Internet Marketing?

Taking Management of Information System subject this semester, has triggering me to explore the benefits of utilizing internet as a modern marketing channel or platform. Honestly, i did not bother to find out the pro and cons of internet marketing, until my lecturer share her knowledge on the information technology, in which she was telling a lot of facts, business strategy and not forgotten, internet marketing.

Internet Marketing?

I am pretty sure, at one glance, everybody would image what is Internet marketing, also referred to as i-marketing, web-marketing, online-marketing, and search engine marketing or e-Marketing. It is the marketing of products or services over the Internet.

Basically, Internet has brought media to a global audience. The interactive nature of Internet marketing in terms of providing instant response and eliciting responses is a unique quality of the medium. Internet marketing is sometimes considered to have a broader scope because it not only refers to the Internet, e-mail, and wireless media, but it includes management of digital customer data and electronic customer relationship management systems.

Internet marketing combines together creative and technical aspects of the Internet, including design, development, advertising, and sales.

Internet marketing also refers to the usage of media on many different stages of customer relation cycle through search engine marketing (SEM), banner ads on specific websites, email, and many more.

Business Model

• E-commerce - this is where goods are sold directly to consumers (B2C) or businesses (B2B)
• Publishing - this is the sale of advertising
• Lead based websites - this is an organization that generates value by acquiring sales leads from its website
• Affiliate Marketing - this is the process in which a product or service developed by one person is sold by other active sellers for a share of profits. The owners of the product normally provide some marketing material (sales letter, affiliate link, tracking facility).
• Local Internet Marketing - this is the process of a locally based company traditionally selling belly to belly and utilizing the Internet to find and nurture relationships, later to take those relationships offline.
• Black-hat Marketing - this is a form of internet marketing which employs deceptive, abusive, or less than truthful methods to drive web traffic to a website or affiliate marketing offer. This method sometimes includes spam, cloaking within search engine result pages, or routing users to pages they didn't initially request.

There are many other business models based on the specific needs of each person or the business that launches an Internet marketing campaign.

Good things of Internet marketing (advantage)

Internet marketing normally is cost efficient if compared to the cost study against the reach of the target audience. Companies can reach a wide audience of traditional advertising budgets. The basic nature of this medium allows consumers to study, explore, and do some research and purchase products and services at their own preference.

Therefore, businesses have the advantage of appealing to consumers in a platform that can bring results quickly. The strategy and overall effectiveness of marketing campaigns depend on business goals and cost volume profit analysis.

Internet marketers also have the advantage of measuring statistics easily and cheaply. Nearly all aspects of an Internet marketing campaign can be traced, measured, and tested. Besides, marketers can determine which messages or offerings are more appealing to the audience.

The results of campaigns can be measured and tracked immediately because online marketing initiatives usually require users to click on an advertisement, visit a website, and perform a targeted action. Such measurement cannot be achieved through billboard advertising, where an individual will at best be interested, then decide to obtain more information at a later time..

Because awareness, response, and efficiency of Internet media are easier to track than traditional offline media, through the use of web analytic, for example Internet marketing can offer a greater sense of responsibility for advertisers. Marketers and their clients are becoming aware of the need to measure the effects of marketing rather than blindly use any advertising medium. The effects of multi channel marketing can be difficult to determine, but it is the important part of determining the value of media campaigns.

Good things always have bad things (disadvantage)

Internet marketing requires customers to use latest technology rather than traditional media. Low-speed Internet connections will become a constraint. If companies build a large or complicated websites, individuals connected to the Internet via dial up connection may experience significant delays in content delivery.

From the customer perspective, when shoppers not able to touch, smell, taste physically the tangible goods before making an online purchase can be difficult in making purchase decision. However, there is an industry standard for e-commerce vendors to protect customers by having after sales return policies as well as providing in store pick-up services.

In addition, companies who wishes in looking to market online, there are few areas to overcome which are insufficient ability to measure impact, lack of internal capability, and difficulty convincing senior management.

So, Internet Marketing or not?

As a conclusion, most company nowadays at least must have a basic knowledge about Internet Marketing. Small Medium Industry (SMe) enterpreneur may be able to apply economic of scale, should they familiar with Internet Marketing function, and further expand their business.

Besides, it is good for those who is new in business, may try to use this channel, but kindly be reminded, please gain your knowledge on what Internet can serve you for your marketing.

Thank you.

Hafiz Jamel