A Comprehensive Analysis of Web Marketing

The most effective web marketing campaigns are researched based and provide a unique, honest picture of what's being offered.

A Comprehensive Analysis of Web Marketing

Web Marketing a collection of strategies used to create, communicate, and deliver information about products and service offerings that have value for clients, partners, and society at large.

Needs and Wants

Needs – a state of felt deprivation.

Wants – is the need shaped by culture and individual personality

Marketers try to figure out what people want and present it as something they need.

A successful marketing campaign will be the one that wins people's business. The approach should start with a plan.

  • Understand the market place and customer needs and wants
    • This information is obtained through research
  • Design a customer driven marketing strategy
  • Construct an integrated marketing program that delivers superior value
  • Integrated marketing – takes all facets of marketing (print, web, radio, TV, etc)

The Four 'Ps' of Marketing

  • Price
  • Product
  • Place
  • Promotion

The goal of any business should be to build profitable relationships and create customer delight.

  • Capture value from customers to create profits.
  • Perceived value – sets the ceiling for price.
  • Cost – Sets the floor of the price

Common Marketing Terms

Customer Relationship Management – Process of building and maintaining profitable customer relationships by delivering superior value and satisfaction

Customer Satisfaction - Meeting expectations. The goal should be to Under Promise and Over Deliver.

Customer Perceived Value – the customer's evaluation of the difference between all the benefits and all of the costs of a market offer relative to the competition.

Customer Lifetime Value – Value of the entire stream of purchases that a customer would make over a lifetime of patronage.

Marketing Segmentation – Dividing the market into distinct groups of buyers who have distinct needs, characteristics, or behaviors and might require separate products or marketing programs.

Market Targeting – Evaluate each segment's attractiveness and select one or more segment and select one or more segment to enter.

Positioning – arranging for a product / service to occupy a clear distinctive and desirable place relative to competing products in the target customer's mind.

Differentiation – Actually differentiating the marketing offering to create supreme customer value.

SWOT Analysis

  • Strengths – Internal
  • Weaknesses - Internal
  • Opportunities - External
  • Threats – External

Marketing Environment – the actors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with target customers.

Macro Environment – demographics, ethnic diversity, economic environment, technological environment, natural environment, political, cultural

Micro Environment – suppliers, marketing intermediaries (someone within the chain of distribution), public, competitors,

Marketing Intermediaries – firms that help a company to promote, sell and distribute its goods to final buyers.

E-marketing Landscapes

  • E-commerce – using digital technology to help buy and sell processes
  • Online Edvertising – banner ads, pop ups, digital coupon, links to web sites
  • Search Engine Marketing – purchasing ads on result page's sponsored links
  • User Generated Content – people interacting with your brand online. Consumer created ads. The most common of which are reviews.
  • Online Communities – social networking, linkedin, like minded interests, PR and buzz generation
  • Personalization – Putting together clusters of products that people buy. 'If you like THIS, than you may like THIS' Website recommendation targeted to your online behavior. Biggest user of this tactic is Amazon.
  • Mobile Internet Access – Smart phones, delivery system for Internet advertising
  • Local Search Marketing - Google My Business, Yelp, Craigslist
  • Online Aggregators – sites that bring together users and information (like Monster)
  • E-Business – continuous optimization of a firm's business activities digitally
  • E-marketing – use of information technology in the process of communicating and delivering value to customers and customer relationship management
  • Internet Opportunities – reduce costs, increase sales, access new markets, target segments, improve efficiency, 24/7 access,

Things to Consider in Today's Marketing Landscape

  • The Power Shift has moved from the sellers to the buyers
  • Content is king
  • Marketing investment is shifting to online
  • High broadband at home has helped
  • Market and media fragmentation
  • Refined metrics (measures) Measure key data about sites (visitor numbers, conversion to sales, return on investment ROI, customer acquisition costs)

Strategic Planning

Strategic planning – managerial process of developing and maintaining a viable fit between the company's objectives, skills, and resources to changing market opportunities.

Growth – how to grow reasonably and sustain growth over time

Competitive position – how do you position yourself relative to the competition? Example how Hyundai is repositioning themselves in the car market.

Geographic scope – new markets are available to you, but can you provide to them?

Business Begins with:

  • Strategic Plan
  • Marketing Plan
  • E-marketing plan


Specific measures designed to evaluate the effectiveness and efficiency of the business and marketing operations

Strategy – the means to achieve a goal / objective

e-strategy – capitalize on technologies to reach goals and objectives

Business Model – method by which a company sustains itself in the long term and includes its value proposition (value = benefits – cost)

Customer Value – differentiate product or service offering

Scope – Which markets will you serve

Revenue Sources – multiple streams of income

Implementation – systems, resources, capabilities,

E-business Model – information technology to help sustain the value proposition

Strategic Planning – Balanced Scorecard

  • Customer perspective – measures value delivered to customers
  • Internal Business perspective – meeting customer expectations through internal processes.
  • Learning and growth perspective – continuous improvement to existing products and services and innovation.
  • Financial Perspective – financial measures including expense, income, return on investment

Developing an E-marketing Plan

Step 1 Situation Analysis

A. SWOT Analysis

  • Strengths
  • Weaknesses
  • Opportunity
  • Threats

Consider Developing a SWOT Matrix

Strengths Weaknesses
Obstacles Threats

B. Review of the Overall marketing plan

  • Traditional Media

C. Establish Goals and Objectives and Measures

  • Short Term Goals – 1-2 Years
  • Long Term Goals – 3 – 5 Years
  • Objectives should be measureable
  • Measures (metrics)

E-marketing Strategic Planning

  • Segmentation – Size of the target, potential for profitability, sustainability, demographics, accessibility, geographic location, psychographics (lifestyles, attitudes, etc.)
    • Look at new markets, current markets, which customers want online,
    • B2B (business to business) – Look at different industries, their need, the size.
    • Less Customers, more volume.
    • What is your competitive advantage?
  • Targeting
    • What's your value proposition?
    • Differentiation
    • Positioning – how are we relative to the competition?
    • Occupy a clear and distinctive and desirable place relative to the competition.


Identifying e-business strategy objectives

Setting Objectives

  • The Task (what you want to accomplish)
  • Measureable Quantity (how much you want to do / acquire)
  • Time Frame (When do you want this done by)

E-marketing strategy

The Four 'P's' of Marketing (The Marketing Mix)

  • Price
  • Product
  • Place
  • Promotion

Pricing Strategies

  • Dynamic pricing – different price levels for different customers or situations
  • Supply and demand driven
  • Promotions
  • Online bidding
  • Use for inventory optimization

Distribution (Place) – online efficiencies. Selling directly; bypass intermediaries.

  • Online, you can act as an agent; bring buyers and sellers together for a fee.

Promotion – Communication Strategies

  • Interacting with 'brick and mortar' customers
  • Draw people to the store or web
  • E-mail, blogs, content, web pages,

Implementation Plan

Develop plans, policies, tactics, goals, objectives

Who does what?


Costs and expected profits (revenue forecasting)

ROI (return on investment)

Revenue forecast for the short, medium and long term.

Consider history, competition and the economy.

E-marketing costs:

  • Technology
  • Hardware
  • Software
  • Hosting
  • Internet Access
  • Site Maintenance & Domain Name
  • Site Design
  • Content
  • Search Engine Optimization

Evaluation Plan

  • ROI – Return on investment (tangible)
  • Intangible
  • brand building
  • Customer Satisfaction improves sales

Global Markets

  • Differences
    • Culture
    • Language
    • Buying Behavior
  • Similarities
    • English Speaking
    • Level of economic development
    • Literacy Rate
    • Use of credit cards
    • Package delivery

Digital Divide – The discrepancy between people with technology access and without.

The wealth of a nation creates disparity in the access to technology and information

Legal and Ethical issues

Ethics are concerned with the values and practices of the professionals and to take into account the concerns and values of a society as a whole.

Some major ethical issues:

  • Piracy – Stealing software or intellectual property
  • Privacy – how data is collected and used

American Marketing Association - information collected from customers should be confidential and used only for expressed purposes.

Cookies – used to collect data like sales information and contact information. Collected from users hard drive.

Cookie Packet – can be transferred between servers for user tracking. Looking for online behavior.

This sets off unsolicited web marketing.

Intelligent agents – make autonomous electronic decisions for you.

Ubiquitous applications – application that functions in the course of an online session without the users control or knowledge.

  • Cookies and intelligent agents

Federal Trade Commission (FTC) has minimum requirements regarding the use of consumer information:

  • Notice – a user should be aware of a site's information policy before data is collected.
  • Content – user should be allowed to choose participation or exclusion from collection.
  • Access – user should be able to see their information and correct if necessary.
  • Security – policies to ensure the integrity of data and the misuse prevention should be in place.
  • Enforcement – Users should have effective means to hold data collectors to their policies.

Digital Property

  • Patents – centered on inventions and the ability to reproduce or manufacture an inventors product
  • Software
  • Business Patent – processes for conducting online commerce
    • Online auctions
    • Credit Card processing
    • Click ordering routines
  • Overly broad patents were stifling business
  • Copyright – The right to publish or duplicate expressions of ideas. Originally for books, print, music and film.
    • In 1997 NET was invented (No Electronic Theft act) = copyright protection for computer content.
  • Trademarks – concerned with words or images used to identify products in the market
    • Cybersquatting, trademark violation to register domains names that resemble or duplicate names of existing companies or other entities.
    • Meta Tags – HTML Statements that describe a web's content.  Cannot use trademark meta tags.

E-Marketing Research

Internal Sources

  • Sales transaction
  • Sales conversion rates
  • If online ads are driving sales
  • Customer profitability
  • Sales promotion tracking
  • Customer activity and behavior
  • Customer touch point
  • UPC – Universal product code (record in store behavior)
  • Track user movement through the site (helps developers organize the site)
  • Can track where customers were before your site, and after your site
  • All of this information is stored in data warehouses.

Primary Data

  • Is collected through research by the company that the company develops on their own
  • Survey
  • Focus groups
  • Observation
  • On or off line

Secondary Data

  • Information collected by others (professional market research companies).
    • They sell this data.
    • Competitive Analysis
      • Alexa.com (look up your competitors)
    • Consumer Behavior
    • Technological Advances in that field / area
    • Syndicated research – generally for a specific industry, can apply but maybe not exactly what you need. Still cheaper than doing yourself.
      • Marketresearch.com

Knowledge Management - The process of managing the creation, use and dissemination of knowledge.

Monitoring social media

Citizen journalists:

  • Blogs
  • YouTube
  • You cannot control your brand online

Online Reputation Specialist – Public relations, but regarding social networking.

Monitoring system – e-mail alerts. Google has a system that sends you an e-mail if certain keywords are used

RSS Feed – Really Simple Syndication. XML format designed to share headlines and web content.

Most companies follow influential bloggers

Special software to monitor social media conversations – Buzz Monitor

Client Side Data Collection - Collecting information about consumer click behavior right at the users PC (cookies)

Server Side Data Collection - Logs the number of users who view each page, locations of prior sites visited, what users buy, browsing patterns,

Real Time profiling – track user movements and make instantaneous changes, adjustments to promotions, pricing,. Very expensive.

Spidering – Robots that enter targeted web sites and obtain data for the use of its owner. Mostly from search engines.

Points to Consider

Marketing Stimuli

  • Technological Context
    • 70% of consumers are online
    • Increased connection speeds
    • Smart Phones
    • 'People are using what device for what?'
  • Social and Cultural Context
    • People do not watch as much television; they want to get information when they want it.
    • Word of Mouth
    • More sophisticated consumers (knowledge is power)
    • Information Overload
    • Multi Tasking – lowers your attention level to each item.
    • Home and work boundaries are dissolving
    • Anytime, Anywhere convenience. 24/7 access
    • People expect a response within 24 hours
    • Online Access – People crave online access
    • Self Service Required
    • Privacy and Data Security
  • Legal Context – Still issues over piracy
  • Individual Characteristics
    • Demographics – Age, Race, Religion, Occupation
    • Attitude Towards Technology
    • Online skill and experience
    • Online shopping is goal oriented more than experience oriented.
  • Consumer resources
    • Perceived value = Benefit – cost
    • Monetary Cost – income, access to credit,
  • Time Cost – Time poverty. People are very busy
  • Exchange Outcomes:
    • Connect – E-mail, IM, Texting, Skype, Social Network, Blog
    • Create – Content Creation, Videos, avatar game,
    • Enjoy – Audio, Visual entertainment,
    • Learn – News, direction, job postings, Weather, online classes/tutorials
    • Trade – Buy/Sell element, reservations, auctions, online classifieds

Segmentation and Targeting Strategies

Market Segmentation – aggregating people with similar characteristics that pertain to use, consumption, and benefit of a product.

Market Targeting – selecting attractive markets for your company.

  • Business Market – B2B is huge online. Increase efficiencies.
    • Most businesses place their orders online
    • Greater competition (more global)
    • Changing the supply chain structure – More direct selling
  • Government Market – US Government is the world's largest buyer
    • Bidding Process – complicated to become a vendor to the government
    • Become an approved supplier
  • Consumer Market – end users
    • Vast and diverse market

4 Segmentation Bases are:

Geographics – Companies target regions

  • Based on language, accessibility, ability to provide service.


  • Predominantly younger crowd
  • Higher income
  • Higher education
  • Born in 1979 – 1994, called Millennial
    • 90% use the Internet
  • Kids under 16 are increasing online power
    • Social networking
    • Playing Games
    • Watching Videos
  • Inflentials
    • Opinion Leaders regarding the use of the web    


  • Personality
  • Habits
  • Values
  • Lifestyle / Activities
  • Social Networking AKA Word of Mouth on Steroids
    • Building a community on a social networking site is very effective


  • Benefits sought (addressed needs)
  • Why are people going to a web site?
  • Travel web sites: 55% to check flights, 47% check destination, 48% visit for promotions
  • Usage level: Light, medium, heavy user
  • Online engagement –
    • Entertained?
    • Create?
    • Critic?
  • How are they accessing the Internet?
  • Computer
  • Smart phone
  • Internet Speed.

Differentiation and Positioning

Differentiation - Adding a set of meaningful and valued differences to distinguish the company's offering from competitors offering.

Product Differentiation – Create a unique product. With online, a unique service element. Find the right combination of benefits. Bundle and price.

Service Differentiation – If you have a generic product, then you need to differentiate with service.

Online service enhances the consumption experience.

Personnel Differentiation – Having personal selling relationships because online is creating a more anonymous experience.

Channel Differentiation – online 24/7; is this an asset?

Image Differentiation – Branding and unique customer service builds customer loyalty. Fine tune your target.

Website Atmospherics

Nice environment, easy navigation, easy downloads, good information, and home page is very important.

Build Trust

Clearly defined privacy policy. Use encrypted payment system. They need to know there is a live person they can talk to.

Efficient and Timely Order Processing

Ease. Delivery timeliness. Follow through. Automated e-mails.


Is it the same, more than, or less than the competition? Discount to process online?

Customer Relationship Marketing (CRM)

As you move away from price, you have to be more focused on services and personalization. Describe special things you're doing with web site.

Invite User Generated Content

Provide a place for users to post comments, or other content. The key is to trust customers, listen, and learn. You should respond to online comments.

Positioning Strategies

Creating an image and market view of the brand by consumers positioned in their mind relative to the competition. Goal is to build a strong and defensible position on one or more bases that are relevant to consumers.

Positioning Attributes

  • Product / service - Features, ingredients, size, color
  • Technology – Cutting edge applications
  • Benefit – What benefits do consumers perceive from your features?
  • User Category – Customer segments that have unique qualities that they want.
  • Competitor positioning – Market your benefits that are better than the rest.
  • Integrator – Providing everything a consumer needs in a particular category
  • Repositioning - Creating a new or modified brand 

Online Offers

Creating Customer Value

Marketing Mix (known as the 4 P's)

  • IMC (integrated marketing communication) Advertising / Promotion
  • Distribution Channel (online sales VS brick and mortar)
  • Price / Value
  • Product / Service / Offer

80/20 Rule: 20% of your customers will generate 80% of your profit

Customer Value = Benefits – Costs

Every time a customer contacts your business it should be a 'fabulous' experience.

1. Product experience

  • Create awareness
  • Customer Touch Points
    • Phone
    • E-mail
    • In Person
    • Signage
  • Actual Product Usage
  • Post Purchase Service

2. Mental Beliefs and Attitudes

  • Customer Perception determines value

3. Customer Expectations

  • The 'actual experience' needs to meet or exceed the initial expectation

4. Product Benefits

  • What are the product attributes?
  • Quality
  • Features
  • Benefits
  • These things must be consistent

Mass Customization – The ability to bundle features at rock bottom prices.

Branding – Slogan, symbol, logo, it's a promise. When you deliver on your promises, you build trust.

Brand Equity – Intangible value of a brand measured in dollars.

Brand Relationships – try to build a 'cult like' following

  • Examples: Harley Davidson, Apple,

Branding Decisions for Web Products:

Do you use an existing name on the web?

  • Strong brands usually will if it is a safe bet.
  • Online and Offline brand image need to be even, coherent

Domain names are generally the brand name.

Support Services – critical to the value proposition.

  • Before and after purchase
  • Think about the customer experience
  • Labeling and Packaging – influences behavior at point of sale.
  • Communicates the brand

Customer Relationship Management (CRM)

  • Customer Care Life Cycle
  • Targeting the right customers
  • Who are your best customers
  • Differentiate the needs of your customers
  • Acquire customers
  • Customize the marketing mix to satisfy needs
  • Transaction – Easy, convenient, fast
  • Retain Customers – data analysis, evaluate, improve
  • Grow

Information Gathering Strategy

What you want to collect from your customers and how you want to use it.

Physical Media

Digital Media

  • Broadcast – Mass media, to a mass audience. Highest level is network TV.
  • Narrowcasting – Smaller audience. Cable TV, Newspapers, magazines, radio,
  • Pointcast – Individuals. Direct mail or direct e-mail. Text. Personalized message. Phone calls.

Advantages of digital media

  • Selective targeting
  • Track advertising effectiveness
  • Flexible message length and delivery timing
  • Ability to reach global markets
  • Interactivity
  • Self paced

Disadvantages of Digital media

  • Unable to reach a mass audience
  • Unable to reach people that are not online
  • Slow delivery if there is no broadband

The key digital media is

  • Email
  • Web sites
  • Social Media
  • Purchased advertising

The definition of social media: Online tools and platforms that allow Internet users to collaborate on content, share insights and experiences, and connect for business or pleasure.

Reputation aggregators – Search engines (google)

  • Rank web sites, products, retailers, according to some ranking system/method.
  • Rely on input for the rankings; including how popular a page is.
  • Look at relevant links from quality sites

Search Marketing – Umbrella term for marketing a web site via search engines


  • Improve your ranking
  • Purchasing paid listings

Natural search / organic search – Optimizing web site so that it will appear on the first few search results pages using search engine optimization.

Search Engine Optimization – Altering a web site and incoming links so it does well with crawler based listings through search engines.

  • What are the best keywords?
  • Design a site for users, not for search engines.
  • Register web site with search engines.
  • Site Quality – content should be updated
  • Having more than one site with subdomains w/relevant content.
  • Separate web site for support
  • Frequently updated blogs
  • Content on visible sites like Facebook and YouTube

Paid Search

  • Pay a fee to reputation aggregators (Google) for directory inclusion.
  • Most effective form of online advertising
  • Keywords
  • Bidding Process for ranking appearance

Directory Submission –

  • Pay to be listed in a searchable directory
  • Yahoo shopping pages

Vertical Search

Site specific search on very specialized topics, such as travel sites, online retailers

Example: Trip advisor. Registered members that basically recommend and network with one another. Vendors that are in that industry will pay to appear on that site.

Online community, very high volume of clicks and return visitors

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