Chapter-5

Recent Trends in Marketing

Overview of E-business
E-business derived from such terms as
"e-mail" and "e-commerce," is the
conduct of business on the Internet, not
only buying and selling but also servicing
customers and collaborating(work jointly)
with business partners.
Today, major corporations are rethinking
their businesses in terms of the Internet
and its new culture and capabilities.

Overview of E-business
E-Business is an electronic subset of
standard business practices.
Applications e-business include using
both the Internet or company
Intranet for internal business
operations, as well as enterprise
communication and collaboration.

What is E-Business
eBusiness is using technology to
improve your business processes.
This includes managing internal
processes such as human resources,
financial and administration systems,
as well as external processes such as
sales and marketing, supply of goods
and services, and customer
relationships.

Contd
The way in which you manage your business
relationships has not changed, but the way
they are referred to when using eBusiness
tools has. They are becoming more often
known as:
business to business (B2B)
business to consumer (B2C) (also known as
e-commerce)
Customer to Business (C2B)
Customer to Customer (C2C).

E-business & E-Commerce

E-business is broader than e-commerce;
including the transaction based e-commerce
businesses and those who run traditionally but
cater to online activities as well.
An e-business can run any portion of its internal
processes online, including inventory
management, risk management, finance,
human resources.
For a business to be e-commerce and ebusiness, it must both sell products online and
handle other company activities or additional
sales offline.

E-commerce
Conducting business online. Selling
goods, in the traditional sense, is
possible to do electronically because
of certain software programs that run
the main functions of an e-commerce
Web site, including product display,
online ordering, and inventory
management. The software resides
on a commerce server and works in
conjunction with online payment

E-Business Model
The e-Business model, like any
business model, describes how a
company functions; how it provides a
product or service, how it generates
revenue, and how it will create and
adapt to new markets and
technologies.

Types of E-business model

B2C refers to 'Business-to-Consumer'.
The B2C Model of E-business is a
model in which businesses sell directly
to the customer. The transaction is
conducted over the internet.
B2C models generate revenue from
direct sales and processing fees. B2C
also is known as electronic retail.

B2B model
B2B businesses generate revenue
from direct sales
B2B, model involves companies
using the Internet to conduct
transactions with one other.

C2B
Consumer to business model, is where
the consumers create the value through
suggestion or feedback.
The business then utilizes this
information to influence products or
services so that the business may
market to the consumers specific needs.
In this model consumers creates the
value and demand to the product

C2C Model
C2C e-commerce is the online buying
and selling of goods and services
from one consumer to another. An
example would be selling off your
own used mobile, vehicle and others
through eBay. Olex.com

Overview Telemarketing
Telemarketing works by creating a
script and placing sales calls to
customers that you already have or
making cold calls to a list of
consumers
purchased
from
a
compiling company.
Ex:- hai we are calling from airtel /
Vodafone bla bla bla

Telemarketing
Telemarketing is a form of marketing
where the telephone is used as a
medium for sales and promotion.
Telemarketing is marketing using the
telephone. A salesperson uses the
telephone to convince a customer to
buy a product or service by providing
complete details and information.

Types of telemarketing
The telemarketing is basically
categorized into two different types
which are the
Business-to-consumer telemarketing
and
The Business to-Business
telemarketing.

Outbound
The most importantly used subcategories
of telemarketing today are the Outbound
and theinbound telemarketing.
Outbound is the proactive marketing in
which the customers either who exist
already or the prospective ones are all
contacted directly for the purpose of the
marketing
Business 2 Customer

O
U
T
B
O
U
N
D

Inbound telemarketing
The Inbound telemarketing includes
the reaction and reception of the
orders and also information coming
in so as to explain the customer
about the product and give detailed
information on which they are
interested.
Customer 2 Business

I
N
B
O
U
N
D

How does it work ?

Call Center Base

Telemarketing takes place in either a call
center or from a home office.
Most telemarketers work out of a call
center. Each telemarketer is given a
compartment and a phone. When a
telemarketer calls you, you can often hear
the other telemarketers in the
background. Because of the noise some
companies opt to have their employees
make calls out of their home office.

Phone Numbers

Telemarketers are given phone

numbers of prospects to call. These
phone numbers are either received in
response to some type of survey,
bought from another company, or
found in your every day phone book

Sales

The main reason for telemarketing is

to sell some type of product or
service. Sometimes it is to get more
information about your customer
buying habits.

Charities

Charities and some political parties

also participate in telemarketing.
They are calling the general public to
seek donations to their programs.

Benefits Of Using Telemarketing

The main benefit of using
telemarketing topromote your
businessis that it allows you to
immediately judge your customer's
level of interest in your product or
service. Additionally it allows you to do
the following.
Provide a more interactive and personal
sale service
Explain technical issues more clearly

Contd
Generate leadsand appointments
Reach more customers than with inperson sales calls
Sell to both existing and new customers
Achieve results that are measurable.
Get more leads from existing customer

Advantages
Telemarketing provides the immediate
feedback & valuable information that
can be quickly analyzed.
It is the only form of advertising that
requires an immediate response. You
can also advertise special offers and
discounts to the customers.
Telemarketing provides you with endless
opportunities to increase your business
view.

Disadvantages
Customer lists may not always be
clean and opted-out.
Customer lists can be very costly
Telemarketing has a negative image
that could damage your business'
reputation - if carried out poorly
Training staff can be time-consuming
and costly
you may need to prepare a script.

Mobile Marketing

Mobile Marketing
The popularity of mobile phones has
spread through all walks of life.
Millions of text messages are sent
every day using mobile phones.
Mobile marketing is an innovative
approach to increase returns at low
cost to the organization and can also
help enhance and differentiate its
brand.

Contd.
It is highly personalized, interactive
and has an immediate impact
Organization can fully connect the
power of SMS communications to tap
potential customers.
SMS refers to Short Message
Service and involves the delivery of
text message to mobile handsets.

Marketing Massages
As a starting point, there are three
key goals that all marketing should
strive to achieve
Generation of new clients in new
markets
Generation of more business from
existing clients and
Improvement in profit margins.

Contd
The marketing message that the
company delivers will be determined
by the goal in mind .
Example the way in which one
communicates with new clients is
very different from that of the
existing customer.

Contd..
Before designing an advertising or
marketing campaign using SMS we
need to consider.
I. Who is the message addressed
II. What response is required
III. What is the message

Content is critical

Here it doesnt matter weather the

company is delivering a full
multimedia boardroom presentation,
a newspaper commercial or an SMS.
If the message of the company is not
clear, goal will not be successful.

Using SMS to Advertise

If the company has a new product,
service, offer, announcement, etc, it
can effectively target its customers
by sending them a SMS.
There are also SMS marketing
companies(Consultancy) available
that will set up a SMS marketing
campaign for the company.

Why use SMS for marketing

campaigns
With over 1 billion mobiles in the
world and more than a million text
messages exchanges every day it is
not surprising that marketers are
attracted to the possibility of being
able to reach consumers when and
where they want.

Benefits
24/7- targeted message can be sent
to individuals at relevant times of the
day, to maximize the effectiveness of
the campaign.
Reach- it can reach millions of
people and can provide personalized
service to the customer.

Contd..
Tactical- potential customer can be
tapped by delivering timely offers.
Well designed message would
certainly calls customers to act.
Speed- SMS reaches many targeted
customers quickly. Last minute offers
can easily be made available to
prospective customer.

Green Marketing

Green marketing refers to the

process of selling products and
services based on their
environmental benefits. Such a
product or service may be
environmentally friendly in itself or
produced and/or packaged in an

What is Green Marketing

According to AMA
Green marketing is the marketing of
products / services that are
presumed to be environmentally
safe.

Contd
Today's consumers are becoming
more and more conscious about the
environment and are also becoming
socially responsible. Therefore more
companies are responsible to
consumers aspiration for
environmentally less damaging or
neutral products.

Mobile Marketing Tools

Relationship Marketing
According to Philip Kotler,
Relationship marketing is the process
of building long term, trusting, and
win-win relationship with customers,
distributors, dealers and suppliers.
Relationship marketing promises and
delivers high quality, efficient
services and fair prices to the other
party.

Objectives of RM
There are essentially four goals to be
achieved in relationship marketing.
i) Acquiring /Getting customer
ii) Satisfying customers
iii) Retaining customers
iv) Enhancing customers

Enhancing Customers
Companies should strive for promoting
relationship beyond the line of transaction.
They have to carefully promote each party from
the stage of prospect to buyer,
Customer to client
Client to supporter
Supporter to advocate
Advocate to partner in the hierarchy of the
relationships.
By enhancing the relationship the customers will
become more loyal to the company and feel
that its his own company.

Methods for RM

Customer Satisfaction
Building trust and loyalty
Adding value to a relationship
Creating barriers to exit.

Retailing includes
all activities involved in selling, renting,
and providing goods and services to
ultimate customers for personal, family or
household use.
In the channel of distribution, retailing is
where the customer meets the product. It
is through retailing that exchange occurs.

Retailer
One who sells goods or commodities
directly to consumers. These items are
purchased from the manufacturer or
wholesaler and sold to the end user at a
marked up price.

Example:Wal-Mart is a well-known large chain retailer.

Another example of a retailer would be the
small family-operated pharmacy on the
corner.

RETAILING
According to Kotler: Retailing
includes all the activities involved in
selling goods or services to the final
consumers for personal, non
business use It is responsible for
matching individual demands of the
consumer with supplies of all the
manufacturers.

RETAIL MANAGEMENT
The various processes which help the
customers to procure the desired
merchandise from the retail stores
for their end use refer to retail
management.
Retail management includes all the
steps required to bring the customers
into the store and fulfil their buying
needs.

WHY RETAIL
MANAGEMENT ?
Retail management saves time and
ensures the customers easily locate
their desired merchandise and return
home satisfied. An effective
management avoids unnecessary
chaos at the store.

Characteristics
The followings are some of the essential
characteristics of a retailer:

He is regarded as the last link in the

chain of distribution.
He purchases goods in large quantities
from the wholesaler and sell in small
quantity to the consumer.
He deals in general products or a variety
of merchandise.
He develops personal contact with the
consumer.

Contd
He aims at providing maximum
satisfaction to the consumer.
He has a limited sphere in the
market.

 Retailers perform a
number of functions.

Functions of Retailer

Buying and Assembling:

Warehousing and storing:
Selling:
Assumption of Risk:
Grading and Packing:
Financing:
Supply of Market Information:
Advertising:

 The retailer buys a variety of

products from the wholesaler or a
number of wholesalers. He thus
performs two functions like buying of
goods and assembling of goods.
The retailer performs storing function
by stocking the goods for a
consumer.
He bears the risks in connection with
Physical Spoilage of goods and fall in
price. Besides he bears risks on
account of fire, theft, deterioration in

Contd
He resorts to standardization and
grading of goods in such a way that
these are accepted by the
customers.
He makes arrangement for delivery
of goods and supply valuable market
information to both wholesaler and
the consumer.
He develops personal contact with
the consumers and gives them goods

Marketing Concept
A marketing concept is a business philosophy
that helps to outline a company's goals that
focuses on the needs of a consumer. This
includes desires, needs, whether communicated
or inferred, and level of satisfaction.
(Or)
Management philosophyaccording to which a
firm'sgoalscan be best achieved through
identification andsatisfactionof thecustomers'
stated and unstatedneeds and wants.

Virtual marketing concept

Virtual marketing is advertising via
the internet (websites, programs,
emails, etc) vs. other forms of
advertising such as radio, TV, print,
etc. Virtual marketing is less
expensive, and you can reach a great
number of people.

Virtual Marketing Concepts Offers These Services:

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Internet Marketing & SEO

Virtual Marketing Concepts is also
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Search Engine Optimization

strategies focus on your businesses
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