MKTG CHPT 14

Video: Inside an Amazon warehouse on Cyber Monday

629 items sold per second kiva robots to handle orders, they carry the entire shelf to an amazon 'picker' that saves tons of time

benefits of blogs and forums

A fresh, original, personal, and inexpensive way to enter into consumer online conversations

Online advertising

Appears while consumers are browsing online online advertising is search-related ads or contextual advertising. In this form of advertising, text-based ads and links appear alongside search engine results on sites such as Google, Yahoo!, and Bing.

Digital age

Changing customers' notions of convenience, speed, price, product information, service, and brand interactions it has given marketers a whole new way to create customer value, engage customers, and build customer relationships. Some companies operate only online. They include a wide array of firms, from e-tailers to search engines and portals, transaction sites, content sites, and online social media.

limitations of blogs and forums

Cluttered, difficult to control and largely a consumer-controlled medium

Benefits of Direct and Digital Marketing to Buyers

Convenient, easy, and private Easy buyer-seller interaction Quick access to products and relevant information Brand engagement and community

Omni-channel retailing

Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

Direct-response television (DRTV) marketing

Direct-response television advertising-DRTV ads are often associated with somewhat loud or questionable pitches for cleaners, stain removers, kitchen gadgets, and nifty ways to stay in shape without working very hard at it. Interactive TV (iTV) advertising

A Need for Action- government investigations

Do-not-call, do-not-mail, do-not-track lists 'Can Spam' legislation Congressional legislation - Give more control to consumers over how online information is used Federal Trade Commission (FTC) - Policing online privacy

challenges social media

Effective usage uncertain Difficult to measure results Largely user controlled

benefits of catalog marketing

Eliminates printing and mailing costs No space constraints Broader assortment of presentation formats Real-time merchandising capabilities Prices can be adjusted instantly

marketing web sites

Engage consumers to move them closer to a direct purchase or other marketing outcome

Direct and Digital Marketing

Engage directly with targeted individual consumers and customer communities to obtain an immediate response Build lasting customer relationships, engagement, brand community, and sales

Rapid Growth of Direct and Digital Marketing

Fastest-growing form of marketing Direct marketing becoming more Internet-based Direct marketing claims a surging share of marketing spending and sales Includes online display and search advertising, video, social media, mobile, email

Consumer Privacy

Fear of invasion of privacy Ready availability of information leaves consumers open to abuse

access by vulnerable or unauthorized groups

For example, marketers of adult-oriented materials and sites have found it difficult to restrict access by minors.

privacy rights of children

In 2000, Congress passed the Children's Online Privacy Protection Act (COPPA), which requires online operators targeting children to post privacy policies on their sites. They must also notify and obtain parental consent before collecting personal information from children under age 13.

Social media

Independent and commercial online communities where people congregate, to socialize and share messages, opinions, pictures, videos, and other content

Deception and fraud

Investment scams or phony collections for charity Internet fraud Phishing Online and digital security Access by vulnerable or unauthorized groups

Public Policy Issues in Direct and Digital Marketing

Irritation, Unfairness, Deception, and Fraud Consumer Privacy A Need for Action

Integrated Social Media Marketing

Large companies design social media efforts that blend with and support other elements of a brand's marketing strategy and tactics. Firms that use social media effectively create brand-related social sharing, engagement, and customer community.

Irritation

Loud, long, and insistent TV commercials Junk mail and spam

benefits of direct and digital marketing to sellers

Low-cost, efficient, and speedy Build close, personalized, interactive, one-to-one customer relationships Greater flexibility

Which of the following statements is true regarding traditional direct marketing​ forms?

Marketers use both outbound telemarketing and inbound telemarketing.

Online Marketing

Marketing via the Internet using company Web sites, online ads and promotions, email, online video, and blogs

New Direct Marketing Model

Most companies still use direct marketing as a supplementary channel or medium. For many companies today, direct and digital marketing constitute a complete model for doing business.

Blogs and Other Online Forums

Online journals of narrowly defined topics where people and companies post their thoughts and other content

What are the three major forms of digital direct​ marketing?

Online​ marketing, social media​ marketing, and mobile marketing

Companies' actions

Own security measures Industry-wide measures

Online Videos

Posting digital video content on brand Web sites or social media

branded community web sites

Present brand content that engages consumers and creates customer-brand community

Catalog Marketing

Print, video, or digital catalogs that are mailed to select customers, made available in stores, or presented online

Kiosk Marketing

Product or service information and ordering machines placed by companies

marketers actions

Self-regulatory principles Advertising option icon Privacy rights of children

Which of the following statements is true regarding sellers and their use of direct and digital​ marketing?

Sellers have opportunities to engage in​ real-time marketing.

Telemarketing

Selling directly to customers using the telephone Outbound and inbound telephone marketing Rise of do-not-call legislation resulted in opt-in calling systems

Direct-Mail Marketing

Sending an offer, announcement, reminder, or other item directly to a person at a particular address

Unfairness

Taking unfair advantage of impulsive buyers

direct mail offers

Tangible and creates emotional connection with customers Effective component of a broader integrated marketing campaign Direct and personalized Sent to consumers who want to receive it

Advantages social media

Targeted and personal Interactive Immediate and timely Cost effective Engagement and social sharing capabilities

Digital and social media marketing

Using digital marketing tools to engage consumers anywhere, anytime via their digital devices

two ways marketings engage in social media

Using the existing ones-easiest Setting up their own- ex nike running community

viral marketing

Videos, ads, and other marketing content that customers seek out or pass along to friends digital version of word-of-mouth

Smart kiosks

Wireless-enabled Facial recognition Some machines even use facial recognition software that lets them guess gender and age and make product recommendations based on that data.

Forbes: The State Of Digital Advertising: The Google, Facebook Duopoly Tightens Its Grip

behavioral shift: consumers to turn to their mobile devices to look up everything from the details of a product to directions. Mobile is surpassing desktop as the choice to access the Internet. Google dominates search, Facebook rules display:growth in both usage and time spent, which continues to draw advertisers in greater numbers. Video, both live and recorded, is a key driver of growing user engagement and advertiser enthusiasm

Self-regulatory principles

call for online marketers to provide transparency and choice to consumers if Web viewing data is collected or used for targeting interest-based advertising.

Niche social media

cater to the needs of smaller communities of like-minded people, making them ideal vehicles for marketers who want to target special interest groups.

Traditional direct marketing tools include​ ________.

face-to-face selling,​ direct-mail marketing, catalog​ marketing, telemarketing,​ direct-response television​ marketing, and kiosk marketing

online and digital security

fear that unscrupulous snoopers will eavesdrop on their online transactions and social media postings, picking up personal information or intercepting credit and debit card numbers.

Mobile Marketing

features marketing messages, promotions, and other content delivered to on-the-go consumers through their mobile devices. to engage customers anywhere, anytime during the buying and relationship-building processes. Retailers can use mobile marketing to enrich the customer's shopping experience at the same time they stimulate buying. Engages customers anywhere, anytime during the buying and relationship-building processes

Interactive TV (iTV) advertising

form of direct-response television marketing lets viewers interact with television programming and advertising. lines continue to blur between TV screens and other video screens, interactive ads and infomercials are appearing not just on TV, but also on mobile, online, and social media platforms, adding even more TV-like interactive direct marketing venues.

According to the​ text, what is perhaps the toughest public policy issue now confronting the direct marketing​ industry?

invasion of privacy

advertising option icon

little "i" inside a triangle, that is added to most behaviorally targeted online ads to tell consumers why they are seeing a particular ad and allowing them to opt out.

​Geico's website is designed to quickly turn an inquiry into a sale. Geico has designed​ a(n) ______ website.

marketing

WSJ: How PG&E's CIO Sped Up Mobile App Deployment

mobile app boosting employee productivity to increasing safety. lowering costs, increasing innovation and accelerating the time it takes for software developers to provision a platform needed to build mobile apps GPS-based asset inspection app allows field workers to locate a gas or electric asset, such as a power line or service pole in a neighborhood or in a rural mountain range. allows employees to submit information about security concerns, such as safety hazards in substations. "It's an opportunity for employees to speak up and share any issues and concerns they have, really reinforcing safety and innovation and continuous improvement,"

How does Google earn approximately​ 90% of its​ revenues?

selling contextual advertising

email marketing

sending highly targeted, highly personalized, relationship-building marketing messages via email. When used properly, email can be the ultimate direct marketing medium.

Internet fraud is phishing

type of identity theft that uses deceptive emails and fraudulent online sites to fool users into divulging their personal data.

spam in email marketing

unsolicited, unwanted commercial email messages that clog up our email boxes. Spam has produced consumer irritation and frustration. To address these concerns, most legitimate marketers now practice permission-based email marketing, sending email pitches only to customers who opt in.