatings - Two Examples

• Data Captured On Website Site Usage Data Customer Transactions Data

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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SITE USAGE DATA

Enewsletter drop

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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OTHER DATABASE BUILDING

http://accesscontrol.gaorfid.com/

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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THE eBAY COMMUNITY

Monitoring User Communications/FeedbackFigure 5-7

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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COMPLEX PRODUCT DEVELOPMENT RESEARCH

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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COMPLEX PRODUCT DEVELOPMENT RESEARCH – AN EXAMPLE

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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TECHNIQUE PREDICTS MARKET SHARE

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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DATABASE IS HUB

TRANSACTIONAL DATA

MARKETING RESEARCH DATA

FIRSTTo Understand Reasons Why

DATABASE IS REPOSITORY FOR ALL

Internet Marketing: Integrating Online and Offline Strategies Copyright 2008 Atomic Dog/Thomson Publishing

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SUMMARY

• Internet Consumer Behavior Needs to be Understood in its Interactive Context

• Much Valuable External Secondary Data Timely; Much is Free Only Way to Keep Up with Change

• Traditional Marketing Research Moving Quickly Onto the Web

• Transactions and Customer Communications Data Build Customer Databases

• Creative Use of Interactive Data Collection Will Drive More Developments Important to Marketers