Analyzing the Impact of Internet Marketing on Sales Performance

This report examines the significant relationship between internet marketing and sales, focusing on how the internet has become a crucial tool for businesses worldwide. It explores the impact of internet marketing on sales revenue, customer relationships, and the shift from traditional marketing methods. The report delves into the objectives of identifying internet marketing as a key tool, determining its effects on traditional marketing, understanding its influence on customer relationships, and analyzing its direct correlation with sales. The scope encompasses the global application of internet marketing strategies to generate sales. The literature review covers internet marketing as a tool, its impact on traditional marketing, and its influence on customer relationships. The study highlights the advantages of internet marketing, such as 24/7 accessibility, cost-effectiveness, and the ability to track performance in real-time, which facilitates market segmentation and competition. The report concludes by emphasizing how internet marketing enhances customer satisfaction, trust, and commitment, ultimately leading to increased sales and revenue.

EXECUTIVE SUMMARY
This research is based on analyzing the relationship and impacts between internet marketing and
sales. Internet has been a part of everyone’s life and when this essential is linked with business
as marketing, it has facilitated all individuals and company worldwide. Any individual or
company who has their business always look forward for good sales and marketing always plays
a vital role in the sales revenue. Therefore, the relationship between marking and internet in
respect to sales is directly proportional. The literature review will study about the providers and
the consumers, giving the facility and taking the best services. Moreover, this research will
highlight the close relation that internet plays to increase the income (sales).

1. Introduction
The research focuses on the application of internet as foremost tools for marketing to generate
sales revenue. Today, internet not only influences people’s daily life as a social platform to
communicate but also it has become an essential for business too. Internet has become a dynamic
system, which has been adopted by every individual and companies. Being specific, companies
are taking the advantages of internet marketing globally without any cultural or geographic
restrain. Marketing strategy, on the other hand, has gone through tremendous change with the
help of internet. To survive in the competitive market, internet marketing has not only become a
tactics but also a necessity. Adverting and promoting via internet is a major tool for generating
sales revenue and success of any business. The research study starts with the project objectives
followed by the project scope and later by literature review which covers the application of
internet marking by different companies and its relation with providing services to the
consumers. Lastly, a brief conclusion is attached to conclude the research.
2. Project Objective
The impact of internet as a marketing platform and raise in sales has been the study of
this report. In relation to this, it contains following objectives:
 To identify internet marketing as a tool
 To determine internet marketing impacts on traditional marketing and traditional
business
 To understand internet marketing influence on customer relationship
 To analyze the relationship between internet marketing and sales
Above mentioned topics are the objectives of research which this course of research focuses
on.

3. Project Scope
The scope of the project is around the sales made by the internet marketing. This project
is all about the marketing strategy every individual or companies applying to generate the
output or sales. The area covers the whole global for this project because the main focus
is determined whether internet advertisement, and a product’s online status, could
forecast sales revenue.
4. Literature Review
Literature review covers the major areas of this research which describes detail about the
objectives mentioned above. Factors affecting and relating to internet advertisement and
sales will be explained in the points to come.
A. Internet Marketing as a Tool
Internet in today’s world has been a necessity, whether be a big company to operate its
business or an ordinary individual to connect on social networking sites. Internet was introduced
in early 90s, as a means of transferring or exchanging digital information or emails. Later,
marketing professionals saw it’s prospective in drawing the costumers. According to Lewis,
Internet marketing, also known as web marketing, or web advertising, or e-marketing, is referred
to as marketing (generally promotion) of products or services over the Internet Marketing. It has
been a popular topic in every business sector (completely online, partly online or completely
offline). And taking about marketing strategy, internet has reach out to every way possible for
its adverse marketing tactics.
This process simply uses Internet as a promoting or advertising medium to Sale
Company’s product. It has been an easy option for consumer and provider to reach out what they

are seeking for. Display advertising, web banner advertisement, pop-ups, text ads, email
advertising are the commonly used tools which we see in our daily life. Two parties are involved
in the process-publisher, who initiates advertisements into its online content, and an advertiser,
who wants theirs ads to be displayed online. Accessing to this kind of advertisement has become
a cheaper source of advertising for both small and mid-sized companies to sell their products.
As per Philip Kotler & Kevin Lane Keller, Integrated marketing can produce stronger
message consistency and greater sales impact. (2006) Moreover, internet marketing allows any
business to be accessible 24/7. This makes it capable of promoting, engaging and most
importantly, selling around the clock without any boundaries of nation or geographic. This also
helps the companies to evaluate about their marketing strategy and its effectiveness among cities,
countries, etc as internet can measure everything.
B. Internet Marketing Impact on Traditional Marketing
Internet marketing has changed the way consumers interact with all media. In the recent
past, before the emergence of the internet, consumers were required to buy newspapers
frequently to know what was happening in their world and make purchasing decisions based on
the information from such media. However, research has shown that the internet has influenced
traditional media and changed the marketing game. Billions of consumers use various social
media channels instead of the traditional marketing media. Approximately 1.15 billion, for
example, visit Facebook every day (Albert & Sanders, 2003; Zahay & Roberts, 2018).). As such,
marketers are turning to digital tools to reach their various target markets.
Internet marketing also gives businesses an opportunity to promote their products in an
eco-friendly environment, which makes traditional marketing an out-dated option. According to
Zahay and Roberts (2018), businesses have always known the need to market their goods and

services without polluting the environment. However, since they had never gotten a tool to help
them achieve this objective, they continued to rely on the traditional tools (Lashgari, 2018).
They distributed paper products such as flyers in mass and ultimately contributed to pollution of
the environment. The emergence of internet marketing has made it easier for the advertisers to
reach their business goals without wasting many paper products and being unfriendly to the
environment. Internet marketing, therefore, gives the organizations a viable option to market
their products in an eco-friendly way and reach a significantly large number of customers.
The new marketing model also provides a higher level of efficiency than traditional
product-promoting methods. Kovačič, Podgornik & Pinterič (2015) hold that internet marketing
is benefitting organizations in ways the traditional ones could not as businesses are now able to
track the performance of their advertisements in real time. Advertisers can now know the
reaction of their audience and quickly modify the advertisement to meet the tastes of the
audience if there is need. When necessary, marketers can also engage in split tests without
incurring high costs. In this way, they are able to run two different advertisements concurrently
and compare their performance. The testing enables them to create advertisements that attract
many clients. In traditional marketing, they could not track the performance in real time or do
split tests, and so the rate of failure was high (Barrell & Nash, 2003). Besides, companies that
use traditional marketing can offer promotions, but they do not know the exact impact of their
marketing efforts. Internet marketing, for that matter, offers added benefits such as ability to
track progress in real-time and makes traditional marketing less effective for knowing whether
advertisements are leading to conversions.
The internet also enables users to learn about various products, choose the appropriate
ones, and purchase them online while traditional marketing only gives them the information.

Internet marketing enables advertisers to provide all these critical services and communicate with
their customers at each stage of the purchasing process (Baker, 2014; Babin & Zikmund, 2016).
Organization strategies such as e-marketing campaign, search engine optimization, e-mail
advertising, online conferencing, video broadcasting and internet TV to implement operative
processes and create a strong brand identity on the Internet, which is crucial for enhancing brand
loyalty.
Digital marketing also helps to reach various segments of the market more easily than
traditional marketing does. Market segmentation is central to the success of any marketing
efforts. With traditional marketing, it is difficult to target specific customers. Besides, people
who are the bottom of the pyramid have no resources to have newspapers everyday to know what
is happening around them (Blokdijk, 2015). With internet marketing, however, advertisers have
at least four primary bases that they can rely on to segment customers. The first option,
according to Charlesworth (2015), is geographic segmentation. Digital marketers have the ability
to target people who reside in specific geographical regions. When people in the targeted regions
go to the internet, they see the advertisements, but people in other locations do not see them. The
second one is demographic segmentation, which internet marketing can also target. Several
digital marketing tools are able to detect factors such as the age or sex of internet users. In this
way, the marketing model enables marketers to target these individuals only. The psychographic
and behavioral segmentation can also be achieved by using the devices. Artificial intelligence
enables marketers to target the segments. Since people change their minds and incomes every
day, only artificial intelligence can help detect the changes and help to supply the right
information at the right time.

Digital marketing has had little or no impact on the principles of marketing management,
but it has changed consumer behavior as it has led to the introduction of new products. Some
products available in the market today such as after-purchase service never existed before the
emergence of internet marketing. The technology provides more efficient setting for product
testing, shorter product lifecycle, and better customization of products (Jones & Silverstein,
2009). The new products on the internet create value for consumers. Data mining also ensures
marketers can determine the suitability of products for sale. Besides, some of the products can be
offered directly over the internet. For example, students are able to learn from home and use the
internet to communicate with their lectures. Internet marketing also increases the value of some
products. The demand for some tickets, for example, is higher on the internet than in traditional
sales points. The changes have led to the increase of the demand of many products online and the
creation of new products, which makes internet marketing more attractive to some consumers
than traditional marketing.
Additionally, internet marketing has increased competition, which leads to price
standardization. Consumers can compare the prices of different products online and then make a
purchasing decision. Those who use traditional marketing also standardize their prices to remain
in the market Kotler, Kartajaya & Setiawan (2017) consider that since traditional marketing is
more expensive than traditional marketing, markers who have been using it have been influenced
to adopt the new marketing model to have the same benefits. As result, internet marketing
ensures traditional marketers standardize their prizes to remain competitive.
C. Internet Marketing Influence on Customer Relationship
The internet ensures constant availability and reliable transfer of information and
interactivity, which increase customer satisfaction, trust, and commitment. According to Jones

and Silverstein (2009), when customers are satisfied, they are willing to develop strong
relationships with the businesses. Lashgari (2018) says satisfaction is responsible for the success
of B-to-B businesses. In addition, internet marketing develops trust as they rely on the digital
platforms to access reliable information. The internet also enables businesses to serve customers
at the most convenient times, making the relationship stronger. As a result, the level of
commitment to the businesses also increases. Due to the strengthening of relations, businesses
that use digital marketing tools are able to register increased income.
D. The Relationship Between Internet Marketing and Sale
The cost of internet marketing is comparatively cheap so it influences price of products
and services. Today, four out of five people use their phones to shop online, which make it
possible to reach a substantial fraction of the market at a low cost (Lashgari, 2018; Babin &
Zikmund, 2016). Digital marketing, therefore, offers a cheaper and more convenient way to
promote businesses, which can eventually translate to increased sales.
Additionally, since internet marketing helps organization to reach various segments of the
market. The e-newspaper, for example, offers better services as they are easy to access for free
and information in them are updated within few minutes, which make it faster and highly
believable(Fox, 2012; Jacoby, 2011). Consumers are turning to the digital format of newspapers
due to their cost- effectiveness and perceived believability, which helps to build business
relationships. As a result, organizations that use the digital model are better positioned to register
increased sales.
5. Conclusion
The internet has become the main tools for marketing as organizations use it reach the
local and international markets without the common cultural or geographic barriers. The tool is

also cost-effective. However, it has had a considerable effect on traditional marketing as well,
which ensures the business world appreciates the contribution of internet marketing. Billions of
people use the internet daily, and that makes digital marketing more useful for promoting
products than traditional marketing. Besides, the former helps to create an eco-friendly
environment that is necessary for increased sales as governments supports such initiatives.
Besides, internet marketing enables marketers to track the performance of their advertisement
every step on the way and ensure greater success in marketing and eventually sales. Internet
marketing also makes it easy for businesses to reach the global market and introduce better-
quality products, which eventually helps to standardize prices in the global market. Further, it
enhances trust and commitment between businesses and their customers, which results to
increased satisfactions. Ultimately, internet marketing increases the potential of organizations to
have an increase in their sales.

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