CHAPTER 4· INTERNET MARKETING STRATEGY
4 The situation review will include assessing internal resources and assets, including the
services available through the existing web site. External analysis will involve customer
demand analysis, competitor benchmarking and review of the macro-environment
SLEPT factors.5 Strategy formulation will involve defining a company’s commitment to the Internet;
setting an appropriate value proposition for customers of the web site; and identify-
ing the role of the Internet in exploiting new markets, marketplaces and distribution
channels and in delivering new products and services. In summary:Decision 1: Market and product development strategies
Decision 2: Business and revenue models strategies
Decision 3: Target market strategy
Decision 4: Positioning and differentiation strategy (including the marketing mix)
Decision 5: Multi-channel distribution strategy
Decision 6: Multi-channel communications strategy
Decision 7: Online communications mix and budget
Decision 8: Organisational capabilities (7S)Self-assessment exercises
1 Draw a diagram that summarises the stages through which a company’s web site may evolve.
2 What is meant by the ‘Internet contribution’, and what is its relevance to strategy?
3 What is the role of monitoring in the strategic planning process?
4 Summarise the main tangible and intangible business benefits of the Internet to a company.
5 What is the purpose of an Internet marketing audit? What should it involve?
6 What does a company need in order to be able to state clearly in the mission statement its
strategic position relative to the Internet?
7 What are the market and product positioning opportunities offered by the Internet?
8 What are the distribution channel options for a manufacturing company?Essay and discussion questions
1 Discuss the frequency with which an Internet marketing strategy should be updated for a
company to remain competitive.
2 ‘Setting long-term strategic objectives for a web site is unrealistic since the rate of change in
the marketplace is so rapid.’ Discuss.
3 Explain the essential elements of an Internet marketing strategy.
4 Summarise the role of strategy tools and models in formulating a company’s strategic
approach to the Internet.