-spamming

Using e-mail to send unwanted ads(sometimes floods of ads)

-permission advertising

Advertising (marketing) strategy inwhich customers agree to acceptadvertising and marketing materials(known as opt-in)

OTHER ADVERTISING STRATEGIES

-affiliate marketing

A marketing arrangement by which anorganization refers consumers to theselling company’s website

-affiliate network

A network that acts as anintermediary between publishers(affiliates) and merchant affiliateprograms

-Ads as a Commodity (Paying People toWatch Ads)

-Selling Space by Pixels

-Personalized Ads

-Webcasting

A free Internet news service thatbroadcasts personalized news andinformation, including seminars, incategories selected by the user

-Ad Exchanges

-Advertisement as a Revenue Model

pay per click (PPC)

A popular Internet advertisingpayment model where advertisers paytheir host only when the ad is clickedon

-Choose-Your-Own-Ad Format

-ONLINE EVENTS, PROMOTIONS, ANDATTRACTIONS

Live Web Events for Advertising

-localization

The process of converting mediaproducts developed in one environment(e.g., country) to a form culturally andlinguistically acceptable in countriesoutside the original target market

-INTELLIGENT AGENTSAPPLICATIONS

-DEVELOPING AN ONLINEADVERTISING PLAN

-MAJOR CATEGORIES OF AD:S

Classified Ads

Display Ads

Interactive Ads

-banner

On a Web page, a graphic advertisingdisplay linked to the advertiser’s Webpage

-keyword banners

Banner ads that appear when apredetermined word is queried from asearch engine

-random banners

Banner ads that appear at random,not as the result of the user’s action

-live banners

A banner ad that is createddynamically (or whose content iscreated dynamically) at the time ofdisplay, instead of beingpreprogrammed with fixed content

-Benefits and Limitations of BannerAds

-pop-up ad

An ad that appears in a separatewindow before, after, or duringInternet surfing or when readinge-mail

-pop-under ad

An ad that appears underneath thecurrent browser window, so when theuser closes the active window the ad isstill on the screen

-e-mail marketing

A form of direct marketing whichuses e-mail as a means ofcommunicating commercial messages toan audience

-e-mail advertising

Adding advertisements to e-mailmessages sent to customers

-The Major Advantages andLimitations of E-Mail Advertisement

-Implementing E-Mail Advertising

-search advertising

A method of placing onlineadvertisements on Web pages thatshow results from search enginequeries

-URL Listing

-Keyword Advertising

-search engine optimization (SEO)

The craft of increasing site rank onsearch engines; the optimizer uses theranking algorithm of the searchengine (which may be different fordifferent search engines) and bestsearch phrases, and tailors the adaccordingly

-GOOGLE: THE ONLINEADVERTISING KING

Google’s Major Advertisement Methods:AdWords and AdSense

-viral marketing (viral advertising)

Word-of-mouth marketing by whichcustomers promote a product orservice by telling others about it

VIDEO ADS

-Consumer-Generated Videos

-interactive video

A technique used to blend userinteraction and videos

-viral video

A video clip that gains widespreadpopularity through the process ofInternet sharing, typically throughe-mail or IM messages, blogs, and other media-sharing websites

-advergaming

The practice of using computer gamesto advertise a product, anorganization, or a viewpoint

-augmented reality (AR)

A live direct or indirect view of aphysical, real-world environment whoseelements are augmented bycomputer-generated sensory input,such as sound or graphics

-ADVERTISING IN CHAT ROOMS ANDFORUMS

-mobile marketing

Conducting marketing on or with amobile device

-mobile advertising (m-advertising)

Ads sent to and presented on mobiledevices

Mobile Interactive Advertising

Types of Mobile Ads

Viral Mobile Marketing

Mobile Marketing and AdvertisingCampaigns

Representative Examples of MobileAdvertising

-MOBILE MARKETINGIMPLEMENTATION GUIDELINES

Notice

Choice and consent

Customization and constraint

Security

Enforcement and accountability

-TOOLS TO SUPPORT MOBILEADVERTISEMENT

-MOBILE AD TRENDS

-interactive marketing

Online marketing, facilitated by theInternet, by which marketers andadvertisers can interact directly withcustomers, and consumers caninteract with advertisers/vendors

SOME BASIC INTERNETADVERTISING TERMINOLOGY

-ad views

The number of times users call up apage that has a banner on it during aspecific period; known as impressions orpage views

-button

A small banner that is linked to awebsite; may contain downloadablesoftware

-page

An HTML (Hypertext MarkupLanguage) document that may containtext, images, and other onlineelements, such as Java applets andmultimedia files; may be generatedstatically or dynamically

-click (ad click)

A count made each time a visitorclicks on an advertising banner toaccess the advertiser’s website

-CPM (cost per mille, i.e., thousandimpressions)

The fee an advertiser pays for each1,000 times a page with a banner ad isshown

-conversion rate

The percentage of clickers whoactually make a purchase

-click-through rate/ratio (CTR)

The percentage of visitors who areexposed to a banner ad and click on it

-hit

A request for data from a Web pageor file

-visit

A series of requests during onenavigation of a website; a pause of acertain length of time ends a visit

-unique visit

A count of the number of visitorsentering a site, regardless of howmany pages are viewed per visit

-stickiness

Characteristic that influences theaverage length of time a visitorstays in a site

-Advertising Online and ItsAdvantages:

Cost

Richness of format

Personalization

Timeliness

Location-based

Linking

Digital branding

-Traditional Versus OnlineAdvertisement

OBJECTIVES AND CONCEPTS OFMARKET RESEARCH ONLINE:

What Are Marketers Looking For in ECMarket Research?

REPRESENTATIVE MARKETRESEARCH APPROACHES:

-Market Segmentation Research

-Data Collection and Analysis

-Online Surveys

-Hearing Directly from Customers

-Data Collection in the Web 2.0Environment

-Observing Customers’ MovementsOnline:

-transaction log

A record of user activities at acompany’s website

-clickstream behavior

Customer movements on theInternet

-Web bugs

Tiny graphics files embedded in e-mailmessages and in websites thattransmit information about users andtheir movements to a Web server

-spyware

Software that gathers userinformation over an Internetconnection without the user’sknowledge

-Web Analytics and Mining

-clickstream data

Data that occur inside the Webenvironment; they provide a trail ofthe user’s activities (the user’sclickstream behavior) in the website

-Web mining

Data mining techniques for discoveringand extracting information from Webdocuments; explores both Web contentand Web usage

-LIMITATIONS OF ONLINE MARKETRESEARCH AND HOW TO OVERCOMETHEM

-biometrics

An individual’s unique physical orbehavioral characteristics that can beused to identify an individual precisely

-personalization

The matching of services, products,and advertising content with individualconsumers and their preferences

-user profile

The requirements, preferences,behaviors, and demographic traits of aparticular customer

-Cookies in E-Commerce

-cookie

A data file that is placed on a user’shard drive by a remote Web server,frequently without disclosure or theuser’s consent, which collectsinformation about the user’sactivities at a site

-Using Personalized Techniques toIncrease Sales

-behavioral targeting

Targeting that uses informationcollected about an individual’sWeb-browsing behavior, such as thepages they have visited or thesearches they have made, to select anadvertisement to display to thatindividual

-collaborative filtering

A market research and personalizationmethod that uses customer data topredict, based on formulas derivedfrom behavioral sciences, what otherproducts or services a customer mayenjoy; predictions can be extended toother customers with similar profiles

-Other Methods:

Rule-Based Filtering

Content-Based Filtering

Activity-Based Filtering

-Legal and Ethical Issues inCollaborative Filtering

-Social Psychology and Morphing inBehavioral Marketing

-Use of Customer DatabaseMarketing

FROM MASS MARKETING TOONE-TO-ONE MARKETING:

-Mass Marketing and Advertising

-market segmentation

The process of dividing a consumermarket into logical groups forconducting marketing research andanalyzing personal information

-relationship marketing

Marketing method that focuses onbuilding a long-term relationship withcustomers

-one-to-one marketing

Marketing that treats each customerin a unique way

-customer loyalty

A deep commitment to repurchase orrepatronize a preferredproduct/service continually in thefuture, thereby causing repetitivesame-brand or same brand-setpurchasing, despite situationalinfluences and marketing effortsthat have the potential to causeswitching behavior

-e-loyalty

Customer loyalty to an e-tailer orloyalty programs delivered online orsupported electronically

TRUST IN EC

EC Trust Models

How to Increase Trust in EC:

-Improve Your Website

-Affiliate with an Objective ThirdParty

-Establish Trustworthiness

Other Methods for Facilitating Trust:

-reputation-based systems

Systems used to establish trustamong members of online communitieswhere parties with no prior knowledgeof each other use the feedback fromtheir peers to assess thetrustworthiness of the peers in thecommunity

-Online Word of Mouth

PLAYERS IN THE CONSUMERDECISION PROCESS:

Initiator

Influencer

Decider

Buyer

User

A GENERIC PURCHASING-DECISIONMODEL:

-Need identification

-Information search

product brokering

Deciding what product to buy

merchant brokering

-Evaluation of alternatives

-Purchase and delivery

-Postpurchase activities