Monday, March 3, 2008
Online Product Marketing
Is the marketing of products or service over the internet. The Internet has brought many unique benefits to marketing including low costs in distributing information and media to a global audience. The interactive nature of Online Product Marketing, both in terms of instant response and in eliciting response, are unique qualities of the medium. Online marketing ties together creative and technical aspects of the internet, including design, development, advertising and sales. It is the process of growing and promoting an organization using online media and does not simply mean 'building a website' or 'promoting a website'. Somewhere behind that website is a real organization with a real products.
There are a few important characteristics that differentiate Internet marketing from "off-line marketing":
- One-to-one vs. one-to-many approach: The targeted user is typically browsing the Internet on their own, and the marketing messages reach them personally. This can be very clearly seen in search marketing, where the users find advertisements targeted to specific keywords that the users asked for.
- Demographics targeting vs. behavioral targeting: off-line marketers typically segment their markets according to age group, sex, geography, and other general factors. Online marketers have the luxury of targeting by activity. This is a deeper form of targeting, since the advertiser knows that the target audience are people who do a certain activity (upload pictures, have blogs, etc.) instead of just expecting that a certain group of people will like their new product or service.
- Measurability: Almost all aspects of an online campaign can be traced, measured, and tested. The advertisers either pay per banner impression (CPM), pay per click (PPC), or pay per action accomplished. Therefore, it is easy to understand which messages or offering are more appealing to the audience.
- Response and immediate results: Since the online marketing initiatives usually require users to click on the message, go to a website, and perform a targeted action, the results of campaigns are immediately measured and tracked. On the other hand, someone driving a car who sees a billboard, will at best be interested and might decide to get more information at some time.
An Online Product Marketing strategy includes all aspects of online advertising, online activity that promotes a company products online , including websites, blog sites, article and press releases, online market research, email marketing, and advertising. It has a large impact on several industries, as well as the advertising industry itself and it just profound that online advertising has grown to be worth tens of billions of dollars annualy in just a few years. As of 2007, is growing faster than other types of media.Since exposure, response and overall efficiency of Internet media is easier to track than traditional "off-line" media, through the use of web analytics for instance, Online marketing can offer a greater sense of accountability for advertisers. Increasingly, however, marketers and their clients are becoming aware of the need to measure the collaborative effects of marketing, instead of siloing each medium. The effects of Multi-Channel Marketing can be difficult to determine, but are an important part of ascertaining the value of media campaigns. In this strategy must consider the security concerns for both companies and consumers that particpate in online business. Many consumers are hesitant to buy items over the Internet because they do not trust that their personal information will remain private because some companies that do business online have been caught giving away or selling information about their customers. Another major security concern that consumers have with ecommerce merchants is whether or not they will receive exactly what they purchase. Trustworthy, reliable merchant performance has been a consumer concern since the inception of ecommerce, and to date, merchants have attempted to address these concerns by investing in and building strong consumer brands.