Marketing on the Web

Internet advertisement Strategy - II

Product Nature and Service

The nature of product affect the choice of internet communication  that a marketing strategy can include.

Customers web usage level and pattern

Product require complex information gathering also possible to purchase to online require higher level of web usage by consumer. In such cases well documented detailed corporate web site would be more appropriate. Some products required lower web site usage but consumer prefer online purchase. For such products, firms can strategize their web advertising for Brand enhancement and proactive marketing through email content sponsorships and ad banner. The web site must be strictly Niches focused.

Advertising Strategy should be the right mix of web site to react to a consumer’s needs and proactive banner advertising to online marketing success.

Personalized communication
To decide between Personalized versus broadcast communication, following questions must be answered.

What is the personal interest for the consumer?
What will your brand do for the consumer to justify relationship?
Can you maintain this relationship profitability?

Posted in Consumer Search Behavior, Internet Marketing, Internet advertisement Strategy | No Comments »

Web weaving is an effective e-retail strategy

In earlier post (Landing page and Adwords) I was complaining about the landing page of an university website which fails to encourage the visitor’s stickiness.  Also made another discovery which  I forgot discuss was “Web Weaving”.    Mentioned university was targeting “meditation” and “Practice Meditation” keywords to drive traffic from google adwords.  Unfortunately the visitors directed to very generic web site which details the list of online courses it is offering.  Study on Transcended meditation is one of them.

My argument is, people with a specific issue, seek help only to resolve their current problem. They will not be interested in resolving other related issues until the current one is resolved. In other words, the website must be more customers focused.  For example, rather selling all the women wears in single website, creating unique site for each type of women wear (say one website for panties and one for cat suites) will generate more sales.  Such focused websites on specialized  product,  will spawn the “made for me” feelings in visitor mind. Also satisfy their perceived feelings and emotionally attach the customer with web site.

Creating multiple sites on specialist Niches of similar product which are inadequately serviced by other retailers or firms can be called “web Weaving”.

Based on “Web Weaving” theory each new website development increases the organization fitness and capability to respond to the market opportunities, bridging the strategic gaps to reach their business value.  By delivering new web sites over the period,
Provide valuable market knowledge, experience and additional revenues.

Advantage of “Web Weaving”

Investing on multiple Niche focused websites, effectively shelters the firms from dynamic competitive environment. This also help to spread the risk across the web sites and allow firm to recognize and respond positively to new trends and emerging opportunities.

Moreover,  “Web Weaving” allows financial consolidation  -  a key issue for all start up dotcom companies.  Because firms operations will be effectively integrated across multiple online stores and web sites.

“Web weaving” can also be called   e-portfolio, since classic portfolio strategy is about distribution of limited fund on selective stocks. So, risk will be spread and returns will be derived from multiple resources.

 “Web Weaving” strategy will be very effective on online retail stores.

Posted in Consumer Search Behavior, Internet Marketing, Search Engine Advertisement, Web site design | No Comments »

Brand and Banners on Internet marketing

I was reading an internet marketing article titled Advertising on the Web published on Admap magazine written by Rex Briggs from World Advertising Research center.

Rex was explaining the conceptual mistake in measuring “clickthrough” (CTR) ratios as Brand enhancement. Although everyone agree that Banner ads increases the Brand awareness and Brand value, so far there is no credible factor can be used to track the performance of Banner ads.

The article categorically rejects following assumptions

• Brand enhancement can happen only on the web site
• Brands have more to say than can be conveyed in a banner.
• “Clickthrough” should be sought by all advertisers
• The level of “clickthrough” determines brand enhancement

Rex argues that Banners doesn’t require any click or interaction from consumers if they are intended for Brand enhancement. His analysis indicates that consumer click on banners because the ad is relevant to the content and inducing for engagement. Also the consumer perceives an immediate need that can only be fulfilled by click through to a website where the ‘promise’ made in the banner is delivered.

Unfortunately there is no credible reason why consumer need to click on Banner ad, which require no immediate action from consumer. If that is the case, all the TV ads should have generated tremendous sales by the next day of advertisement?

So ads seeking to increase Brand enhancement or Brand value doesn’t need to be clicked. They must be simply seen by customer in right place and right time. Because 96 percent of the boost in ad awareness was caused by the banner exposure alone. The remaining four per cent was caused by click through. Rex asserts that this patter is consistent across various brand enhancement measure we measured.

Posted in Consumer Search Behavior, Google Adwords, Internet Marketing, Online Consumer Behavior, Search Engine Advertisement | No Comments »

Consumer Trust and Google Adwords

Consumer Behavior on Google Adwords

I am bit surprised to see Microsoft adCenter advertisement appearing on Google Adsense site.

Recent study Search Marketing Shows Strength in 2006 by searchenginewatch.com quotes that Microsoft Adcenter revenue has jumped to 68 percent, compare to 29 percent of last year 2005. But Google! still rule the search engine advertisement market accounts 96 percent, followed by yahoo 82%. Advertiser who uses Google Adwords also advertises in Yahoo. But marketers bet more money on Adwords than Overture.

Is there any reason why Google is on Top?

Google traffic provide more CTR (click through ratio) and higher conversion rate because,

Google audience are more target oriented, looking for a way to accomplish their task. (such as seeking some information, looking to download something and etc.)
Google visitor have positive attitude towards Google listings.

Buy from First Ad

Nico Brooks’s How Search Engine Rank Impact Conversions (Published in American Marketing Association, 2005) article highlights few interesting points.

The conversion potential between position one and position two ad varies significantly among Google and Yahoo listings.

In Google Adwords listings, advertisement placed at top most position (#1) has 100% conversion potential. Where position two ads attract only 54.5%

In yahoo listing, conversion difference between position one and two ad is 27% (100% and 73%)

This Buy from first ad attitude might have been adopted from consumers perceived thinking about Google Search result. 92% – 96% of the consumer think that Google Result is more accurate and relevant compare to other search engine. Which eventually influence them to click and buy from the first ad listed by Adwords.

It is worth to bid more for top most position in Google Adwords. There is an Search Marketing Tool , which can help you managing the Ad position. That tool may not work with Google adwords.

Posted in Consumer Search Behavior, Google Adwords, Search Engine Advertisement | 1 Comment »