E-commerce and internet marketing. MBA "E-Commerce and Internet Marketing"

UDC 004.738.5:334.7 BBK 73:65.9(2)29 K - 93

Kurochkina Svetlana Anatolyevna, senior lecturer of the Department of Marketing and Logistics, Faculty of Finance and Economics, Maikop State Technological University, e-mail: sveta [email protected]

THE ROLE OF INTERNET MARKETING AND E-COMMERCE IN MODERN

ENTERPRISE

(reviewed)

The article outlines methods of selling goods and services using Internet technologies, electronic payments, as well as other areas of using Internet marketing. In addition, attention is paid to the implementation of e-commerce in the enterprise.

Keywords: internet, online store, internet marketing, electronic

commerce, e-business, electronic payments.

Kurochkina Svetlana Anatolievna, a senior lecturer of the chair of marketing and logistics of financial and economic faculty, Maikop State Technological University, e-mail: [email protected]

THE ROLE OF INTERNET MARKETING AND E-COMMERCE IN THE MODERN

The article outlines ways of selling goods and services using Internet technologies, electronic payments, as well as other areas of internet marketing. In addition, it focuses on the introduction of e-commerce in enterprise.

Keywords: Internet, Internet shopping, Internet marketing, electronic commerce, electronic business, electronic payments.

E-commerce is a commerce that is built solely on the basis of an Internet sales channel and has no other distribution channels. It can also be said that with e-commerce there is only a virtual point of sale. Unlike the concept of e-commerce, for e-business the Internet channel is not the only one, but another, additional distribution channel. These channels are intertwined with each other, forming a combined sales channel, and the subject of sales is any, including traditional goods and services. We can say that combined sales channels use e-commerce subsystems. For the industrial sector that supplies physical goods, this is the only possible form of working with the buyer via the Internet.

The difference between traditional business and electronic business is only in the method of doing business, which is described by the formula of the four “Ps” - Product, Price, Place, Promotion. Combined sales channel, which is inherent e-business, changes all 4 “Rs”, to one degree or another. But in order to change them correctly, you need to know well what they represent for your enterprise.

An online store is a way of selling goods using Internet technologies. The peculiarities of selling via the Internet are such that you can sell anything, to anyone. The main thing is that it is convenient for both sellers and buyers. Since according to digital channels It is not the product itself that is transmitted, but information about it. For the mass retail buyer, the number of goods that can be sold via the Internet is not very large - the private buyer wants to feel the product before paying money for it. For industrial products and corporate buyers, the opposite is true. Purchasing goods in absentia, by bank transfer, is more a practice for them than an exception. It is convenient for them to work via the Internet - clearly and quickly. This is just a new step in cashless distance trading, which has many advantages over others.

As for payments via the Internet, oddly enough, this is not a mandatory component of e-commerce. Payments are just a stage in the sales cycle. Just as the transfer of the product or service itself does not necessarily take place via Internet channels, payments may or may not be electronic. Indeed, making payments via the Internet in our conditions is the most problematic place, so the meaning of the term “electronic commerce” is undergoing some changes compared to the meaning that is given to it in the homeland of the term - in the USA. For electronic payments, a number of alternatives and options are offered that are relevant to our reality, while in the USA (and throughout the rest of the civilized world) a bank plastic (credit) card has migrated from traditional commerce to the Internet as the only acceptable electronic means of payment. And for both individuals and corporations. Since the use of plastic cards for payments for online purchases began quite a long time ago, all issues related to the security of transferring card data via Internet channels have been more or less successfully resolved. I repeat, in civilized countries, which we are certainly also moving towards. Our trouble is that we, in principle, did not have a developed credit system, and cards as a means of payment have little circulation in Russia.

In addition to the first two misconceptions, there is some concept that e-commerce is an independent, self-contained business. This also raises doubts - to what extent is the Internet sales channel, being the only channel in this business concept, capable of generating profit? It is necessary to divide e-commerce into subtypes: an independent business focusing on the Internet channel as the only sales channel, and auxiliary services for an existing, well-established business. In the second case, we are talking about e-commerce at the service of the enterprise, as well as the creation of combined channels for the sale of goods and services, with elements of e-commerce in the traditional sales cycle.

What benefits does the implementation of e-commerce systems give to an enterprise?

1. Information about goods and services circulates faster. In fact, you get an additional communication channel open 24/7 (turnover included in English language in connection with the development of e-commerce and denoting work 24 hours a day, 7 days a week). You are more accessible to the client geographically and in time, and they also get a new means of searching and working with information.

2. Internal information (documents, official correspondence, making and approving decisions, etc.) is processed faster. Expanded ability to control execution. In other words, all business processes are accelerated due to the availability and speed of information transfer.

3. The Internet offers new services for customers - for example, order tracking. The presence of additional services creates competitive advantage and brings you new visitors.

4. Since the Internet is a technological shell, it allows you to collect important information about your clients. In addition, it allows you to use marketing tools - surveys, mailings, etc. quickly and without additional costs.

5. With all this, e-commerce systems will help save on personnel.

6. Sometimes you can save on renting space for retail space.

The range of issues that arise when implementing e-commerce systems can be divided into three groups:

1. Ideological issues. First of all, you need to identify your need for e-commerce implementation. It depends on the type of business, the reach of potential consumers via the Internet, the market situation, etc. It may also turn out that some areas of your activity are more promising for selling via the Internet than others, i.e. After a positive answer to the question “Is it worth it?” you need to decide what and how exactly to do. And also in what order. In other words, you need to write a design task (system project) and an implementation plan (ideally, create working group from enterprise specialists and an external consultant and develop such a document jointly).

2. Technological issues. These include the question of choosing a developer and related questions about choosing a web development technology and hosting provider.

3. Organizational issues. Who will manage the site, support it, post information on it, be responsible for its operation, functionality, performance? Who will promote your business online? It is necessary to develop regulations for the site support group, think about implementing staffing table new specialists, as well as whether there is a contradiction between the already established style of work and new trends. And also think about how to organize a system for delivering information to the site. The most painless way is to supplement job responsibilities specialists from all departments working with the website.

Organizational issues are the most difficult. Where it is not possible to solve them effectively, all costs for the first two points go downhill. Often the issue comes down to the fact that the system has not been built, there is no understanding of the essence of the processes and their importance for the common cause - the company's business. Sometimes there is understanding, but there are no specialists. Or there is one specialist who is responsible for everything related to the Internet - and this is a huge range of issues that one person simply cannot solve. Created bottleneck, limiting the capacity of the new sales channel.

The most difficult thing is that for organizational issues there is no standard solution. That’s probably why there is a biased attitude towards e-commerce in Russia: we don’t have our own experience, we can’t copy someone else’s (a vain search for a standard solution!), it takes years in vain to create our own ACS department, and it’s a pity to spend money - it’s not clear what will happen . And competitors are not asleep. There is a way out: take the issue of e-commerce as seriously as other areas of the enterprise. With all the ensuing consequences.

And e-commerce has a right to life in Russia. The question is how we exercise this right.

Literature:

1. Ladonina L. Book of the Internet project manager. Ready-made marketing solutions / L. Ladonina. - St. Petersburg: Peter, 2008. - 256 p.

2. Ladonina L. E-commerce - the right to life in Russia / L. Ladonina. - Access mode: http: // www.expertum.ru.

Target: to form in students a system of concepts, knowledge and skills for integrated project management in the field of e-commerce, i.e. general competencies of a functional manager of a division of an Internet company or a startup business.

Tasks:

1. Give an idea about modern market e-commerce in Russia and in the world, about current trends and directions of development.
2. Provide an understanding of the organizational structure, business model and general principles of project management in e-commerce. Form the fundamental principles of operation of individual functional elements of the e-commerce system and the tasks of each direction.
3. Study the principles of forming an e-commerce business strategy.
4. Study approaches to assortment and product matrix management.
5. Study the logistics and operational component.
6. Learn E-Commerce Marketing.
7. Explore CRM in e-commerce.
8. Study the main approaches to performance management: KPIs, financial analysis and budgeting.
9. Give an idea of ​​the technological component of e-commerce and the online store Website management system.

Expected results:

As a result of studying the discipline, students should:

• Understand the general structure of the market, indicators, trends and main market players;
• Know the principles of building the organizational structure of e-commerce according to the classical business model;
• Be able to develop overall strategy by key functional blocks;
• Be able to develop a marketing strategy and calculate a marketing budget;
• Know the assortment management system and approaches to pricing;
• Know the marketing management system by key blocks: front-end, back-end;
• Know the basics of the construction and functioning of the operational and logistics area;
• Know the KPIs system ( key indicators efficiency) and management of income streams and costs;
• Know the features of the technological component of business and IT infrastructure of e-commerce projects;
• Be able to draw up a financial business model for an e-commerce business and calculate the budget.

	Block name
1	Business planning and e-commerce business strategy development	Market analysis in Russia and abroad. Review of business models existing on the market in the B2B, B2C, C2C segments. Organizational structure e-commerce business, key functional areas and their features: Assortment, IT, Operations, Logistics, Marketing. Basics of business planning: components of a business plan, a system of basic KPIs in e-commerce, Unit Economics as the basis for performance management.
2	Commercial strategy	Development of a comprehensive product offer. Assortment matrix. Demand analysis. Competitive Analysis. Pricing system. Theory of balanced assortment, methods of commercial diversification. Added value formation system.
3	Technology infrastructure for e-commerce business	Basic and auxiliary IT systems for e-commerce business – front-end and back-end. Types, types, varieties of CMS, CRM, WMS, SAAS in e-commerce. The concept of usability. The concept of a conversion funnel. Analytical tools: basic approaches to web analytics and methods for its construction.
4	Operations management: production, warehouse logistics, delivery, payments, customer service	The concept of the operational and logistics process and its components. Production – the role of content and product description system. Warehouse Logistics-basic principles. Methods of organizing delivery. Online payment methods and their features. Principles of organizing customer service and quality management. Operating cost analysis.
5	E-Commerce Marketing Management: Front-End Block	Marketing Mix: The concept of an e-commerce marketing system – the main constituent elements and their features. General principles development marketing strategy by key blocks. Front-end: website, traffic management, management of customer acquisition channels. Front-end system marketing communications. Attraction budget and main KPIs.
6	E-commerce Marketing Management: Back-End Block	RFM segmentation and management client bases data in e-commerce. LTV concept. Profitability management through customer segment management. Loyalty management and ways to retain customers. KPIs system. Back-end budget.
7	Emailing marketing	Emailing as a Key E-Commerce Marketing Tool. Emailing Planning. Basic rules for building an Emailing communications system. Types, types and features various types Emailing. Efficiency analysis.
8	E-commerce financial performance management	Building a business model. The financial analysis. KPIs system and approaches to performance analysis. Analysis and management of financial risks. The concept of break-even point. Bringing the project to self-sufficiency. Principles and approaches to budgeting. Assessment of the investment attractiveness of the project.

Assessment and control of knowledge

Intermediate control of knowledge consists of students preparing and assessing homework:

• “Mini business plan for an e-commerce project”;
• « Product matrix»;
• “Marketing plan and budget”;
• "Emailing plan";
• "KPIs-list";
• « Financial model e-commerce project."

The final knowledge control is carried out in the form of a test.

The assessment is given on a ten-point system.

Teachers

Yuliana Gordon, member of the board of directors of the online store AIZEL.ru, head of the Internet project at the Leroy Merlin company, founder and CEO iWENGO.ru.

Send your good work in the knowledge base is simple. Use the form below

Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.

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Marketing directly depends on the level of development of communications. As new means of communication develop, business tools change, the scope of activity of marketers and the profile of their work change.

In the 40s, television made it possible to show potential consumers a “face” of a product, which led to the development new system marketing and management concepts trademarks.

The rapidly developing computerized databases that appeared in the 60s led to the emergence of another form of marketing - database marketing. New form information storage made it possible to compare a huge amount of data, track sales figures and product promotion operations. Databases began to be used to determine the places of residence of potential consumers, their demographic parameters, etc.

In the 1980s, marketing using new computer publishing functions and computer database capabilities became very popular. New technologies have made it possible to work with specialized consumer groups. And marketers with computerized databases began to realize how important it was to take into account the wishes of the individual consumer. But only the Global Network allowed access to personal interactive marketing.

Less than a decade ago, using the Internet for commercial purposes was considered unjustified. Until the end of the 1980s, the scope of the Internet was limited to military and scientific research tasks. However, when the number of Internet users exceeded 100 million in the early 90s, commercial companies realized that the Internet is not only a unique communication technology, but also a platform for interacting with a huge audience.

Communication technologies have always been key factor to carry out marketing activities, but never before have companies had the opportunity to so quickly inform potential consumers about their products and so quickly convey information to such a wide audience.

The commercialization of the Network took place against the background of the process of digital convergence - the merger of three industries: information technology (hardware and software and computer services), communications technologies (telephone, cable, satellite and wireless communications) and content (entertainment, publishing and information Services). The process of digital convergence of technology has led to the consolidation of relevant markets and the merger of a number of companies (Fig. 20.1).

Rice. 20.1.

As a result of these processes, a unique environment has emerged that allows companies to use the digital capabilities of the Web to communicate with consumers. Internet advertising has replaced many traditional forms advertising. For example, offline exhibitions became less relevant when virtual exhibitions, where access to the latest advertising information was provided around the clock, year-round, and most importantly - free of charge. In business terms, the Internet has come to be perceived as a technology that allows individual users to gain digital access to necessary goods and services. A new term has appeared - Internet marketing. In essence, this is the same database marketing, only a huge audience of consumers gets access to these databases and they are updated in real time.

In other words, Internet marketing made it possible to track individual offers, customer reactions to them and purchases made, i.e. made it possible to observe how an individual consumer reacts to each marketing action. For example, it allows you to quickly find out how price changes in an online store affect the decisions made by a potential buyer regarding the products offered. Thus, Internet marketing is marketing with a powerful feedback. In addition, Internet marketing, based on Global Network technologies, provides new opportunities for creating brands, studying the market, developing pricing and sales strategies.

A special place in the Internet marketing system occupies Email- an old, but still popular method of Internet communication.

Let's take a closer look at the use of Web technologies in Internet marketing.

Web sites have become the main tool for communicating with the Internet audience. They went through three stages in their development:

• information sites, or brochure-type sites (first level);
• database based sites(second level);
• personalized service sites or interactive communication (third level).

This is not to say that first-level sites are a thing of the past today. For a number of applications their service is quite sufficient. Information sites can include text, pictures, sounds and videos. However interactivity such sites are minimal. The only feedback is the site navigation. Today, even home users have learned to create resources of this kind - any document can be converted into HTML format and posted on the Internet.

Despite their simplicity, first-level Web sites have proven to be a very effective tool for providing information about products. The fact is that most potential clients approximately the same questions arise, and, without even resorting to interactive dialogue, but simply using the standard FAQ 1 FAQ from Frequently Asked Questions - frequently asked questions., you can answer most of them, which will greatly reduce the number of phone calls to support.

Second-level sites now have the ability to receive information upon request, which is provided in the form of a dynamically generated Web page. For example, when a search engine receives a request, it generates a page that did not exist before. At this stage interactivity consists of a series of “question-reaction” interactions.

Third-level sites are sites that adapt to a specific user. Such sites can take into account information about the client and generate content that is necessary for him.

Personalized sites organize their user profile in such a way that the most popular materials are presented in the most convenient form. For example, registered users of a support site can get their queries answered faster because the registration system knows about computer equipment, which each of them uses, and can give a more accurate answer. Moreover, the registration system can be self-learning and analyze all requests of a particular user. Various groups consumers can receive data with a different set of properties. Companies have always collected information about potential consumers and their preferences. However, only the Internet allowed users to transmit information about their preferences to producers of goods and services.

Third-tier Web sites made it possible to use information obtained from a customer to improve service to that customer. Interactive dialogue has allowed companies to provide each consumer with exactly the products and services they need.

Thus, Internet marketing has determined the trend of transition from brand management to consumer management.

Online marketing focuses on studying changes in consumer behavior when working online and optimal organization a mode in which it would be easy for the consumer to find the necessary material.

Internet Marketing(English) internet marketing) is the practice of using all aspects of Internet advertising to elicit a response from audiences, which includes both the creative and technical aspects of the Internet, including design, development, advertising and marketing.

To methods internet marketing include search engine marketing (this includes both website search engine optimization and PPC advertising), banner advertising, e-mail marketing, affiliate marketing, interactive advertising and e-mail advertising.

general information

Internet marketing is a component of e-commerce. It is also called Online marketing. It may include information management, PR, customer service and sales. E-commerce and internet marketing have become popular with increasing access to the Internet and are an integral part of any normal marketing campaign. The segment of Internet marketing and advertising is growing both in the consumer sector, as evidenced by the emergence of more and more online stores every day, and in the B2B market.

Internet Marketing first appeared in the early 1990s when text-based websites began posting product information. After some time, Internet marketing has grown into something more than the sale of information products; trade is now underway information space, software products, business models and many other goods and services. Companies such as Google, Yahoo, and MSN have elevated and segmented the online advertising market by offering local advertising services to small and medium-sized businesses. The return on investment has increased and costs have been reduced. This type of marketing has become the basis of modern capitalism, which allows anyone with an idea, product or service to reach the widest possible audience.

Using the phrase Internet Marketing usually involves the use of direct response marketing strategies that are traditionally used in direct mailing lists, radio and television commercials, only here they are applied to the business space on the Internet.

These methods have proven to be very effective when used online, due to the ability to accurately track statistics, coupled with the ability to be in relatively constant contact with consumers, whether in the B2B or B2C (business-to-consumer) sector. This precision analysis capability is now ubiquitous, which is why it is so common to see terms such as ROI, conversion rate, and instantly get statistics on sales, demand, etc.

Business models

Internet Marketing associated with several business models. The main models are business-to-business (B2B) and business-to-consumer (B2C). B2B consists of companies doing business with each other, while B2C involves direct sales to the end consumer. When internet marketing first emerged, the B2C model was the first to emerge. The B2B scheme turned out to be more complex and began to operate later. The third, rarer model is user-to-user (P2P), where ordinary Internet users trade with each other and sell goods to each other. As an example, we can cite the international eBay auction or the Kazaa file sharing system.

Advantages

Internet Marketing First of all, it provides the consumer with the opportunity to obtain information about products. Any potential consumer can use the Internet to obtain information about a product, as well as buy it. Although, if there is no information about your product there, or he does not find it, then most likely he will purchase the product from your competitor.

In addition, companies that use Internet marketing save money on both sales personnel and advertising. And most importantly, Internet marketing allows you to expand the company’s activities from the local market to the national and international market. At the same time, how large companies, and small ones, have more balanced chances in the struggle for the market. Unlike traditional advertising media (print, radio and television), entering the market via the Internet is not very expensive. An important point is that, unlike traditional marketing promotion methods, Internet marketing provides a clear statistical picture of the effectiveness of a marketing campaign.

Compared to other types of media marketing (print, radio and television), internet marketing is growing very quickly. It is gaining increasing popularity not only among businesses, but also ordinary users who want to promote their website or blog and make money from it. However, in developed countries, Internet marketing and advertising costs account for about 5% of total advertising costs.

Restrictions

Limitations in Internet marketing create problems for both companies and consumers. If a consumer has a slow Internet connection, this makes it difficult to use animated videos, presentation films and high-quality graphics in advertising, although, in principle, the problem with speed is a matter of time; every day there are fewer and fewer “slow” users. High-speed Internet takes the place of dial-up.

The next disadvantage is that Internet marketing does not allow consumers to try out a product before making a purchase. But most consumers solve this problem simply. They get acquainted with the product they are interested in in a regular store, and make a purchase in an online store. Germany, for example, passed a law in 2000 (Fernabsatzgesetz, later merged with the BGB), according to which any buyer can return an item purchased online without any explanation and receive a full refund. This is one of the main reasons why online trading is so developed in Germany.

Another inhibitory factor is the limited payment methods that consumers trust. But, in principle, all these restrictions apply only to B2C.

Safety

For both companies and consumers involved in online business, security issues are very important. Many consumers are afraid to shop online because they are not sure what their personal information will remain confidential. There have already been cases where companies that were engaged in online business were caught disclosing confidential information regarding their clients. Some of them declared on their websites that they guarantee the confidentiality of consumer information. By selling information about their clients, such companies violate not only their declared policies, but also the laws of several states at once.

Some companies buy information about consumers, then offer the consumer money to remove this information from the database. Either way, many consumers are unaware that their private information is being shared and are unable to prevent unscrupulous companies from sharing this information.

The issue of security is one of the main ones for companies that take business on the Internet seriously. Encryption is one of the main methods used to ensure the security and confidentiality of data transmitted on the Internet.

The effect of Internet marketing on business

Internet marketing has had a huge impact on a number of business areas, including the music industry, banking, and the portable electronic devices market ( Cell phones, players, etc.), the so-called “flea market” and most importantly - for advertising.

IN music industry many consumers began purchasing and downloading MP3 music over the Internet instead of purchasing CDs.

Internet Marketing also affected the banking industry. An increasing number of banks are offering their services online. Online banking is more convenient for the client, as it eliminates the need to visit the bank or its branches every time. In the United States today, about 50 million people use online banking services. Online banking is one of the fastest growing sectors of internet business. Increasing Internet connection speeds play an extremely important role in this. Of all Internet users, about 44% use Internet banking services.

Online auctions have gained popularity, and flea markets are struggling to survive. Unique items that used to be found at flea markets are now sold on online auction sites such as eBay. Also, the development of auctions has greatly influenced the prices of unique and antique items. If before it was difficult to find information about the price, now you can look at the price of a similar item at auction. And at least have general idea about the cost of the goods, since you can always find out how much this or that item was sold for. More and more sellers of such products are conducting their business online from home.

The effect on the advertising industry was and remains truly enormous. In just a few years, online advertising has skyrocketed to tens of billions of dollars per year. Advertisers began to actively change their preferences and today Internet advertising already occupies a larger market niche than radio advertising (in developed countries). Internet marketing has had a significant impact on the B2B sector, and this influence is increasing every day.

Today it is difficult to find a large industrial enterprise that does not promote itself online. Growth trends can be easily seen by the constant expansion of online trading platforms, as well as the growth in their number. Online trading platforms have long ceased to be the bulletin boards from which they grew. Today some of them have become large corporations, providing a range marketing services. Prices for participation on such platforms (meaning privileged membership) are also rising, despite the fact that their number is increasing.