Technology and the Marketing Mix

• E-commerce: the use of the internet and other technologies used by businesses to market and sell goods and services to customers.
• Viral marketing: when consumers are encouraged to share information online about the products of a business.
• Social media marketing: a form of Internet that involves creating and sharing content on social media network in order to achieve marketing and branding goals
• Price:

  • using the internet to adjust prices according to online demand
  • leads to higher revenue as prices are raised online when demand increases

  BUT

  • consumers can feel that they are being exploited if prices rise for popular products
• Promotion:

  • social media sites to promote goods and services
  • viral marketing to encourage social media users to pass on promotion messages
  • majority of younger consumers will be social media users
  • allows two-way communications with consumers

  BUT:

  • may not reach many consumers who do not

  use social media
• • Business opportunities
  • global promotion
  • customers order and pay online
  • cuts out shops
  • supplies/components can be ordered
  • Business threats:
  • customers compare with competitors easily
  • good website essential
  • no face-to-face contact
  • no shops to hold inventories
  • transport costs to customers
• • Consumer threats:
  • no face-to-face contact with producer/retailer
  • no 'try before you buy'
  • access to internet essential
  • security risks
  • Consumer opportunities:
  • easy comparison
  • wider choice
  • competitive prices
  • convenience
  • easy payment