Chapter 18: Implementing interactive and multichannel marketing. After reading this chapter you should be able to: Describe what interactive marketing is and how it creates customer value, customer relationships, and customer experiences; explain why certain types of products and services are particularly suited for interactive marketing;...
McGrawHill/Irwin Copyright © 2013 by The McGrawHill Companies, Inc. All rights reserved LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 18, YOU SHOULD BE ABLE TO: LO1 LO2 Describe what interactive marketing is and how it creates customer value, customer relationships, and customer experiences Explain why certain types of products and services are particularly suited for interactive marketing 182 LEARNING OBJECTIVES (LO) AFTER READING CHAPTER 18, YOU SHOULD BE ABLE TO: LO3 Describe why consumers shop and buy online and how marketers influence online purchasing behavior LO4 Define cross-channel shoppers and the role of transactional and promotional websites in reaching these shoppers 183 SEVEN CYCLES ONE BIKE YOURS 184 LO1 CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE CUSTOMER VALUE IN MARKETSPACE Marketplace Marketspace • Time Utility • Possession Utility • Form Utility 185 FIGURE 18-1 Trend in online shoppers and online retail sales revenue in the U.S 186 FIGURE 18-1A Trend in online shoppers in the U.S 187 FIGURE 18-1B Trend in online retail sales revenue in the U.S 188 LO1 CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE INTERACTIVITY AND INDIVIDUALITY IN MARKETSPACE Interactivity Individuality Interactive Marketing Choiceboard M&Ms • Collaborative Filtering 189 LO1 CREATING CUSTOMER VALUE, RELATIONSHIPS, AND EXPERIENCES IN MARKETSPACE INTERACTIVITY AND INDIVIDUALITY IN MARKETSPACE Personalization Permission Marketing • Opt-In • Opt-Out 1810 LO2 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHO IS THE ONLINE CONSUMER? Online Consumers Seek Product Information • Educated • Affluent • Young • Diverse 20% of Those Who Spend $1,000+ per Year Online = 87% of Sales! 1815 LO2 MARKETING MATTERS Meet Today’s Internet Mom on a Mission 1816 LO3 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHAT ONLINE CONSUMERS BUY Product Information Audio/Video Demos Digital Items Unique Items Convenience Items Standardized Items 1817 FIGURE 18-3 Why consumers shop and buy online 1818 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHY CONSUMERS SHOP AND BUY ONLINE Convenience • Bots • Eight-Second Rule Choice • Offering Selection • Choice Assistance 1819 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHY CONSUMERS SHOP AND BUY ONLINE Customization • Customerization Communication • Marketer-to-Consumer E-mails • Consumer-to-Marketer Requests • Chat Rooms, Messaging, Social Networks 1820 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHY CONSUMERS SHOP AND BUY ONLINE Communication • Web Communities • Blog • Spam • CAN-SPAM Act 1821 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHY CONSUMERS SHOP AND BUY ONLINE Communication • Buzz • Viral Marketing Frito-Lay Embed a Message Create Compelling Content Offer Incentives 1822 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHY CONSUMERS SHOP AND BUY ONLINE Cost • Dynamic Pricing Control • Cookies • Behavioral Targeting 1823 LO4 MAKING RESPONSIBLE DECISIONS Who is Responsible for Internet Privacy and Security? Truste 1824 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE WHEN ONLINE CONSUMERS SHOP AND BUY Monday - Friday 8:00 AM to 5:00 PM 1825 LO4 CROSS-CHANNEL SHOPPERS AND MULTICHANNEL MARKETING WHO IS THE CROSS-CHANNEL SHOPPER? Cross-Channel Shopper • Compare Products Among Retailers • Obtain Information Not in Stores • Reduce Trips to Multiple Retail Locations 1826 LO4 CROSS-CHANNEL SHOPPERS AND MULTICHANNEL MARKETING IMPLEMENTING MULTICHANNEL MARKETING Multichannel Marketing Transactional Websites • Cannibalization • Channel Conflict 1827 LO4 CROSS-CHANNEL SHOPPERS AND MULTICHANNEL MARKETING IMPLEMENTING MULTICHANNEL MARKETING Promotional Websites Pampers • Interactive Experiences • Separate Websites for Each Brand • Support Traditional Marketing Channel 1828 FIGURE 18-4 Implementing multichannel marketing with promotional websites 1829 ... Utility • Form Utility 18 5 FIGURE 18- 1 Trend in online shoppers and online retail sales revenue in the U.S 18 6 FIGURE 18- 1A Trend in online shoppers in the U.S 18 7 FIGURE 18- 1B Trend in online... behavior LO4 Define cross-channel shoppers and the role of transactional and promotional websites in reaching these shoppers 18 3 SEVEN CYCLES ONE BIKE YOURS 18 4 LO1 CREATING CUSTOMER VALUE, RELATIONSHIPS,... Digital Items Unique Items Convenience Items Standardized Items 18 17 FIGURE 18- 3 Why consumers shop and buy online 18 18 LO4 ONLINE CONSUMER BEHAVIOR AND MARKETING PRACTICE IN MARKETSPACE