Marketing and E-Commerce

Viral … It sounds like … you want to avoid like the plague. But it’s really … you and your business need to catch now.If you’re not yet familiar with the term “viral …

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Viral marketing. It sounds like something you want to avoid like the plague. But it’s really something you and your business need to catch now.

If you’re not yet familiar with the term “viral marketing” let me give you a basic definition. Viral marketing is simply a strategy that encourages individuals to “willingly” pass on a marketing message to others. It takes advantage of rapid multiplication to explode your marketing message to thousands or millions of people.

A viral marketing virus acts similar to a biological virus. But,Viral Marketing Methods and Applications Articles the big difference between a viral marketing virus and a cold or flu virus is that people willingly pass the marketing message on. Not too many people really want to share their cold with others, but they’ll be more than happy to spread your “digital virus”. And when they spread it, they can spread it much farther than a biological virus. Your message can spread around the world in a matter of hours.

To summarize the benefits of viral marketing:

1. It’s cheap. You can create your own viral marketing message in the form of an e-book or video and then it costs you little or nothing to get the message out.

2. You can reach a huge audience. There is no other way your message can spread so quickly to a large audience for so little cost than with viral marketing. And the best part is that people are passing your message to their friends and associates so you get an implied endorsement from them.

3. You can build your reputation. If you create good, quality information that’s being passed around, you can quickly be recognized as a expert. And when you have the reputation as being an expert in your field, you sell more products. You “build your brand” faster with viral marketing.

4. You can combine it with other marketing methods. This is a method you absolutely should be using with your email marketing and affiliate programs. Email is still the most effective way of spreading your virus. You can also use it with off-line advertising such as direct mail, classified advertising, or display advertising to drive people online.

5. You can sell products other than your original target product. You may create a viral message to sell one product but find out that your potential customer is interested in another of your products instead.

6. Viral marketing tools are easy to develop. There are easy ways to create e-books even if can’t write (or think you can’t). There are also easy tools to create viral marketing videos. It doesn’t take a big budget or a lot of talent to create a viral marketing virus.

These are the major benefits of viral marketing. When you use it you may find others that are unique to your business.

The concept of viral marketing really isn’t new. Off the Internet it is essentially any form of “word-of-mouth” advertising. It also works similar to “network marketing.” However, just like all things Internet, it can’t have a normal name. Before the Internet who would have imagined naming a company something like Yahoo! or Google? Or how about using words like “spam” other than for an unidentifiable meat product. Regardless of how it sounds, the term viral marketing is the perfect descriptor of this Internet marketing method.

Just exactly how viral marketing on the Internet started could be somewhat of a debate. Where it became the most effective moneymaker is probably not so debatable.

Likely the first effective use of viral marketing was with the free e-mail service Hotmail, which is now owned by Microsoft. Hotmail was started by two guys named Sabeer Bhatia and Jack Smith, who were upset that they couldn’t use their employer’s email system to send email to their friends.

After they started the e-mail service, word of the e-mail service spread like wildfire and they had over 22 million subscribers within 24 months. Microsoft later bought Hotmail for around $400 million dollars.

Why did the news of Hotmail spread so fast? Simply because they gave away free e-mail addresses and services and at the bottom of every email sent was a tag that said: “Get your private, free email at http://www.hotmail.com”.

Everyone who opened an email saw it. And when they passed on the email to their friends or associates they saw it too. So a single email could multiply and spread just like a virus. It turned into a “Viral Marketing Pyramid.”

When your viral message gets passed to someone, they become a “Host” for your virus. Then they become a “sneezer.” When they “sneeze” (send out your message), they spread the virus. For viral marketing sneezing is a good thing. The more people you have spreading your virus the better.

Of course we can’t all hope for the same success as experienced by Hotmail. But you can still be wildly successful even if your marketing message spreads to only a tiny fraction of the number of people Hotmail’s did. To be successful, however, your viral marketing campaign should contain the following elements.

Elements of a Successful Viral Marketing Campaign

1. Offer something for free

Hotmail was such a huge success because it gave away something for free. No matter how much exposure people have to the word “free,” it still holds tremendous power. Although, you don’t have to use the word free in your campaign if it’s well implied.

Take for example a couple of videos that were done by a company called Jib Jab Media (www.jibjab.com). They created a video called “This Land” which was a satirical look into the 2004 presidential election race between President George Bush and Democratic presidential contender John Kerry. This video spread like wildfire across the Internet and created instant recognition for Jib Jab. It was so popular that Jay Leno of The Tonight Show commissioned Jib Jab to do a second one called “Good To Be In DC.”

In a lot of cases, viral marketing is all about delayed gratification. A successful campaign may not bring you immediate profit, but it sets the stage for future profits either through email addresses collected, advertising revenues, or sales of other products.

2. Make it easy for people to spread your message

Do you remember a time when you had a cold or flu and one of your family members caught it? You didn’t have to work too hard to give it to them did you?

It shouldn’t be much harder for people to spread your viral marketing message either. Viral marketing only works if passing along the virus is near effortless. In the case of Hotmail it was the short and concise message at the bottom of an email that said, “Get your private, free email at http://www.hotmail.com”. People didn’t have to do anything they weren’t already going to do to spread this message. For Jib Jab, people just had to send a website address…a little more effort required, but nothing too strenuous.

You can do simple things like add a “Tell-A-Friend” button on your web site, including a catchy display ad graphic at the bottom of an email, starting an affiliate program to have other people sell your products, or do what Hotmail did with the simple message. The benefit of pointing people to a web site address is that you get more traffic to your web site, which has a very positive impact on search engine performance. With all the traffic you get to your website you get increased link popularity so your web site is more likely to rank higher in the free search engine searches.

To spread your message faster and farther in the easiest way possible, viral marketing combines extremely effectively with affiliate marketing. In case you’re not familiar with affiliate marketing, it’s simply a way to get other people to sell your product and you just give them a cut of the sale. You just provide your viral marketing tools to your affiliates and let them spread the message from their web sites. The easier you make it for your affiliates, the faster and farther your message will spread.

3. Make sure your servers can handle a “viral overload”

Just in case your viral message is extremely successful, you want to make sure your Internet hosting service can handle the load. Jib Jab received over 10 million hits in one month, which brought their hosting service to its knees. You don’t want your virus to spread so fast that it kills the host.

You also need to check on whether or not there would be any charge for a sudden increase in traffic to your web site. If your hosting service is going to send you a big bill, you need to consider that in the costs of your campaign.

Getting Your Sales Message to the Target Audience

One downside of viral marketing is that while you can drive a lot of people to see your message, not everyone is going to be interested in what you’re selling. This is why you need to tailor your message specifically to your target market. You really don’t want to drive a bunch of extra traffic to on your servers if it isn’t going to do any good (see number three above about viral overload).

Your viral marketing message should be carefully crafted from your main sales message.
The same people who would take an interest in your viral marketing message should also be interested in your sales message.

Be sure the transition from your viral marketing message to your sales message on your web site is a smooth one. You need to make sure that once a potential customer gets to your sales message that it does its job. Does your sales message convey the core benefits of your product? Is your message substantial enough to have an impact on the reader/listener/viewer?

If your potential customer doesn’t get excited about your product, then your viral message may have been wasted. Unless, perhaps, you have another product they do get excited about. If the customer does get excited about your product but your ordering system doesn’t work, you’ve also wasted your effort. This is why you want to make sure your product, sales message, and web site (including ordering systems) are working and effective before you start your viral marketing campaign.

Only when all pieces of your overall product, marketing, sales, and support systems are working well can your viral marketing campaign be a success. If all of these are working in harmony, then your bank account will also be happy.

Track The Results of Your Campaign

Most of the contemporary business enterprises use marketing mix when establishing their marketing strategy. The four Ps are: Product, which is cargo and passenger travel in the case, Place, which is worldwide, Price- determined by particular case and Promotion- involves many steps and techniques. The choice of marketing techniques may vary in the marketing of services from the marketing of products, but the basic principles and concepts of marketing are equally important and relevant in both. Basically selling is a micro function which means offering existing products at an agreed price. Often sales people do not control (although they may influence) the production level or quality.

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Marketing Practices throughout the World Most of the contemporary business enterprises use marketing mix when establishing their marketing strategy. The four P’s are: Product,Marketing Practices throughout the World Articles which is cargo and passenger travel in the case, Place, which is worldwide, Price- determined by particular case and Promotion- involves many steps and techniques. The choice of marketing techniques may vary in the marketing of services from the marketing of products, but the basic principles and concepts of marketing are equally important and relevant in both. Basically selling is a micro function which means offering existing products at an agreed price. Often sales people do not control (although they may influence) the production level or quality. Marketing is a macro function, which, in addition to selling, is involved in many other tactical areas, such as: Collecting, storing and analyzing important information regarding markets, competition and future trends. Segmenting the market and identifying specific needs of different customers. Adjusting existing products and creating new products to suit the changing customer needs. Deciding on price levels acceptable to the customers and to the company (ensuring value for money to the customers and ensuring long-term profitability for the company) is another significant task of marketing people. Selecting suitable channels which can be used as pipelines’, either to distribute the products to customers or attract customers to the products/services. In this paper we are going to analyze marketing practices of three different countries of various states of development: developed, developing and underdeveloped. We are going to use Canada, Russia and countries of Latin America as examples for our research. People in today’s global village are not defined by their ethnic origins any more than by their age or generation Contemporary marketing is, fundamentally, multicultural, as consumers live in a multicultural world. Multicultural marketing concentrates on learning about consumers rather than imposing definitions on them. Gone are the days (if they ever existed) when marketing could rely on sloganistic assumptions such as generational,ethnicand life cycleuniformity. There may be generational, ethnic and life cycle aspects to a market, one may even argue that consideration of these is a necessary part of marketing research, but one cannot argue that consideration of these aspects alone is sufficient.
Life cycle marketing, in contrast, holds that generations are not unique, that all behavior can be predicated by a person’s age: It does not matter who you are, but merely how old you are. The limitations of both generational and life cycle marketing are most clearly shown when those who argue that the baby boom generation is uniquely defined, turn around and argue that as they age their behavior will follow life cycle patterns similar to those of previous generations. The reality of the marketplace is that consumers are defined by more than their age or the cohort they were born with. The consumer population of Canada has a diversity that is both wide and deep. One dimension of this diversity is ancestry based. Over five million Canadians, 18% of the population, were not born in Canada. Three percent of the population identify themselves as part of the aboriginal population, and 15% identify themselves as being part of a visible minority. Only 64% of the Canadian population has a single ethnic origin, with 11% of British ethnic origin, 9% of French ethnic origin, and 43% of single ethnic origin other than British or French. Of the 36% of the population with multiple ethnic origins, 27% have at least one ethnic origin that is neither British nor French. Six and a half million people in Canada have some knowledge of languages other than English or French. At first glance, this ancestry-based diversity may seem to offer support for what is often termed ethnicmarketing, of approaching consumers as though their consumption patterns were solely defined by their ancestry. As with life cycle or generational marketing, ethnic marketing grossly oversimplifies the factors that determine consumer behavior: people, especially people in the global village, are not defined by their ethnic origins any more than they are defined by their age or their generation. What does determine people’s consumer behavior is their uniqueness in terms of the combination of their heritage, ancestry, age, education, income, life experience and, fundamentally, their values, what they believe in. Consumer behavior is culturally defined, where culture means values, interests, life styles, beliefs and aspirations. In effective marketing, it is as important that someone is a vegan as it is that they were born in the 20-year period after the Second World War: that they crave power tools as it is that they were born in Guangzhou; that they are fiscal conservatives as it is that they are 26 years old.

Marketing must not only acknowledge the cultural foundation of consumer behavior, it must also acknowledge that people are multi-, not mono-, cultural. Consumers actively belong to many distinct groups of shared interests, moving fluidly back and forth across the myriad of cultural layers that define contemporary society. At one moment a person’s behavior will be largely influenced by an ancestral context, in another by a peer context, in another by a career context and in another by chance. Today’s consumers comfortably switch from hockey to hoops, hip-hop to classical, dim sum to doughnuts, rap to the Rankin Family, without the need of boundaries or borders. Just as marketing was starting to be taken seriously across the financial-services sector, a dramatic shift in what constitutes marketing is underway. The marketing that banks had accepted and endorsed has changed. A straightforward application of the traditional marketing mix,with the well-known 4Ps- Product, Price, Place and Promotion, is no longer sufficient in the financial marketplace of the 2000s. Instead, a new set of ideas has emerged, along with a new set of terms: individualized marketing, interactive marketing, relationship marketing and internal marketing. Banks can no longer be marketing-oriented; they must become market-oriented. To be marketing-oriented implies using a bag of promotional tricks to capture the bank consumer. To be market-oriented, on the other hand, banks must engage in dialogue with existing and potential customers. This requires bank services and approaches to be designed through close contact with the market. It’s estimated that the average consumer is bombarded with up to 3,000 advertising messages each day, and that they remember only 2-3% of these advertisements without prompting. All this competition and noise means that banks have to rethink their advertising strategies. One recent trend has been a shift to more print advertising. Although television remains important, as financial services have grown more complex, banks have been forced to use magazines and particularly newspapers to explain the details of their services. Changing consumer demographics and lifestyles are another reason for the decline in the traditional marketing approach. Financial consumers no longer fall into neat, visible target groups. A rise in the number of women in the work force, more single-person households and the growing seniors population have caused significant marketing change. Today banks must cater to smaller and smaller market niches, and all these changes make mass marketing inappropriate. Associated with lifestyle is the availability of the most valued of all commodities: time. For most consumers, time seems to be continually shrinking. Bank customers want to be able to access their accounts through ABMs and phones, and use new mini-branches, drive-through tellers and boutique branches. This may in turn lead to saturation of the distribution channels.

To help address these changes and the move to relationship marketing, some experts argue that any future marketing strategy should draw on the base of knowledge and experience that already exists within a company, or in our case a bank. In other words, before attempting to develop an image and market position, a bank must look first to its strengths, its customers and its marketplace. Allied to knowledge-based marketing is experience-based marketing. This requires a bank to get close to the customer (an idea promoted by Peters and Waterman 10 years ago in In