| Parts of a Web Marketing Plan |
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The Web site marketing plan is similar to a business marketing plan, but with a narrower focus. Completing a marketing plan includes developing objectives, strategies and tactics (also called action plans) that, when implemented, will help you reach your marketing objectives. Objectives, strategies, and tactics are each progressively narrower in scope. The objective addresses the "big picture". In general terms, your objective answers the question "How will I overcome my main marketing challenge(s)?" If your company’s main site- related challenge is figuring out how to use your Web site to help build client business, for example, an objective for your Web site marketing plan could be "To enhance online client service as well as build site awareness and interest with clients." Strategies support your objective. Your strategies define the general approaches you will take to meet your objective. For example, strategies to support the above objective could include 1) improve online communication, information, and education, 2) build awareness of and interest in your company on the Internet, and 3) communicate the Web site’s existence and advantages to existing clients. Tactics are where the action takes place - these are the things you will do to bring your strategies to life. Tactics for strategy 2 in the above example (improve online communication, information, and education) could include 1) sharing experience and observations in your industry through participation in discussion boards, 2) offering an email newsletter, and 3) listing/submitting your site to targeted search engines and directories. Customer Stages: Awareness, Interest, Trial, Repeat When setting your objective, it may help to think in terms of awareness, interest, trial, and repeat. These concepts are often used in marketing to explain the stages a new customer (or site visitor, in this case) goes through on the path to becoming loyal to your business. The potential visitor must first become "aware" of your site. Once aware, you must spark an "interest" with the potential visitor, motivating her/him to "trial" - responding to a call to action on your site. After (s)he visits your site, that person becomes "loyal" by revisiting in the future. You may be able to most effectively build your business by focusing on one or two of awareness, interest, trial, or repeat visits, then changing your focus over time. If your site is brand new or known to very few people, for example, your plan is likely to concentrate on ways to increase awareness and interest. A focus on interest and trial may be in order, however, if you get an above-average number of "window shoppers" - visitors who never purchase (or do not respond to some other call to action). Alternately, for example, if you sell multiple products or a product that needs replenishing, focus on repeat purchases may be more effective. Business Building Models Direct Revenue/e-Commerce Some of the most known Web site objectives relate to e- commerce or other types of direct revenue from the site. That is, the objective is to establish a direct source of revenue from either orders or advertising space. There are different e-commerce options, or models, to consider if your site objective is direct revenue. There are other valuable ways, beyond direct revenue; a Web site can enhance your business: Build Brand Image A long-term objective for your site could be to improve sales by building an image for your product, brand, and/or company. Increasingly, this is an explicit goal for large companies with ample budgets. Small businesses can follow suit on a more affordable scale by building an image during the natural course of marketing. You can do this by consistently presenting similar design elements and "personality" at each point of contact with the world - whether that contact be virtual or physical. Enhance Customer Service Your site can increase revenue indirectly by improving customer service. When customers are more satisfied, they tend to spread the word about your products as well as buy more often themselves. Another way your site can indirectly increase sales through enhanced customer service is by supporting sales through other channels. Customers often do product research on a Web site then later place orders via catalogue, telephone, sales representatives, a physical retail store, mail, and/or fax. In all of these cases, a Web site indirectly contributes to building the business. Lower Operating Costs A Web site can help your business by lowering costs. Automated customer service functions - Web-based FAQ, order status reports, product specifications, etc. - can lower the number of customer service calls, reducing customer service labor costs. A Web presence can also lower operating costs by streamlining communication with your business partners. Business-to-business companies can create secure Web space to communicate and collaborate with customers. It is even possible to have individual, private sites for major clients. A central "meeting place" that archives communications and other customer-specific information can cut down on administrative costs related to "phone tag", inquiries, and/or the need to consciously keep all players "in the loop". On the supply side, you could reduce costly business disruptions by giving key vendors Web-based access to your inventory or other real-time information. Setting Your Objective While there are different approaches to setting objectives, my preference is to develop a single objective for a site, which may encompass more than one approach to business building. In the plan, include separate strategies and tactics to address each approach. Also include, in the objective, both the customer stage(s) and business building model(s) to focus on in the plan. This way, it is more apparent which strategies are appropriate. Another approach is to address the customer stages separately from your objective in a summary or write-up. With either approach, you should view your plan as evolving over time. As the business environment and situation change, your focus should change as well. Once you get past the launch stage of a new site, for example, you are in a better position to evaluate site traffic, so your plan may shift from focusing on awareness and interest to building trial and loyalty. Similarly, a better understanding of site visitors may lead you to adjust your business model to more closely address your company's and Web customers' needs. Porter's Five Forces A formal industry analysis, such as Michael Porter's Five Forces, is more in depth than simply looking for trends and general industry information and can help you better develop successful strategies. Michael Porter's Five Forces can provide insight into both your online and offline competitive environments. In the Five Forces Model, Porter explains that in any industry there are five forces that influence what happens within the industry: 1. Existing companies, 2. potential new companies, 3. substitutes for products offered, 4. the suppliers, and 5. the customers. These five forces combine to make up the business environment. By studying the structure of and dynamics between these forces, you can discover opportunities for improving upon your strategies. Porter designed his basic model to be applied to an entire industry. The same analytical method, however, could also be used to study a narrower universe, such as online presence within an industry. When developing your Web site marketing plan, for example, you can identify the "forces" as:Using these definitions for the five forces, you can get a clearer picture of the business environment in which your Web site competes. Be aware, however, this is not a true Five Forces analysis. This analysis only borrows Porter's forces to lend structure. His full analysis goes beyond the information gathering and cursory analysis explained here. By fully utilizing Porter's strategic methods you can gain an even clearer picture of the industry, resulting in sounder strategies. SWOT Analysis In a SWOT analysis, you identify strengths, weaknesses, market opportunities for your company, and threats to your business. You then use the analysis to develop strategies that will minimize the affect of your weaknesses on your business while maximizing your strengths. Ideally, you will match your strengths against market opportunities that result from your competitors' weaknesses or voids. When completing a SWOT analysis, you may find it helpful to create a table identifying observations relative to each SWOT component for both your company's site and your competitors' sites. In the table, note Internet-related activities such as trade organization participation, search engine inclusion, and outside links to the sites. Then, from the table you create you can spot your company's strengths and weaknesses as well as opportunities and threats to your business. Often, opportunities arise as a result of a changing business environment. As you study your competitors, be on the lookout for these opportunities. Some situations that could represent opportunities for a company include, but are certainly not limited to: New technology is created, but the competition has been unable to deliver acceptable customer service. A customer segment is becoming more predominant, but their specific needs are not being fully met by your competitors. A customer, competitor, or supplier goes out of business or merges with another company. Once you develop your strategies, you will be ready to choose tactics for your Web site marketing plan. Tactics are where the action takes place - these are the things you will do to bring your plans to life. There is no shortage of Internet-related marketing tactics. Many have great potential. The challenge is to sift through and choose the ones that are right for your situation - the ones that have the *greatest* potential to support your strategies. Randomly ricocheting from one "proven technique" to another will frazzle and disjoint both you and your business. Examples of promotional tactics are numerous, as are sources of advice. Public relations, search engine optimization, affiliate programs, reciprocal linking, advertising, direct email, newsletters, and customer incentives are all promotional tactics that may be appropriate for your plan. A key to knowing which tactics to choose involves thoroughly understanding your target audience(s) and your positioning relative to each. Other elements in your marketing mix (price, product, and place/distribution) come into play as well. Once you have addressed these strategic issues, you will be better able to choose tactics with the most potential to increase your business. Target Audience A target audience is an identifiable group of people that could benefit from purchasing your product, visiting your site, and/or responding to some other call to action. You can define your target audience(s) according to some combination of behaviour, demographics, psychology, and/or social influences. You are likely to have several potential target audiences; focus on those you can most profitably help. Marketing to a target audience involves understanding how you can help them, developing effective messages, then reaching them via appropriate tactics. By using this approach you can focus your resources on tactics that are most likely to increase sales for your business. Hence, earning the greatest return from your marketing activities. Positioning Positioning defines your product, business, and/or site for those in your target audience. It sets the stage for your image - how your target audience perceives your business - and shows your audience the benefits you provide. The positioning process involves first understanding the needs and wants of your target audience. You should also know the positioning strategies of your competitors and have a thorough knowledge of your own product’s features. Armed with that information, you can better develop tactics that will most closely fit your positioning. Another factor to keep in mind is your online positioning will be tightly interwoven with your off-line positioning. Because your business and products are a reality in both the physical and virtual worlds, your positioning should be consistent across both. Accordingly, your marketing tactics should be consistent as well. The Four P's - Price, Product, Place, and Promotion Too often, we tend to focus on "promotion" to the detriment of the other marketing mix elements. When choosing tactics for your Web site marketing plan, consider *each* of the four P's in your marketing mix - price, product, place (distribution), and promotion. You are likely to find the results much better than if you include promotions alone. The opportunities for incorporating all four P's into your plan are numerous. You may find, after studying the competition, that increasing or decreasing your price is likely to result in better profits for your business. Perhaps there is a distribution channel (electronic delivery or mailorder, for example) you haven't fully integrated into your business. With respect to products, developing a new product or giving an existing product a facelift may be an effective business-building tactic. By considering the Four P's, your target audience(s), and positioning, you can be better prepared to choose effective tactics for your Web site marketing plan. Once your tactics are chosen, you are ready to begin implementing and evaluating results. 
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