| Introduction - In simple terms, Internet Marketing or | | | | recruit 100 affiliates who generate 200 sales |
| Online marketing, describe a set of business | | | | equivalent to £100,000 profit in that time, |
| strategies and marketing techniques that are | | | | could you have generated more than 200 sales in |
| employed to represent a company's overall online | | | | that time (and at what profit) if you had |
| marketing objectives. It describes the practical | | | | concentrated on direct selling only. Please visit our |
| methods of analysing the market, performance | | | | section on affiliate marketing to find out more. |
| testing and promotion to ultimately sell products and | | | | - Advertising Driven Sales - Using this business model, |
| services using the Internet. The first step is to | | | | webmasters drive visitor traffic to the web site by |
| research and analyse your target market to be in a | | | | on spending advertising alone. By raising website |
| position to make decision regarding online objectives | | | | brand awareness either through conventional means |
| and tactics.... | | | | such as newspapers radio or online, visitors can be |
| Market Research and Analysis - the first stage in any | | | | enticed to visit the website and buy something. This |
| form of online marketing is to find out as much as | | | | simple model relies on deep pockets and a thorough |
| possible about what your prospective customers | | | | understanding of margin, product break even point |
| want. By reviewing market research information, | | | | and good old fashioned marketing skills. For instance, |
| reviewing competitors web sites, industry surveys, | | | | the sales copy must be compelling and have unique |
| obtaining online feedback, obtain company reports, | | | | selling points related to target buyers needs. To find |
| research search engine usage and so on; a qualified | | | | out read our section on online advertising. The Global |
| business strategy can be formulated. Without | | | | market for online advertising (predominately pay per |
| collection of unknown information to discover and | | | | click advertising) now stands at a staggering $40 |
| learn from, creation of business strategy is nothing | | | | billion per year and expected to double to $80 billion |
| more than guess work. The main areas of | | | | dollars per year over the next 10 years. For |
| information to qualify and quantify are; target market | | | | webmasters, the various methods of advertising |
| size, industry conversion rates, website traffic, | | | | potentially available means instant website visibility |
| distribution channels, purchase behaviour, sales copy | | | | and access to thousands of prospects almost |
| testing, price elasticity, regulatory and legal | | | | instantly. The key questions a new webmaster |
| restrictions and company product testing. By far the | | | | should ask are how much I spend on advertising?; |
| best form of market research and analysis is primary | | | | How and where should I best my budget? and How |
| feedback from prospective customers (as opposed | | | | do I calculate the return on investment of any |
| to general secondary research from 3rd party | | | | advertising spend. Unlike hugely expensive TV |
| industry surveys); these secondary surveys results | | | | advertising (which is normally used to raise brand |
| are usually out of date and data collection, analysis | | | | awareness), online advertising can provide a level |
| and conclusions questionable. Practical ways to get | | | | playing field for nimble flexible webmasters, with |
| customer feedback when testing new product ideas | | | | smaller budgets to compete in niche sectors. |
| could be asking for feedback via Online Feedback | | | | Types of Websites - the type of business model |
| Surveys, Free Prize Draws, Free Product Samples, | | | | preferred somewhat dictates the type of website |
| Special Offers on the Confirmation Pages of Contact | | | | that is build to achieve your profit objectives. The |
| Forms, Newsletters, Contentious Forums, | | | | main types of web sites are as follows... |
| Competitions and Quizzes. | | | | - Brochure Only Sites - the purpose of a Brochure |
| Setting Goals and Targets - if you don't know where | | | | only website is to promote and organisations image. |
| you are going, how do you know when you have | | | | This is the most common form of website and is |
| got there? Without previous experience or good | | | | usually static nature in that it doesn't actually do |
| quality market research, it is extremely difficult to | | | | anything (other than provide marketing information). |
| quantify and forecast how much you will to sell in the | | | | Most small businesses prefer this type website, as |
| future, by when and at what profit margin. However, | | | | most customers expect some information about the |
| use your market research to put numbers against | | | | company. When a prospective customer uses a |
| the elements you can quantify. Look at the realistic | | | | search engine to find the telephone number of a local |
| boundaries for your online marketing projections... if | | | | tradesmen, having well presented and professional |
| your competitive analysis shows the average product | | | | looking Brochure website is a given in today's paste it |
| value, market size and search traffic volume, you | | | | to market place. Brochure only sites also include |
| could make some realistic sales assumptions if a top | | | | information regarding products and services, history |
| engine ranking were to be achieved. Similarly, if you | | | | and background, employees, how to find the |
| knew of the average number of sales per affiliate | | | | business. Designing a brochure only website is possible |
| (see below) could send you, you could plan the | | | | for the complete novice using basic software |
| number of affiliates you need to recruit and how | | | | becomes of most personal computers. |
| quickly you need to recruit them. If you want buy | | | | - Portals - Portals of a single point of contact for a |
| into a market quickly via online pay per click | | | | web user interested in particular information. They |
| advertising you can test return on investment very | | | | usually do not own the products and services but |
| quickly. By test spending on pay per click in search | | | | instead provide added value services around those |
| terms using various sales copy, it is easy to begin to | | | | products (either in order to resell these products, or |
| develop some useful metrics to project future sales | | | | offer passive advertising to their site visitors). Good |
| volumes and profits. Download the company reports | | | | examples of portals of our Property Advertising |
| of the top three competitors in your target market | | | | websites such as or These sites charge property |
| to check sales revenues... then apply some common | | | | agents to advertise their properties for sale or to let |
| sense to the situation... If your top three competitors | | | | on this site and provide an integrated, clear and |
| only turnover X per year it would indicate a certain | | | | unified searching mechanism what to help users find |
| ceiling in that particular market. Most importantly, | | | | property or accommodation quickly and easily. Some |
| understand your predicted conversion rates and | | | | smaller portals do not charge advertisers (or cannot |
| average product margin associated with your product | | | | justify the charge) and so choose to simply write |
| or service. Without those two numbers it is difficult | | | | their own content. Critical to the success of website |
| create a spreadsheet business model to forecast | | | | portals is the level of unique textual content, |
| sales and profit targets. | | | | compelling technical opinions and interesting |
| Choosing The Right Business Model - now that you | | | | information. The ability to collate fragmented and |
| have created a quantifiable set of objectives, the | | | | difficult to obtain information, from a range of |
| next step is to decide how this is going to be | | | | sources - all presented on easy to navigate website |
| achieved online. In most situations websites can be | | | | is particularly compelling. For instance, a directory of |
| categorised as using one or a combination of the | | | | fine antique dealers and interesting articles on antique |
| following business models... | | | | restoration provides a niche single point of contact |
| - Dominating 'Natural Organic' Rankings - Getting to | | | | for a range of different types of users.... dealers, |
| the top of a search engine is every company's | | | | restorers, shop owners, collectors what and |
| number one priority when we talk about organic | | | | homeowners may all have an interest in this type of |
| rankings. 80% of surfers only bother to visit the first | | | | niche portal. The portals provide a great way of |
| three results related to any given search term; and in | | | | sharing information and typically use forums or |
| most queries you are provided with millions of search | | | | discussion groups to allow people to post relevant |
| results and hundreds or even thousands of | | | | articles, questions and answers. Engines love portals |
| competitor websites to choose from. Once top | | | | because the content of the website focus on a |
| rankings have been achieved across a range of highly | | | | particular topic. This means algorithm (a formula |
| relevant search terms, the ability to make money | | | | utilized by a search engines to determine the ranking |
| scales to a point at which the market demand for at | | | | of web pages), is ranking the site in terms of the |
| search term is reached. So how long does it take to | | | | content of for all of the pages, delivers highly |
| get to the top of a search engine? There is no quick | | | | relevant search results to its user base. |
| way to get to the top of search engine. There is no | | | | - E-commerce Shopping for Consumers - the main |
| quick way to get the to the search engine. Yes that | | | | goal of an e-commerce website is to sell products |
| is right, we have repeated ourselves. Do not believe | | | | and services (whether physical or online service such |
| any of so called to search engine optimization | | | | as a subscription or membership). Users expect to be |
| company that claims they can provide you with a | | | | sold to with the promise of special offers and quality |
| new secret method to get your site there in weeks | | | | of friends. They expect to be able to enter their |
| or even months. Everybody seems to be an 'expert' | | | | credit card quickly in encrypted shopping basket |
| and a little information is sometimes dangerous as | | | | check out page. To build an ecommerce online shop |
| you can just as easily get your website banned from | | | | requires knowledge of local banking laws and usually |
| a search engine, as listed. Speak to people who have | | | | require companies to authenticate their credentials |
| achieved results as opposed to other people who | | | | before being given her approval to trade online. was |
| want to risk your money. It is true that the ability to | | | | the first example of global e-commerce success |
| dominate rankings varies according to a range of | | | | providing users what they want quickly and cheaply, |
| factors; we will expand on how top rankings are | | | | with a clear delivery process and customer service |
| achieved and what these factors are in our section | | | | policies. The critical success factors for e-commerce |
| on search engine optimization. SEO covers a whole | | | | websites varies depending upon the local geographic |
| range of inter-related areas that include professional | | | | market and general competitiveness of the product |
| website design, affiliate marketing, pay per click | | | | of or service. Users of expect a clear sales offers, |
| advertising, email marketing, user interactivity, social | | | | cheaper deals and a high street, brand names, a clear |
| networking, blog marketing, viral marketing, and | | | | delivery and refund a policy and someone to talk to |
| conventional forms of advertising. Essentially, factors | | | | on the telephone. There are many online vertical |
| include the market competitiveness of any given | | | | directories concentrating on specific consumer |
| search term, site content relevancy, website age, link | | | | products. In addition, search engine applications such |
| buildings effectiveness, to name but a few. | | | | as 'Froogal' provide a new and huge channel to |
| - Selling Using an Affiliate Channel - by sharing the | | | | market that the traditional high street shopping could |
| profits of a sale with other websites it is possible for | | | | not possibly reach. |
| webmasters to generate higher sales volumes . By | | | | - Community Networks - a community network is a |
| devising an attractive affiliate scheme and promoting | | | | consortium of users and web sites all sharing ideas |
| and implementing that scheme in a professional | | | | and information. There are brought together by a |
| manner, it is possible to generate thousands of | | | | common interest in a particular topic. Leading |
| website visitors using an affiliate of channel online. | | | | examples of online community social networks are |
| Affiliate marketing is a very well established method | | | | Youtube, Myspace, Facebook, Friends Reunited and |
| of selling online. Thousands of affiliates schemes | | | | so on. There are thousands of other example in niche |
| already exist from multinational brand names to locally | | | | areas where uses are coming together to have fun, |
| based niche online shops - all designed to motivate | | | | share ideas, or make money. They are usually highly |
| entrepreneurs, portals, etc, to promote their | | | | interactive with messaging passing between users |
| products and services. The main advantage of | | | | and may include blog functionality, forums and |
| affiliate marketing is high sales volume with nominal | | | | discussion groups, PC file sharing, videoconferencing, |
| sales effort. The main disadvantage is much lower | | | | instant messaging, chat rooms, secure e-mail and led |
| margins as affiliates need paying commission to | | | | to communicate using mobile technology such as |
| remain motivated. This business model relies on a | | | | PDA's or mobile phones. These networks are great |
| sensible amount of available margin to be divided | | | | places to ask questions to like minded people or |
| between the website owner and its affiliate on each | | | | companies. It is probable someone has the answer or |
| sale. In addition, critical to success is patience/ time | | | | is experience the same problem as you have. If |
| to recruit the desired number of motivated affiliates. | | | | you're planning to create a community network, |
| Also, a thorough understanding of online affiliate | | | | critical to success will be the level of niche content |
| tracking software and services to ensure affiliates | | | | and information regarding contentious and |
| are paid on time, sales are allocated fairly and | | | | complicated issues that every interest of great many |
| automated new affiliate recruitment can be initiated. | | | | people. |
| Ask yourself basic questions... if it takes 6 months to | | | | |