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[F] Product



 參考資料:

 Judy Strauss, Adel I. El-Ansary, and Raymond

Frost, E-Marketing, Prentice Hall, 2006.

 Chap 10: Product.









網路行銷 楊子青 F-1

Environment, Strategy, and

Performance (ESP Model)

Legal - Ethical

Technology Internet

E Competition

Other factors

Markets

SWOT





E-Business

S Strategy/

E-Marketing Implementation

Model

Strategy Marketing Mix







P Performance Metrics



網路行銷 楊子青 F-2

Link E-Business with

E-Marketing Strategy

 E-marketing strategic planning occurs in two

highly interrelated tiers:



Tier 1 Targeting Differentiation

tasks Segmentation Positioning



E-Marketing Strategy

Offer

Tier 2

tasks

Value Communication

Distribution

網路行銷 楊子青 F-3

Overview

 The Classmates Story

 Product

 Creating Customer Value Online

 Attributes

 Branding

 Support Services

 Labeling

 E-Marketing Enhanced Product Development

 New Product Strategies for E-Marketing

網路行銷 楊子青 F-4

1. The Classmates Story

 http://www.classmates.com









網路行銷 楊子青 F-5

The Classmates Story

 A new and purely online product

 a place for people to look up former high school and

college classmates.

 Began in 1995

 It has been profitable since 2001: $35.6 million.

 It capitalized on (把握住機會) a consumer need in

30-plus age bracket (30歲以上的一群人).

 Reconnect (聯繫) with people from the past and with

individual’s needs to learn. E.g. a former girlfriend has a

BMW or gained weight (體重增加).

網路行銷 楊子青 F-6

The Classmates Story

 Business model: A subscription (訂閱費) model

 Selling content not advertising: Allow people to register for

free and read profiles, but they must pay to communicate

with others.

 Subscribers:

 Have full database access.

 Can receive an e-mail notification when someone from their school

registers.

 Has Outgrown its brand name

 Moving beyond schools: former workplace or military.

 Apply Existing or Create New Brand Names?

 But discard the existing brand makes no sense. 網路行銷 楊子青 F-7

2. Product

 A bundle of benefits that satisfies the needs of

organizations/consumers and for which they are

willing to exchange money or other items of value.

 Items such as tangible goods, services, ideas, people,

and places.

 Some new products are unique to the Internet

(e.g. search engines).

 Other products use the Internet as a new distribution

channel, often adding unique technology-enabled

services (e.g. books).



網路行銷 楊子青 F-8

A Taxonomy for Internet Products

Content Internet End

Provider Infrastructure User

Hardware Server, switch Router, fiber-optic Modem, PC, Web

backbone TV, PDA



Software Web authoring, Protocols, TCP/IP, Web browser, e-mail

encryption, DNS client, decryption,

audio/video digitizing audio/video player





Services E-commerce ISP, backbone service Web-based virus

consulting, Web provider scan, auto updates,

development, Web calendaring, e-mail

design, application

service providers



網路行銷 楊子青 F-9

3. Creating Customer Value Online

 Customer value = Benefits – Costs

 Marketers must make general product

decisions that comprise its bundle of

benefits to meet customer needs:

 Attributes

 Branding

 Support Services

 Labeling



網路行銷 楊子青 F-10

3.1 Attributes

 Product attributes include:

 Overall quality:

 “you get what you pay for” = higher and consistent

(一致) quality generally means higher prices, thus

maintaining the value proposition (價值提議).

 Specific features:

 Include such elements as color, taste, style, size, and

speed of service.

 E.g.: Yahoo! provides a list of Web site categories

(attribute), which helps users find things quickly

online (benefit).

網路行銷 楊子青 F-11

Attributes

 The Internet increases customer benefits in many

ways:

 The move from atoms to bits:

 media, music, software, and other digital products are

presented on the Web.

 User personalization: Through Web site registration

and other techniques, Web sites can:

 Greet (歡迎) users by name,



 Suggest product offerings of interest based on



previous purchases,

 E.g.: Amazon.com



網路行銷 楊子青 F-12

3.2 Branding

 A brand (品牌):

 includes a name (e.g. McDonald’s), a symbol

(golden arches), or other identifying information.

 A promise to customers,

 A brand name and its image are often part of the

benefits a user desires,

 A way to establish trust for the customer.

 Important online, because of concern over security

and privacy issues

網路行銷 楊子青 F-13

Branding Decisions

 Companies creating new products for online

sale face several branding decisions:

 Whether to apply existing brand names or

create new brand names for new products,

 Whether to lend (借出) their brand name as a

cobrand (共用品牌) with other firms,

 What domain name to use for the Web site.





網路行銷 楊子青 F-14

(1) Apply Existing or

Create New Brand Names

 Using existing brand names on the Web:

 Makes sense when the brand is well-known

 E.g.: Amazon added music CDs, videos, software…

 When products with offline sales introduce online extensions

choosing to use the same brand name (e.g., The New York Times).

 Some firms may not want to use the same brand

name online and offline:

 If the new product or channel is risky.

 A powerful Internet success might inadvertently (不經意)

reposition the offline brand.



網路行銷 楊子青 F-15

Apply Existing or

Create New Brand Names

 Creating new brands

 a good name is very important.

 Suggest something about the product (e.g.,

www.Classmates.com),

 Differentiate the product from competitors

 legal protection. (法律保護)

 On the Internet, a brand name should be:

 Short,

 Memorable, (好記)

 Easy to spell,

 Capable of translating well into other languages.

網路行銷 楊子青 F-16

(2) Cobranding

 When two different companies put their

brand names on the same product.

 Common on the Internet and is a good way for

firms to build synergy through expertise and

brand recognition.

 E.g.: Yahoo! 奇摩

 E.g.: Sports Illustrated now co-brands with

CNN as CNNSI.

 Even the Web site address displays the cobrand:

sportsillustrated.cnn.com.

網路行銷 楊子青 F-17

(3) Internet Domain Names

 A URL (Uniform Resource Locator)

 = Web site address = IP address

 Similar to telephone area codes.

 Many firms use the trademark or brand name to

help consumers quickly find their site.

 E.g.: www.coca-cola.com.

 Many creative Netizens (網民) register lots of

popular names and offer them for sale:

 E.g.: GreatDomains.com allows users to buy



and sell popular domain names.

網路行銷 楊子青 F-18

Example: GreatDomains.com

(http://premium.greatdomains.com/)









網路行銷 楊子青 F-19

3.3 Support Services

 Customer support (during and after

purchases):

 Is critical for some technical products for

installation, maintenance problems, product

guarantees, etc. to increase customer

satisfaction.

 CompUSA combines online and offline

channels to increase customer support.



網路行銷 楊子青 F-20

3.4 Labeling

 Product labels:

 Identify brand names, sponsoring firms, and

product ingredients (原料), Provide instructions

for use and promotional materials,

 Online “labels”

 provide information about installing and using

software.

 also provide extensive legal information about the

software product.



網路行銷 楊子青 F-21

4. E-Marketing Enhanced

Product Development

 Customer Codesign

 The power shift to buyers.

 Customer interaction in the early and late stages of

product development can increase product success.

 Electronic Input: Good marketers look everywhere

for customer feedback to improve products.

 Invite customer product ratings.

 The proliferation (擴散) of e-mail “word of mouth”.

 Scan Internet: look for company and product discussion.



網路行銷 楊子青 F-22

5. New Product Strategies

for E-Marketing



 Companies can choose among six

categories of new-product strategies

based on marketing objectives, risk

tolerance, resource availability, etc.









網路行銷 楊子青 F-23

New Product Strategies

for E-Marketing

 (1) Discontinuous innovations: new-to-the-world

products.

 E.g.: the first Web authoring software, cell phone/PDA

combination, shopping agent…





 (2) New product lines: new products in a different

category for an existing brand name.

 E.g.: Microsoft created IE as new line. (Netscape was

already available, so it wasn’t a discontinuous innovation.)



網路行銷 楊子青 F-24

New-Product Strategies

for E-Marketing

 (3) New variation (flavor, size…) of a current

product line.

 E.g.: The New York Times line includes the daily paper,

weekly book review, and others.





 (4) Improvements or revisions of existing products

 E.g.: Web-based e-mail systems improved on client-

based e-mail systems such as Eudora or Outlook

because users could check and send e-mail from any

Web connected computer.

網路行銷 楊子青 F-25

New-Product Strategies

for E-Marketing

 (5) Repositioned products: are current products that

are either targeted to different markets or promoted for

new uses.

 E.g.: Yahoo! began as a search directory on the Web and

then repositioned itself as a portal (an Internet entry point

with many services).



 (6) Me-too lower-cost products: To compete with

existing brands by offering a price advantage.

 E.g.: When America Online and other ISPs were charging

per hour rates for Internet access, some providers introduced

unlimited use at flat rate pricing for $19.95 per month.

網路行銷 楊子青 F-26


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