CONTENTS CHAPTER 1 AN OVERVIEW OF THE STUDY 01 1.1 Background of the Study 02 1.2 Importance of the Study 05 1.3 Scope of the Study 07 1.4 Objectives of the Study 09 1.4.1 Academic Disciplines Concerned with E-Commerce 09 1.4.1.1 Technical Approaches 09 1.4.1.2 Behavioral Approaches 10 1.5 Digital Marketing: Definition 11 1.6 Internet Marketing Vs. Traditional Marketing 12 1.6.1 Interactivity 12 1.6.2 Intelligence 13 1.6.3 Individualization 14 1.6.4 Integration 15 1.6.5 Industry Restructuring 17 1.6.6 Independence of Location 17 1.7 Web Marketing Strategies 18 1.7.1 Product-Based Marketing Strategies 19 1.7.2 Customer-Based Marketing Strategies 20 1.8 Different Market Segments Communication 20 1.8.1 Trust and Media Choice 21 1.9 Technology Enabled CRM 22 1.10 e-business Patterns: The Structural Foundation 24 1.11 Online Security Issues Overview 26 1.11.1 Managing Risk 26 1.11.2 Consumer Security Classifications 28 1.11.3 Security Policy and Integrated Security 28 1.11.4 Communication Channel Security 30 CHAPTER 2 emarketing Vs. TRADITIONAL MARKETING 32 2.1 Product 33 2.2 Price 34 2.3 Place 35 2.4 Promotion 35 2.5 Contrast Model 37 2.5.1 emarketing: More Measurable 40 2.5.2 emarketing: Strategic Decision Base 40 2.5.3 emarketing: Reaching Target Addressees 40 2.5.4 emarketing: Constant Source 41 2.5.5 emarketing: Better Word-of-Mouth (WOM) 41 2.5.6 emarketing: Amplify Conversions 41 2.6 Major Trends in E-Commerce, 2012 43 2.6.1 Business 43 2.6.2 Technology 44 9
2.6.3 Society 44 2.7 Seven Unique Features of E-Commerce Technology 45 2.7.1 Ubiquity 45 2.7.2 Global Reach 46 2.7.3 Universal Standards 46 2.7.4 Richness 47 2.7.5 Interactivity 48 2.7.6 Information Density 48 2.7.7 Personalization/Customization 49 CHAPTER 3 BOUNDARIES OF RESEARCH STUDY 51 3.1. Introduction 52 3.2 E-Commerce Models 52 3.2.1 Business-to-Business (B2B) Model 53 3.2.2 Business-to-Consumer (B2C) Model 54 3.2.3 Consumer-to-Consumer (C2C) Model 56 3.2.4 Consumer-to-Business (C2B) Model 57 3.3 E-Commerce in India 58 3.3.1 E-Commerce Growth 64 3.3.1.1 E-Commerce: Baseline for 86% of Marketing in India 68 3.3.1.2 emarketing Effectiveness in FY11 69 3.3.1.3 Marketer s Effectiveness by Periodic Communications in 2011 70 3.3.1.4 emarketing Channels in 2011 71 3.3.1.5 Consumer Acquisition: Largest Driver of emarketing in 2011 72 3.3.1.6 Indian Marketers Investment in emarketing 73 3.3.1.7 emarketing Online Sales 74 3.3.1.8 Acquisition Rules to be Marketers Prime Goal for 2011 74 3.3.1.9 Investments Plans in emarketing Platform 75 3.3.1.10 Digital Channel Preferences for 2011 76 3.4 Changing Media Consumption 77 3.5 Relative Internet Usages 78 3.6 Potential Digital Impact on Target Markets 80 3.7 Consumer Ratings of Online Experience 81 3.8 Ten Key Reasons for Returning to Website 82 3.9 Importance of Website Design Factors 83 3.10 Importance of Different Information Sources 84 CHAPTER 4 LITERATURE REVIEW 86 4.1 Literature Review on Internet Marketing 89 4.1.1 Online Marketing Domains 90 4.1.2 Internet Marketing Benefits for Marketers 91 4.1.3 6 C s of Internet Marketing 92 4.1.4 Internet Marketing Strategy Framework 93 4.1.5 Internet Marketing Contribution to the Organizations 95 4.2 Literature Review on emarketing Vs. Internet Marketing 97 4.2.1 Benefits of emarketing 97 4.2.1.1 Cost Efficient and Effectiveness 98 4.2.1.2 Worldwide Reach and Access 98 10
4.2.1.3 Time 98 4.2.1.4 Space 99 4.2.1.5 Interactivity 99 4.2.1.6 Value Added and Competition 100 4.3 Literature Review on Drawbacks of emarketing 100 4.3.1 Information 100 4.3.2 Security 100 4.3.3 Website 101 4.3.4 Competition 101 4.4 Literature Review on Digital Media Communication Channels in emarketing 102 4.4.1 Search Engine Marketing (SEM) 103 4.4.1.1 Search Engine Optimization (SEO) 103 4.4.1.2 Paid Per Click (PPC) or Paid Search Marketing 105 4.4.1.3 Trusted Feed Including Paid for Inclusion 106 4.4.2 Online Public Relations (Online PR) 106 4.4.2.1 Communicating with Media Online 107 4.4.2.2 Link-Building and Generating Editorial 108 4.4.2.3 Blogs, Podcasts and RSS 108 4.4.2.4 Managing Brand on Third Party Websites 111 4.4.3 Online Partnerships 111 4.4.3.1 Affiliate Marketing 111 4.4.3.2 Sponsorship 113 4.4.3.3 Co-branding 114 4.4.3.4 Link-building 116 4.4.3.5 Widget Marketing 116 4.4.4 Interactive Advertisements 117 4.4.4.1 Website Specific Media Buys 118 4.4.4.2 Sponsorship 118 4.4.4.3 Contra-deals 118 4.4.4.4 Ad Networks 119 4.4.4.5 Behavioral Targeting 120 4.4.5 Opt-in E-Mail 121 4.4.5.1 Cold (Rented List) 122 4.4.5.2 Co-branded 122 4.4.5.3 Advertisements in 3 rd Party E-Newsletters 123 4.4.6 Online Viral Marketing 124 4.4.6.1 Viral Marketing Types 125 4.4.6.2 Generating Media Mentions 127 4.5 Literature Review on Internet as a Marketing Tool 130 4.5.1 Cost Savings between Traditional Marketing and Internet Marketing 134 4.5.2 Online Publicity and Advertising 135 4.5.3 Web Advertisements 138 4.6 Literature Review on Research Work on Web Publicity and Advertising 143 4.7 Literature Review on Consumer Attitude Towards Web Ad 147 4.8 Literature Review on Future Prospects for Web Marketing 148 4.9 Observations of Researcher and Usefulness of Review of Literature 149 11
CHAPTER 5 RESEARCH METHODOLOGY 151 5.1 Introduction 152 5.2 Statement of Research Problem 153 5.3 Research Questions of the Study 154 5.4 Objectives of the Research Study 154 5.5 Universe of the Study 154 5.6 Sample Design 155 5.6.1 Sampling Units 155 5.6.2 Sampling Method 155 5.6.3 Sample Size 155 5.7 Sources of Data 156 5.7.1 Questionnaire Development 156 5.8 Research Hypothesis 157 5.9 Data Analysis and Statistical Tools 157 5.10 Supportive Technology 158 5.11 Limitations of the Study 158 CHAPTER 6: DATA ANALYSIS AND INTERPRETATION 160 6.1 Frequency Distribution of Internet Usability Preference 163 6.2 Frequency Distribution of Internet Connection Availability 164 6.3 Frequency Distribution of Internet Access Point 165 6.4 Frequency Distribution of Internet Usage Rate 166 6.5 Frequency Distribution of Internet Usage 167 6.6 Frequency Distribution of Internet Connection Type 168 6.7 Frequency Distribution of Internet Connection Media 169 6.8 Frequency Distribution of Internet Service Provider 170 6.9 Frequency Distribution of Experience with Current ISP 171 6.10 Frequency Distribution of Experience with Previous ISP 172 6.11 Frequency Distribution of ISP Changeover Preference 173 6.12 Frequency Distribution of Priority to Select ISP 174 6.13 Frequency Distribution of Web Browser Preference 175 6.14 Frequency Distribution of Email Service Provider Preference 176 6.15 Frequency Distribution of Preference to Internet Services 177 6.16 Frequency Distribution of Online Purchase Intention 178 6.17 Frequency Distribution of Online Facility Preference for Street Retailers 179 6.18 Frequency Distribution of Preference for Online Purchase 180 6.19 Frequency Distribution of Online Buying Frequency 181 6.20 Frequency Distribution of Online Shopping Trust 182 6.21 Frequency Distribution of Payment Mode Preference 183 6.22 Frequency Distribution of Online Purchase Importance 184 6.23 Frequency Distribution of Purchase Mode Preference 185 6.24 Frequency Distribution of Preference of Banking Mode 186 6.25 Age and Online Purchase Cross Tabulation Analysis 187 6.26 Gender and Online Purchase Cross Tabulation Analysis 189 6.27 Residential and Online Purchase Cross Tabulation Analysis 191 6.28 Experience and Online Purchase Cross Tabulation Analysis 193 6.29 Qualification and Online Purchase Cross Tabulation Analysis 195 6.30 Income and Online Purchase Cross Tabulation Analysis 197 12
6.31 Occupation and Online Purchase Cross Tabulation Analysis 199 6.32 Hypothesis Testing: Gender Analysis 201 6.33 Hypothesis Testing: Age Analysis 202 6.34 Hypothesis Testing: Qualification Analysis 203 6.35 Hypothesis Testing: Occupation Analysis 205 6.36 Hypothesis Testing: Residential Analysis 207 6.37 Hypothesis Testing: Work Experience Analysis 209 6.38 Hypothesis Testing: Buying Frequency and Income Analysis 210 6.39 Hypothesis Testing: Market Type Preference and Age Analysis 212 6.40 Hypothesis Testing: Marketing Type Preference and Occupation Analysis 214 6.41 Hypothesis Testing: emarketing Trust and Occupation Analysis 216 6.42 Hypothesis Testing: E-buying Preference Vs. Personal Purchasing Preference 217 6.43 Hypothesis Testing: Catalog Preference Vs. E-Catalog Preference 219 6.44 Hypothesis Testing: Traditional Purchasing Weightage Vs. E-Purchasing Weightage 220 6.45 Hypothesis Testing: ANOVA Online Shopping Factors 222 6.46 Hypothesis Testing: Online Shopping Factors 223 6.47 Factor Analysis 225 6.47.1 Descriptive Statistics 225 6.47.2 The Correlation Matrix 226 6.47.3 Total Variance Explained 227 6.47.4 Scree Plot 228 6.47.5 Component (Factor) Matrix 229 6.47.6 Rotated Component (Factor) Matrix 230 CHAPTER 7: RESEARCH FINDINGS, CONCLUSION & SUGGESTIONS 231 ANNEXURE 240 BIBLIOGRAPHY 245 13