Social media marketing is a form of internet marketing that involves creating and sharing content on social media networks in order to achieve marketing and branding goals.
It includes activities such as posting text and image updates, videos, and other content that achieves audience engagement, as well as paid social media advertising.
Viral marketing is when consumers are encouraged to share information online about the products of a business.
e-commerce is the ‘online’ buying and selling of goods and services using computer systems linked to the internet and apps on mobile phones.
Websites can be used to promote the company and its products worldwide much more cheaply than other forms of marketing (e.g. setting up shops in many countries).
Orders can be taken via the internet and sent directly to the warehouse for dispatch.
Consumers might be encouraged to purchase more products than intended by attractive and easy-to-follow websites (e.g. links to other products that could be bought with the original purchase).
Can easily make online purchases of supplies and materials from other businesses, called business-to-business (B2B) e-commerce.
Selling onlinme makes dynamic pricing much easier for businesses.
Since many businesses are now offering e-commerce websites, the competition is very high. If a business charges higher prices than competitiors, consumers can easily find an alternative.
Website design must be very clear, attractive, and easy to handle. Website designs can be expensive, and frequent updates add more costs.
Transport costs per product sold are likely to be higher than selling through traditional shops. The business has to consider whether the consumer has to pay for these costs, or if that becomes uncompetitive for the business.
No face-to-face contact, which does not give the business useful market research feedback.
Consumers in most countries have the legal right to reject goods brought through e-commerce because they have not seen, touched, or worn the actual good. Returns can add to business costs.
A large warehouse + efficient inventory control system is essential to fulfil consumers’ orders accurately and efficiently despite not needing to establish shops in many countries.
e-commerce is not suitable for businesses that sell personal services because this may require face-to-face service for consumers
No need to leave the house to go shopping, allowing for convenience.
Comparisons between prices and products or services offered can be easily made by going from one website to another, or using price comparison websites.
Payment by credit or debit card is easy.
Consumers can now easily access products and services from businesses located abroad. This would be expensive without e-commerce.
Consumers can buy some products for prices much lower than they would be without the competition of e-commerce.
Customers can buy parts or components from manufacturers without the addition of retailers’ profit margin.
Packaging and transport costs have fallen due to competition on the internet, making it cheaper to buy from abroad now.
Consumers need access to the internet to see and purchase products or services.
Computer systems failures or weak internet connections can result in frustrated consumers who are unable to access websites or make their purchases.
Products can’t be seen, touched or tried on and returning products because they are unsuitable is often inconvenient.
No face-to-face contact with sales staff so it can be difficult to find out more info about the good or service being sold other than that which is provided on the website.
Note that in the book it is quite old. It is now possible to email, call, or make meetings with these sales staff.
Many consumers are concerned about identity theft or fraudulent use of credit cards if they buy goods online.
*Again, the book is quite old. Security systems have significantly improved.