Ch. 21: Implementing Interactive and Multichannel Marketing
Two Market Environments
1. (Traditional) Marketplace 2. Marketspace (Internet-enabled)
Collaborating Filtering
A process that automatically groups people with similar buying intentions, preferences, and behaviors and predicts future purchases
Viral Marketing
An Internet-enabled promotional strategy that encourages individuals to forward marketer-initiated messages to others via e-mail, social networking websites, and blogs
Personalization
Consumer-initiated practice of generating content on a marketer's website that is custom tailored to an individual's specific needs and preferences
Web Design Elements (that drive customer experience)
Context; Commerce; Connection; Communication; Customization; Community; Content
Eight-second Rule
Customers will abandon their efforts to enter and navigate a website if download time exceeds eight seconds
Showrooming
The practice of examining merchandise in a physical retail location without purchasing it, and then shopping online for a better deal on the same item
Webrooming
The practice of examining products online and then buying them in a store
Social Commerce
Use of social networks for browsing and buying
Behavioral Targeting
Uses information provided by cookies to direct online advertising from marketers to those online shoppers whose behavioral profiles suggest they would be interested in such advertising
Web Communities
Websites that allow people to congregate online and exchange views on topics of common interest
Note: Possibilities for customer value creation are greater in the digital market space than in the physical marketspace (believed by marketers)
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Six Reasons Why People Shop and Buy Online
1. Convenience 2. Choice 3. Customization 4. Communication 5. Cost 6. Control
Three Steps to Implement Multichannel Marketing
1. Document the cross-channel consumer journey 2. Employ channels that are mutually reinforcing in attracting/retaining/building relationships w/ consumers 3. Monitor and measure multichannel marketing performance
Benefits of Internet Technology
1. Interactivity 2. Individuality
Three Forms of Communication (internet)
1. Marketer-to-consumer e-mail notifications 2. Consumer-to-Marketer Buying and Service Requests 3. Consumer-to-Consumer Chat Rooms and Its
Multichannel Marketing
Blending of different communication and delivery channels that are mutually reinforcing in attracting, retaining, and building relationships with consumers who shop and buy in the traditional marketplace and marketspace
Cookies
Computer files that a marketer can download onto the computer and mobile phone of an online shopper who visits the marketer's website
Possession Utility
Getting a product or service to consumers so they can own or use it
Choiceboard
Interactive, Internet-enabled system that allows individual customers to design their own products and services by answering a few questions and choosing from a menu of product or service attributes (or components), prices, and delivery options
Interactive Marketing
Involves two-way buyer-seller electronic communication in which the buyer controls the kind and amount of information received from the seller
Cross-channel Consumers
Online consumers who shop online but buy offline, or shop offline but buy online
Dynamic Pricing
Practice of changing prices for products and services in real time in response to supply and demand conditions
Customization
Practice of not only customizing a product or service but also personalizing the marketing and overall shopping and buying interaction for each customer
Mission Marketing
Solicitation of a consumer's consent (called opt-in) to receive e-mail and advertising based on personal data supplied by the consumer
Online Consumers
Subsegment of all Internet users who employ this technol- ogy to research products and services and make purchases
Customer Experience
Sum total of the interactions that a customer has with a company's website, from the initial look at a home page through the entire purchase decision process