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Effects of E-Marketing on the Marketing Mix

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E-marketing is different from conventional marketing in terms of the mechanism in which marketing is done but the content is the same in both cases.
Traditional marketing is a complex mechanism while e-marketing is done by simple mechanism. E-marketing has shortened many outlets and shortened traditional procedures by promoting. Promotion is done on the sites dedicated to companies in the network and this simplification and shortening led in turn to reduce prices because of competition between companies and increase sales depending on economies of scale What are the effects of electronic marketing on the marketing mix of the commodity It is made up of the following elements (product-distribution-promotion-pricing), known as English 4P's (Product, Price, Place, Promotion).
 
 
1- The impact of electronic marketing on the product:
 
Products are one of the essential elements of a marketing mix and all other elements are based on it. The product by definition is the set of benefits that the buyer obtains as a result of his acquisition and the benefits that the buyer receives from his use. There are some miscellaneous definitions related to the product, including:
 
  • Product mix: The product range that the Company produces.
  • Individual product: A set of specifications that satisfies certain desires of the consumer.
 
Product line: A group of products that have a relationship or link in the production process and can be expressed in several indicators, including breadth, depth and bonding.
 
  • Diversification: Add new products to existing products.
  • Formation: Add a new shape to the current shapes produced by the company.
 
(H) Simplification: the deletion or dropping of a product, product lines or form.
 
The life cycle of the product: The life cycle of the product goes through several stages: 1- Introduction 2-Growth 3-Maturation 4-Regression. Each of these phases will vary with indicators and financial ratios in terms of sales volume, realized profits, costs, consumers and competitors. Lies in the formulation of a marketing strategy that corresponds to the stage in which the product is made.
 
  • Services: The group of services provided over the Internet; and the Internet is the right or services, through which it provides a range of services such as maintenance and advisory services and health services, education and others. These services are intangible, non-store able and difficult to perform online, such as packaging and transport services.
 
The impact of the Internet on the product appears in terms of the relevance of the products and their specifications to the international standards in the present age, and the Internet contributes to the provision of information about the competing international products.
 
Also, some people do not want to shop by roaming the markets so they prefer to get their products through live images displayed on the sites dedicated to companies on the Internet.
 
That online supply has contributed to the emergence of new products and services, which has increased the diversity of products offered and the factors of discrimination and choice are becoming clearer.
 
The development of after sales and warranty services for these products has contributed to increasing the importance of supply and to show information about the after-sales product and services, so that the Internet contributes to the knowledge of these services.
 
 
 
2 - The impact of electronic marketing on distribution Place:
 
Distribution is an important decision in the company as these decisions affect other marketing decisions and result in long-term financial obligations and distribution channels, including the following:
 
A - wholesaler: a trader who deals in the wholesale deal and sells to the retailer or retailer.
 
B - retail or retail: a trader who deals in the retail deal and sells to the consumer.
 
Agents, brokers and brokers: The agent is the intermediary to which the commodity is transferred and a commission is paid for its sale without the transfer of ownership to him. This is what separates him from the wholesaler. The broker is the intermediary who mediates the relationship between the seller and the buyer against a certain commission and the intermediaries such as the local or external marketing institutions, the marketing incubators that sell the products belonging to one of the companies with their products and benefit from the advantage of commodity integration or the desire of one of the goods to sell the goods belonging to this company.
 
That the Internet helps reduce the marketing channels and works to deliver the product to the consumer at the right time and place and lead to the application of the rule of the product to the consumer directly.
 
 
 
It has become clear that the distribution through the Internet has shortened many channels of distribution, which has reflected on production costs. The reduction of distribution channels would have reduced the number of employees. This is the case with Amazon.com, so that the relationship with consumers is no longer necessary for the large number of employees to run the business. The same is true for the Netherlands, where 60% of the deals in the sale of roses were made through the Internet, so that the roses reached the consumer in America in a timely manner, which contributed to increased sales and speed of customer service.
 
That online distribution has contributed to finding alternatives to transportation, especially when the product is digitally transmitted through the Internet directly.
 
The shortening of the distribution channels would have meant that the intermediaries would be cut off. This has led to reduced production and distribution costs, which has helped to respond to the customers' requests 24 hours a day.
 
That the Internet provides speed in securing the arrival of required documents and requests and meet and follow the arrival of the product to the end consumer and this also contributes quickly and increase after-sales services and accept and return the returned goods as quickly as required.
 
 
 
3. The impact of e-marketing on Promotion:
 
Promotion is a set of marketing efforts to provide the consumer with information about the advantages of a particular product, service or idea, and to raise their interest in them and convince them of their ability to satisfy their needs, in order to push it to decide to buy and then continue to use in the future.
 
The web is promoted in the best way to draw attention to the goods offered, such as advertising on the site, combined with one of the interesting stories, which increases the visitors to the site and identify the specifications of the item displayed.
 
A promo is placed at the top of a web page in the form of animations with a linking mechanism so that if the user clicks on the ad, it is immediately sent to the advertised site. Advertising companies charge advertising amounts or commissions or percentages of sales according to the number of ad views (Khadr and Tarjman 2006,618).
 
That the importance of the site plays an important role in the success of the process of marketing on the Internet. The visitor will compare between what different companies offer and compare; it is necessary to provide useful information that interest him. The second issue is the shape and design of the site. This aspect is very important to attract attention from visitors and will contribute to support the online marketing process.
 
The promotional mix includes four key elements - advertising - personal selling - advertising (advertising) - sales activation as follows:
 
 
 
Effect of e-marketing on advertising:
 
Advertising is a non-personal means of providing goods, ideas and services and promoting them by means of information for a fee. Online advertising is now an important branch of commercial advertising, which includes short messages and animated images to convey to visitors to the site.
 
There are several types of online advertising, including the rich advertisement that uses the Java Java program, which ensures interaction with the user of the Internet to respond to the advertisement, such as an aircraft and a series of smoke from the hustle and as the user continues to click the mouse on the plane until the plane to the place of the advertisement with a soundtrack accompanied by .
 
One of the tools used is animation that aims to generate interest and images in animated GIFs that require applications different from 2D images because there will be a large number of images in the GIF. Each image must be designed to be followed by a consistent motion.
 
Online advertising is a low-cost way, and advertising is flexible enough to change advertising depending on the evolution of products and services. Online advertising also helps the organization to obtain statistical information about the success of advertising and customer satisfaction.
 
In the United States, 55% of Internet users agree to online advertising, while 45% disapprove of other means.
 
One of the advantages of online advertising is that it provides the advertised organization with data on the acceptance of the advertisement and the reactions of visitors free of charge.
 
Online advertising is also cost-effective compared to other alternative means. This method is so complete that it can be advertised in low-cost audio and video. These online advertisements do not require official approval, which reduces advertising procedures.
 
 
 
* Online advertising steps:
 
- Find a service provider, which provides the network connection service over the Internet and the marketer needs a high-quality service provider specifications for the visibility of the announcement is clear voice and image and be a high-level technical design.
 
- Find the ad company that will establish the website and responsible for its maintenance and updating.
 
 
 
B) Online Personal Sale:
 
Personal selling is the process by the salesman to convince customers to buy a product through personal contact between him and the customer; the sale is part of the marketing process.
 
That the presence of the Internet has helped to shorten the distance between the institution and marketers and customers have made communication more dynamic and effective between the parties with the use of modern technologies in multimedia programs and audio and live images. That the Internet contributes information to the salesman who is expensive in a country far from the center, so that he can get quick information via the Internet from the center of his parent company.
 
 
 
C- Publishing and publicity:
 
Publishing or advertising is a free, non-personal way to provide information or ideas about goods and services to the public through a known source. The Internet is an important medium and an important source of dissemination in the world through information banks and newsgroups that provide continuous information on the most important events in the world in all aspects, Political or economic.
 
 
 
D. Sales Activation:
 
There are many ways to stimulate sales through e-marketing, which can be used by the marketing organization and focuses on the last consumer such as some gift models (such as a laser disk containing information about the products of the company marketed or through the free connection to a number of hours on the Internet , Or other services such as electronic dictionaries, games, etc.).
 
 
 
4- The impact of e-marketing on pricing Pricing:
 
The price is one of the components of the marketing mix as mentioned above that the price gives a resource for the company while the rest of the items expenses borne by the company.
 
Factors Affecting Pricing:
 
That the price is the form that determines the value of the commodity in cash according to the benefit of the commodity is often a criterion for quality. The value of the commodity varies according to the people, time and market. Therefore, the price because of its importance - because it constitutes the basic revenue of the company - the study needs to specialists to study the market and the company and all factors related to selling and pricing. The factors that affect pricing are different from what is in the hands of the company, including what is outside the control of the company, and these factors include:
 
 
 
• Costs:
 
The cost is the minimum price and includes the costs of production, marketing, transportation, etc. When shopping the item internationally is added to costs customs duties, warehousing, transportation, etc. That online marketing would reduce costs much more than in traditional marketing such as travel, printing and reducing the number of employees, and that some costs disappear entirely if the commodity is digital where delivered directly without the need for packaging. In all cases, the Company seeks to make a profit margin, taking into consideration the costs paid. That lower costs paid would lower prices in case of online marketing.
 
 
 
• The competition:
 
The competition has a role in price determination and must be foreseen for long periods. That the leading companies are not affected by competition, and this competition and its impact on pricing include not only goods of the same type but also alternative goods.
 
That the emergence of new technologies, especially the Internet, liberalization of global trade and the emergence of new competitors will increase competition so that customers can easily compare product prices, which is an incentive for companies to reduce their prices.
 
 
 
• Marketing mix:
 
Price is a component of the marketing mix and these elements are affected by each other, which requires that the price is proportional to the rest of the elements. In case of high quality, the price can be raised. In case of widespread promotion, the price can be raised due to the high demand for the commodity. In the case of direct distribution to consumers, the price can be reduced by reducing the costs of other distribution outlets. That online marketing would reduce the costs of promotion compared to traditional global promotional costs. In a study of online prices for digital goods, their online price is 9-16 percent lower than traditional prices.
 
 
 
• Suppliers:
 
The price of suppliers to the company is important in determining the price of the commodity, so companies seek to obtain the best conditions from suppliers and deal with them. That the electronic network to achieve this benefit for companies so that you can compare them and deal with the best of them.
 
 
 
• Supply and demand:
 
Assuming that other factors are stable, increasing demand with supply stability leads to price increases and vice versa. The flexible demand has an impact on the price so that if the demand is flexible, the increase in price leads to lower demand, which should be taken into consideration when setting the price.
 
An approximate idea of ​​the volume of demand can be taken in the case of online marketing by asking for a small amount for a given commodity.
 
 
 
• State intervention:
 
The state intervenes in many countries in determining the price at which companies sell it, or they affect the price by imposing taxes and fees. Companies that market digital products on the network have not been charged for the date of their operations. This feature is one of the factors that make prices low in case of network marketing.
 
 
 
Pricing methods:
 
Pricing methods are different, and vary according to the company's policy, and the company pricing in proportion to its basic objectives. The most important pricing methods are:
 
 
 
• Cost-based pricing:
 
Pricing is done in this way, based on the calculation of the total cost and the amount of damage to the unit sold with the addition of profit margin as follows: Price = product cost + profit margin specified.
 
The profit margin is determined by a fixed amount per unit or a percentage of the cost according to market or income level factors.
 
That online marketing reduces costs so companies resort to low pricing compared to companies that traditionally market with a profit margin. In a survey conducted in November 2004 on the reason for online purchases, it was found that the lowest price was 35.7% for the lowest price 33.9% for the variety of options 32.9% for avoiding congestion on sale 27.6% Prefer to receive goods at home - 27.6% for easy comparison across the network.
 
 
 
• Pricing based on competitors' prices:
 
The company puts its prices according to this method as prices of other companies because of lack of possibilities or because of the lack of pricing experience and if the products are not very different from other companies may put a low price. However, if these products are distinct, they can be priced higher than competitors.
 
Competition is increasing in the case of international marketing, because of the large number of exhibitors. The price does not specify, as the company wants, that the consumer is aware of all the details of the price and the comparison and the conditions of sale. If the price is not low or equal, it is not acceptable to buy.
 
 
 
• Pricing based on demand volume:
 
The price is determined by this method according to the size of the demand. When the demand increases, the company places a high price and when the demand is low, it sets a low price to induce the demand.
 
It is not possible to accurately forecast the size of the application either in the traditional or electronic manner, despite the advanced techniques in this method.
• Customer-oriented pricing:
 
After the developments in the world, the customer becomes involved in the specification of the commodity and also participates in setting the price without imposing it. Therefore, the marketing department studies the conditions of the commodity and the expected price that can be paid by the customer and the company design the commodity accordingly.
 
The emergence of the Internet has played a major role in shifting the status of power to consumers because of the choices and information that appear on the Web. Therefore, many companies have found the products to be manufactured according to the needs of every customer such as Dell Computers www.dell.com. There are companies that enable the consumer to put the price he sees in exchange for giving up some specs.
 
 
 
• Online auctions:
 
Auctions are the most common method of buying either in the traditional or electronic way. This method directly affects the pricing process. Anyone can view the products online for sale through the auction and from the auction sites that are famous for the auctions are ebay www.ebay.com. These auctions can obtain rare goods no matter what they cost and are of interest to the seller and buyer. This method is desirable by many and provides the trouble of controlling the auction until its end.
 
Online auction methods are:
 
 
 
 Regular auctions: auctions that are fixed at a certain time and the seller uses methods of pressure on the buyers to get the highest price.
 
 Dutch Auctions: This is done when the seller has more than one unit of the item and the winners receive each unit of the item at the lowest price offered by one of them.
 
 Reverse auctions: the reverse of the previous so that buyers offer the price of the commodity to be purchased and sellers offer.
 
 
 
Internet impact on pricing:
 
Online pricing is flexible and unstable and prices are determined either by negotiations between the seller and the consumer or by auctions. Therefore, he sees that pricing across the network is similar to the prices of bonds and equities on the stock exchange.
 
Online prices are low, due to the intense competition between the exhibitors on the sites dedicated to this, allowing the consumer to compare prices and goods offered and select the cheapest by moving sites using advanced technologies available online such as Shop bots, which leads to lower prices that each company Trying to bid ratios.
 
The Internet provides consumers with many options because of the vast amount of information available on the network, so that the seller is no longer a means to control it and at the price if the consumer prefer to buy from nearby to spare himself the trouble to travel far to get a cheaper commodity. The Internet provides him with the necessary information on prices no matter how far away.
 
Internet marketing leads to lower prices in order for the company to maintain its competitive position. When the quantity is bought, the price also drops as it is wholesale. Digital products, such as books, programs, music and video CDs, are also reduced because of the reduction in the cost of packaging, mail and storage to be delivered online.
 
The company must keep abreast of the technical developments in order to gain market share as it increases with customers, buyers and profits (Diop, Saqr, Sulaiman, Tishreen University Journal 2006,168).
 
These advantages and characteristics of the Internet make it the most effective means of marketing and associated elements of the marketing mix and depends on the success of this process through this sophisticated means of development of infrastructure and durability as a solid basis for marketing through it and the experience of human cadres working in The field of e-marketing using these advanced means and understanding the needs of customers and skills in electronic marketing.

 


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