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Chapter-5Recent Trends in Marketing

Overview of E-businessE-business derived from such terms as "e-mail" and "e-commerce," is the conduct of business on the Internet, not only buying and selling but also servicing customers and collaborating(work jointly) with business partners. Today, major corporations are rethinking their businesses in terms of the Internet and its new culture and capabilities.Overview of E-businessE-Business is an electronic subset of standard business practices. Applications e-business include using both the Internet or company Intranet for internal business operations, as well as enterprise communication and collaboration.

What is E-BusinesseBusiness is using technology to improve your business processes. This includes managing internal processes such as human resources, financial and administration systems, as well as external processes such as sales and marketing, supply of goods and services, and customer relationships.

ContdThe way in which you manage your business relationships has not changed, but the way they are referred to when using eBusiness tools has. They are becoming more often known as:business to business (B2B)business to consumer (B2C) (also known as e-commerce)Customer to Business (C2B)Customer to Customer (C2C).

E-business & E-CommerceE-business is broader than e-commerce; including the transaction based e-commerce businesses and those who run traditionally but cater to online activities as well. An e-business can run any portion of its internal processes online, including inventory management, risk management, finance, human resources. For a business to be e-commerce and e-business, it must both sell products online and handle other company activities or additional sales offline.E-commerceConducting business online. Selling goods, in the traditional sense, is possible to do electronically because of certain software programs that run the main functions of an e-commerce Web site, including product display, online ordering, and inventory management. The software resides on a commerce server and works in conjunction with online payment systems to process payments.

E-Business Model The e-Business model, like any business model, describes how a company functions; how it provides a product or service, how it generates revenue, and how it will create and adapt to new markets and technologies. Types of E-business model B2C refers to 'Business-to-Consumer'. The B2C Model of E-business is a model in which businesses sell directly to the customer. The transaction is conducted over the internet.

B2C models generate revenue from direct sales and processing fees. B2C also is known as electronic retail.B2B modelB2B businesses generate revenue from direct salesB2B, model involves companies using the Internet to conduct transactions with one other.C2BConsumer to business model, is where the consumers create the value through suggestion or feedback. The business then utilizes this information to influence products or services so that the business may market to the consumers specific needs.In this model consumers creates the value and demand to the product C2C Model C2C e-commerce is the online buying and selling of goods and services from one consumer to another. An example would be selling off your own used mobile, vehicle and others through eBay. Olex.com

Overview Telemarketing Telemarketing works by creating a script and placing sales calls to customers that you already have or making cold calls to a list of consumers purchased from a compiling company.Ex:- hai we are calling from airtel / Vodafone bla bla blaTelemarketing Telemarketing is a form of marketing where the telephone is used as a medium for sales and promotion.Telemarketing is marketing using the telephone. A salesperson uses the telephone to convince a customer to buy a product or service by providing complete details and information.Types of telemarketing The telemarketing is basically categorized into two different types which are the Business-to-consumer telemarketing and The Business to-Business telemarketing.Outbound The most importantly used subcategories of telemarketing today are the Outbound and theinbound telemarketing. Outbound is the proactive marketing in which the customers either who exist already or the prospective ones are all contacted directly for the purpose of the marketing

Business 2 Customer OUTBOUND

Inbound telemarketingThe Inbound telemarketing includes the reaction and reception of the orders and also information coming in so as to explain the customer about the product and give detailed information on which they are interested.

Customer 2 BusinessINBOUNDHow does it work ?Call Center BaseTelemarketing takes place in either a call center or from a home office. Most telemarketers work out of a call center. Each telemarketer is given a compartment and a phone. When a telemarketer calls you, you can often hear the other telemarketers in the background. Because of the noise some companies opt to have their employees make calls out of their home office. Phone NumbersTelemarketers are given phone numbers of prospects to call. These phone numbers are either received in response to some type of survey, bought from another company, or found in your every day phone bookSalesThe main reason for telemarketing is to sell some type of product or service. Sometimes it is to get more information about your customer buying habits. CharitiesCharities and some political parties also participate in telemarketing. They are calling the general public to seek donations to their programs. Benefits Of Using TelemarketingThe main benefit of using telemarketing topromote your businessis that it allows you to immediately judge your customer's level of interest in your product or service. Additionally it allows you to do the following.Provide a more interactive and personal sale serviceExplain technical issues more clearly

ContdGenerate leadsand appointmentsReach more customers than with in-person sales callsSell to both existing and new customersAchieve results that are measurable.Get more leads from existing customer

Advantages Telemarketing provides the immediate feedback & valuable information that can be quickly analyzed.It is the only form of advertising that requires an immediate response. You can also advertise special offers and discounts to the customers.Telemarketing provides you with endless opportunities to increase your business view.Disadvantages Customer lists may not always be clean and opted-out. Customer lists can be very costly Telemarketing has a negative image that could damage your business' reputation - if carried out poorly Training staff can be time-consuming and costly you may need to prepare a script.Mobile Marketing

Mobile MarketingThe popularity of mobile phones has spread through all walks of life. Millions of text messages are sent every day using mobile phones.Mobile marketing is an innovative approach to increase returns at low cost to the organization and can also help enhance and differentiate its brand.

Contd.It is highly personalized, interactive and has an immediate impactOrganization can fully connect the power of SMS communications to tap potential customers.SMS refers to Short Message Service and involves the delivery of text message to mobile handsets.

Marketing MassagesAs a starting point, there are three key goals that all marketing should strive to achieveGeneration of new clients in new marketsGeneration of more business from existing clients andImprovement in profit margins.

ContdThe marketing message that the company delivers will be determined by the goal in mind . Example the way in which one communicates with new clients is very different from that of the existing customer.Contd..Before designing an advertising or marketing campaign using SMS we need to consider.I. Who is the message addressed II. What response is requiredIII. What is the message

Content is critical Here it doesnt matter weather the company is delivering a full multimedia boardroom presentation, a newspaper commercial or an SMS. If the message of the company is not clear, goal will not be successful. Using SMS to Advertise If the company has a new product, service, offer, announcement, etc, it can effectively target its customers by sending them a SMS.

There are also SMS marketing companies(Consultancy) available that will set up a SMS marketing campaign for the company.Why use SMS for marketing campaignsWith over 1 billion mobiles in the world and more than a million text messages exchanges every day it is not surprising that marketers are attracted to the possibility of being able to reach consumers when and where they want. Benefits 24/7- targeted message can be sent to individuals at relevant times of the day, to maximize the effectiveness of the campaign.Reach- it can reach millions of people and can provide personalized service to the customer.

Contd..Tactical- potential customer can be tapped by delivering timely offers. Well designed message would certainly calls customers to act.Speed- SMS reaches many targeted customers quickly. Last minute offers can easily be made available to prospective customer.

Green MarketingGreen marketing refers to the process of selling products and services based on their environmental benefits. Such a product or service may be environmentally friendly in itself or produced and/or packaged in an friendly way.What is Green Marketing According to AMA

Green marketing is the marketing of products / services that are presumed to be environmentally safe.ContdToday's consumers are becoming more and more conscious about the environment and are also becoming socially responsible. Therefore more companies are responsible to consumers aspiration for environmentally less damaging or neutral products.Mobile Marketing Tools

Relationship MarketingAccording to Philip Kotler,Relationship marketing is the process of building long term, trusting, and win-win relationship with customers, distributors, dealers and suppliers. Relationship marketing promises and delivers high quality, efficient services and fair prices to the other party.Objectives of RMThere are essentially four goals to be achieved in relationship marketing.Acquiring /Getting customer Satisfying customersRetaining customersEnhancing customersEnhancing CustomersCompanies should strive for promoting relationship beyond the line of transaction.They have to carefully promote each party from the stage of prospect to buyer, Customer to client Client to supporterSupporter to advocate Advocate to partner in the hierarchy of the relationships.By enhancing the relationship the customers will become more loyal to the company and feel that its his own company.Methods for RMCustomer Satisfaction Building trust and loyalty Adding value to a relationshipCreating barriers to exit.Retailing includesall activities involved in selling, renting, and providing goods and services to ultimate customers for personal, family or household use.In the channel of distribution, retailing is where the customer meets the product. It is through retailing that exchange occurs.

Retailer One who sells goods or commodities directly to consumers. These items are purchased from the manufacturer or wholesaler and sold to the end user at a marked up price.Example:-Wal-Mart is a well-known large chain retailer. Another example of a retailer would be the small family-operated pharmacy on the corner.RETAILINGAccording to Kotler: Retailing includes all the activities involved in selling goods or services to the final consumers for personal, non business use It is responsible for matching individual demands of the consumer with supplies of all the manufacturers.RETAIL MANAGEMENTThe various processes which help the customers to procure the desired merchandise from the retail stores for their end use refer to retail management. Retail management includes all the steps required to bring the customers into the store and fulfil their buying needs.WHY RETAIL MANAGEMENT ?Retail management saves time and ensures the customers easily locate their desired merchandise and return home satisfied. An effective management avoids unnecessary chaos at the store.CharacteristicsThe followings are some of the essential characteristics of a retailer:He is regarded as the last link in the chain of distribution.He purchases goods in large quantities from the wholesaler and sell in small quantity to the consumer.He deals in general products or a variety of merchandise.He develops personal contact with the consumer.

ContdHe aims at providing maximum satisfaction to the consumer.He has a limited sphere in the market.

Retailers perform a number of functions. Functions of Retailer Buying and Assembling:Warehousing and storing:Selling:Assumption of Risk:Grading and Packing:Financing:Supply of Market Information:Advertising:The retailer buys a variety of products from the wholesaler or a number of wholesalers. He thus performs two functions like buying of goods and assembling of goods.The retailer performs storing function by stocking the goods for a consumer.He bears the risks in connection with Physical Spoilage of goods and fall in price. Besides he bears risks on account of fire, theft, deterioration in the quality and spoilage of goods.ContdHe resorts to standardization and grading of goods in such a way that these are accepted by the customers.He makes arrangement for delivery of goods and supply valuable market information to both wholesaler and the consumer.He develops personal contact with the consumers and gives them goods on credit.

Marketing ConceptA marketing concept is a business philosophy that helps to outline a company's goals that focuses on the needs of a consumer. This includes desires, needs, whether communicated or inferred, and level of satisfaction. (Or)

Management philosophyaccording to which a firm'sgoalscan be best achieved through identification andsatisfactionof thecustomers' stated and unstatedneeds and wants.

Virtual marketing concept Virtual marketing is advertising via the internet (websites, programs, emails, etc) vs. other forms of advertising such as radio, TV, print, etc. Virtual marketing is less expensive, and you can reach a great number of people.

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Virtual Marketing Concepts is also capable of helping your new or current site get listed on the major search engines and we work hard to keep them there. Our marketing and Search Engine Optimization strategies focus on your businesses market and location for optimal results.