Page 274 - DMGT408DMGT203_Marketing Management

Unit 11: Marketing Communication Tools (Promotion Mix)

16. Unsolicited mails are also referred to as: Notes
(a) Waste mails (b) Junk mails
(c) Unhealthy mails (d) Mood breakers
17. A new form of direct-response advertising on cable and satellite are called ……………….
(a) Commercials (b) Pop-ups
(c) Classifieds (d) Infomercials

11.6 Online Marketing

Online marketing is seen in many forms and as the medium matures, the variety would increase.
Present day advertising on the Internet can be classified as ad banners, websites, ad buttons,
sponsorships, interstitials, and classified ads.

11.6.1 Advantages

Online marketing has following advantages:

1. Cost Effective and Enduring Marketing Strategies: The Internet has become the information
superhighway for the buying public. In comparison to other forms of marketing, Internet
Promotion presents the advantage of reduced budget and storage costs, when compared with
printing brochures, producing television or radio advertisements or managing a call centre.
2. Market Penetration: With millions of person using the Internet to search for products and
services, small businesses can penetrate other markets at a fraction of the cost of traditional
marketing methods.
3. Low Cost, Instant Communication: Email makes business communications instant,
whether the customer or business affiliate is across the street or across the globe. It makes
it easier for customers to maintain contact and readily facilitates repeat purchasing. An
effective online strategy can therefore turn a small web business into a virtual cost saver
and income-generating machine.
4. Content is Timeless: Internet Promotion also provides the advantage of being enduring.
Whereas participation at a trade fair or conference loses sales impact, once it is over, and
an advertisement in a newspaper or business magazine may quickly lose its sales
generating value within a day or two or as soon as the next issue is released.
5. Real Time Statistics for Measuring Success of Promotion Campaign: One of the most
significant advantages of Internet Promotion is that its success is measurable. Marketers
can use tools that provide real time statistics, on unique visitors, repeat visitors, click
through rates (CTR) on advertisements, thereby allowing them to evaluate the effectiveness
of a promotion campaign.
6. Time Saving: Another important advantage of Internet Promotion is that it saves time
since it generally does away with counselling on product uses and benefits, service
information and sales administration. Visitors can access “frequently asked questions” to
help themselves, and can buy online, without the involvement of staff.

11.6.2 Disadvantages
The disadvantages of online marketing are as follows:

1. Difficulty in Attracting Customers: Small business may not have the resources to pay for
paid directory inclusion, pay per click inclusions and often have to rely solely on search
engine optimisation or word of mouth to drive traffic to their sites.

LOVELY PROFESSIONAL UNIVERSITY 267