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  • Level: GCSE
  • Subject: ICT
  • Word count: 3036

This paper looks for the impact the Internet has on branding now and in the future.

Extracts from this document...

Introduction

1 Executive Summary This paper looks for the impact the Internet has on branding now and in the future. Therefore a short overview over the different views about branding in the last decades is given. The way from "brand as a physical entity" to "brand as a set of rational and emotional attributes", over to "brand as experience", finally to" brand as a set of defining relationships that people value" is shown. It argues that the principles of branding have changed not much because of the rising of the internet and are still valid, but that the view of branding has changed from being a one way street where the company tells the customers what they should think about the brand to a two way communication model. This fact is identified as a current issue in marketing. The view that branding is all about communication has changed to the believe that branding is about creating relationships with the customer and all partners that they value. The impact of this new view on the development of marketing strategy is investigated. Four phases of development and implementation of the Internet within organisations are identified. (Doren 2000) It is found that the impact that the Internet has on the marketing strategy of an organisation depends very much on the phase that that organisation is on. In a next step, the impact of the change of branding as communication to branding equals building valued relationships and its influences on the marketing functions is investigated. As a conclusion, it is found that this market-orientated emphasis requires a new management approach, seeing marketing less as a specialist function and more as a part of overall management responsibilities. ...read more.

Middle

This effects not only the online customer relationships but also all offline connections between the company and the customer. The same is valid for all the other relationship a company has. Only companies that react to this demand will be successful in the future market. 4.2 Effects on the development of marketing strategy Doren (Doren 2000) suggests that there are four main stages to the development and implementation of the Internet within organisations. The spectrum of Internet opportunities range from the use of the Internet as a: * shop window (I would like to look at what you have to offer) * enquiry (may I know more about that one please) * interactive engagement (I would like to buy that one and have it delivered please) * fully integrated or embedded with the business system procedures of partner organisations. Phase Explanation Technological/organisational involvement Departments involved Presentation or 'shop window' - look what we have got Website projects name and identity of organisation and displays products and services Low - externally managed Website - Internet Marketing, IT, external Web agency Enquiry'... and contact us to find out more' Presentation still important but site now permits registration, email enquiries and limited interrogation Medium - externally managed Web site, staff access to email - Internet and possible Intranet Marketing, IT, external Web agency, sales or call centre staff. Interaction - 'buy online and we will deliver' Stronger two way communications is now established and full interaction is enabled High - requires security and invoicing; logistics to convert on-line order to standard order systems - Internet and Intranet Marketing, IT, sales, accounts, dedicated process staff Embeddedness - Web ...read more.

Conclusion

Online Marketing is like the building of a pool. The customer decides if he is going in or not, when he is going and how long he is staying and at what time he returns. Good online marketing creates attractive pools. (Translated from Krause 1999). As suggested before, Doren (Doren 2000) sees four main stages to the development and implementation of the Internet within organisations. The impact that the Internet has on the marketing strategy of an organisation depends very much on the phase that organisation is on. All the steps of development in advertising are still true. The core principles of branding are the same online as they are offline. But the Internet is not just another channel for communication. On the internet, brand transactions are much more transparent and immediate. All parts of the organisations have do be part of the communication strategy. The main point is that the focus for branding has to understand the customer's real needs, developing the service and products to meet these needs, defining the brand promise around them and then living up to that brand promise. The internet is a tool that provides the possibilities to do this, because it supports the ability to build up valued relationships with different stakeholders through its interactive nature. "Fundamentally it enables us to find out what our customers really want, to invite feedback, to assist when there are problems and to reward than for their loyalty." (Rubinstein 2002) All companies that have not yet implemented a real business strategy of two way communications and an integrated marketing communications strategy to all business activities throughout the organisation, suppliers and customers, gives the implementation of the Internet into their organisation a chance and a drive to do so. ...read more.

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