Internet Marketing Report: TUI's Strategies and Global Challenges

This report provides a comprehensive overview of internet marketing, defining its role in promoting brands, products, and services online. It explores how organizations, using the example of TUI, utilize various online marketing strategies, including social media, data collection, and competitor analysis, to enhance customer relationships and reduce costs. The report details the benefits of internet marketing for both businesses and customers, emphasizing convenience, reach, and the ability to build relationships. Furthermore, it examines how internet marketing contributes to business efficiency and success, highlighting the importance of 24/7 accessibility and disintermediation. The report also addresses the challenges of globalization, particularly concerning security, and how these impact the selection of internet tools and techniques. It concludes by summarizing the key aspects of internet marketing and its implications for modern business practices.

INTERNET
MARKETING

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 ...........................................................................................................................................3
P1 Describe the role of internet marketing................................................................................3
P2 How organisation use internet marketing..............................................................................4
TASK 2............................................................................................................................................5
P3 Benefits to customers by using internet marketing..............................................................5
TASK 3 ...........................................................................................................................................6
P4 Describe the benefits and opportunities is beneficial for business organisation...................6
P5 How business become more efficient and successful............................................................7
P6 Challenges of globalisation ...................................................................................................8
CONCLUSION ...............................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
This report is based upon internet marketing that is also called online marketing. It is the
process of promoting a brand, products or services over the Internet. Its broad scope includes
email marketing, electronic customer relationship management and any promotional activities
that are done via wireless media. It 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. In addition, the effectiveness of campaign can be easily measured using web analytics and
cost-volume-profit analysis tools (Chen, 2011). There are various kind of sources of online
marketing such as- Facebook, LinkedIn, twitter, google+, Pinterest etc. therefore, online
marketing helps in to generate so many opportunities for organisations. It is helpful to get
involve in the alignment of business goals/vision so managers can accomplish their target
market by gaining competitive advantage.

TASK 1
P1 Describe the role of internet marketing
The area of internet marketing is so wide aligns with the way consumers make
purchasing decisions. In TUI, its assist in increasing numbers of consumers use social media and
research on mobile Internet to carry out preliminary product and price research before making
final decisions. The role of internet marketing in commercial sector is as follows:- Convenience: -Internet marketing enables 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. Reach:- By marketing on the Internet, you can overcome barriers of distance. TUI is able
to sell goods in any part of the country without setting up local outlets, widening your
target market. It can also build an export business without opening a network of
distributors in different countries. However, if their managers want to sell internationally,
they should use localization services to ensure that products are suitable for local
markets and comply with local business regulations (Christiansen, 2011). Localization
services include translation and product modification to reflect local market differences. Relationships: - The Internet provides an important platform for building relationships
with customers and increasing customer retention levels. In TUI when a customer has
purchased a product from online store, it 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.
 Social: - Internet marketing enables to take advantage of the growing importance of
social media. It is also helpful in order to establish link between social networking and
online revenue growth (Ducournau and et. al., 2011). According to this, a group of
consumers that responded most strongly to the influence of social networks generated
increased sales of around 5 percent.
P2 How organisation use internet marketing
There are mention below the uses of internet marketing for business organisations that
are as follow: -

 Data Collection:- Every time a customer transacts with the company online, that
transaction is captured. The firm can use this data in a number of ways. Firstly
information can be analysed to find out most popular products/services sold. Secondly
the data can be used to assist in segmenting their customers, profiling them and sending
customers promotional material based on past buying habits. Personalisation of The Web Experience: - When customers log into their accounts
businesses can make their web experience almost unique. From offering special offers to
that particular customer, offering add on to their recent purchase, much like Amazon.com
does, or by allowing the customer to personalise their own products, like Nike does with
their trainers (Fritz, 2013) . Personalisation allows the firm to form stronger bonds online
with customers and form long term online relationships ensuring customers come back
regularly Competitor Analysis :- The internet allows businesses to analyse their competitor’s
online strategy. An organisation can keep abreast of new products that are released, react
to price changes, or use the internet to discover secondary data on their competitors. The
internet allows a firm to react quickly to a change in their competitors strategy, and try to
provide a service that allows them to match or beat their competitors.
 Reduction in Costs:- One of the major benefits of setting up or moving a business online
is the cost advantages of doing so. TUI can save a number of costs. Along with this,
fewer staff are needed online then in the high street thus reducing costs. The company
will not need retail outlet just a centralised office and possibly warehouse space, saving
on potential retail costs (Leung, Xue and Bai, 2015). As consumers pay for the product
before it is dispatched, this improves the cash flow for the company, making sure for the
firm that they can pay their suppliers and other costs on time.
TASK 2
P3 Benefits to customers by using internet marketing
Internet marketing provides businesses with several advantages however it has several
benefits for customers which helps businesses to provide better customer service and also
attracts more customers to shop online as it is more convenient and easier. Below is a list of
advantages of internet marketing for customers. In TUI managers are using internet Marketing

that is cost effective as businesses will not have to worry about any travel, postage, printing or
any other costs which makes it cheaper compared to traditional marketing. The advantage that
this will provide to customers is that the businesses will have more money that they could
invest into providing better customer service, for example entering new market sectors. In
commercial organisations, they could invest money into training their employees this will
therefore improve the service that they are providing and hence they will have a competitive
advantage (Michaelidou, Siamagka and Christodoulides, 2011). They could also invest the
money into new fashion lines and by doing this it will attract a wider range of customers.
Also internet marketing is quick and easy. Therefore at TUI any advertisement that they
use can be set up quickly and can be placed on the internet within hours, also if any changes
need to be made it can be done immediately. The advantage that this has for customers is that
they can access the advertisements for a longer period of time and this can attract a wide range
of customers. It also keeps the customers informed about any changes that have been made and
this is a good method of customer service. In TUI they place advertisements about new
promotions and products that have been introduce. Along with this, advertisements play a big
part on the way that the business promotes themselves and the way that they provide customers
with information. They place many advertisements on their website and also magazines.

TASK 3
P4 Describe the benefits and opportunities is beneficial for business organisation
In business objectives internet marketing is playing a big role in. This is because internet
became more and more important to businesses. TUI needs to know how relevant the factor
internet can be of influence for their business. It allows a commercial enterprise in order to
identify the needs and wants of customers which will then allow them to design their products
that will fulfill the customers needs (Roberts and Zahay, 2012). Therefore it will have an impact
on the businesses reputation and profitability. There are mention below the uses and benefits of
internet marketing that are as follow:- Market penetration : - Because of the internet marketing they can offer better services
which they all ready serve. They can show for example where customers can buy their
products. Instead they need to call to a business or ask someone else they can just search
the information they needed on the internet. Market development: - Businesses can advertise easily because of internet can reached
global. They can reach new markets much more easily because of the internet. Product development :- Because of the internet marketing they can develop new products
of the information they can get. These products can also be sold on the internet. Tracking results :- Another use of online marketing is that managers can track the results
of advertising and that will be illustrated in detailed graphics. Along with this, it is
helpful in tom provide traffic growth, leads and sales conversions from marketing search
campaigns (Salehi and et. al., 2012).
 Time-Effective: - Internet marketing is fast and easy to start. Managers of TUI can easily
set up a campaign at any time convenient for them. For instance, email marketing which
is one of the best internet marketing strategies can be set up in a matter of hours. within
few minutes, it is set up the auto-responder and start marketing even with a list of one
subscriber.
P5 How business become more efficient and successful
There are so many factors of internet marketing that impact on organisational growth and
success in market. In TUI, managers have to use these elements so as their business more
effective and successful in target market that are as follow: -

 Social media- The company should use social networking sites such as Facebook and
Twitter; they have their own account and webpage. The main reason why TUI has these
pages up is because they want to satisfy their customers by providing answers to any
questions they ask, solving and problems or complaints customers have received etc. It
has millions of customer at Facebook and Twitter because the organisation has thousands
of customers each day (Sin Tan, Chong and Lin, 2013). Customers can also receive
information from managers via emails so as that will be send those customers links to the
latest products, offers and important information. 24 X 7 accessibility :- Online Accessibility 24/7 is effective as it will help the
organisations to set up online so that more customers can buy from them at any relevant
time they like. Without this effectiveness, the TUI will lose customers as stores
customers far locations may not be able to reach their store. This is very effective as it
will give customers the opportunity to shop online whatever the time may be and also by
shopping offline will mean that customers have to travel all the way to the nearest store
whereas online you can sit down in the comfort of your home and shop by just clicking.
 Disintermediation: - Before the internet begun, TUI started off as an offline business
selling business to customers (B2C), after the 80s when technology was advancing and
improving, they started selling business to business (B2B). It has improved and brought
in new products to cut out the middle man and to sell goods directly to them.
P6 Challenges of globalisation
There are mention below the challenges of globalisation that is faced by TUI at the time
of selecting internet tools and techniques, such are as:- Security:- A business permitting online transactions is a high risk and challenge to take
as this means that industries will have to plan and develop a business strategy to decrease
any risks. It could put in place passwords and secret codes to make security impossible
for any threats such as hackers to hack or steal any important confidential information
(Tsai and Cheng, 2012). Online transaction is important for managers because if they did
not use it their competitors will and their rivals could use it as an advantage over TUI.
 Dynamic pricing: - Competition means to provide the best for customers so that their
customers will increase and existing customers to return. To effectively compete means
that business organisation will gain increase in more Trust, security and memorability

from customer’s aspects, so this has to be important as reputation is the importance of the
business.
CONCLUSION
From the above mention file it has been concluded that internet marketing has a
significant role in growth and development in business organisation. The role of internet
marketing is to improve profit and sales of TUI. Along with this, it is also useful for business
organisations in Data Collection, personalisation of the web experience, competitor analysis,
Reduction in Costs. With that, managers can easily know the needs and wants of their customers
and trying to fulfilling them in an effective manner. It is also useful in market development, time
effectiveness and product development so as TUI can easily achieve its goals and objectives.

REFERENCES
Books and Journal
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Christiansen, L., 2011. Personal privacy and Internet marketing: An impossible conflict or a
marriage made in heaven?. Business horizons. 54(6). pp.509-514.
Ducournau, P.,and et. al., 2011. Direct-to-consumer genetic testing through Internet: marketing,
ethical and social issues. Medecine sciences: M/S. 27(1). pp.95-102.
Fritz, W., 2013. Internet-Marketing und Electronic Commerce: Grundlagen—
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Leung, X.Y., Xue, L. and Bai, B., 2015. Internet marketing research in hospitality and tourism: a
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Michaelidou, N., Siamagka, N.T. and Christodoulides, G., 2011. Usage, barriers and
measurement of social media marketing: An exploratory investigation of small and
medium B2B brands. Industrial marketing management. 40(7). pp.1153-1159.
Roberts, M.L. and Zahay, D., 2012. Internet marketing: Integrating online and offline strategies.
Cengage Learning.
Salehi, M., and et. al., 2012. Dissimilarity of E-marketing VS traditional marketing.
International journal of academic research in business and social sciences. 2(1). p.510.
Sin Tan, K., Chong, S.C. and Lin, B., 2013. Intention to use internet marketing: A comparative
study between Malaysians and South Koreans. Kybernetes. 42(6). pp.888-905.
Tsai, Y.C. and Cheng, Y.T., 2012. Analyzing key performance indicators (KPIs) for E-
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Online

What is Internet Marketing?. 2012. [Online]. Available through:
<https://www.searchenginejournal.com/what-is-internet-marketing/56213/>. [Accessed
on 5th June 2017].