Aaron A. WynnMarketing Strategies in the Digital AgeProfessor Shular Scudamore

““The ultimate goal of B2C The ultimate goal of B2C marketing is to convert shoppers marketing is to convert shoppers into buyers as aggressively and into buyers as aggressively and consistently as possible.”consistently as possible.”

““B2C marketing campaigns are B2C marketing campaigns are concerned with the transaction, concerned with the transaction, are shorter in duration and need are shorter in duration and need to capture the customer’s interest to capture the customer’s interest immediately.”immediately.”

B2C•Product driven •Maximize the value of the transaction •Large target market •Single step buying process, shorter sales cycle •Brand identity created through repetition and imagery •Merchandising and point of purchase activities •Emotional buying decision based on status, desire, or price

B2B•Relationship driven •Maximize the value of the relationship •Small, focused target market •Multi-step buying process, longer sales cycle •Brand identity created on personal relationship •Educational and awareness building activities •Rational buying decision based on business value

Used as the proverbial “grease” in the engine of Used as the proverbial “grease” in the engine of consumerism for goods or services.consumerism for goods or services.Those who execute better marketing to their Those who execute better marketing to their consumers for goods or services with all things consumers for goods or services with all things being even with the offering win the vast being even with the offering win the vast majority of consumer dollars.majority of consumer dollars.Consumer marketing educates the consumer on Consumer marketing educates the consumer on how to address their need and desire how to address their need and desire fulfillments.fulfillments.

Marketing has a key role to play on how retail businesses achieve their Marketing has a key role to play on how retail businesses achieve their goal of revenue. goal of revenue. The following are the 10 Web 2.0 marketing business models, each The following are the 10 Web 2.0 marketing business models, each offering B2C examples of business. We will review a sample of the list.offering B2C examples of business. We will review a sample of the list.

In the following slides are specific examples of the best known B2C In the following slides are specific examples of the best known B2C marketing BM.marketing BM.

Aggregator Internet based general goods provider

Applications Service Provider Utilities equivalent

Content Provider Newspapers and Magazines

Infomediary Professional services provider

B2C Marketplace Auctioning version of general goods provider

Machine – to – Machine Computer ordering based on purchase habits

Multichannel/bricks and clicks Real world business that sells on line

Open Source Free content provider

Peer to peer File transfer business

Portal Gateway to the Internet / SEO and PPC

•Aggregators Organize and choreograph the Aggregators Organize and choreograph the distribution of goods, services, and information.distribution of goods, services, and information. •Considered the “general retailer” of the on-line Considered the “general retailer” of the on-line world. Their goal is to provide selection, world. Their goal is to provide selection, organization, price, convenience, matching, and organization, price, convenience, matching, and fulfillment to their consumers. The following is fulfillment to their consumers. The following is an example of the world’s best known B2C an example of the world’s best known B2C aggregator.aggregator.

““Internet services company that offers access to software applications and Internet services company that offers access to software applications and other services.”other services.”““They offer services on demand and charge on the usage basis, essentially They offer services on demand and charge on the usage basis, essentially acting as a utility.” acting as a utility.” eFax works as a applications services provider to its users in the same eFax works as a applications services provider to its users in the same fashion by providing software capability to receive faxes directly to your fashion by providing software capability to receive faxes directly to your email. eFax utilizes emailing campaign offers and pay-per-click (PPC)email. eFax utilizes emailing campaign offers and pay-per-click (PPC)

Known as the traditional media model, B2C marketing for this Known as the traditional media model, B2C marketing for this model has been heavily based on premium prescription and PPC model has been heavily based on premium prescription and PPC advertising.advertising.The NY Times was one of the earliest content providers online The NY Times was one of the earliest content providers online

Best known marketplace is eBay. Best known marketplace is eBay. Often though of as C2C business for exchanging Often though of as C2C business for exchanging used goods, in the last 6 years, it has become a used goods, in the last 6 years, it has become a huge venue for retail businesses and huge venue for retail businesses and manufacturers to market their goods directly to manufacturers to market their goods directly to consumers. Examples include the following:consumers. Examples include the following:

Businesses that market and conduct business in a multichannel Businesses that market and conduct business in a multichannel effort. Often they will have a physical building where they sell there effort. Often they will have a physical building where they sell there goods and a website to act as their virtual store.goods and a website to act as their virtual store.In today’s business it is impossible to compete in retail by physical In today’s business it is impossible to compete in retail by physical plant alone. Today all retail industries ranging from food, hotel, plant alone. Today all retail industries ranging from food, hotel, clothing, vacation, and sporting goods compete for consumers on clothing, vacation, and sporting goods compete for consumers on line with the use of the following B2C Marketing tools:line with the use of the following B2C Marketing tools:

The remainder of this presentation will focus on a few key online The remainder of this presentation will focus on a few key online marketing tools listed above and how they are being used.marketing tools listed above and how they are being used.

Search Engine Optimization (SEO)

Pay-Per-Click Search Engine Marketing

Affiliate Marketing Consumer generated media

Word-of-Mouth Marketing Event Marketing Email/Text Marketing Cause Marketing

Mobile Marketing Brand Ambassador Marketing

Influencer Programs Social Marketing

According to Neilson study:According to Neilson study:““85% of all US citizens between 18-54 own cell phones”85% of all US citizens between 18-54 own cell phones”

It’s virtually a spam free environment thanks to cell It’s virtually a spam free environment thanks to cell providers acting as guardians of the media to keep their providers acting as guardians of the media to keep their retention levels high.retention levels high.Ways in which it is done include:Ways in which it is done include:

Mobile Marketing via Short Message Service (SMS) or Mobile Marketing via Short Message Service (SMS) or Multi Message Service (MMS) Multi Message Service (MMS) - campaigns can be sent with video, text, and slide shows of promotionsIn-Game Mobile Marketing In-Game Mobile Marketing – – Ads are placed in MMS Ads are placed in MMS related games being played by consumers. Done as related games being played by consumers. Done as product placement.product placement.IPod Marketing IPod Marketing – – video marketing that can sent to a video marketing that can sent to a consumers PDA, IPod, and other mobile device.consumers PDA, IPod, and other mobile device.

My company recently My company recently started using an email started using an email marketing company marketing company named Fishbowl. named Fishbowl. Fishbowl creates Fishbowl creates customized marketing customized marketing pieces for each of my pieces for each of my franchisees to send to franchisees to send to their email database list their email database list of customers as seen of customers as seen here.here.““DoubleClick reports that DoubleClick reports that 73% of respondents 73% of respondents made purchases as a made purchases as a result of email result of email marketing.”marketing.”

Affiliate marketing—using Affiliate marketing—using one website to drive traffic one website to drive traffic to another consumer to another consumer website.website.Online affiliate marketing Online affiliate marketing will often take the form of will often take the form of SEOs, PPCs, e-mail, and SEOs, PPCs, e-mail, and banner ads.banner ads.The following is a list of the The following is a list of the 6 best shopping affiliate 6 best shopping affiliate programs according to programs according to affiliatetips.comaffiliatetips.com

A type of search marketing where a company pays a set amount A type of search marketing where a company pays a set amount every time their ad is clicked by a prospect.every time their ad is clicked by a prospect.Key search engine words are purchased by these organizations Key search engine words are purchased by these organizations in hope that they will be utilized by potential consumers who in hope that they will be utilized by potential consumers who will see them while using their search engine.will see them while using their search engine.The following is an example of PPC marketing by REI, Zappos, The following is an example of PPC marketing by REI, Zappos, Backcountry, and Altrec on the key word Patagonia.Backcountry, and Altrec on the key word Patagonia.

The rise of online SNs has spurred the growth of advertising The rise of online SNs has spurred the growth of advertising on social networks. on social networks. Advantages to advertising on SNs include specialization of Advantages to advertising on SNs include specialization of promotions based on demographic information provided by promotions based on demographic information provided by the user. the user. Below is an election advertisement Starbucks utilized on Below is an election advertisement Starbucks utilized on Facebook to attract the traditional voter who tends to be Facebook to attract the traditional voter who tends to be over the age of 25. The chart from techcrunch.com shows over the age of 25. The chart from techcrunch.com shows why.why.

Initially thought of as a C2C marketing tool, WOM has been used by Initially thought of as a C2C marketing tool, WOM has been used by organizations such as McDonalds to win others over to their product.organizations such as McDonalds to win others over to their product.

Each mom blogs about their experiences with McDonalds and what it Each mom blogs about their experiences with McDonalds and what it means to them and their families in terms of financially, health, and means to them and their families in terms of financially, health, and overall satisfaction. McDonald’s has sworn not to edit the content for overall satisfaction. McDonald’s has sworn not to edit the content for fear of making this project into propaganda.fear of making this project into propaganda.

B2C WOM avenues include email, weblogs, B2C WOM avenues include email, weblogs, bulletin boards, chat rooms, and instant bulletin boards, chat rooms, and instant messenger clientsmessenger clients

““In 1999, Burson-Marsteller and Roper Starch In 1999, Burson-Marsteller and Roper Starch Worldwide coined the term "e-fluentials" to Worldwide coined the term "e-fluentials" to describe those opinion leaders who spread describe those opinion leaders who spread information via the Internet. It was later found information via the Internet. It was later found that e-fluentials represented about 11 million that e-fluentials represented about 11 million Americans, with each potentially influencing up Americans, with each potentially influencing up to 14 people each.”to 14 people each.”

This presentation covered just the tip of the This presentation covered just the tip of the iceberg when it comes to B2C marketing overall. iceberg when it comes to B2C marketing overall. With the advent of digital marketing, businesses With the advent of digital marketing, businesses now have numerous other tools such as mobile now have numerous other tools such as mobile marketing that focuses on text messaging, web marketing that focuses on text messaging, web event marketing, and YouTube based video event marketing, and YouTube based video marketing. To cover them all this would have been marketing. To cover them all this would have been a 100 slide PowerPoint.a 100 slide PowerPoint.The only thing we really can conclude about B2C The only thing we really can conclude about B2C marketing is we are only limited by our marketing is we are only limited by our imaginations and technology of the time. As imaginations and technology of the time. As technology improves so will our imagination to find technology improves so will our imagination to find ways to brand, position, and promote products. ways to brand, position, and promote products.

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