PRESENTATION FLOW
Title Objective of the study Variables studied Hypothesis Tool used for the study Data Analysis
1.1 INTRODUCTION
The word marketing has two distinct meanings in modern management practice. It describes:
The range of specialist marketing functions carried out within many organisations. Such functions include market research, brand/product management, public relations and customer service. An approach or concept that can be used as the guiding philosophy for all functions and activities of an organisation. Such a philosophy encompasses all aspects of a business.
The modern marketing concept unites these two meanings and stresses that marketing encompasses the range of organisational functions and processes that seek to determine the needs of target markets and deliver products and services to customers and other key stakeholders such as employees and financial institutions.
1.2 INTERNET MARKETING
The Internet can be applied by companies as an integral part of the modern marketing concept since:
It can be used to support the full range of organisational functions and processes that deliver products and services to customers and other key stakeholders. It is a powerful communications medium that can act as a ‘corporate glue’ that integrates the different functional parts of the organisation. It facilitates information management, which is now increasingly recognised as a critical marketing support tool to strategy formulation and implementation. The future role of the Internet should form part of the vision of a company since its future impact will be significant to most businesses.
1.3 E-MAIL IN THE MARKETING PLAN
If Internet marketing is to become integrated and fully established as a strategic marketing management tool, then the focus of attention needs to move towards understanding its broader applications within the total marketing process rather than just using it as a communication and selling tool. The danger for those currently considering developing Internet technology is that the focus of such involvement will be too narrow and the true power of the Internet and its potential contribution to the marketing process will be missed. There is a tendency amongst companies first using the Internet to restrict applications to promotion and selling rather than a relationship building and service delivery tool.
1.4 UNDERSTANDING MARKET DEMOGRAPHIC
The Internet can potentially be used to achieve each of the four strategic directions as follows:
Market penetration. The Internet can be used to sell more existing products into existing markets. Market development. Here the Internet is used to sell into new markets, taking advantage of the low cost of advertising internationally without the necessity for a supporting sales infrastructure in the customers’ country. Product development. New products or services are developed which can be delivered by the Internet. Diversification. In this sector, new products are developed which are sold into new markets.
1.5 RETURN ON INVESTMENT
E- marketing is an inexpensive form of communication that has the potential to generate strong returns. For instance, a book can be purchased for 10 pence per message. If you were to e-mail an offer to 5,000 members on a database it would cost Rs50. By comparison, if you were to use standard print mail it would be 50 paise postage plus graphic design and printing costs Rs10,000, making it Rs10,250 to reach the same 5,000 members. You also have the time impediments of turnaround and postal delivery. In many direct mail campaigns, it is considered extremely effective to achieve a 10% response rate. Based on Rs 50 to email 5,000 members, this means that a response from 500 members would cost Rs0.01 each to achieve. In the print format, it would cost around Rs 2.05. Other key factors to use to measure return on investment include the number of emails sent (size of database), the number of responses, the number of sales secured, and the harder to quantify brand value and reputation enhancement. Email is not an answer by itself, but can be an effective component of a marketing strategy. It can reinforce simple key messages, generate calls to action, and enhance brand.
1.6 ADVANTAGES & POTENTIAL DISADVANTAGES OF E- MARKETING
ADVANTAGES
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Inexpensive Can reach a wide audience for a small fraction of traditional advertising budgets Allows consumers to research and purchase products and services at their own convenience. Bring results quickly 24x7 It allows seamless communication over any distance, local or global
Security concerns Broadband-induced trends Effects on industries
DISADVANTAGES
OBJECTIVE OF THE STUDY
The primary objective of this research study is to gain an insight into the perception of people surfing the net and email account users, towards internet advertising and their utility value in terms of impact on the purchase decision. Hence we are attempting to explore consumers’ responsiveness to internet marketing, taking into cognizance the impact of demographic factors like gender, occupation, etc. From the marketer’s perspective it is crucial to know the utility of internet advertising, as far as having an impact on purchase decision of a customer is concerned
RELATED LITERATURE REVIEW
2.1 Viren Popli, Senior Vice President, Wireless, STAR India Using the internet as a medium of marketing means providing some benefits to the end consumer. This could mean the ability to respond (votes, polls), interact, participate (Contests), download (ringtones, games), etc, based on our shows. STAR also provides its many clients with interactivity. We do this by enabling their advertising through different social sites Many of our customers only use internet as a return path for generating leads. Organisations that are so driven in this direction would confirm that well-designed and integrated interactivity works, and works well. As this is a personal medium, we try and individualise the responses, keeping in view the activity, the potential customer profile and similar factors. The advantages are that it is personal, direct, confidential, immediate and digital!
This service is cost-effective and efficient, as it allows you to target the potential customer without the attendant wastage. Also, it makes your other media work harder to allow you to deliver specific results.
METHODOLOGY
The research design chosen for the study is conclusive. A questionnaires being given to approximately 50 respondents. An attempt has been made to keep the sample fairly representative across the demographic variables by constructing quotas according to these factors e.g. age, gender, occupation. Almost 54% of the respondents belonged to the age group of 20 to 30 years and approximately 30% of the respondents belonged to the age group of more than 30 years. 30% of the respondents were students, 27% were in service, 14% were housewives and 29% were in business. 59.7% were males and 40.3% were females. Almost 85% of the respondents rated their usage of internet in the range of medium to high. 75% of the respondents used their email accounts primarily for personal communication.
VARIABLES STUDIED
1. Gender 2. occupation
Research Design Our research is mainly based on a survey conducted by distribution of questionnaire. Sample Studied a. Technique – Random (every fifth person who has a mobile phone) b. Size – 50 c. Nature – Students, Businessmen, Service, Retired & Housewives.
HYPOTHESIS FRAMED
Hypothesis based on Occupation
Ho: There is no significant relation between different types of occupation on Internet marketing
Ha: There is significant relation between different types of occupation on Internet marketing Hypothesis based on Gender Ho: There is no significant difference between males & females mail Including Junk mail receivers
Ha: There is significant difference between male & females mail Including Junk mail receivers
Tools Used For the Study Questionnaire where Likert scale is used.
Technique of Analysis Quantitative (One way ANOVAs, t-test, level of significance 95%)
Analysis - SPSS
Gender 1st Variable
Descriptives Request Clicks
95% Confidence Interval for Mean N Male Female Total 40 10 50 Mean 1.8500 1.5000 1.7800 Std. Deviation 1.00 .70 .95 Std. Lower Error Bound .15 1.52 .22 .13 .99 1.51 Upper Bound Minimum Maximum 2.17 1.00 5.00 2.00 2.05 1.00 1.00 3.00 5.00
ANOVA Request Clicks
Sum of Squares Between Groups Within Groups Total .980 43.60 44.58
df 1 48 49
Mean Square .980 .908
F 1.079
Sig. .304
Descriptives Marketing related Mails
N Male Female Total 40 10 50
Mean 2.8750 3.0000 2.9000
Std. Deviation .96576 .81650 .93131
95% Confidence Interval for Mean Upper Lower Std. Error Bound Bound .15270 .25820 .13171 2.5661 2.4159 2.6353 3.1839 3.5841 3.1647
Minimum Maximum 1.00 2.00 1.00 5.00 4.00 5.00
ANOVA Marketing related Mails
Sum of Squares Between Groups Within Groups Total .125 42.375 42.500
df 1 48 49
Mean Square .125 .883
F .142
Sig. .708
Descriptives Convey Relevant information
95% Confidence Interval for Mean
N Mean 2.3250 3.0000 2.4600 Std. Lower Deviation Std. Error Bound .82858 .13101 2.0600 .94281 .88548 .29814 .12523 2.3256 2.2083 Upper Bound Minimum Maximum 2.5900 1.00 4.00 3.6744 2.7117 2.00 1.00 5.00 5.00
Male
Female Total
40 10 50
ANOVA Convey relevant information
Between Groups
Sum of Squares 3.645 34.775 38.420
df 1 48 49
Mean Square 3.645 .724
F 5.031
Sig. .030
Within Groups
Total
Descriptives Take action persuasion (purchase)
95% Confidence Interval for Mean Upper Lower Bound Minimum Maximum Bound 1.6310 2.1690 1.00 4.00 1.2172 2.1828 1.00 3.00 1.6303 2.0897 1.00 4.00
N Male Female Total 40 10 50
Mean 1.9000 1.7000 1.8600
Std. Deviation Std. Error .84124 .13301 .67495 .21344 .80837 .11432
ANOVA
Take action persuasion (purchase)
Sum of Squares Between Groups Within Groups Total .320 31.700 32.020
df 1 48 49
Mean Square .320 .660
F .485
Sig. .490
nd 2
Variable: Occupation
Descriptives Marketing related Mails
95% Confidence Interval for Mean Upper Lower Bound Minimum Maximum Bound 2.3260 3.4517 1.00 5.00 2.4404 3.2596 1.00 4.00 2.5813 4.4187 3.00 4.00 2.1588 3.3412 2.00 4.00 2.6353 3.1647 1.00 5.00
N Student Service Housewife Businessman Total 18 20 4 8 50
Mean 2.8889 2.8500 3.5000 2.7500 2.9000
Std. Deviation Std. Error 1.13183 .26678 .87509 .19568 .57735 .28868 .70711 .25000 .93131 .13171
ANOVA Marketing related Mails
Sum of Squares Between Groups Within Groups Total 1.672 40.828 42.500
df 3 46 49
Mean Square .557 .888
F .628
Sig. .601
Descriptives Request E-mail
95% Confidence Interval for Mean Maxi Upper mu Lower Bound Minimum m Bound 1.3411 2.2145 1.00 3.00 1.3546 2.4454 1.00 5.00 .5813 2.4187 1.00 2.00 1.0030 2.2470 1.00 3.00 1.5089 2.0511 1.00 5.00
N
Student Service Housewife Businessman Total 18 20 4 8 50
Mean 1.7778 1.9000 1.5000 1.6250 1.7800
Std. Deviation Std. Error .87820 .20699 1.16529 .26057 .57735 .28868 .74402 .26305 .95383 .13489
ANOVA Request E-mail
Sum of Squares
Between Groups Within Groups Total .794 43.786 44.580
df 3 46 49
Mean Square .265 .952
F .278
Sig. .841
Descriptives
Convey Relevant information
95% Confidence Interval for Mean Std. Upper Lower Error Bound Minimum Bound .19479 1.8668 2.6888 1.00 .15218 2.0815 2.7185 1.00 .64550 1.4457 5.5543 2.00 .37796 .12523 1.6063 2.2083 3.3937 2.7117 1.00 1.00
N
Student Service Housewife Businessma n Total 18 20 4 8 50
Mean 2.2778 2.4000 3.5000
2.5000 2.4600
Std. Deviation .82644 .68056 1.29099 1.06904 .88548
Maximu m 4.00 4.00 5.00 4.00 5.00
ANOVA Convey relevant information
Sum of Squares Between Groups Within Groups Total 5.009 33.411 38.420
df
3 46 49
Mean Square
1.670 .726
F
2.299
Sig.
.090
Descriptives Take action persuasion (purchase)
N
Student Service Housewife Businessman Total 18 20 4 8 50
Mean 1.7778 1.8500 2.0000 2.0000 1.8600
Std. Deviation Std. Error .64676 .15244 .87509 .19568 .81650 .40825 1.06904 .37796 .80837 .11432
95% Confidence Interval for Mean Upper Lower Bound Minimum Maximum Bound 1.4562 2.0994 1.00 3.00 1.4404 2.2596 1.00 4.00 .7008 3.2992 1.00 3.00 1.1063 2.8937 1.00 4.00 1.6303 2.0897 1.00 4.00
ANOVA Take action persuasion (purchase)
Sum of Squares .359 31.661 32.020
df 3 46 49
Between Groups Within Groups Total
Mean Square .120 .688
F .174
Sig. .914
CONCLUSION
From the analysis we come to a conclusion that there is no significant difference between male & female Mail receivers therefore we accept Ho for the first hypothesis. For the second hypothesis we come to a conclusion that there is significant relation between different types of occupation on E - Marketing. Therefore we accept Ha & individual with different occupation view sms advertising in different perspectives. An individual’s occupation has an impact on his perception of his Email account being a mode of communication, advertisement or information We also found that An individual’s work schedule has an impact on his reactions’ towards checking his mails specially JUNK mails.
An individual’s work schedule has an impact on his perception of his email account being a mode of either communication, advertisement or information
Individual’s occupation on his reactions’ towards Internet advertising, it was found that there were significant differences in the reactions of Businessmen and other Service class. The businessmen reacted with confusion towards the plethora of information and advertising that they were subjected on their mails, whereas the service class respondents found the information (pertaining to either their work interests or leisure interests) relayed through their emails useful. It can hence be inferred that incorporating attributes like contextualization, relevant utility value
Summarizing the major findings of the study, we can infer that the relationship that we have sought to examine between Internet marketing/ advertising efforts and the consumers’ responsiveness in terms of impact on the purchase/ brand decision, exists. However Internet marketing efforts do not have a substantial impact on the purchase or brand decision of the consumer.
RECOMMENDATION
Internet advertising can be more useful if organization can incorporate the following attributes in their E-marketing communications: Personalization: Marketers can be emailed based on the consumers’ local time, location, and preferences
Time: Less intrusive than Junk Mail, recipients can read mails at their leisure and choose when to respond, if at all. Still, organizations must consider the message frequency for the target group and topic.
Location: Internet Marketing amplify two key arguments for electronic commerce, location independence and ubiquity. Consumers increasingly expect tailored and location-based services, thereby underlining the importance of email marketing. Properly applied, location-based services can create or reinforce virtual communities Preferences: Personalizing messages increases their impact. Similar to traditional media, a personalized mail campaign relies upon databases with enough active and potential clients to reach the target group profitably. Such databases regularly contain personal information such as leisure activities, holidays, music and media interests, type of Internet access, occupation, marital status, car ownership and income . Consumer control, permission and privacy: There is a trade-off between personalization and consumer control. Gathering data required for tailoring messages raises privacy concerns. Corporate policies must consider legalities such as electronic signatures, electronic contracts, and conditions for sending E-mails.
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