Page 256 - DMGT547_INTERNATIONAL_MARKETING

Unit 14: Global E-Marketing and EDI

Can be more cost effective than traditional marketing techniques. Traditional techniques Notes
such as television, press and radio would broadcast a message in a particular timeslot on the
assumption that the correct target audience was being attentive. Expensive surveys post
campaign would give the marketer the evidence of campaign traction alongside the obvious
changes in revenue. E-Marketing allows you to track the results and instantly see where
wastage has occurred and learn quickly which marketing channels deliver best to market.

A website is a 24/7 shopping destination. With a website and an online shopping engine it
is working even when your shop or office is closed. The website also allows you to
communicate with customers about your product lines in depth so they can be fully
educated on your product benefits even before meeting your staff face to face.
Website content can be entertaining and interactive. Unlike the printed word or television,
there is possibility of opening up two-way communication with your customer. This can
occur as simply as an instant email response to customers and as complex as a regularly
updated blog or micro-blog.
Information and ability to purchase in the one place. It can be more cost-effective to
update and re-skin your online shop front than re-paint or re-house your real life company
shop fronts and the same goes for creating international versions.

14.5.2 Factors influencing Strategy creation

In the following, we discuss some of the factors influencing the creation of a global e-marketing
strategy:
Diversity of regulations: Online regulations like privacy laws, taxes or commerce have a
direct impact on online providers and thus shape usage behavior in a give country. The
type of competition emerging in a given country or region depends on the type of regulatory
framework. For example: In Italy, bank regulations require customers to open accounts in
person, forcing online banking providers to establish an offline presence.
Infrastructure: Telecommunication and Internet infrastructures differ markedly from
country to country. Perhaps two aspects are especially relevant to strategy formulation.
First, installed international bandwidth sets limits on the speed at which information
flows back and forth between a foreign website and a local buyer. Second, there are
stunning differences between countries in terms of the proportions of users accessing the
Web through a PC, their TV set or a mobile phone.
Geographical distance: the world may have shrunk as a result of globalization and the net,
but distance is still an issue. It is hard to underestimate the need for smooth and cost
effective distribution logistics when it comes to fulfilling international orders for tangible
goods. The ability to deliver physical products on a timely basis is not the only challenge
to online marketers, however, processing and restocking product returns can be a
nightmare especially given widely different cross-national regulations and customer
preferences on returns policies.
Language: the world would be very simple if English were the only language. Too many
e-companies have ignored the golden rule of marketing that marketing activities should
always take place in the language of the customer. Buyers like to purchase products and
services in their own language, especially if the purchasing process requires understanding
contractual clauses.

User Demographics: Although online population is growing rapidly throughout the world,
they are not homogeneous.

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