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Unit II - B2C Internet Marketing


No business-to-consumer (B2C) company could survive — never mind thrive — without doing some kind of marketing. B2C marketing, which differs from business-to-business (B2B) marketing in that it focuses on promoting goods and services to individual consumers (rather than other organizations), is the wizardry that makes a company both visible and attractive to their target audience. 
It’s how you create interest in your offering, how you bring in new customers (acquisition), how you hold onto existing ones (retention), how you boost sales, and how you turn your hard work into profit. It is, in many ways, the lifeblood of a business. But “doing” B2C marketing isn’t as simple as shouting from the rooftops about your new clothing line or app. You need to know who you’re talking to. You need to be familiar with the channels available to you. And fortunately, thanks to digital transformation, there are now plenty. 
The rise of online media and technologies has laid the foundation for a heap of new ways to engage with customers — alternatives that allow for greater personalization, interactivity, automation, and measurability. Think about social media marketing, email marketing, video marketing, etc. A world of possibilities awaits you. But where do you start? That’s where this guide comes in. 
We’ll discuss the B2C model, highlight the differences between B2B and B2C marketing and review some of the most effective B2C marketing channels. We’ll also explore various tried-and-tested tactics and strategies that business owners and marketing professionals can apply today to achieve results tomorrow. By the end, you should be well-positioned to help your company not just survive but thrive.

What is B2C internet marketing?

Before diving into the ins and outs of B2C marketing, it’s worth exploring what B2C is more generally. After all, you need a clear understanding of this professional operating model in order to target your B2C marketing efforts more effectively.
Broadly speaking, B2C business refers to commercial transactions and exchanges between companies and individual consumers. B2C companies sell products and services directly to the public for personal use, often via an online platform. The everyday consumer as the target market is what ultimately differentiates B2C enterprises from business-to-business (B2B) companies, which, as the name suggests, focus on selling their wares to other companies. Apple, Tesco, Starbucks, Amazon, YouTube, and Lyft are just a few examples of successful B2C businesses. 

The B2C business model: Definitions, considerations, types, and examples

While definitions of the term “business model” vary widely, it’s helpful to think of the concept as a framework that outlines how an enterprise operates, how it makes money, who it caters to, and how it creates and delivers value to customers. A business operating under a B2C business model earns revenue by catering to the needs and wants of everyday individuals. Over time, many different types of business models have popped up under the B2C umbrella, especially as new digital technologies and platforms have created novel means of making money.
Advantages of internet marketing:
1. Convenience and Quick Service
The incredible the convenience of marketing online is one of the biggest advantages of internet marketing. The internet has extremely easy accessibility with consumers using the internet and reaching markets anywhere in the world. Because of this, purchasing goods from across borders now reduces the cost of transportation.
2. Low Cost for Operations
One of the main advantages of online marketing for businesses is its low operating cost. You can advertise cheaper with internet marketing than with traditional methods of advertisement such as ads in newspapers, on television and on the radio. In online marketing, you can easily get a free listing in a wide range of business directories.
3. Measure and Track Results
An aspect of internet marketing that is rarely available with traditional marketing is the ability to measure and track results. With online marketing, your business can utilize varying tools for tracking the results of your advertising campaigns. Using these tools, not only can you measure and track but also illustrate the progress of your marketing campaign in detailed graphics.
4. Demographic Targeting
Marketing your products and services online gives you the ability to target an audience based on demography. This allows you to concentrate your efforts on the audience that you truly want to offer your products or services. With demographic targeting, you can better target your marketing efforts on specific demographic regions.
5. Global Marketing
The ability to market your products and services globally is one of the biggest advantages of global marketing for business. Within several months of aggressive SEO, you can secure millions of viewers and reach huge audiences from across the world. With internet marketing, you can easily reach beyond your geography to offer your products or services to customers worldwide. Wherever your target audiences are, you can easily reach them 24/7 and from any country all over the world. If your audience consists of more than your local market, utilizing global marketing offers you a great advantage.
6. Ability to Multitask
One of the core benefits of online marketing is its ability to handling millions of customers at the same time. As long as a website’s infrastructure is efficient, numerous transactions can easily take place simultaneously.
However, even with a large number of transactions taking place, your website is capable of providing satisfactory service to every customer who makes a purchase online, without the risk of diminished satisfaction. This high adaptability of internet marketing is an important benefit that businesses can take advantage of to provide their consumers with the best shopping experience.
7. 24/7 Marketing
Internet marketing reduces cost and runs around the clock. That means that your marketing campaigns run for 24 hours a day, 7 days a week. Compared to traditional marketing, internet marketing does not constrain you with opening hours. At the same time, you would not be worrying about overtime pay for your staff.
8. Time-Effective Marketing
Unlike traditional marketing, internet marketing is easy to start and quick to implement. You can easily set up a marketing campaign at any time that is convenient for you. In fact, you can set up email marketing for your business within only a matter of hours. Within the next few minutes, you can set up an autoresponder and create a marketing list for your business.
Marketing channel
Brands involved in selling through marketing channels (also commonly known as distribution channels) have relationships with the channel partners (local resellers, retailers, field agents, etc.) that sell their products or services to the end customer. Brands that aim to maximize sales through channel partners provide them with advertising and promotional support that is pre-configured and often subsidized by the brand. A marketing channel is the people, organizations, and activities necessary to transfer the ownership of goods from the point of production to the point of consumption. It is the way products get to the end-user, the consumer; and is also known as a distribution channel.[1] A marketing channel is a useful tool for management,[2] and is crucial to creating an effective and well-planned marketing strategy.




Producer → Customer (Zero-level Channel)

The producer sells the goods or provides the service directly to the consumer with no involvement with a middle man such as an intermediary, a wholesaler, a retailer, an agent, or a reseller. The consumer goes directly to the producer to buy the product without going through any other channel. This type of marketing is most beneficial to farmers who can set the prices of their products without having to go through the Canadian Federation of Agriculture. Typically, goods that are consumed by a smaller segment of the market have influence over producers and, therefore, goods that are produced in the response on the order of a few consumers are taken into account. Normally the goods and services of this channel are not utilized by large market segments. Moreover, the price of the goods may be subject to significant fluctuations. For example, high demand dictates an increase in the price.
Producer → Retailer → Consumer (One-level Channel)
Retailers, like Walmart and Target, buy the product from the manufacturer and sell them directly to the consumer. This channel works best for manufacturers that produce shopping goods like, clothesshoesfurnituretableware, and toys. Since consumers need more time with these items before they decide to purchase them, it is in the best interest of the manufacturer to sell them to another user before it gets into the hand of the consumers. It is also a good strategy to use another dealer to get the product to the end-user if the producer needs to get to the market more quickly [8] by using an established network that already has brand loyalty. In accordance with the form of the retail property, operators can be an independent company, owned by a different owner or to engage in the retail network. Intermediaries (retail service) are essential and useful due to its professionalism, and ability to offer products to the target market, using their connections in the industry, experience, the advantages of specialization and the high quality of work.[9] The fact suggests that manufactories produce large goods and products but limited in its assortment and merchandise.
Producer → Wholesaler → Retailer → Customer (Two-level Channel)
Wholesalers, like Costco, buy the products from the manufacturer and sell them to the consumer. In this channel, consumers can buy products directly from the wholesaler in bulk. By buying the items in bulk from the wholesaler the prices of the product are reduced. This is because the wholesaler takes away extra costs, such as service costs or sales force costs, that customers usually pay when buying from retail; making the price much cheaper for the consumer. However, the wholesaler does not always sell directly to the consumer. Sometimes the wholesaler will go through a retailer before the product gets into the hands of the consumer. Each dealer (the manufacturer, the wholesaler, and the retailer) will be looking to make a decent profit margin from the product. So each time the buyer purchases the merchandise from another source, the price of the product has to increase, in order to maximize the profit each person will receive. This raises the price of the product for the end-user. Due to the simultaneous and joint work of wholesaler and retailer, a trade can only be beneficial if; a market is situated on a larger area, the supply of goods and products is carried out small but urgent consignments (products), and it can be cost-effective and profitable by supplying bigger consignments (products) to fewer customers. Industrial factories are in the sleek of using advantages of mass production in order to produce and sell big lots (batches) while retailers look and prefer purchasing smaller consignments. This method for factories could lead to instant sales, high efficiency, and cost-effectiveness. 
Producer → Agent/Broker → Wholesaler or Retailer → Customer (Three-level Channel)
This distribution channel involves more than one intermediary before the product gets into the hands of the consumer. This middleman, known as the agent, assists with the negotiation between the manufacturer and the seller. Agents come into play when the producers need to get their product into the market as quickly as possible. This happens mostly when the item is perishable and has to get to the market fresh before it starts to rot. At times, the agent will directly go to the retailer with the goods or take an alternate route through the wholesaler who will go to a retailer and then finally to the consumer. Mutual cooperation normally occurs when parties, in particular, the last channel of marketing chain of distribution meet. Due to the fact that producers, agents, retailers/wholesalers and consumers of this channel aid each other and benefit from each other. Their cooperation generates a greater output in terms of further profitability, by discernment and exploring newer markets of sales and building a better business relationship. The participants of distribution channels must have knowledge and experience not only for the effective maintenance of target segments but also to maintain the competitive advantage of the manufacturer. For example, an Agent who is able to vary prices for certain products can negotiate and or lower prices. This will assist him in sustain the comparative advantage, stay on top of its competitors and stay demanded on the market. A Broker works mainly to bring the seller and the buyer and to assist in the negotiation process. An intermediary like Broker is usually dependent on the commission of a sold product or production in terms of goods. 

Internet branding

Internet branding (also referred to as Online branding) is a brand management technique that uses the World Wide Web & Social Media Channels as a medium for positioning a brand in the marketplace. Branding in the digital age is increasingly important with the advancements of the internet. Most businesses are exploring various online channels, which include search engine, social media, online press releases, online marketplace, to establish strong relationships with consumers and to build their brands awareness.

Advantages

Strengthen the customer relationship
The Internet is a powerful branding tool for many businesses as it offers numerous ways to promote a business. Interactivity is one of the natures of the Internet helps companies communicate the brand messages instantly and talk to consumers directly, generating exclusive and individual interactions with them. Consumer’s potential purchasing behaviours can be influenced by brand knowledge and familiarity, so that good online branding can establish closer customer connections with brands and strengthen customer loyalty and relationship.
Develop Brand alliances
Online branding involves different brand positioning and marketing strategies, which can not only differentiate separately branded products but also bring together endorser brands. For example, Library Websites are a prime example of such linking between the university website and other database or publisher websites such as FirstSearch and SpringerLink. In the new economy with the convergence of technology, online branding provides the opportunity for companies to develop brands alliances and networks to maximise the brand influence.
Diverse the brand meaning
Online branding makes the company have the chance to communicate with customers directly and also provides the opportunity to gather customer information for companies to build a database of customer purchase pattern. The data can be used to segment customers into specific groups with specific needs, even offer customised services. Therefore, the customisation and targeting to smaller groups may generate the diversity of experience with the same brand. The same brands have different meanings for different groups of customer.
Management of different communication channels
Online branding, in general, will cover the most popular social media platforms with different websites or mobile applications. Companies need to make sure the consistency of the branding content across these channels.
In addition, it is also, a challenge for the company to find and solve the complaint comments on brands in time, minimising the negative effect.
Online publishing or Electronic publishing
Electronic publishing (also referred to as e-publishing or digital publishing or online publishing) includes the digital publication of e-booksdigital magazines, and the development of digital libraries and catalogues. It also includes an editorial aspect, that consists of editing books, journals or magazines that are mostly destined to be read on a screen 
The traditional publishing, and especially the creation part, were first revolutionized by new desktop publishing software’s appearing in the 1980s, and by the text databases created for the encyclopaedias and directories. At the same time, the multimedia was developing quickly, combining book, audio-visual and computer science characteristics. CDs and DVDs appear, permitting the visualization of these dictionaries and encyclopaedia’s on computers.
The arrival and the democratization of the Internet is slowly giving small publishing houses the opportunity to publish their books directly online. Some websites, like Amazon, let their users buy eBooks; Internet users can also find many educative platforms (free or not), encyclopaedic websites like Wikipedia, and even digital magazines platforms. The eBook then becomes more and more accessible through many different supports, like the e-reader and even smartphones. The digital book had, and still has, an important impact on publishing houses and their economical models; it is still a moving domain, and they yet have to master the new ways of publishing in a digital era.[21]
The Advantages of Electronic Publishing over Paper Printing
Electronic documents can contain live links: This is one of the primary advantages of electronic publishing beyond the cost savings, allowing readers to drill down to more detailed information on important topics.
Electronic documents can be available to everyone who needs them instantly, regardless of the users' physical locations worldwide. Not only are electronic documents available at all corporate offices as soon as they are published, but they are also available to authorized readers who are out of the office, including outside sales and support personnel and travelling executives.
Electronic publishing ensures that everybody is using the most up-to-date copy. Documents change, and keeping paper copies up-to-date can be very demanding and simultaneously very important. This is particularly true of large “living” documents such as repair manuals. But it is also important for small, vital documents such as price lists and other sales collateral. An outside salesperson who hasn't received the latest price sheet might quote an incorrect price to a customer, creating an embarrassing situation. Because electronic publishing only maintains one, a master document that all users access, updating is assured.
Documents are more secure. Paper documents can be mishandled, lost, stolen, or purposely copied and shared with unauthorized individuals. Perhaps the most dramatic such case was a Sunday IRA bombing of a London bank office building. No one was injured, but hundreds of pages of confidential information were blown out the shattered windows to fall onto the street below. In another case that became famous during the HIPAA debates of the 1990s, the medical records of a then famous female figure skating champion involved in a one-car accident became public when an overworked nurse left the paper file on the nursing station counter, where a reporter read the skater's blood-alcohol level. The personal data was on the front-page news the next morning.
Electronic documents are parallel; paper is serial: An electronic document is available to all authorized users simultaneously. A paper copy can only be read by one person at a time. This is particularly important for documents that only have one copy, such as medical records. The location of a patient file that is on a cart somewhere in the hospital can literally be a life-and-death matter in a medical emergency.
Electronic documents are never misfiled or lost: Because master documents never leave the database and are only viewed by or shared with users over the network, they cannot be misfiled. And strong DR can ensure that, if the system itself malfunctions, the documents can be restored quickly without loss.

Digital Copyright and electronic publishing

In the early 2000s, many of the existing copyright laws were designed around printed books, magazines and newspapers. For example, copyright laws often set limits on how much of a book can be mechanically reproduced or copied. Electronic publishing raises new questions in relation to copyright, because if an e-book or e-journal is available online, millions of Internet users may be able to view a a single electronic copy of the document, without any "copies" being made.
Emerging evidence suggests that e-publishing may be more collaborative than traditional paper-based publishing; e-publishing often involves more than one author, and the resulting works are more accessible since they are published online. At the same time, the availability of published material online opens more doors for plagiarism, unauthorized use, or re-use of the material. Some publishers are trying to address these concerns. For example, in 2011, HarperCollins limited the number of times that one of its e-books could be lent in a public library. Other publishers, such as Penguin, are attempting to incorporate e-book elements into their regular paper publications.

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