CONSUMER BEHAVIOUR TOWARDS DIGITAL MARKETING.docx

8/20/2019 CONSUMER BEHAVIOUR TOWARDS DIGITAL MARKETING.docx

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DISSERTATION REPORT

ON THE

CONSUMER BEHAVIOUR TOWARDS DIGITAL MARKETING

SUBMITTED BY

RAMBABU SHAH

Roll No. 141327002

UNDER THE SUPERVISION O!

PRASHANT SE"ENA KR

In Partial Fulfillment for the award of

POST GRADUATE DIPLOMA IN MANAGEMENT

2015-2016

GREATER NOIDA INSTITUTE O! TECHNOLOGY

Plot No. 53, Knowledge Park , !reater Noida- 201306

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CERTIFICATE

This is to certify that this project work done on project entitled “Consumer

Behaviour towards Digital Marketing” is a bonafide work carried out by

This project report is submitted for the requirement of the degree of the

award of This work has not been submitted anywhere else for any other

degree / diploma.

Date: _____

lace: !"#$T#" %&'D$

FACULTY GUIDE

(


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DECLARATION

') , hereby declare that this project report entitled “Consumer Behaviour

towards digital Marketing” is written and submitted by me.

The findings and interpretations in the report are based on both primary and

secondary data collection. This project is not copied from any source or

other project submitted for similar purpose.

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AC!"#$ED%EME!T

' am thankful to all the for their +aluable guidance and support at all time

and pro+iding me the proper guidance to carry out summer internship

effecti+ely and efficiently.

' would like to thanks to all those people who pro+ided me all the necessary

information directly or indirectly throughout this project report completed at

time.

,


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&REFACE

The project titled) Consumer Behaviour towards digital Marketing, aims to find outthe beha+iour of consumers for online transactions towards three websites +ia.

Redi''()om, C*#+ungama, and Fa-mart(

'n today-s technology dri+en world) a new fast paced online economy is emerging. 'n the

near future) it wouldn-t be surprising to see that there are companies that eist only inside

computer networks. ost business transactions will be made electronically) directly from

the producer to the consumer) bypassing the supply chain.

The project thus aims to pro+ide an insight on the modes of online transactions and

changing trends in online marketing.

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TAB$E "F C"!TE!T.

CA&TER I/ I!TR"D0CTI"!

CA&TER II/ $ITERAT0RE RE1IE#

*(2( Digital MARETI!%

(.11. #+olution of arketing

(.1(. hanging patterns of arketing

(.1*. !rowth of 'nternet usage and #2commerce (.1,. &+er+iew of the 'ndian 'nternet 3sers

(.10. 4 5s of arketing on the 'nternet

(.16. 'nternet arketing Tactics

(.14. $d+ertising on the 'nternet: emerging issues(.17. Targeting imperati+es

(.18. &nline onstraints

*(*( "!$I!E C"!.0MER BEA1I"0R

(.(1. 3nderstanding the 'nternet onsumer

(.((. onsumer 9eha+iour

(.(*. 9lack bo model(.(,. actors affecting consumer beha+ior

(.(0. The #+ol+ing ;alue ropositions(.(6. ritical


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40E.TI"!!AIRE

I!TR"D0CTI"!

The internet as we know it took off during the early 188=s) when the >orld >ide

>eb A>>>B protocol was in+ented) and has since then become incorporated as the

backbone of ad+anced economies such as %orth $merica and major parts of #urope

and $sia. $round 1.* billion people were estimated to use the 'nternet at the

end of (==4 A'nternetworldstats) (==7B. 'n relation to the world-s population) this

gi+es (= C as a total amount of the world-s 'nternet users. >hile the less de+eloped

countries show a +ery low percentage) the de+eloped countries ha+e shown a 1(= C

annual growth in 'nternet use during the past se+en years.

#+er since the creation of the 'nternet) the world of business has changed greatly with

a redefinition in areas like marketing and customer relations. This medium opened up

the doors for the conditions of conducting business through electronic methods. The

growth of the internet e+entually lead to hundreds of thousands of companies

setting up shops online) gaining millions of consumers worldwide as their

customers. 'n the early days) the a+erage computer user might not ha+e been able to

use the 'nternet as we use it today. >ith the arri+al of easy2to2 use web browsers) this

medium went from being an ad+anced) tet2oriented) and specialied application into

a massi+e multimedia tool on a global scale.


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"elationship arketing) during which a close relationship was created between the

customer and the company. The customers made their e+eryday purchases locally and

a natural bond was created between the seller and the buyer. @owe+er) with the

introduction of the industrial age) the focus on marketing went from indi+idual2 to

mass marketing. The company-s attention turned to reaching out to as many

consumers as possible. This method was dominant during the past decades) but with

the birth of the commercial 'nternet) companies ha+e disco+ered the possibilities of

recreating relationship marketing. 9y keeping the information flow of their products

and ser+ice a+ailable online) companies can create suited offerings to customers while

satisfying their needs. This sort of marketing method is considered to be more

acceptable) and at the same time more effecti+e.

@owe+er) a web site purely presenting the business will not add any +alue for the

potential consumer. $ccording to ronin A188,B) traditional marketing e.g. sending

out raw ad+ertisements through e2mail accounts)is not the online way of reaching

out to the customers. &nline marketing is just like its regular offline counterpart about

sales promotion) public relations and direct marketing to customers) mainly through

ad+ertising. &nline ad+ertising has the crucial role of persuading and informing

consumers of the a+ailable selection of products and ser+ices A!oldsmith andEafferty) (==(B. During the past decade) companies ha+e learned this procedure to be

difficult without information about the consumers. Through the use of +arious

customer databases and the location of surfing habits) firms ha+e been able to e+ol+e

their marketing strategy) becoming more customied and personalied for each user.

$s a result) they are adapting products and messages through the study and analysis

of each user-s demographics) preferences and purchases Aaclaran and atterall)

(==(B. $ great knowledge of the clients is of essential use for a firm-s success.

.I%!IFICA!CE "F .T0D3

$t any gi+en time there are millions of people online and each of them is a potential

customer for a company pro+iding online sales. Due to the rapid de+elopment of the

technologies surrounding the 'nternet) a company that is interested in selling products

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from its web site will constantly has to search for an edge in the fierce competition.


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$ITERAT0RE RE1IE#

E1"$0TI"! "F MARETI!%

$t the beginning of the century) social life was mostly local. 't was followed by a period

in which commodities were produced on a mass scale. onsumer arketing operated on

mass marketing principles and business primarily concerned itself with how to build the

best sales force. $t the end of the century) there is an emerging global culture. The major

dri+er of these changes is technology. Technological change has mo+ed steadily back

focusing on the indi+idual. These changes shape the possibility and conduct of business.arketing is especially tied to communication and transportation re+olution. $s the tools

and reach of marketing increase) the job and responsibilities of marketers ha+e e+ol+ed

with them.

Fotler formalied this e+olution with his book Garketing anagement.G @is key stages

are production) sales and brand management. #ach of these is strongly moti+ated by

technological opportunities) which permit new methods and new opportunities. $ fourth

stage) a focus on the indi+idual customer) is also important. $s the new technology of the'nternet de+elops) it reinforces the new marketing emphasis 2 which in many ways is a

return to business at the turn of the century.

'n today-s technology dri+en world) a new fast paced digital economy is emerging. 'n the

near future) it wouldn-t be surprising to see that there are companies that eist only inside

computer networks. ost business transactions will be made electronically) directly from

the producer to the consumer) bypassing the supply chain. 'n the digital marketing

en+ironment) the consumer becomes an integral player in the de+elopment of the product.

'n fact) a consumer might build the product himself from a wide array of parts pro+ided

by the company. 't is e2commerce that is changing the way products and ser+ices are

concei+ed) manufactured) promoted) priced) distributed and sold. The reason being that it

is much cheaperH it allows +ast co+erage and helps in ser+ing the customer better (

1=


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CA!%I!% &ATTER!. "F MARETI!%

Traditional Marketing 15s digital Marketingarketing o+er the years more so recently has started being used interchangeably with

ad+ertising. %ow since the eplosion of the internetH ad+ertising paradigms ha+e been

constantly changing.

The first >eb ad+ertisement was placed on the @ot >ired web site in &ctober 188,.

$T?T) ')


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,. !enerally) people percei+e the ads to be time consuming and full of unwanted

information. are should be taken to design the ads in such a way that the

information they pro+ide or the hyperlinks they pro+ide to a site gi+es adequate

and specific information.

0. The ads and the subsequent information on the web site should be constantly

updated and highlighted in the ads and thus induce repeated clicks on the ad.

6. East but not the leastH the ads should be designed so as to attract attention of

maimum number of people and inducing them to click) failing to do so the

ad+ertiser ends up defeating his own purpose.

%rowth o' Internet usage and E7)ommer)e/

$ccording to the research report of !oldman


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E''e)tiveness o' the !et in Rea)hing "ut to the Masses

The reach of 'nternet may not yet be as wide as that of other mass media) but gi+en its

unique ad+antages) it is undoubtedly the communication medium of the future. arketers

around the world ha+e from time to time tried to reach their target audiences through

+arious media.


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T;) print and cinema ha+e penetrated the most. 'nternet in the media terms is epected to

make an impact and show its true caliber) but is yet not taken as a serious medium.

Does that mean that 'nternet is not an effecti+e tool for reaching out to peopleJ &r is it

likely to work +ery well under certain conditionsJ

To understand this better) let us compare 'nternet and other traditional media) first from

the customer-s point of +iew. urrent media options ser+e two broad benefits to the

customer:

1. 'nformation

(. #ntertainment

The reach or popularity of any media is related to

1. The etent of benefits percei+ed to be deli+ered

(. The cost of acquisition of the media itself

'n short) the reach is related to the net +alue percei+ed by the customer about that

particular medium.

&n the basis of the abo+e clarification) 'nternet appears to ha+e a comparati+ely higher

cost of acquisition. @owe+er) 'nternet has brought with it a +ery high degree of control to

the media user. %ot only are there a plethora of sites catering to e+ery imaginable need)

there is also a high degree of fleibility in what the user is able to do. $ll of this makes

'nternet a highly interacti+e media but also an epensi+e one.

'f the internet is treated and used eactly like any other medium) it is unlikely to yield

major benefits to the marketer. 'ts effecti+eness is dependent not only on the target

audience one is talking to) but also largely on the ability of the marketer to make use of

the real ad+antages of the %et like interacti+ity) fleibility) ability to monitor and the like.

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%et) one can also e+aluate 'nternet as a media from the marketers- point of +iew by way

of a similar classification. 'f e+aluation as per the abo+e classification is done) the

'nternet does not appear to be a +ery ad+antageous option either in terms of reach or in

terms of cost2effecti+eness. 9ut 'nternet has +arious other ad+antages o+er the traditional

media which cannot be neglected. These stem mainly from the ability of this medium to

allow a far more focused targeting as compared to other media.

To quickly summarie the ad+antages of the 'nternet as seen from the point of +iew of the

user as well as the marketer:

T" TE 0.ER/

'nternet gi+es more control in choosing content. 't offers customiation of the content) the

way the user wants to +iew it. 't offers a +ariety of options for information and

entertainment. 't offers a wide range to choose from for the user.

't offers tremendous con+enience to the user not only in deli+ery of information) but also

in allowing him to transact K often in a seamless manner.

The best eample of gi+ing control of content is the y Lahoo MM ser+ice offered by the

'nternet giant) Lahoo 'nc. 't gi+es the user the choice of content for +arious topics ranging

from news to stock options to entertainment to sports and just about e+erything.

To the marketer/

The 'nternet offers se+eral options to a marketer trying to target a particular community

't ser+es not only as a channel of information) but also of product distribution

't offers a highly interacti+e medium that sometimes Ae.g. chats) forums) ;o'B is almost

equal to one2to2one interaction with the audience.

't offers a higher le+el of identification of the user to the marketer.

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't allows the marketer to actually link his spends to action) and pay only on action

This action could be a click on the banner or e+en product purchased or just a banner

impression or per 1=== impressions. 'n this ability 'nternet is) in fact) unlike any other

media.

!i+en the payment options and high interacti+ity) the 'nternet offers a medium for high

le+el of eperimentation at a low cost.

This can be elaborated a little more by answering the following questions:

1. >ho are the people who can be reached through the 'nternetJ

(. >hich are the products that can possibly benefit from marketing on the 'nternetJ

*. >hat are the options a+ailable to the marketer to reach out more effecti+ely to their

audiencesJ

,. $re there ways for monitoring effecti+eness of this medium in order to control it

betterJ

AD1ERTI.I!% "&TI"!. A1AI$AB$E "! TE I!TER!ET

The 'nternet offers a +ariety of options for the marketer to ad+ertise her/his

products/brands. These include

1. 9anner ads and their +ariations

(. #2mailers and their +ariations

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'n 'ndia) banners still remain the most popular option. @owe+er) wider options are now

a+ailable to the marketer which) e+en at the cost of being intrusi+e) ser+es to enhance the

+isibility and effecti+eness of the banner

The 1ariants o' Banners in)lude /

1. 9anner $d 2 a graphical web ad+ertising unit) typically measuring ,67 piels wide and

6= piels tall Ai.e. ,676=B.

(. 9eyond the 9anner 2 online ad+ertising not in+ol+ing standard !' and N#! banner

ads.

*. 9utton $d2 a graphical ad+ertising unit) smaller than a banner ad.

,. @TE banner 2 a banner ad using @TE elements) often including interacti+e forms)

instead of Aor in addition toB standard graphical elements.

0. 'terstitial 2 an ad+ertisement that loads between two content pages.

6. op2up $d 2 an ad that displays in a new browser window.

4. op 3nder $d 2 an ad that displays in a new browser window behind the current

browser window.

7. "ectangle $d 2 any one of the large) rectangular banner sies suggested by the '$9.

8. "ich edia2 new media that offers an enhanced eperience relati+e to older)

mainstream formats.

1=.


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1*. ;ertical 9anner 2 a banner ad measuring 1(= piels wide and (,= piels tall.

!i+en the highly interacti+e nature of the 'nternet) and the also fact that unlike other

media it offers a higher le+el of identification of the user) simple direct marketing tools

such as email can also be used more effecti+ely. or eample) a high2end car seller can

today easily send an offer to persons earning o+er "s (0=== per month at a +ery

reasonable cost and within a +ery short period.

Then again there are sponsorships) which can be effecti+ely used to increase brand

salience and e+en change image.

The other tool on the web with enormous potential) and which has possibly not been used

to its optimal le+el yet by marketers in 'ndia) is the search engine. arketers can own

either popular keywords or make use of meta2tags Athese are similar to the keywords

which the search engines uses to catalogue +arious websites/productsB in order to go

higher on the search lists.

The abo+e is used by the search engine giant !oogle.com and it has reaped profits so

much so that it is now being +iewed as a threat by the computer giant icrosoft 'nc.

8 &9. "F MARETI!% "! TE I!TER!ET

The 'our &9s 7 &rodu)t, &ri)e, &la)e and &romotion ha+e long been associated with

marketing) but things ha+e changed on the 'nternet.


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e+ery aspect of their product before they go into a buy decision. Content and

software are two a+atars of digitied products that can be e+en distributed o+er the

'nternet. &n the 'nternet) #2marketing will be based more on the product qualities

rather than on the price. #+ery company will be able to bring down the cost of its

products and hence competition will not be on price. 't will rather be on the

uniqueness of the product. To be able to attract the customers and retain them) the

company will ha+e to pro+ide nou+elle and distinct products that forces the net

users to purchase and come back for more.

(. The &ri)e has been drastically changed o+er the 'nternet. 't lets the buyer decides

the price. $lso it gi+es the buyers information about multiple sellers selling the

same product. 't leads to best possible deal for the buyers in terms of price. $

website named riceline.com is etremely popular as its compares the price of

many airlines and offers the least price to the buyer. The +ery famous baee.com

now known as ebay.in follows the same principles. ricing is dynamic o+er the

'nternet.

*. The &la)e re+ol+es around setting up of a marketing channel to reach the

customer. 'nternet ser+es as a direct marketing channel that allows the producer to

reach the customer directly. The elimination of the intermediate channel allows

the producer to pass the reduced distribution cost to the customer in the form of

discounts. Dell omputers ha+e used this strategy +ery effecti+ely and hence they

ha+e been able to reduce their prices of their laptops drastically and reaped huge

profits.

,. &romotion is etremely necessary to entice the customer to its website) as there

are currently more than one billion web pages. romoting a website includes both

online and offline strategies. &nline strategies include search engine optimiation)

banner ads) multiple points of entry) +iral marketing) strategic partnership and

affiliate marketing. resently) the cyberspace is already cluttered with thousands

of sites probably selling similar products. or the customers to know of the

(=


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ompany-s eistence and to garner information on the kind of products or

ser+ices that the company is offering) promotion has to be carried out. There can

be traded links or banner ad+ertisements for the same. $lso the traditional

mediums like print) outdoor ad+ertising and tele+ision can be used to spread

awareness. #mail campaigns and spamming the hat rooms on almost e+ery

ser+er has been eploited to the maimum for the cause of promoting their

website.

0. &resentation The presentation of the online business needs to ha+e an easy to use

na+igation. The look and the feel of the web site should be based on corporate

logos and standards. $bout 7=C of the people read only (=C of the web page.

Therefore) the web page should not be cluttered with a lot of information. $lso)

simple but powerful na+igational aids on all web pages like search engines make

it easy for customer to find their way around. The principle of F.'.


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does not only include the preferred layout of the customer but also a pre selection

of goods the customer may be interested in. or e.g. LahooM Awww.yahoo.co.inB

entered the 'ndian cyberspace and started its personalied ser+ices.

I!TER!ET MARETI!% TACTIC.

There are man6 di''erent te)hnologies to 'a)ilitate 6our Internet marketing strateg6(

.ome o' the most )ommon and e''e)tive tools are/

.ear)h Engines and Dire)tories/


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E7mail/ #thical methods of gathering e2mail addresses are through on2line registration

built into your corporate >eb sites) or requests for information forms that request

submission to your opt2in lists.

$n alternati+e is to purchase lists of customer e2mail addresses indeed by special

interests from a pri+ate company such as 5ostmaster Direct5.

&nline customers are becoming increasingly selecti+e about their relationships) the

brands they trust) and what they consider rele+ant. >hile most marketers are aware of

pri+acy issues and the risks of


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Banner Advertising/ 9anner ad+ertising can play an etremely important role within

your website strategy. &ne can use banner ad+ertising as a means of promoting it-s own

products and ser+ices) raising awareness) or as a way of generating re+enue by selling

ad+ertising space on your own website.

&ur)hasing Advertising/ There are currently two widely recognied methods of

purchasing banner ad+ertising. The rates for these are usually quoted on a cost per

thousand basis or AB. The rates you pay can +ary tremendously as there is currently

no standard price model 2 so be prepared to negotiateM

&a67&er7Im;ression/ This method of purchasing banner ad+ertising is based on a

charge for the number of times someone sees your banner. There are no

guarantees as to how many +isitors will come to your site as a result of seeing

your bannerH you are simply paying for the number of times your banner is

displayed. >ebsites that offer such programs include paypopup.com and

adclicksor.com

&a67&er71isitor/ This method of purchasing banner ad+ertising is based on a

charge for the number of times someone +isits your site as a result of clicking on

your banner. This is a better method of purchasing banner ad+ertising as you are

only paying for results) although epect to pay a premium. &a67&er7Cli)k/ The re+enue model of the 'nternet giant google.com has its +ery

own ser+ice which offers certain share of the profit that it makes by the click2thru

that a website generates from its ad sense codes. The re+enue model is known as

google adsense and almost e+ery successful website uses this model to make

profits. The !oogle adsense ads can be seen on websites like Times of 'ndia)

oneycontrol.com) anagementaradise.com and a lot many other reputed

websites.

Branding. >hile T" and cost per sale relate to direct marketing objecti+es)

another way of looking at banner ads is as GbrandingG tools. They create brand

awareness) and a brand image in the +iewer5s mind) whether or not the +iewer

clicks on the ad. 9randing is +ery difficult to measure) but can be +ery powerful.

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There are a num-er o' ke6 issues that must -e )onsidered when designing a

su))ess'ul -anner/

't must ha+e an attention2grabbing headline.

't must be simple and get your point across.

't must in+oke action Ai.e.: Glick hereGB

't must download quickly.

't must be placed effecti+ely on a web site) Eocation) Eocation) Eocation

$ny campaign is limited by the amount of ad+ertising you can do depending on the sie

of your budget. Therefore it is important that you target your market carefully so as to

maimie ad+ertising spend on effecti+e banner campaigns.

Ri)h Media Advertising/ Eooking for ways to make online ad+ertising more

compelling) and hopefully thereby more acceptable) marketers ha+e increasingly been

turning to streaming ad+ertising.

'n effect another kind of rich media ad+ertising) streaming ad+ertising comes in two basic

forms.

irst) it can either be part of a streaming audio or +ideo program on the web. >ith many

people now listening to web radio or watching web broadcasts) this makes perfect sense.

$fter all) e+eryone is accustomed to getting commercials on their T; or car radio.

The other channel for streaming ad+ertising is essentially an infomercial. onsumers can

download a streaming clip for a product or ser+ice from a marketer5s website.

Two new studies recently released suggest that the streaming ad+ertising market is going

to boom now and in the years to come. The giant ad selling company media turf uses this

method for pro+iding content to ad+ertisers

Con'eren)es/ 9y their nature conferences are organied for special interests. $d+ertising

in conference literature) print and electronic) is an ecellent way to contact target

markets.

(0


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&u-li)it6/ The goal of publicity is to ha+e others talk about the small business or its

products. 't can be inepensi+e or e+en free and it may ha+e the potential to generate far

more in sales than e+en a well eecuted ad+ertising plan.

&romotional &u-li)ations/ acilitate customer education) with the intention of building

corporate image and e+en brand awareness) the small business may sponsor and/or

publish its own electronic magaine on the >eb) e2mail) etc. These are useful in fields

where the customer needs information to de+elop sufficient knowledge for mo+ement

through the first three stages of the sales process of awareness) interest) and desire .

$lthough time consuming) they replace or complement the print +ersions of

newsletters/corporate magaines/flyers.

.u-s)ri;tions/ 9usiness marketers may use their >eb sites to encourage +isitors to

subscribe to recei+e regular email messages from the company. These messages are

called digests or newsletters) and are a cle+er way for marketers to push product news to

willing customers.

Controlled7a))ess #e- ;ages/ le+er business marketers may use their >eb site to

attract new customers. They might publish a >eb page that allows customers to

download a free trial +ersion of a software application that epires after a time if not paid

for. &r) customers might recei+e an e2mail message in+iting them to +isit a pri+ate >eb

page on the company-s intranet) and gi+ing them a password. The company) as a way of

encouraging a sale) offers customers who +isit the page a prie or enticement of some

sort.

&u-li) Forums/ These are often community2based or interest2based sites that allow

+isitors to communicate with one another. $n opportunity for small businesses to reach to

their intended target group +ia these forums is by posting messages or by sponsoring such

a forum. #2mail based forums appeal to a wider audience due to the greater use of this

application o+er >eb2based forums. >eb based forums are ad+antageous for their

superior display of ad+ertising images/messages

(4


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Resellers/


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AD1ERTI.I!% "! TE I!TER!ET/ EMER%I!% I..0E.

Internet might -e a )at)h6 advertising medium( But, there are =uite a 'ew issues

that need to -e sorted out(

$d+ertising on the %et is slowly catching on. 'n de+eloped economies) ad+ertising on the

%et accounts for anything between se+en and 4.0 per cent of the total ad+ertising cake.

ine) how large is online ad+ertising in 'ndiaJ

;arious estimates put the sie of online ad+ertising in 'ndia between "s (, crore and "s

(8 crore) which is much less than one per cent of the total ad+ertising cake. >hy is online

ad+ertising so small in 'ndiaJ >hy aren5t the ad+ertisers putting their money on %et

ad+ertisingJ or instance) @industan Ee+er-s ad+ertising budget is upwards of "s 4==

crore and out of thisH the company spends not more than "s (0 lakh on online ad+ertising.

's this because %et penetration in 'ndia is not deeperJ Les) to an etent.

.low Motion

@owe+er) this might not be the case for long. or) initiati+es are on to increase the

number of 'nternet users. 't is estimated that 'nternet subscribers will increase to around

*0 million by (==7 from the current figure of one million.

%ot only that) a dri+e is on to make 'nternet more affordable. or instance) the "eliance

group is planning to set up 4)7== cyber kiosks in adhya radesh and 9orldTel) in partnership with

the "eliance group) is working at building 1)=== community 'nternet centres in Tamil

%adu.

There is a question here) howe+er. 'f numbers are the only factor) then how that %etad+ertising is has picked up in @ong Fong) which boasts of 1.7 million %et users

compared to some *.0 million in 'ndia.


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&ne such reason is this: there is no official organiation in 'ndia that monitors and

regulates the online ad+ertising industry. $nd there is no mechanism a+ailable for

tracking +iewer ship of ad+ertisements. hile tele+ision has two people meter ser+ices)

Tam A'"9B and 'ntam A&"!2$"!B) there is no possible mechanism to enable

working out optimied schedules on the basis of ad +iewer ship rather than programme

+iewer ship.G

True. &nly such a mechanism can help to track ad +iewer ship patterns much more

accurately and monitor tele+ision ad+ertisements effecti+ely. The +ery reason that ad

+iewer ships in online ad+ertising are not monitored and audited is making quite a few

corporate ad+ertisers go slow in latching on to the 'nternet medium.


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lists can offer profiles of users. 9ut the question is how many sites in 'ndia ha+e a large

base of registered usersJ erhaps "ediff.com has a base of eight lakh registered users and

Nobsahead.com has a base of about 1.0= lakh users.

"!$I!E C"!.TRAI!T.

$s efforts to eliminate wastages in online ad+ertising take offH efforts are also needed to

eliminate the attendant constraints. 'n online ad+ertising) one can stream audio and +ideo

technologies together with faster bandwidths and deli+ery channels in a bid to present the

same idea with the use of sound) music and +isual imagery and make interactions with

the banner possible.

9ut) this is not possible in 'ndia) thanks to the eisting bandwidth problems. @owe+er)

soon bandwidth will cease to be an issue.

Despite the bandwidth constraint) the oco2ola tele+ision commercial is being aired in

Ieenet.com. This initiati+e has been taken by ediaturf and a 9angalore2based software

programmer) who ha+e found a way to use the %et to air commercials with the dial2up

mode and thus o+ercoming the bandwidth constraint. $nyway) with massi+e in+estments

coming in bandwidth) there could be a glut soon.


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ONLINE CONSUMER BEHAVIOUR

%ow to be able to use the se+en -s effecti+ely in order to achie+e the predefined goals of

any organiation it is imperati+e to understand the customers. ustomiation will only be

truly effecti+e if we understand our customers and their true needs. 9efore adapting

marketing practices to the 'nternet) the marketer needs to understand the characteristics of

the online customers. The %et users can be classified into fi+e categories depending upon

their intention of using the 'nternet.

The 'ive )ategories o' users are/

→ Dire)ted In'ormation .eekers/ They require specific) timely and rele+ant

information about the products and ser+ices being offered.

→ 0ndire)ted In'ormation .eekers/ These users require something interesting and

useful. eb as an entertainment medium of +ast

breath and potential and want to eplore the medium before the mass gets there.

→ Dire)ted Bu6ers/ They want to buy something 2 now. They are sure what they

require and just log on to the >eb to purchase the item.

Consumer Behaviour

Consumer -ehaviour is the study of when) why) how) and where people do or do not

buy products. 't blends elements from psychology) sociology) social anthropology and

economics. 't attempts to understand the buyer decision making process) both

indi+idually and in groups. 't studies characteristics of indi+idual consumers such as

demographics and beha+ioural +ariables in an attempt to understand people5s wants. 't

*(

http://en.wikipedia.org/wiki/Product_(business)http://en.wikipedia.org/wiki/Psychologyhttp://en.wikipedia.org/wiki/Sociologyhttp://en.wikipedia.org/wiki/Social_Anthropologyhttp://en.wikipedia.org/wiki/Anthropologyhttp://en.wikipedia.org/wiki/Economicshttp://en.wikipedia.org/wiki/Economicshttp://en.wikipedia.org/wiki/Demographichttp://en.wikipedia.org/wiki/Demographichttp://en.wikipedia.org/wiki/Psychologyhttp://en.wikipedia.org/wiki/Sociologyhttp://en.wikipedia.org/wiki/Social_Anthropologyhttp://en.wikipedia.org/wiki/Anthropologyhttp://en.wikipedia.org/wiki/Economicshttp://en.wikipedia.org/wiki/Demographichttp://en.wikipedia.org/wiki/Product_(business)


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also tries to assess influences on the consumer from groups such as family) friends)

reference groups) and society in general.

ustomer beha+iour study is based on consumer buying beha+iour) with the customer

playing the three distinct roles of user) payer and buyer. "elationship marketing is an

influential asset for customer beha+iour analysis as it has a keen interest in the re2

disco+ery of the true meaning of marketing through the re2affirmation of the importance

of the customer or buyer. $ greater importance is also placed on consumer retention)

customer relationship management) personalisation) customisation and one2to2one

marketing.


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The black bo model considers the buyers response as a result of a conscious) rational

decision process) in which it is assumed that the buyer has recognied the problem.

@owe+er) in reality many decisions are not made in awareness of a determined problem

by the consumer.

Consumer ;ur)hases are in'luen)ed strongl6 -6 'ollowing 'our 'a)tors/

2( Cultural Fa)tor

*( .o)ial Fa)tor

?( &ersonal Fa)tor

@( &s6)hologi)al Fa)tor(

2( Cultural Fa)tor /7

• ultural factor di+ided into three sub factors AiB ulture AiiB


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#ach culture contains smaller sub cultures a group of people with

shared +alue system based on common life eperiences and

situations.


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amily members can strongly influence buyer beha+iour. The

family is the most important consumer buying organiation society

and it has been researched etensi+ely. arketers are interested in

the roles) and influence of the husband) wife and children on the

purchase of different products and ser+ices.

o "oles and


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white2collar workers buy more business suits. $ o. can e+en

specialie in making products needed by a gi+en occupational

group. Thus) computer software companies will design different

products for brand managers) accountants) engineers) lawyers) and

doctors.

o #conomic situation :2

$ person-s economic situation will affect product choice

o Eife


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o oti+e Adri+eB a need that is sufficiently pressing to direct the person to

seek satisfaction of the need

• erception :2

o The process by which people select) &rganie) and interpret information to

form a meaningful picture of the world.

• Eearning:2

o hanges in an indi+iduals beha+iour arising from eperience.

• 9eliefs and attitudes :2

o 9elief is a descripti+e thought that a person holds about something

o $ttitude) a erson-s consistently fa+orable or unfa+orable e+aluations)

feelings) and tendencies towards an object or idea

CRITICA$ .0CCE.. FACT"R. I! E7MARETI!%

@a+ing obser+ed the e+ol+ing paradigms of business in the 'nternet era) there are fi+e

critical success factors that the #2arketer has to keep in mind.

→ Attra)ting the Right Customer is the first crucial step. "ising digital penetration

would mean that the number of customer +isiting particular sites would ine+itably

go up. >hile the number of eyeballs or page +iews has so far been con+eniently

used as a satisfactory measure by most web sites) it would be foolish to cater to

the whole spectrum of digital +isitors. ontent has to be +ery target specific. The

digital company has to select its target segment by finding out which section of

customers are the most profitable in terms of re+enue transactions and who are the

customers who generate the maimum number of referrals. @ere again it is

important to note that the majority of online customers are not seeking the lowest

price. "ather they are seeking con+enience abo+e e+erything else. The power of

customer referrals has ne+er been so enormous) since word of the mouse spreads

*7


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faster than word of the mouth. #29ay attracts more than half of its customers

through referrals. %ot only do referred customers cost less to acquire than those

brought in by ad+ertising or other marketing tools) they also cost less to support

since they use their friends who referred them for ad+ice rather than using the

companies- own technical desk.

→ Delivering Content 1alue to engage the user


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traditional bricks2and2mortar stores lea+e no record of their beha+ior unless they

buy somethingKand e+en then the date might be sketchy. 'n the digital

marketplace) howe+er technology has made the entire shopping eperience a

transparent process. or eample) if the customer eits the web2site when the

price screen appears) he is a price sensiti+e consumer. eb eperience) and gi+ing the customer a sense of

belonging that tra+erses the physical boundaries.

,=


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The Channel .trategies 'or delivering Digital 1alue to )ustomers/

The 'nternet era has shown that companies ha+e risked damaging relationships in their

physical chain to compete in the electronic channel. The ubiquity of the 'nternet the factthat cross2linkages are possible to any degree) has meant that companies ha+e usurped the

role of other +alue pro+iders in the +alue chain to gain competiti+e ad+antage. >hen

companies pirate the +alue chain of the industry they are essentially eliminating layers of

costs that are build into the current distribution system. @owe+er pirating the +alue chain

does not mean that the number of intermediaries in the whole process would necessarily

decrease. The emerging economic structure of #lectronic ommerce would mean that

profits would lie in the intermediate transactions rather than in the final sale of the good.

ompanies would aim at cutting down their traditional margins Agi+e up the cost plus

pricing structureB and aim at high in+entory turno+er. 'n retailing profitability is

primarily.

The )hallenge will lie in managing these multi;le )hannels o'

e;erien)e/

't is likely that most companies will find that they will ha+e to integrate se+eral

distribution channels to pro+ide the customer with a seamless purchase process. The key

challenge is thus to ensure that the personalied nature of the eperience is not much

different across channels. an an 'nternet bookseller allow its customers to eperience

the same ambience on the net as it does in the bookstore or +ice2+ersaJ 'f it cannot then

companies will face friction among the alternati+e distribution channels and the already

established physical channel might complain about its profitability being affected by

digital purchases. This may be typified by friction between +ehicle dealers and thecompany o+er orders trough an auto company-s >eb site. omplementary to the problem

of managing multiple channels of distribution is the de+elopment of infrastructure needed

to support such a distribution network. The billing system and pricing strategies ha+e to

be properly frames and eecuted

,1


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Building Brands "nline

&nline has always taken a back seat to offline in brand building. Let online offers the best

options for building a meaningful brand) options that didn5t eist only a few years ago.

ompanies without a solid digital brand strategy are literally being left behind as leaders

build new digital brands.

"eflecting on the current state of online ad+ertising) the majority of online marketers are

doing a terrible job of building their digital brands. $d+ertisers are fighting tooth and nail

to produce the world5s worst ad+ertising) actually destroying their eisting offline brands

in the digital realm.

'n one industry after another) aggressi+e 'nternet upstarts are putting established brands at

risk) creating +ery strong brand recognition and enjoying eplosi+e +isitor growth. The

reason may ha+e less to do with the established brands themsel+es than with their

managers.

'n one industry after another) aggressi+e 'nternet upstarts are putting established brands at

risk) creating +ery strong brand recognition and enjoying eplosi+e +isitor growth The

reason may ha+e less to do with the established brands themsel+es than with their

managers.

Colla-orative Tools

They facilitate word of mouth) or what might be called Gbranded person2to2person

communicationsGKfor instance) the ratings that buyers offer sellers on e9ay) the Eands-

#nd Gshop with a friendG feature) "aging 9ull-s discussion boards) and ert-s +iral

marketing Awhich encourages consumers to e2mail their friends instructions for obtaining

free ert lus samplesB. ollaborati+e tools such as consumer ratings) though essential for

content2 and community2oriented digital brands) are underutilied.

&ur)hase7;ro)ess .treamlining Tools

They eliminate such physical2world constraints as the need to walk into a store to

purchase a product. $maon-s one2click ordering system) for eample) eases transactions

,(


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by sparing repeat customers the incon+enience of inputting transaction data. eapod-s

shopping lists sa+e consumers time by recording the products they purchased pre+iously.

The fact that most e2shoppers drop out of the buying process during the last clicks

suggests that impro+ements along these lines might be +ery worthwhile.

.el'7servi)e Tools

They allow customers to obtain answers and results without the delays and

inconsistencies that more often than not characterie human efforts to pro+ide assistance.

eb2

based tools with legacy systems) the tools are indispensable for banks) retailers) and other

e2businesses that handle large +olumes of transactions.

Do7it76oursel' ;rodu)t design tools

They allow consumers to customie products and ser+ices) either with the help of

configuration options or from scratch. Dell omputer) for eample) lets customers design

their own systems on2line by choosing from a range of optionsH customers of usic.com

and Eisten.com can download the music of +arious artists onto a single compact disc. 9ut

the need to create manufacture2to2order systems to capture the potential of these tools

may make them uneconomical in industries that) unlike software and music) are not based

on information.

D6nami)7;ri)ing tools

They o+erthrow the tyranny of the fied retail price) allowing prices to fit the particular

circumstances of indi+idual transactions.


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they go on2line to shop) and that) coupled with fear of on2line fraud) is what stops many

consumers from e+en considering digital transactions.

Building Trust

9ringing the si elements of trust to your 'nternet +alue proposition) though) does not

automatically lead to deep) trusting relationships. That comes through a step2by2step

process in which the consumer and marketer echange +alue. #ach time the consumer

+olunteers some personal information) the marketer rewards the consumer with a more

personalied ser+ice. This mutual gi+e2and2take e+entually leads to an ad+anced

collaboration based on trust.

The research has identified four stages of trust building:

Attra)tion

$t the first stage) the consumer browses the site and e+en makes a transaction. %o real

relationship eists between the marketer and the consumer) and none may be warranted.

The best strategy is to pro+ide the consumer with information) without demanding any in

return. $t first blush) this may seem like an imbalance between what marketers gi+e and

what they get back. 9ut what the consumer is gi+ing the marketer is something quite

+aluable: time and attention) along with a +iew of how the site is tra+ersed.

The time and attention translates into the Gmind shareG needed to create a brand

preference. The a+erage consumer on "alston urina-s Dog how >eb site) which offers

no product for sale) spends more than si minutes per session learning how to care for

pets. That-s far more timeKand concentrationKthan consumers de+ote to a *=2second

T; ad.

0ser7Driven &ersonali:ation

$t the second stage) consumers start shaping >eb pages to their specific tastes. or

eample) D2now customers can personalie their home pages with fa+orite artists and

wish lists. The company shows that it is willing to deli+er some +alue to the consumer

,,


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before gaining financially. harles e suggest a gradual approach) as nothing aggra+ates many 'nternet users

more than unsolicited e2mail.

$ best practice is to let the user set the pace of personaliation and contact from

marketers. 3ser2dri+en personaliation should precede marketer2dri+en offers. "ecentresearch by rofessor Loungme oon of the @ar+ard 9usiness


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RE.EARC MET"D"$"%3

'n this chapter we will present how we will conduct our research in order to collect

primary data and reach the objecti+e of the dissertation. >e will also be

discussing which different types of methodologies that were used.

Resear)h design

't is a eploratory research study. >e come up with a questionnaire to understand the on

line consumer beha+ior..


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A!A$3TICA$ T""$./

@ere ' collected case studies of three different companies which can represent my whole

report in the real life scenario. 't gi+es useful insight of my project report.

Do)umentar6 o-servation/

9ooks) annual report) website) published and unpublished materials.

Field o-servation/

' did etensi+e study of +arious blogs) communities and online consumer to obser+e

the online marketing operation performed by the organiation.

,4


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CA&TER I1/ A!A$3.I. "F DATA

>e ha+e the interpretation and analysis f data collected from the questionnaires.

CA.E .T0DIE.

Redi''()om

C*# + ungama

Fa-mart

Case .tud6

Redi''()om

Redi''()om is one of the premier worldwide online pro+iders of news) information)

communication) entertainment and shopping ser+ices for 'ndians.

Fnown for being one of the first with news and pro+iding accurate and trustworthy

information) "ediff.com pro+ides an ideal platform for 'ndians worldwide to connect

with one another online fast. "ediff.com is committed to offering a personalied and a

secure surfing and shopping en+ironment.

"ediff.com additionally offers the 'ndian $merican community one of the oldest and

largest 'ndian weekly newspaper) 'ndia $broad.

ounded in 1886) "ediff.com is headquartered in umbai) 'ndia with offices in %ew

Delhi and %ew Lork) 3


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etensi+e >eb2based community features such as free e2mail) chat) personal home pages

and an 'ndia adapted search engine) and the largest e2commerce platform in 'ndia. They

ha+e designed their >eb2site offerings by keeping the slow access speed a+ailable to

most 'ndian 'nternet users in mind. "ediff belie+es that it has created the online network

of choice for 'ndian 'nternet users) as well as created a highly desirable ad+ertising and e2

commerce platform for ad+ertisers and merchants respecti+ely.

They belie+e that their success to date is attributable to the following key success factors:

2( Fo)us on India + Indians #orldwide/ They ser+e the online needs for 'ndian

'nternet users and people of 'ndian origin worldwide and ha+e de+eloped their product

offerings based on the demands and the requirements of their user base. They ha+e been

in business since 1886) and hence ha+e a large archi+e of 'ndian focused content. "ediff

pro+ides their users with:

9road range of community offerings such as) chat) singles channel and personal

homepages that allows users to interact with other 'ndians with similar interestsH


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*( Com;rehensive online o''ering/ "ediff belie+es that it is Gone2stop2shopG for 'ndian

'nternet users by satisfying all their online requirements. 9y pro+iding them with locally

rele+ant content) community functionality) and ability to shop online) it has been able to

attract and retain users on its site for etended periods. They belie+e that their etensi+e

offerings coupled with their aggressi+e branding program ha+e made them the most

recognied 'nternet brand in 'ndia. To help ad+ertisers reach the "ediff audiences) they

help them build their sites) design their banners and sponsorships and lead them through a

comprehensi+e ser+ice to assist their marketing efforts on the net.

?( $eading e7)ommer)e ;lat'orm/ "ediff has created the "ediff arketplace which

pro+ides 'ndian merchants a guide and effecti+e way to mo+e from being merely

ad+ertisers/sponsors on their site to selling their goods and ser+ices online.

To demonstrate the +alue of this proposition they created a "ediff 9ook


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&R"M"TI"!A$ .TRATE%IE.

"ediff generally belie+es advertising in mass media like Tele+ision) %ewspaper etc.

$part from these general means of ad+ertising it also belie+es in promoting the site

through we- ;romotion. The best e2commerce site in the world is worthless if no one

can find it. 9ut) too often) ecommerce start2ups use shotgun marketing) simply

ad+ertising e+erywhere) to e+eryone) in the hope that a fraction of a percent of those who

see the ads will respond.

ajority of the "ediff customers come through search engines) such as Lahoo) !oogle)

$lta;ista and others.


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The process of setting up and updating a blog is +ery simple. $ll a user needs is a

"ediff.com account. Thereafter a blog can be set up in three simple steps) starting with

entering a subject) choosing a template and making an entry into the blog.

Building Trust

&nline users epect certain things from the ser+ice pro+ider i.e. easy to use and trouble

free procedures like while creating a new "ediffmail account) the information asked by

"ediff to the online user is +ery specific and up to the point. $ccording to them trust is an

ongoing job) at no point can they afford to loose a +aluable customer. &n its website they

ha+e got a "ediff arketplace option wherein a customer can buy the products online.

"ediff has got this system whereby if a customer after shopping is not satisfied with the

product purchased from "ediff) they can return the goods back to "ediff e+en if theyha+e used the product. "ohit ;arma) hief arketing &fficer said that it is these small

things that one has to take into consideration and which can create a sense of trust in the

minds of the customers.

C*# + ungama

The first full2fledged website in the 'ndian market to start broadcasting to cater to this

need was ontest(>in Awww.contest(win.comB) now simply c(w.com) keeping in mind

the impatience le+els of users online. (> edged its way slowly but steadily into the

minds and onto the fingertips of 'ndian users by striking barter deals which in+ol+ed their

3"E A'nternet addressB being mentioned in traditional media in echange for hosting

contests and promotions on their site. >ith enthusiasm that ran deep) but pockets that

didn5t) $lok Fejriwal) #&) did not spend on the traditional ad+ertising and " channels

from the time they went li+e in %o+ember 1887. &n the other hand) @ungama.com took

the other route) li+ing upto its name when it launched in arch 88. &nline ad+ertising)

professional ") and attracti+e promotions in prominent net2sa++y community hangouts

like night clubs and cyber cafes in 9ombay) 9angalore and Delhi all went towards

literally raising a ungama about this new website in almost no time at allM

0(


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The business model of sites like (> and @ungama is simple 2 they belie+e in the

'nternet maim: G)ontent is kingG. $nd they keep that content fresh. &f course) content

for them is not news and features) but contests) promotions and incenti+es rewarding

users for spending time on their sites. $nd there are four steps in+ol+ed in making this

business model pay off for them:

Creating Content

9oth @ungama and (> ha+e aggressi+e teams that interact with +arious brand and

marketing managers to get more brands on their sites) with hundred of big brands like

hilips) @EE) 3D; and has emblaoned its brand 2 their 3"E 2 into the minds of current and potential

members by cross promotion in traditional media like outdoor) print) tele+ision) and e+en

on product packaging. @ungama chose to storm the market and create an identity and

brand through physical contact in the real world where their target audience cannot miss

them. and @ungama

ensure that their +isitors keep coming back. @ungama.com has e+en gone to the etent of

gi+ing away pries e+ery hour) by the hour) with o+er 1== pries being distributed daily

from their officeM

0*


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.elling E6e-alls

Today) (> has a database *0)=== strong Agrowing at *0C per monthB) all with authentic

registration details 2 after all fake details means that your prie may ne+er reach you.

@ungama) though a recent entrant) is fast catching up. $s these numbers grow) these

eyeballs will attract ad+ertisers to the sites) bringing in ad+ertising re+enue) either for

banners or for paid promotions. (> already has 'ntel ad+ertising on their pages) while

the @ungama pages are still banner2free.

The Future

(> has already finalised plans for an $sian reach) and are looking for strategic

partners for the $merican and #uropean market) to become the world5s contest portal 2 a

one2stop site for contests and promotions. GreeG seems to be a four lettered f2word for

%eeraj "oy) #&) and @ungama.com who emphatically states that his site is not a contest

freebie site 2 it is e2promotions sites that will continue helping brands get their message to

online customers through incenti+es. >hate+er tag you put on them 2 be it freebies)

incenti+es) contests) promotions) or brand2building eercises in cyberspace) there are

more eyeballs being attracted) and slowly but steadily) more brands being attracted by

these eyeballs.

Fa-mart

abmart is one e2tailer) which keeps hitting the headlines often) as much for its new

initiati+es) as well as for reports that say that "upert urdoch and Dhirubhai $mbani

ha+e looked at equity stakes in the e2tailer.


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F0$FI$$ME!T &R"CE..

't-s easy to lose an online customer. or him to prefer an online store to a neighborhood

shop would ha+e been a difficult decision in+ol+ing a fundamental beha+ioral change.

$nd the e2tailer just cannot disappoint the customer in ser+ice or deli+ery. 'n fact)

abmart is to shortly introduce an online call center Ali+e chatB where a customer can get

instant feedback on his/her queries. abmart-s fulfillment process can be broadly

classified into:

" e l i # e r $

% r d e r & o n ' o l i d a t i o n

( o u r ) i n g

Fa-mart C Ful'illment &ro)ess


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items) with a small note stating the reason for dissatisfaction) and abmart bears all

shipping epenses.

The &a6ment Me)hanism

The "etailer has put in place two kinds of security mechanisms R one for debit/credit card

transactions and the other for confidentiality of personal details. abmart and itibank

launched what they thought as the world


57/72

achie+e a mi in customer demographic profile R with both impulsi+e and need2based

consumers. abmart would also need to gear up for competition from players such as

>ith a customer base of o+er (0)===) abmart hopes not too many will switch loyalties.

The e2tailer hopes to consolidate further in the time that competitors will take to adapt to

the dynamics of the %et business.


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GRAPHICAL DATA INTERPRETATIONS

Illustration 7 I

@ow frequently the consumers use the internetJ

Daily; 24%

Frequently; 37%

occasionaly; 39%

Inter;retation

rom the chart it is clear that *8C respondents use internet occasionally.(,C of

respondents use internet daily. finally *4C of respondents use internet frequently.

Anal6sis

*8CU0=S18.0V18 respondents use internet occasionally.

(,CU0=S1( respondents use internet daily.

*4CU0=S17.0V17 respondents use internet frequently.

07


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Illustration 7*

or which purpose consumers use the internet.

Personal; 49%Professional; 51%

Column1

Illustration

01C of respondents use internet for professional use and ,8C of consumer use for

personal use.

Anal6sis

01CU0=S(0.0V(0 respondents use for professional purpose.

,8CU0=S(,.0V(, respondents use for personal use.

08


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Illustration7?

>hat among these websites the consumers +isit the mostJ

Redi.co; 4!%

c2"#$unaa; 3!%

Fa&art; 3!%

Illustration

*=C of respondents are in fa+our of abmart)while ,=C suggested "ediff.com and *=C

for (>?@ungama.

Anal6sis

*=C =f 0=S10 respondents for abmart) ,=C of 0=S(= respondents go in fa+or of"ediff.com)while *=Cof0= 210 in fa+or of (>?@ungama.

6=


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Illustration7@

>hich website is most user2friendlyJ

Redi.co; 4!%

c2'#$unaa; 3!%

Fa&art; 3!%

Illustration

*(C customer considers that abmart is userfriendly) and ,(C customer considers that"ediff.com is user friendly) and (6C customer considers that (>?@ungama is user2

friendly.

Anal6sis

*(CU0=S16 respondent go for abmart) and ,(CU0=S(1 respondent go for "ediff.com)

and (6CU0=S1* respondent go for (>?@ungama.

61


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Illustration

>hich web site pro+ide speedy transactionJ

Fa&art; 3!%

c2'#$unaa; 3!%

Redi.co; 4!%

Illustration

,=C respondents suggest that "ediff.com pro+ide speedy transactions)while *=C each

for abmart and (>?@ungama respecti+ely.

Anal6sis7

,=Cof 0=S(= respondents for "ediff.com.

*=Cof 0=S10 respondents for(>?@ungama.

*=C=f 0=S10 respondents for abmart.

6(


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Illustration

>hat is satisfaction le+el of "ediff.comJ

()cellent *ery +ood +ood ,atisfactory Poor!%

5%

1!%

15%

2!%

25%

3!%

35%

Inter;retation7

*0C rate it ecellent)(0C rate it +erygood)(=C rate it good)10 C rate it satisfactory and0C rate it poor.

Anal6sis7

*0 C of 0=S 14.0V14 respondents for ecellent) (0C of 0= i.e. 1(.0V1( for +erygood)(=C of 0= i.e.1= for good)10Cof 0= S4.0V4 for satisfactory)0Cof 0=S(.0V( for

poor category.

Illustration 8

6*


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>hat is the satisfaction le+el of abmartJ

()cellent *ery +ood +ood ,atisfactory Poor!%

5%

1!%

15%

2!%

25%

3!%

Illustration7

(=C rate it ecellent.(0Crate it +erygood)10C rate it good)*=C rate it satisfactory)1=C

rate it poor.

Anal6sis7

(=Cof 0=S1= respondents)10Cof 0=S4.0V4respondents)*=Cof 0=S10 respondents)1=Cof 0=S0 respondents)(0Cof 0=S1(.0 V1( respondents.

6,


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Illustration G

>hat is the satisfaction le+el of (>?@ungamaJ

e)cellent -ery ood ood satisfactory oor!%

5%

1!%

15%

2!%

25%

3!%

35%

4!%

45%

Illustration

10C of respondents rate it ecellent ) ,=C rate it ;ery good ) (=C rate it good ) 1=C rate

it satisfactory ) while 10C rate it poor.

Anal6sis

10CU0=S4.0V4 respondents for ecellence.,=CU0=S(= respondents for +ery good.

(=CU0=S1= respondents for good.

1=CU0=S0 respondents for satisfactory.10CU0=S4.0V4 respondents for poor.

60


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.0%%E.TI"!. + RECC"ME!DATI"!.

REC"MME!DATI"!.

The 'ollowing are a 'ew things an internet marketer )an do to maimi:e the;otential o' his we-site/ 7

→ Domain Fault Re;air R This function directs the web +isitor to the right site after

she/he potentially may ha+e typed in the wrong 'nternet address.

→ .ite Customi:ation/ 2 &ne of the web2based " most important ad+antages is the

+olume of information a+ailable to the browsing customer. 3nfortunately) the sheer

+olume of information can be one of the weaknesses of web2based " design.


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→ Chat R $ main ad+antage of the 'nternet is its self2generating ad+antage. 9y allowing

+isitors to interact with each other and with the site) they create content for the site.

$ll this will help build a relationship with the customer and it will ultimately help the

marketer to achie+e his objecti+es.

'nternet has opened up new a+enues for reaching the consumer. 't is true that there

is ne+er a fied way or strategy that a marketer can use to market its products and

ser+ices on the internet but it is still +ery much an arena where creati+e thinking can take

the company reach new heights. Thus we can say that marketing has not changed its

shape. 't is the same) unpredictable) unusual and creati+e field that needs constant change

and open inputs that can work wonders for the company.

64


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ADVANTAGES OF INTERNET MARKETING

'nternet arketing is a hot topic especially in these days of instant results. The reason

why i2marketing has become so popular is because they pro+ide three major benefits to

potential buyers:

2( Convenien)e/ ustomers can order products (, hours a day where+er they are.

They don-t ha+e to sit in traffic) and a parking space) and walk through countless

shops to find and eamine goods.

*( In'ormation/ ustomers can find reams of comparati+e information about

companies) products) competitors) and prices without lea+ing their office or home.

?( Fewer hassles/ ustomers don-t ha+e to face salespeople or open themsel+es up

to persuasion and emotional factorsH they also don-t ha+e to wait in line.

Internet Marketing also ;rovides a num-er o' -ene'its to marketers/

2( 4ui)k adHustments to market )onditions/ ompanies can quickly add products

to their offering and change prices and descriptions.

*( $ower )osts/ &n2line marketers a+oid the epense of maintaining a store and the

costs of rent) insurance) and utilities. They can produce digital catalogs for much

less than the cost of printing and mailing paper catalogs.?( Relationshi; -uilding/ &n2line marketers can dialogue with consumers and learn

from them.

@( Audien)e si:ing/ arketers can learn how many people +isited their on2line site

and how many stopped at particular places on the site. This information can help

impro+e offers and ads.

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C"!C$0.I"!

't is concluded that the marketers are adding on2line channels to find) reach)

communicate) and sell. '2marketing has at least fi+e great ad+antages. irst) both small

and large firms can afford it. eb to gain competiti+e

ad+antage.

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/0/0+RP$

B"".• arketing anagement R hilip Fotler

• &nline arketing 2 $ ustomer Eead $pproach 2 9y. "ichard !ay / E.%. harlesworth

? "ita #sen.

• The &nline ustomers: %ew Data ining and arketing $pproaches 2 9y Linghui Lang.

• arketing "esearch 2 9y .". Fothari) ;ikas ublications.

#EB.ITE.

• www.consumerbeha+iour2online.com

• www.onlineconsumers.com

• www.web2onlineconsumers.org

• www.domain2b.com

• www.rediff.com

• www.hungama.com

• www.fabmart.com

• www.ticworks.com.

• www.yahoo.com

• www.alta+ista.com

• www.kuldeeponline.com

• www.google.com

• www.sur+eys.com

4=

http://www.domain-b.com/http://www.rediff.com/http://www.hungama.com/http://www.fabmart.com/http://www.ticworks.com/http://www.ticworks.com/http://www.domain-b.com/http://www.rediff.com/http://www.hungama.com/http://www.fabmart.com/http://www.ticworks.com/


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40E.TI"!!AIRE

2( @ow frequently you use the internetJ

$. Daily

9. requently

. &ccasionally

*( or which purpose you use internet moreJ

$. ersonal use

9. &fficial purpose

?( >hich among these websites do you +isit the most for online transactionsJ

$. "ediff.com

9. (>?@ungama

. abmart

@( >hich website is most user friendlyJ

$. "ediff.com

9. (>?@ungama

. abmart

( >hich website pro+ides speedy transactionsJ

$. "ediff.com

9. (>?@ungama

. abmart

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( @ow do you rate the "ediff.com as far as satisfaction is concernedJ

$. #cellent

9. ;ery good. !ood

D. ?@ungama as far as satisfaction is concernedJ

$. #cellent

9. ;ery good

. !oodD.

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