Internet Marketing's Role in Modern Business: Unit 12 Report

This report provides a comprehensive analysis of internet marketing within a business context. It begins by defining internet marketing and exploring its role in modern marketing, emphasizing its importance for building customer connections, facilitating research and development, expanding business potential, generating revenue, and improving organizational visibility. The report then delves into the various ways businesses utilize internet marketing, such as increasing product awareness and meeting consumer preferences. It includes an article discussing the benefits of internet marketing for customers, using Tesco and Future Fuel as examples. The report further explores the benefits and opportunities of internet marketing within the marketing mix, covering product, price, place, promotion, and people. The report also addresses how internet marketing has made business more efficient and successful, and concludes by discussing the challenges of globalization a business faces when using the internet as a marketing tool. The report highlights the importance of adapting marketing strategies to meet customer needs in the digital age.

Unit 12 – Internet
Marketing in Business

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Role internet marketing has within a modern marketing context..........................................1
P2. Usage of internet marketing...................................................................................................2
TASK 2............................................................................................................................................3
ARTICLE.....................................................................................................................................4
P3. Benefits to customers of a business using internet marketing...............................................4
TASK 3............................................................................................................................................5
P4. Benefits and opportunities to the business of using internet marketing within the marketing
mix...............................................................................................................................................5
P5. Ways in which internet marketing has made business more efficient, effective and
successful.....................................................................................................................................6
P6. Challenges of globalisation a business faces when using the internet as a marketing tool.. .8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Internet marketing includes advertising as well as marketing efforts with the help of web
along with email for the purpose of driving direct sales through electronic commerce
(Bordonaba-Juste, Lucia-Palacios and Polo-Redondo, 2012). It encompasses various strategies
such as online promotions, blogging, website design strategies, digital advertising and so on
which are used by marketing agencies or companies to market products as well as services
online. Such marketing contributes towards growth and development of society. In order to
understanding internet marketing in business, various companies are selected as per the
requirements. This report includes role of internet marketing, usage of internet marketing by
represented firm as well as benefits to customers of a business using internet marketing. It further
discusses about various benefits and opportunities to the business of using internet marketing
within the marketing mix along with challenges of globalisation faced by business while using
the internet as a marketing tool. Lastly, it includes effectiveness of internet marketing in order to
meet customer needs.
TASK 1
P1. Role internet marketing has within a modern marketing context
Internet marketing is a tool which is used for advertising products as well as services
online. In the changing scenario, people purchases products or services as per their requirements
through online and same are delivered to recipient's door. In the growing, ever shifting and
expanding digital age, role of internet marketing towards modern marketing is important for
success of any company (Brown, 2012). Some of the roles internet marketing has at different
organisations are as follows:
Building connections with customers: Internet marketing plays essential role in
building connections of organisations with numerous customers. In order to increase the
awareness of clients related to product or service along with new or updated features
organisations can publishing a content on the internet. For example, it helps Abacus Marketing
Agency to update its customers as well as attracting potential consumers and building loyal
relationship with them in the modern marketing marketing scenario.
Research and development: Internet marketing helps in collecting online marketing
information as well as researching key data. By using such information or data, selected agency
1

can further develop their marketing strategies in order to promote products of its clients in
international market place. Such as for Titan, internet marketing plays a role of contacting with
customer and getting feedbacks through research and it further develops its strategies for further
marketing. Hence, it plays a role of research as well as development in the modern marketing
context.
Expanding business potentiality: Internet marketing also plays crucial role in expansion
of potentiality of business by using fruitful strategies in order to appeal with audiences for
motivating them to make productive moves. For example, digital marketing provides platform to
Nike such as digital advertising, blogging and online promotions in order to create awareness as
well as expanding the potentiality of company to face various situations and achieve success.
Generating Better Revenues: Internet marketing is used for converting new customers
into organisational clients with the helps of effective methodologies in digital advertising. Role
of such marketing is important in ensuring better revenues by passing great beneficial interest
points in relevance to Abacus Marketing Agency which helps the enterprise to acknowledge
better as well as generating higher investment returns (Carlson and Lee, 2015). With the help of
easy targeting, powerful conversion, effective lead generations and so on by using digital
marketing techniques in modern marketing context, there are various chances in generating
revenues for the business.
Improves organisational visibility: Online marketing plays significant role in
improving visibility of any company in the competitive market place in the modern marketing
context. Physical visibility is only assessed to limited people but with the help of various
promotional or marketing techniques, it can be visible to million people through digital locations.
For instance, Marks and Spencer has solid presence on internet as it uses blogs, social media
platforms, websites and paid advertising that provides opportunity to company in terms of
improving organisational visibility. All such aspects are used for improving visibility in many
ways which were previously impossible.
P2. Usage of internet marketing.
Internet marketing is used in various ways as well as for various objectives and at the
same time it provides various advantages to business. It encompasses several tactic terms along
with strategies such as content, paid media and so on. Such marketing is used for creating as well
as distributing relevant or valuable content in order to attract and retain audiences to drive
2

profitable actions (Corephp, 2015). Following are various ways through which companies uses
internet marketing:
To increase product awareness: there are various products or services available in the
market but consumers only purchase those products or services which they know about. Products
which are unknown or unpopular easily snubbed from competitive market. Internet marketing is
used by Nike by adopting marketing strategies such as retargeting advertisements, social
promotion and so on for increasing product as well as brand awareness in order to expanding the
company and achieve success.
To meet consumer preferences: By analysing the modern marketing scenario,
preference is of online shopping and it has increased the perceptions of customers towards the
organisation. Different customers have different perceptions and it can be understood with the
help of effective marketing tools as well as marketing team. Internet marketing is also used by
Titan to understand customer demands or preferences. With the help of research and
development, Titan can provide products or services in order to meet customer preferences by
providing products online.
TASK 2
3

ARTICLE
P3. Benefits to customers of a business using internet marketing
Internet marketing, which is also known as online marketing, E- marketing, web
marketing and digital marketing, is a tool or technique that promotes and advertises a business
or brand and sales products and services to its potential customers. A company go through
online marketing process not only for the purpose of selling its product and services but also for
conducting research or spreading a message about itself. Internet marketing or digital marketing
can be done through virtual channels like social media, search engine optimization( SEO),
emails, videos, displays etc. internet marketing is beneficial not only for the business
organizations but also for the customer (Cave, 2002). Two contrasting businesses, Tesco and
Future Fuel, has been chosen for this purpose of explaining the benefits of internet marketing
for customers. Tesco is one of the largest grocery and general merchandise retailer business
organization founded by Jack Cohen in 1919 in England, U.K. while Future Fuel is an
American multinational company founded in Clayton, Missouri which is involved in
developing and producing chemicals and bio-fuel. Here are some principal benefits of internet
marketing for customers.
Keeps customers aware: New trends, fashion, ideas, products are emerging rapidly. In
this changing environment, customer need to be updated and on the top. Internet or digital
mediums are the best option to provide all the information and updates to customers
immediately. Tesco is a well known name in the world of retailing but last few years it was
facing huge losses due to traditional marketing strategies. Now it adopted new digital
marketing process and providing the details and informations about its products online to
customers. On the other hand Future Fuel believe in mouth publicity and not using digital
marketing tools. That's why the company is not very well known and customers have hardly
any idea about the products.
All the time availability: A business or an organization can be available for its
customers through the digital marketing techniques. Customers have a reach to the organization
24/7 through internet. It also provides a transparent pricing for all the customers. Tesco
introduced a huge range of new products like beef and fish currently on its shopping portal
which are available all the time. This new approach increases its profit dramatically. Future
4

Fuel is not providing its products online and the customers have to transact only when the stores
of the firms are open (Chaffey, 2003).
Offer convenience/ Home delivery: Digital marketing making a huge effort for
keeping customers satisfied and happy. For this purpose, companies provide convenience
facilities to customers and deliver the products at their home which save time and efforts of
customers. In this direction Tesco takes a huge step and started the facility of convenience and
provide its products next to the customers' doe steps. While Futurefuel does not provide any
home delivery facility hence customers have to invest their time and efforts.
TASK 3
HANDBOOK
P4. Benefits and opportunities to the business of using internet marketing within the marketing
mix.
Internet marketing provides various benefits as well as opportunities to Tesco. It further
helps in marketing mix by offering various opportunities to selected business. Marketing mix is
a combination of product, price, place, promotion, process, physical evidence and people.
Product: Product is something sold by organisation in exchange of money. Using
internet marketing, Tesco can deliver important information to its customers and at the same
time can sell its products or services in different ways. Such marketing benefits selected
company by creating attractive as well as innovative pages on internet or social websites to sell
the products without the help of salesman or other intermediary. It provides opportunity to
chosen firm to attract potential customers as well as delivering products by providing services
24*7 through online sale.
Price: Tesco offers products to clients through online websites and can use same pricing
strategies to deliver products or services. Such marketing provided benefits to set low price of
products as compared to competitors which will help in attracting maximum customers. It
provides opportunity to offer food as well as non-food items along with good quality at less
price in order to spread awareness along with reaching wider as well as bigger audiences.
Place: In the present time period, people uses internet as well as social media which
helps in increasing visibility of any organisation. using internet marketing Tesco can provides
5

its products or services through various online shopping apps and it will benefit the company to
improve its visibility in international market (El-Gohary, 2012). Such marketing provides
opportunities to chosen entity to reach mass customers to deliver products at different location
in short time period.
Promotion: Promotion helps in promoting a product till the end consumer through
different mediums. Maintaining a store is costly than operating a website. Using internet
marketing, Tesco can advertise its products through websites or blogs and will benefit in saving
costs. It provides opportunity to such enterprise to advertise various products by using banners
in different websites for increasing sales as well as profitability.
People: People are the staff members who performs operations for successfully
achieving objectives. When promoting a product or service through internet marketing, less
staff is required for running operations which benefits the company to save costs and effectively
managing promotional activities. By setting online chat rooms connected with websites
provides opportunity to access information through feedback and improve business on the basis
of obtained information.
Processes: Procedures required for successfully running a company can be quicker by
adopting internet marketing techniques. Selected enterprise uses such marketing to access
ordering system in easy manner which benefits in improving stock level in order to meet
customer demands at the time they make purchase decision. It provides opportunity to adopt
quicker techniques for delivering option and can improve such options in order to encourage
customers for purchasing frequently.
Physical evidence: Tesco managers have clearly set as well as displayed their products
on websites which benefits them to take informed decisions. Such websites provides
opportunity to display search button as well as directions of each stores are also provided which
helps customers to visit nearest stores in order to get demanded products. It benefits in saving
customers time along with maintaining healthy relationships.
P5. Ways in which internet marketing has made business more efficient, effective and
successful
Internet marketing drives the direct sales through electronic media like web, email or
any media channel. A business can advertising its product through electronic commerce such as
internet which will helps a business to make it more efficient and effective by selling the goods
6

direct to customer in global market. In digital era of online business, everyone can just go to
website and search for required product or services easily (Grewal and Lilien, 2012). If an
enterprise is registered with internet marketing, they can easily sell as well as promote their
brand worldwide. For e.g. with the help of the online marketing, Sportsmatch company can
adopt various ways to make the business more efficient effective and successful. Some of the
ways are as follows:
 Sportsmatch can enhance its productivity by selling the product to all over the world
and it directly effect to product 's cost As if they able to raise their sells then
automatically cost of production will be lower.
 Efficiency of chosen firm can be analysed through understanding ordering systems of
the same products in large quantity by numerous clients at the same time. It defines that
manager of representative company provides better prices along with good quality as
compare with competitors. This results in increasing efficiency through technique of
internet marketing in order to connect with clients and at the same time taking feedback
related to their products.
 Enterprise's supply chain management is more efficient to deliver the product fast so
customer can more reliable on organisation for speedy delivery.
 An organisation buying strategy is more efficient in the terms of best quality material
with cheaper cost. So they can sales the product at lower rate.
 An organisation can reach higher customer than offline business with brand recognition
all over the world. Business can get more profit by selling its product at different
locations online, it may increase the profit margin of a business with high turnover
 Business can be more efficient by promoting its goods to different web page of social
media like Facebook, you tube ads. From such channels, company can know about the
customer perceptions and reviews regarding their products.
 Chosen firm can achieve success due to various reasons such as effective pricing
strategies which will help in formulating new deals along with offers. With the help of
blogs or websites, managers can analyse the perception of consumers and satisfy the
demands by selling products in constant manner. The company analyses market
circumstances and finds out which type of products are in trend and further provide
them on their official social sites which will result in attracting more customers and will
7

make business more efficient, effective and successful in increase profit as well as
improving cultures attitudes towards payment method (Hutchison, 2013).
P6. Challenges of globalisation a business faces when using the internet as a marketing tool.
Globalisation is a process where countries comes together for performing trading and to
get interconnected with people, organisations and governments. It helps in facilitating trade
activities as well as exchanging cultural programmes. Th impact of globalisation has provided
various benefits along with negative impacts to under developed or developing countries. It
resulted in improving education, technology, investments, employment, culture and many more.
Challenges of globalisation faced by Tesco while using the internet as a marketing tool are as
follows:
Managing market feedbacks: Feedbacks encompasses complaints, opinions as well as
compliments. While using internet as marketing tool, managers of selected organisation had
faced the challenge to effectively manage overloaded feedbacks on websites which were
impacting on position of business at market place. Various feedbacks were based on providing
incorrect information and it is not accurate to misguide customers. By considering the
feedbacks as well as provided information, Tesco can decides which information is up to the
mark and which is not relevant by using data system along with market segmentation.
Security as well as payment methods: This was another challenge as payment
methods requires banking details and is not safe to keep such details online because of security
reasons. Tesco provides various facilities to customers through online in which it is mandatory
to make payments through debit or credit cards which is resistant or reluctant with many
people. When customer makes payment online for any products at that time there are chances of
hacker scams (Jobber and Ellis-Chadwick, 2012). Tesco should clearly define their website
policies as well as provide assure to its customers that there are less chance to access personal
information in their internet banking. Marketing team of selected company has security to
ensure its customers related to their safety but it will be an issue with various people which
results in less sales as well as missing out potential customers while performing marketing
activities.
Linguistic and cultural sensitivity: It was the challenge faced by Tesco while using
internet as marketing tool in order to offer products on their websites or blogs in their home
tongue. This resulted in linguistic as well a cultural issues with customers and had adverse
8

effect on online business of selected company (Pulizzi, 2013). It impacts on losing various
customers if they are unable to understand the promotion messages.
CONCLUSION
As per the above report it can be concluded that internet marketing is a wide concept
which helps in promoting products of any business in international market place. It plays
important role in building connections with customers, research and development, expanding
business potentiality, generating better revenues and improving organisational visibility in the
modern marketing context. Such marketing is used for increasing product awareness along with
meeting consumer preferences. Internet marketing provides various benefits to customers such as
keeps customers aware, getting products all time available and convenience or home delivery
services. It provides various benefits along with opportunities to the business by using internet
marketing within the marketing mix. Challenges of globalisation which are faced by business
while using internet as a marketing tool are managing market feedbacks, security as well as
payment methods as well as linguistic and cultural sensitivity:
9