DIGITAL MARKETING PLAN, SEGMENTATION & COMMUNICATION

            DIGITAL MARKETING PLAN, SEGMENTATION & COMMUNICATION

E-MARKETING PLAN

• The e-marketing plan is built exactly on the same principles as the classical plan. 

• There is no different approach, but there might be some formal differences given by the uniqueness of the internet environment. 

• Many of these differences come from the necessity to ensure a high rate of responsiveness from the customers, since the e-world is moving faster and requires faster reaction from its companies, compared to the traditional offline marketplace.

• There are two common types of e-marketing plans: 

                       - The napkin plan 

                       - The venture capital plan

1. THE NAPKIN PLAN

• Some small companies were known to simply jot their ideas on a napkin over lunch and then run off to find financing. 

• The big company version of this is the just-do-it. An employee has an idea, and convinces management to just do it. 

• These plans sometimes work and are sometimes even necessary but they are not recommended when substantial resources are involved. 

• But, sound planning and thoughtful implementation are needed for long-term success in business.

2. THE VENTURE CAPITAL E-MARKETING PLAN

• Small to mid-sized firms and entrepreneurs with start-up ideas usually begin with a napkin plan without going through the entire traditional marketing planning process. 

• But as the company grows and needs capital, it has to put together a comprehensive e-marketing plan. 

• Investors are looking for a well-composed business plan, and more importantly,a good team to implement it. 

• The business plan should contain enough data and logic to prove that: – The e-business idea is solid – The entrepreneur has some idea of how to run the business

A SEVEN STEP E-MARKETING PLAN

                     

01. SITUATION ANALYSIS

• Review the firm’s environment (PESTEL) and conduct SWOT analyses. 

• Review the existing marketing plan and any other information that can be obtained about the company and its brands. 

02. E-MARKETING STRATEGIC PLANNING 

• Determine the fit between the organization’s objectives, skills, and resources and its changing market opportunities. 

• Strategies: 

– Segmentation 

– Targeting 

– Differentiating 

– Positioning

03. OBJECTIVES  

• Identify general goals/objectives flowing from e-business strategy. 

• Objectives should SMART: 

• Specific – target a specific area for improvement. 

• Measurable – quantify or at least suggest an indicator of progress. • Assignable – specify who will do it. 

• Realistic – state what results can realistically be achieved, given available resources. 

• Time-related – specify when the result(s) can be achieved.

4. E-MARKETING STRATEGY

• Identify revenue streams suggested by e-business models. 

• Strategies – Design the basic offer, value, distribution, communication, and market/partner relationship management strategies to create a competitive edge. 

5. IMPLEMENTATION PLAN

• Design e-marketing mix tactics: 

• Product/service offering 

• Pricing/valuation 

• Distribution/supply chain 

• Integrated communication mix 

• Design relationship management tactics 

• Design information gathering tactics 

• Design organizational structures for implementing the plan

6. BUDGETING 

• A key part of any strategic plan is to identify the expected returns from an investment. 

• Returns are matched against costs to develop a cost/benefit analysis, ROI calculation, or internal rate of return (IRR) -Determine whether the effort is worthwhile. 

E-Marketing Costs 

• Costs for employees, hardware, software, programming, and more. 

• Some traditional marketing costs may creep into the e-marketing budget 

• Few of the costs site developers incur: 

– Technology costs: software, hardware, Internet access or hosting services,educational materials and training,and other site operation and maintenance costs. 

– Site design. Web sites need graphic designers to create appealing page layouts,graphics,and photos

7. EVALUATION PLAN

• Once the e-marketing plan is implemented, its success depends on continuous evaluation. The tracking systems should be in place before the electronic doors open. 

• What should be measured? The plan objectives need to be evaluated with: 

- Balanced scorecard for e-business 

- ROI or IRR

PLANNING TOOLS

• SOSTAC model 

• SOSTAC stands for: 

– Situation – where are we now? 

– Objectives – where do we want to be? 

– Strategy – how do we get there? 

– Tactics – how exactly do we get there? 

– Action – what is our plan? 

– Control – did we get there?

• RACE Model

• There is also an initial phase of plan involving creating the overall digital strategy, objective setting and plan, so sometimes call it PRACE. 

• RACE stands for: 

– Reach:  Grow your audience online 

– Act:  Encourage brand interactions and leads 

– Convert:  Increase sales through optimisation 

– Engage:  Build customer loyalty and advocacy 

DIGITAL SEGMENTATION

                          

E-MARKETING COMMUNICATION 

                         

Paid media   

Paid media is when you pay to leverage a third-party channel, such as sponsorships and advertising on third-party sites. 

• Anything that is paid for to drive traffic to owned media properties; you pay to increase your exposure through the channel. 

• Paid media is a good way to promote content in order to drive earned media, as well as direct traffic to owned media properties.

Owned media 

• Owned media is any web property that you can control and is unique to your brand. 

• The more owned media you have, the more chances you have to extend your brand presence in the digital sphere.  

Earned media 

• If owned media sites are the destination then earned media is the vehicle that helps people get there. 

• Earned media is essentially online word of mouth, usually seen in the form of 'viral' tendencies, mentions, shares, reposts, reviews, recommendations, or content picked up by 3rd party sites.