This book explains how organisations can develop plans to manage all the different
ways in which the Internet can be applied to support the marketing process. We take a
customer-centricapproach to Internet marketing (although many would regard this as a
tautology since the modern-marketing concept places the customer at the heart of all
marketing activity). By ‘customer-centric’ we mean the capability digital media give mar-
keters to better understand and tailor propositions to individual customers, which is one
of its greatest appeals and a common theme in each chapter.
As customers follow their journeys as they select products and interact with brands,
they do not use the Internet in isolation – they consume other media such as print, TV,
direct mail and outdoor. These media are still very important for marketers to communi-
cate with customers who still spend the majority of their waking hours in the real world
rather than the virtual world. It follows that an effective approach to using the Internet
is as part of a multi-channel marketing strategy. This defines how different marketing
channels should integrate and support each other in terms of their proposition develop-
ment and communications based on their relative merits for the customer and the
company. The multi-channel approach is also a common theme throughout this book.
In this introductory chapter we review different applications of Internet marketing
and consider the impact of the Internet on marketing. We also explain the basic con-
cepts of Internet marketing, placing it in the context of e-commerce and e-business and
the technologies involved.Marketing applications of Internet marketing
Internet-based media offer a range of opportunities for marketing products and services
across the purchase cycle. Companies such as easyJet and BP illustrate the applications
of Internet marketing since they show how organisations can use online communica-
tions such as their web site, third-party web sites and e-mail marketing as:
An advertising medium. For example, BP plc and its subsidiary companies, such as
Castrol Limited, uses large-format display or interactive ads on media sites to create
awareness of brands and products such as fuels and lubricants.
Adirect-response medium. For example, easyJet uses sponsored links when a user is
researching a flight using a search engine to prompt them to directly visit the easyJet
site by clicking through to it. Similarly the easyJet e-mail newsletter sent to customers
can encourage them to click through to a web site to generate sales.
Aplatform for sales transactions. For example, easyJet sells flights online to both con-
sumers and business travellers.
Alead-generation method. For example, when BP offers content to business car man-
agers about selecting the best fuel for company cars in order to identify interest from
a car fleet manager.
Adistribution channel. For example, for distributing digital products. This is often spe-
cific to companies with digital products to sell such as online music resellers such as
Napster (www.napster.com) and Apple iTunes (www.itunes.com) or publishers of writ-
ten or video content.
A customer service mechanism. For example, customers serve themselves on easyJet.com
by reviewing frequently asked questions.
A relationship-building mediumwhere a company can interact with its customers to
better understand their needs and offer them relevant products and offers. For exam-
ple, easyJet uses its e-mail newsletter and tailored alerts about special deals to help
keep its customers and engage them in a dialogue to understand their needs through
completing surveys and polls.INTRODUCTION – HOW SIGNIFICANT IS THE INTERNET FOR MARKETING?Customer-centric
marketing
An approach to
marketing based on
detailed knowledge of
customer behaviour
within the target
audience which seeks
to fulfil the individual
needs and wants of
customers.
Multi-channel
marketing strategy
Defines how different
marketing channels
should integrate and
support each other in
terms of their
proposition
development and
communications based
on their relative merits
for the customer and
the company.