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Understand the major forms of online marketing communications and how websites are essential marketing tools. Explore online advertising methods and the advantages of banner ads, paid search engine inclusion, sponsorships, and affiliate relationships. Learn about online marketing metrics and the significance of a functional website for effective communication with customers.
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Learning Objectives • Identify the major forms of online marketing communications • Discuss the ways in which a Web site can be used as a marketing communications tool
Introduction • Online marketing communications • Methods used by online firms to communicate to the consumer and create strong brand expectations
Online Marketing Communications • Dual purpose of online marketing communications • Branding • To strengthen a brand by informing consumers about the differentiating features of the products and services • Sales • Encouraging the consumers to buy products and services
Online Marketing CommunicationsOnline advertising • Advertising is the most common and familiar marketing communications tool
Online Marketing CommunicationsOnline advertising • Heaviest online advertisers • Hardware companies • media companies • Financial services • Automotive • Travel • Telecommunications • Health • Consumer packaged goods • Reason why they are popular • Products that consumers do much research before purchasing • Rely on brand name
Online Marketing CommunicationsOnline advertising • Forms of online advertisement • Banner and rich media ads • Paid search engine inclusion and placement • Sponsorships • Affiliate relationships
Online Marketing CommunicationsOnline advertising • Banner ad • Displays a promotional message in a rectangular box at the top or bottom of a computer screen • Advantage • If clicked, it can take the user to the advertiser’s web site • It also is much more dynamic than a printed ad as it can present multiple images or otherwise change its appearance
Online Marketing CommunicationsOnline advertising • Banner ad • Specifications for four sizes of banners • Full, half, vertical and micro bar • Button • A permanent banner ads • Square pop-up (opens a separate window) • Pop-under ads • Opens underneath a user’s active browser window and does not appear until user closes the active window
Online Marketing CommunicationsOnline advertising • Paid search engine inclusion and placement • Search engines sites originally performed unbiased searches of the Web’s huge collection of Web pages, and derive revenue from advertisements • Search engines have become digital yellow pages where firms pay for inclusion and placement in the search engine index • To be at or near the top of particular search results, businesses have to bid for position based on how much they are willing to pay
Online Marketing CommunicationsOnline advertising • Sponsorship • A paid effort to tie an advertiser’s name to information, an event, or a venue in a way that reinforces its brand in a positive, yet not overtly commercial manner
Online Marketing CommunicationsOnline advertising • Affiliate relationship • Permit a firm to put its logo or banner ad on another firm’s Web site from which users of that site can click through to the affiliate’s site • Relationship are often called tenancy deals because they allow a firm to become a “tenant” on another site without charge • Direct e-mail marketing • E-mail marketing messages sent directly to interested users • Spam • Unsolicited commerce e-mail • Public relations • Involves communicating with target audiences, or public, using methods other than advertising
Understanding the Cost and Benefits of Online Marketing Communications • Online marketing metrics • Impressions • Number of times an ad is served • Clickthrough rate • Number of times an ad is clicked • Hits • Number of http requests Page views • Number of pages viewed • Stickiness • Average length of stay at a site
The Web Site as a Marketing Communications Tool • One of the strongest online marketing communications tools is a functional Web site that customers can find • Considerations • Domain names • Play an important role in reinforcing an existing brand and developing a new one • When choosing domain names • Short and memorable • not easily confused with others and difficult to misspell • During E-Commerce I era, companies were willing to pay millions for a “good” domain name
The Web Site as a Marketing Communications Tool • Considerations • Web site functionality • Once a customer has arrived at our site, what is important at that point is what does our website have to convince him or her to purchase