This assignment analyzes Primark's online marketing strategy. It explores how Primark utilizes the internet to reach customers, emphasizing aspects like search engine optimization (SEO), online advertising through platforms like Google Ads, and strategies to engage customers throughout their buying journey.
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INTRODUCTION Internet marketing, or online marketing, refers to advertising and marketing efforts that use theWebandemailto drive direct sales viaelectronic commerce, in addition to sales leads fromWeb sitesor emails. Internet marketing and online advertising efforts are typically used in conjunction with traditional types of advertising such as radio, television, newspapers and magazines. Internet marketing can also be broken down into more specialized areas such as Web marketing, email marketing andsocial mediamarketing. Regardless of the size, majority of businesses nowadays are practising Internet marketing. That’s because it is the most inexpensive way for them to reach millions of their target market. TASK 1 P1. Role internet marketing has within a modern marketing context. The marketing mix: In previous units you will have studies the 4Ps of the marketing mix (product, price, place and promotion). When engaged with online marketing we refer to the 7Ps of the marketing mix. This includes the three extra P's (People, processes and physicalevidence). People: People are at the centre of the service being delivered. Customers satisfaction is dependentonhowthepeopleinanorganisationdealwiththem. Processes: When a customer uses a service, they may have to take part in various activities. It is important to consider these processes from a customers standpoint and establish how efficient and user friendly they are. Physical evidence: This is the tangible evidence that a customer will use to judge whether a service is what they want. Focus on promotion:P2 is mainly concerned with promotion so you can ignore the other P's for the time being. Remember, when it comes to promotion marketing professionals have to consider ways of bringing products to the attention of potential customers as well as reminding existing and past customers of the benefits of the products from their brand. This includes advertising on various mass media, as well as other ways of promoting products in the eyes of the consumer, such as special offers. These activities in the 'physical world' are designed to push products and services out towards the eyes and ears of potential customers. When researching online promotional activities by various fast food businesses, consider the 1
purpose. For example is this piece of promotion designed to; penetrate a new market introduce a new product increase market share; develop a new product; etc. Be clear to state this in your annotations. P2. Primark organisations use internet marketing. Relationship marketing: It is far more expensive to acquire new customers than it is to keep existing ones. For this reason businesses work hard to establish long-tern relationships with their customers. The means retaining customers, it is impossible to build a relationship with a customer that does not return to your business. In a bricks and mortal store, shop workers are used to create the relationship between the business and the customers. With online businesses other methods must be used in place of staff to generate trust that a business will meet their needs, if this can be achieved customers are likely to remain loyal. Web accounts: By giving a customer their own log-in and areas of the website a business is able to allow the customer to customise the webpage they see to suit their wants and needs. For example by creating an account. Manipulating web pages: Companies can change what a customer sees on a web page to best meet their demands. This can be done through a log in such as with www.amazon.com where recommendations are made based on purchase history. Alternatively it can be done by remembering the history of your IP address, for example the search results given by www.google.com will be affected by the pages you have click on in the past. Feedback areas: Another technique is to monitor and analyse feedback from customers. This can be achieved by creating a 'feedback' or 'contact us' section of the website. This helps a business to relate closely with customers. User generated blogs: by created areas of the website where customers can discuses their past and future purchases freely, businesses give the customer confidence in their products and service by being transparent and showing they have nothing to hide. It also enables customers to take the role of sales person by guiding each other to the most suitable purchase. 1
TASK 2 P3. Benefits tocustomers of a businessusing internet marketing. Theinternethaschangedcustomershoppinghabitsandwithrapidtechnological developments accessing the internet has become easier than ever. People can access the internet whenever and wherever they like. Why do people like using the internet? Listed below are some of the benefits of the internet for the customer. Customers Stay Updated: The internet has changed customer shopping habits and with rapid technological developments accessing the internet has become easier than ever. People can access the internet whenever and wherever they like. Why do people like using the internet? Listed below are some of the benefits of the internet for the customer. Instant Comparisons- Customers Can Compare Prices and Features. One of the greatest advantages for the customer is that they can compare products or services they wish to purchase from the comfort of their own homes. Instead of having to visit a number of different retail outlets, the user simply has to open different internet window tabs to compare prices or features of the product/service they wish to purchase. Many retailing websites offer the facility where different products they sell can now be easily compared. There is also price comparison websites that customers can use to get the best possible price for their products. Clear Product Information For The Customer :Websites offer clear and consistent product information to all internet users. There is little chance of misinterpretation or mishearing what the sales person said as in a retail store. The internet has comprehensive product information whereas in a shop the customer is reliant in the knowledge of their sales advisor. Transparent Pricing Available 24/7:The price of products can be easy for the consumer to find out ; customers can access pricing information from a range of sellers with a few internet clicks. Customers can take advantages of pricing that may change regularly or take advantages of special offers that last for a limited period as they can access pricing information 24 hours a day/7 days a week. Whereas prices for products offered for sale in retail premises can only be accessed whilst the store (or when store telephone lines are) open. 1
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TASK 3 P4. Opportunities to the business of using internet using marketing mix. Reach:By marketing on the Internet, you can overcome barriers of distance. You can sell goods in any part of the country without setting up local outlets, widening your target market. You can also build an export business without opening a network of distributors in different countries. However, if you want to sell internationally, you should use localization services to ensure that your products are suitable for local markets and comply with local business regulations. Localization services include translation and product modification to reflect local market differences. Personalization:Internet marketing enables you to personalize offers to customers by building a profile of their purchasing history and preferences. By tracking the web pages and product information that prospects visit, you can make targeted offers that reflect their interests. The information available from tracking website visits also provides data for planning cross-selling campaignssothatyoucanincreasethevalueofsalesbycustomer. Relationships:The Internet provides an important platform for building relationships with customers and increasing customer retention levels. When a customer has purchased a product from your online store, you can begin the relationship by sending a follow-up email to confirm the transaction and thank the customer. Emailing customers regularly with special, personalized offers helps to maintain the relationship. You can also invite customers to submit product reviewsonyourwebsite,helpingtobuildasenseofcommunity. Social:Internet marketing enables you to take advantage of the growing importance of social media. An article on the Harvard Business School Executive Education website highlighted the link between social networking and online revenue growth. According to the article, a group of consumers that responded most strongly to the influence of social networks generated increased sales of around 5 percent. You can take advantage of this type of influence by incorporating social networking tools in your Internet marketing campaigns. P5. Internet marketing has made a selected business more efficient, effective and successful. Internet marketing has offered Primark more efficiency, effectiveness and successfulness as with internet marketing supply chain efficiencies have been offered as buying and selling has become more smoother, faster and can substantially save on costs and get their product to the markets more quickly. 1
Internet Marketing has allowed Primark to procure online with this they can purchase the materials instantly making the process of their production of finished goods quicker which offers them the efficiency of time saving. Also internet marketing has offered Primark customer power as they have a wide range of choice in buying materials which has made them efficient in cost saving as they can procure form cheaper suppliers and be in contact with new suppliers which they wouldn’t have reached offline. These efficiencies have made Primark effective as they know produce goods quicker and effectively sell them online for private customers to buy. Also with internet marketing Primark more successful as they gain immediate cash sales before delivering the product so no credit is delivered whereas with internet and online choice they can be given credit from their suppliers making them effective in improving cash flow. Price is another efficiency provided by internet marketing for Primark as with internet marketing Primark are able to have more choice in price as the internet will have a variety of suppliers which Primark wouldn’t have been able to reach to offline. Procuring online has given Primark disintermediation which has helped them reduce cost, this gives them effectiveness in buying as online processes are much faster and suppliers would be able to deal with Primark quicker and therefore makes their selling successful; as they are able to make a lager profit margin due to them buying cheaper through online and choice of price and they are still selling at their normal base rate. P6. Challenges of globalisation business when using the internet as a marketing tool. Primarkhave promotion efficiencies through social media as they have pages on social networking sites with thousands of followers and likers, also thousands of people are talking about specific product as indicated on the screenshot which provide them efficiency in customer feedback, customer forums and reviews for other customers anticipating them to use the business and products. Social media can also be effective for web analytics as it shows how many people would be viewing which products and where their interests are, this web analytics help Primark succeed as they can improve and extended products to match customer’s feedback and increase sales. 1
Also with online search engines, this would be efficient as domains such as Google charge per click and this is 0.0000001 pence per click which is a very little amount and they charge only if a customer clicks on the website through their domain so it’s efficient as it charges only if people use them. This is effective as a most common domain is Google and using them for search engine optimisation would be effective as millions of people would come across Primark website from this promotion. This makes Primark successful as they pay for people entering their site and Google being a recognised search engine would mean more customer turnover in the business and more visits. CONCLUSION From the above report it has been analysed thatIt also combines the technical and creative aspects of the World Wide Web such as advertising, designing, development and sales. Moreover, Internet Marketing also deals with creating and placing ads throughout the various stages of customer engagement cycle. 1
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