Internet Marketing: Role, Benefits, and Challenges for Amazon

This report delves into the multifaceted world of internet marketing, examining its role in modern business, with a specific focus on Amazon. The report begins by defining internet marketing and its significance in the current marketing landscape, emphasizing its importance in consumer buying decisions and cost-effectiveness. It then explores how organizations utilize internet marketing, highlighting relationship building, market reach expansion, and the advantages of testing and tracking marketing efforts. The report further details the benefits of internet marketing for customers, including easy price comparisons, access to comprehensive product information, and 24/7 availability. It also examines the impact of internet marketing on the marketing mix (product, price, place, and promotion), and how it enhances business efficiency, effectiveness, and overall success. Finally, the report addresses the challenges of globalization faced by businesses using internet marketing, particularly concerning security and cultural differences.

INTERNET
MARKETING

Table of Contents
Introduction ..........................................................................................................................................3
Task 1.....................................................................................................................................................3
P1 Describe the role internet marketing has within a modern marketing context...........................3
P2 Describe how selected organisations use internet marketing.....................................................4
Task 2.....................................................................................................................................................5
P3 Explain the benefits to customers of a business using internet marketing..................................5
Task 3.....................................................................................................................................................6
P4 The benefits a to the business of using internet marketing with in the marketing mix...............6
Price: The internet can influence the price mix of marketing strategy through the following:. . .6
P5 Internet marketing has made a selected business more efficient, effective and successful........7
Task 4.....................................................................................................................................................7
P6 Challenges of globalization facing by business organization .......................................................7
Conclusion ............................................................................................................................................8
REFERENCES..........................................................................................................................................9

Introduction
Internet Marketing in its simplest terms refers to the marketing and selling of goods
and services using the Internet as the sales and distribution medium. What started as a cottage
industry in the early nineties has mushroomed into a global multibillion-dollar industry that
has been embraced by industrial giants such as Microsoft and General Electric (Alshare, Lane
and Miller, 2011). The Internet has reduced the world into a global village, has made
distance irrelevant and time zones little more than an inconvenience. Businesses in the remote
parts of India can easily service clients in the bright cities of America, while goods produced
in China are sold to consumers in all parts of the world. This report based on Amezon.com
which is online retail company and provide B2B and B2C business in an effective manner.
Task 1
P1 Describe the role internet marketing has within a modern marketing context.
Consumers are increasingly turning to the Internet for their buying decisions. This makes
Internet marketing more important than ever before. According to studies, to carry out
preliminary price and product research, consumers are turning to research on mobile
Internet and social mediabefore making their final purchasing decisions.
Inexpensive: Marketing products through a physical retail outlet is much more expensive
than marketing them on the Internet. The recurring costs of property maintenance and rental
are not relevant to Internet marketing. Plus, for display in the store, you do not need to fill
your shelves and windows with stock (Bovee, 2010). Consequently, you can keep you
inventory costs low by ordering stock in line with demand, instead of ordering it in
anticipation of demand.
Convenient Store Hours: Without having to worry about overtime payments to workers or
opening hours, Internet marketing gives you the freedom to keep your enterprise open 24
hours a day, seven days a week. Clients will also find it incredibly convenient to shop for
your services and products on the Internet on their own schedule. When it is convenient for
them, they can browse your ecommerce store at any time of day and place orders.
Provides a Customized Advertising Approach: By building a profile of your customers’
preferences and buying history, Internet marketing enables you to personalize offers for them.
You can make targeted offers that are a true reflection of their interests by tracking the
product information and webpages that potential customers visit. Also, to help you increase

the value of sales by consumers, you can get data for planning cross selling campaigns with
the information available from tracking webpage visits.
Advantage of Social Media: Social media is growing in importance every day. Internet
marketing allows you to leverage this. The link between online revenue growth and social
networking was highlighted in a recent study by the Harvard Business School’s Executive
Education area (Cardon, 2010).
P2 Describe how selected organisations use internet marketing.
Really Build Relationship: When it comes to increasing client retention levels and building
relationships with consumers, the Internet is a crucial platform. By sending a follow up email
to thank the consumer and confirm a transaction, you can start the relationship out on the
right foot when they make a purchase from your online store. Cited firm can help to maintain
the relationship and provide a personal touch by emailing clients regularly with special offers
that are customized for them. You can also help build a sense of community on your website
by inviting these customers to submit product reviews for the items they bought.
Reach More People: Company can overcome all barriers of distance by using marketing on
the Internet. Without setting up local stores, you can sell products in any part of the nation, or
even beyond. This widens your target market significantly. Plus, without opening a network
of distributors in various countries, you can build an export company (Conrad and Newberry,
2012). To make certain your products and services comply with local business regulations
and are suitable for the local markets, you should enlist the help of localization services if
you plan on selling internationally or even in some remote locales nationally. Localization
services include product modifications to reflect local market differences and translation
services.
Testing and Tracking: Advertising in the offline world is notorious for being hit and miss.
As the joke goes, “half of every advertising budget is wasted, but nobody knows which half”.
On a more serious note, this means that businesses spend twice as much as they really need to
on advertising, and in return get a return on investment (ROI) that is 50% lower that it should
be.
This is not the case with Internet Marketing. When properly done, the results from IM efforts
can be tracked in real time, which means that testing becomes a very realistic and affordable
proposition. With IM you can identify what works and discard what doesn’t.

Task 2
P3 Explain the benefits to customers of a business using internet marketing.
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.
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 (Decarie, 2010). 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 (Fall, and et. al., 2013). 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.
Track Your Purchase and Choose Delivery Dates: Many websites allow consumers to
track their purchase from when it is ordered through to when they are dispatched and
delivered to them. This reassures the consumer and makes them feel that they are obtaining a
good service online. Some sellers also allow the consumer to choose the delivery address for
each purchase and select their own delivery date and time.
Task 3
P4 The benefits a to the business of using internet marketing with in the marketing mix
The marketing mix refers to usage of the four Ps of marketing which are Product, Price, Place
and Promotion. All the marketing strategies are developed around the framework of fours Ps.
With the advent and progress of service industry elements like People, Process and Physical
evidence were added to the traditional marketing mix (Guffey and Loewy, 2010).
E-commerce is a great avenue for organizations to use the above marketing mix to their
advantage.
Product: In the marketing mix product refers to services, brand or merchandise features
around which strategy has to be developed. Any strategies around products are primarily
based on market research undertaken by organization to asses’ customer needs and
requirements.
Online marketing strategy can segmented into two parts, decision around the fundamental
features meeting customer needs and additional features which are benefits above the core
benefit.
For the fundamental features, the internet can be used to provide additional information about
the product to existing and new customer base, for example online reviews, video, etc.
Additional benefit could be providing a new business proposition, for example e-book
(Robles, 2012).
Price: The internet can influence the price mix of marketing strategy through the following:
 Improved price transparency and impact on differential pricing.
 Commoditization and price pressure.

 Dynamic pricing and auction
 Different pricing methodology
Place: Place in the marketing mix referrers to path through which products reach the
consumer. Organizations devise channels as to reach widest customer base at minimized cost.
The internet has changed place element in the marketing mix. The point of purchase can be
divided into seller controlled sites, third party hosted seller oriented sites, third party hosted
consumer-seller neutral sites, purchaser controlled sites and purchase controlled sites.
Promotion: The promotion component of the marketing mix refers to the marketing
communication strategy used by the organization for product and company advertisement.
P5 Internet marketing has made a selected business more efficient, effective and successful.
Internet marketing is important because it aligns with the way consumers make purchasing
decisions. Studies by analysts such as Gartner indicate that increasing numbers of consumers
use social media and research on mobile Internet to carry out preliminary product and price
research before making final decisions. Internet marketing enables you to build relations with
customers and prospects through regular, low-cost personalized communication, reflecting
the move away from mass marketing. Internet marketing enables you to be open for business
around the clock without worrying about store opening hours or overtime payments for staff.
Offering your products on the Internet is also convenient for customers. They can browse
your online store at any time and place orders when it is convenient for them. 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.
Task 4
P6 Challenges of globalization facing by business organization
Web showcasing is the development instrument for organization. It upgrades mark an
incentive at worldwide level. At the point when such business moves to global level then it
gives open doors and in addition difficulties to association.
Taking after are the globalization challenges that might be confronted by Amazon while
utilizing web advertising: -

Challenge identified with security: It is one of greatest issue in light of the fact that there
are numerous programmers who can take information from web. At the point when business
works at worldwide level then it confronts issue identified with security. It is required for
refered to association to utilize web promoting with uncommon help so it can be protected
from hacking (Chen, 2011).
Culture: when organization receive to work their business at inside level the there are many
difficulties that might be identified with culture. It is issue since business has set standard and
at some point, they would prefer not to embrace new culture so it might make deterrent in the
development of organization (Toth, 2013).
Order fulfilment: It is another issue that might be confronted by organization at worldwide
level as a result of increment in number of clients. It is required for association to give their
administrations to client when it is requested by them. It pulls in huge number of individuals
toward them. Web showcasing targets numerous clients at worldwide level so it is
additionally required for association to satisfy their necessities and requests.
Conclusion
As per the above mentioned report it has been concluded that internet marketing is too
significant for a business organization. The report explained about the internet marketing is
one of the key ingredients in helping your business to succeed in today’s competitive
economy. When you choose to use KD Web and the Internet to market your service or
product(s), you are guaranteed to exceed those who use the older and more traditional styles
of marketing.

REFERENCES
Books and Journals
Alshare, K. A., Lane, P. L. and Miller, D., 2011. Business communication skills in
Information Systems (IS) curricula: Perspectives of IS educators and students.
Journal of Education for Business. 86(3). pp.186-194.
Bovee, C. L., 2010. Business Communication Today, 10/e. Pearson Education India.
Cardon, P. W., 2010. Using films to learn about the nature of cross-cultural stereotypes in
intercultural business communication courses. Business Communication Quarterly.
73(2). pp.150-165.
Conrad, D. and Newberry, R., 2012. Identification and instruction of important business
communication skills for graduate business education. Journal of Education for
Business. 87(2). pp.112-120.
Decarie, C., 2010. Facebook: Challenges and opportunities for business communication
students. Business Communication Quarterly. 73(4). pp.449-452.
Fall, L. T., and et.al., 2013. Intercultural communication apprehension and emotional
intelligence in higher education: Preparing business students for career success.
Business Communication Quarterly. 76(4). pp.412-426.
Guffey, M. E. and Loewy, D., 2010. Business communication: Process and product. Cengage
Learning.
Robles, M. M., 2012. Executive perceptions of the top 10 soft skills needed in today’s
workplace. Business Communication Quarterly. 75(4). pp.453-465.
Toth, C., 2013. Revisiting a genre: Teaching infographics in business and professional
communication courses. Business Communication Quarterly. 76(4). pp.446-457.