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Ambrish Mani TiwariNaveen GuptaRavinder Pal Singh DhillonShikha Kauhshal

DIRECT MARKETING

WHAT DO WE INTEND TO COVER IN THE PRESENTATION

What is Direct Marketing Different channels of Direct Marketing Web 2.0 as Brand Builder Web 2.0 for Direct Marketing Dell Business Model: Easy as Dell The eBay Postulates: Synergy The itasveer formulae: Interactivity The Future: Evolve or Dissolve

WHAT IS DIRECT MARKETING Sub-discipline and type of marketing.

It attempts to send its messages directly to consumers, without the use of intervening media. This involves communication (direct mail, e-mail, telemarketing) with consumers or businesses.

It is focused on driving a specific "call-to-action." This aspect of direct marketing involves an emphasis on traceable, measurable, positive responses from consumers regardless of medium.

CHANNELS OF DIRECT MARKETING :

Direct mail Telemarketing Email Marketing Door-to-Door Leaflet

Marketing Broadcast faxing Voicemail Marketing Direct response

television marketing Direct selling Integrated Campaigns

WEB 2.0: AWESOME FOR INTEGRATING BRAND AND DIRECT MARKETING

As the Direct Marketing Association puts it,

Web 2.0 – which includes blogs virtual words social networks user-generated content RSS feeds and Wikis are the platform that converges all marketing.

RELATION BETWEEN SOCIAL, BRAND AND DIRECT MARKETING Web 2.0 is paving the

way for integrating direct and brand marketing,

Enabling real-time dialog with customers and the joint creation of content that increases and improves brand awareness and perception, and generates sales and leads

Key findings from the study of B2B and B2C DM marketers who use Web 2.0:

Web 2.0 as a channel for brand-building:

84% of respondents use it to raise brand awareness. 82% use Web 2.0 tools to increase brand preference. 83% use Web 2.0 to generate sales. 80% use it to generate leads.

Consumer engagement: 85% of respondents use Web 2.0 to engage their

customers and rate it as a highly effective mechanism for customer engagement.

84% of our respondents use Web 2.0 to create a community of loyal customers, and they find it very effective for doing so.

Reference: Study: Web 2.0 Awesome for Integrating Brand and Direct Marketing, DMA

In Web 1.0 world, we viewed Internet marketing just like other marketing channels. With Web 2.0, we need to consider not only the new means of reaching our online audience but also the new nature of the social Web.

Traditional marketing channels, by their very nature, were highly controlled, one-way messages. With Web 2.0, you don’t control the message—everyone can create and shape the message.

One of the best ways to shepherd your brand online is to actively listen to and participate in the conversations. You can’t control the message, but you can improve the conversation about your brand online. By actively listening you can learn what your customers care about and get smarter about designing and delivering services that delight your audience.

Six Ways to Market via Web 2.0: Learn about social media. Create a Web 2.0 marketing plan. Participate! Join the conversation. Be remarkable, be mention worthy. Be a part of the multimedia wave. Monitor engagement and learn as you go.

With marketing changing as it is, people find it hard to cope with it. Here are three marketing Cliché's often used:

Advertising doesn't work anymore. The long tail is important Consumers have too much control

Here then, are three marketing myths that you need to forget: Transparency is king. Blogging is the answer to everything. You have no control over Web 2.0

THE 6 TRUTHS OF WEB 2.0 MARKETING

There are no Secrets. Authenticity, not Transparency, is key. Personality makes it real. They know you are marketing. A mess-up for someone is an opportunity for

you The Topmost link gets the worm.

POWER TO THE PEOPLE

Digg’s Wikipedia Blogs Twitter RSS and Atom feed

                                                                                                     

INTRODUCTION AND HISTORY Founded by Michel dell in 1984 headquarter

in Austin Texas Most preferred computers system company Key partnership with MicroSoft,Intel. Simple concept “by selling computer systems

directly to customers”

THE DELL THEOREM: D2C

Dell started as a direct to home Computer marketing organization, eliminating the middlemen.

While successful before, Dell shined with Web 2.0 because they allowed users to decide what they wanted, in Real Time! The Dell Device configuration customization was a first in the market, and an instant hit.

To date, Dell offers the most varied customizations for their computers, giving them complete control over what they buy.

DELL CUSTOMERS

Home UsersOffice UsersSmall BusinessesMedium to large businessesFederal & Local GovernmentsEducationHealth Care

MARKETING MIX

Product Price

Place Promotion

“IT enable companies to use different sales & marketing approaches than more possible before. One way to summarize firm’s sales & Mkg approach is three what are often called as 4 P’s”.

PRICE

Cost effective custom configurated system Product services easy to buy Warranties

PLACE Global strategy Dell worldwideDell Americas

Dell Asia pacific

Dell euro middle east and Africa

  

Company Overview

What is eBay?

”We help people trade practically anything

on earth”

THE EBAY POSTULATES: SYNERGY eBay started as a small auction site. It finds the best

market with the highest buyers for a particular product.

Because it brought two people together it became the middle man. This has resulted in an ecommerce revolution today. It started up as a simple transaction between few people and turned out to be a multibillion dollar business today.

It is popular because it has brought the buyer and the seller together electronically. And auctions benefit from the number of people in them.

Users rate products, review them, discuss them, talk about them, all the manufacturer needs is to put a good product out in the market and the marketing takes care of itself.

COMPANY OVERVIEW

eBay (NASDAQ: EBAY; http://www.ebay.com) is the world's largest online marketplace.

Founded in September 1995, eBay is the leading online marketplace for the sale of goods and services by a diverse community of individuals and businesses. Today, the eBay community includes 42.4 million registered users, and is the most popular shopping site on the Internet when measured by total user minutes according to Media Metrix.

OUR MISSION

eBay's mission is to help practically anyone trade practically anything on earth.

Products,Services

Company Overview

International

Special Sites

Other Contents

AUCTION TRANSACTIONS

Require you to be the highest bidder to win.

Auction-like Listings: These include Reserve Price Auctions and Private Auctions.

Second Chance Offer: Under certain circumstances, the seller can offer the item to a bidder other than the auction's winner.

Multiple Item Auction: a.k.a. “Dutch” auctions; Listing that offers two or more identical items.

Slide #25

FIXED PRICE TRANSACTIONS

Let you buy without bidding.Buy It Now: Allows a buyer to get the

item right away without waiting for an online auction to end.

Best Offer: Buyers can suggest a price they are willing to pay for that item.

Slide #26

ADVERTISEMENT TRANSACTIONS

Connect buyers with sellers. The Want It Now: buyers can tell sellers

exactly what they want to buy.

Slide #27

FIVE FORCE ANALYSIS

Substituteproducts

Newentries

Buyers

Suppliers

STRONG

WEAK

MODERATE INTENSE

eBayRivalfirms

STRONG

SWOT ANALYSIS

Strengths Brand recognition Dynamic pricing Customer relationship

management

Weaknesses Marketing Low control over

product quality System breakdowns

• Opportunities» Acquisitions» Development in

international markets

• Threats» Customer fraud» Competitors» Customer confidence

STRATEGIC GROUP MAP

Strong

Weak

Reputa

tion /

Bra

nd A

ware

ness

Broad NarrowNumber / Variety of Auction / Product Categories

eBayAmazon

Class.ads

Amazonauctions

Liveauctions

Fleamarket Yahoo!

uBid

THE ITASVEER FORMULAE: INTERACTIVITY

Portal for users to order prints for digital photographs online

Web 2.0 allows itasveer to offer customers prints of their photographs, customised as per their varying needs

Doodlepad allows users to play with their uploaded pictures and arrange them as they want, from printed posters, collages, calendars, coffee mugs to customized teddy bears.

CUSTOMERS CONVINCING CUSTOMERS

The four P’s of marketing have been over shadowed by the one P of Web 2.0, “People”

Customers trust each others word more than they trust the sellers’

Saves on the company’s effort and expenditure on selling the product

THE FUTURE: EVOLVE OR DISSOLVE Increasingly customers are taking the control The current downturn has increased interest

in these technologies, because companies are counting on extending their gains and reducing costs.

Web 2.0 use by companies is developing hardy roots.

Technology will enable direct response in all media

Marketing will be more targeted Companies will no longer be bound to

particular media

THANK YOU