E-Marketing Strategy and Management
Week 5 - Positioning
Market Segmentation: A grouping process
E-Market Targeting: A selection process – targets to serve online – 2 strategies
1. Niche Marketing: Targeting a small specific segment of the population – Highly specialised a. Not much competition
2. Micromarketing: Targeting specific customers within a niche market
Positioning: creating a desired image for a company and its products for a user segment
E-marketer’s goal is to build a position on one or more bases that are important to consumer
DIFFERENTIATION – valued differences to distinguish from competition
o Based on features, pricing, shipping, convenience, service, reliability, prestige, etc.
o Online: Differentiate website look, design – stock – price – privacy policy – same day dispatch – coupons – customer relationship management
Age: specific ages more accustomed to social media
Geo: internet penetration
& usage, infrastructure variables, language
Geo target through .au – this narrows searches to your website
Psycho: personality, values, lifestyles – activities, interests, opinions Common interests = brand communities (Apple fans)
Behaviour: brand loyalty, payment, device used
Benefits: cost saving, convenience, prestige,
Week 6 - Product
Product Concept:
1. Core Product: Fundamental benefits
2. Actual/Expected Product: Benefits that fulfil the customers’ most basic expectations a. Online consumer’s basic expectation – Connect, share, like, etc.
b. Attributes – quality, features
c. Branding – represents a promise or value proposition to its customers – labelling d. Support Services – customer support during and after purchase
i. Can include FAQ, comparisons, search engine, live chat
3. Augmented Product: Benefits buyer doesn’t require to fulfil their basic needs – Differentiate a. E.g. money back, free delivery, free installation, add on services (gift wrap)
b. PERSONALISATION Personalisation: Two Approaches
1. Mass Customisation: consumers specifies one or more elements of his/her marketing mix a. Consumer actively tells the marketer what they want – customisation
i. E.g. Nike allows you to create shoes – added value/enjoyment/benefit b. 4 Faces of Mass Customisation
i. Collaborative: Reconfiguration of a product to match consumer preferences
E.g. Nike
ii. Cosmetic: Altering information or packaging around standardised product
E.g. IPhone engraving
iii. Adaptive: Same product to everyone but lets users filter out most features
E.g. Weather filter to show only Sydney
iv. Transparent: Product features learn the user and adjust accordingly c. Can advertise this – promote the customisation of your product – build excitement
2. User Personalisation: the firm decides what marketing mix is suitable for the individual a. Decisions based on previously collected customer data – consumer choices tracked
i. Increases customer benefits through relevance ii. E.g. Amazon & Netflix personalise for the consumer Product Development:
Prosumer: Producer + Consumer – consumer takes an active role in product design o E.g. Consumers are telling businesses what they want – crowdfunding, petitions Site Design: A website attempts to deliver 3 types of outcomes
Increase revenue, reduce cost, improve customer satisfaction/loyalty
Online experience – navigation, feel, look, design, space, mobile friendly all important o USABILITY, ACCESSIBILITY, PERSUASION – CONTENT IS KING
The Long Tail:
Core Actual Augmented
Content is King – Sample for presentation assignment
Suggested by Bill Gates – 1996 – content will bring most income online Includes text, music, software, video and classified advertisement
Effectiveness of Content Marketing
It improves customer integration and engagement
o ALS Ice Bucket Challenge – content light, simple, unique
Allows for personalisation and creativity
Website and Blogs – focus on content – Content IS King
To maintain followers and readers – content is imperative
o E.g. Buzzfeed relies almost exclusively on content – very popular website
Build viewership to bring profit
Social Media can help build view rate and revenue – share content through social media
Content Providers – Netflix and Spotify – Content IS King – Distribution is Queen
Subscription model
Content personalised towards user
Content readily available, 24/7 on multiple devices
o More successful, more benefits, easier to use then physical competitors
Netflix – create own content and series, Spotify create own radios
User Generated Content – Content IS King
Any type of content created by the users of a system
Include blogs, tweets, forums, podcasts, videos, etc.
Instead of a marketing team, general audience builds and moulds brand’s image/message o Popular websites tap into this – e.g. FB, Twitter, YouTube, Blogger, Twitter, Wiki o Businesses want consumers to engage with a brand – content encompasses this o UGC enables business to change practices based on collective voice of users o Brings the brand closer to the community, through tweets, likes, shares and more,
the community becomes more involved with the brand
o Results in new fresh content – content created by users more trusted than company – reviews, rates, video reviews, etc. all more trusted
o Advantages marketers as users can create works which can be utilised in a marketing campaign, saving a business greatly in terms of resources and time o SEO of company boosted due to greater content creation
o Content marketing is fun and organic
