Class Content: Study material... Bazinga!

As stated in the textbook an iBrand is “an individual's Internet personal connections with its own positioning and brand equity”. iBranding is a new innovative tool that enables the customer to create a connection both online and offline. (Reinventing Interactive and Direct Marketing)

p. 179

"One way to help consumers build their iBrands as producers is to give them the right raw materials. Just as manufacturers need a supply chain, consumer iBrands require raw materials to spark the motivation to create."

Just as a manufacturing company relies on raw materials to create and distribute products to customers; iBranding is analogous in that customers need to be equipped with the necessary tools (raw materials) to produce products that are their own. These tools are located online where a unique product that displays individuality can be created.

A popular example of this would be the website used by Nike, called NIKEiD. This website allows customers to customize shoes in a creative and fashionable way. A wide range of products are available with multiple colour choices for all panels of the shoe, and to truly create a unique shoe it is possible to add characters and writing on select spots of the shoe.

Another example would be the ability to customize desktop and laptop computers online and purchase them directly on the site to be shipped to your home. Dell is a leader in this market and has also expanded with the acquisition of Alienware. Alienware is popular for its sleek design and high performance capabilities. They have extended the customization from the internal components to the colour of the keyboard lights or the case lights.

iBranding is a shift from the conventional paradigm of creating a product, and advertising it to a particular market; to giving consumers to the option to design a completely unique product to purchase from that company.

p.181

"Others will attempt to contribute to the ongoing digital conversation - only to become the victim of their heritage of poor service as Web 2.0 consumers build their iBrands by tearing down those products and service companies that disappoint."

The combination of E-commerce and Web 2.0 has developed a new form of internet marketing and the development of the online conversation. The Web 2.0 consumers are those who contribute to online forums by leaving comments, posting YouTube videos reviewing products, Facebook pages, general discussion boards reviewing products, and many more. Consumers with numbers can be a loud voice for or against particular iBrands.

Online services provided by companies, in attempt to create an iBrand, run the risk of immediate criticism by the common web surfer. Consumers who are not instantly thrilled, will take advantage of being behind a computer screen in the comfort of their home to write about their experiences online for others to views.

It is those that surpass the the expectations that survive to develop an iBrand, those such as customizable clothing (NIKEiD) and computer (Dell) websites.

p. 181

"There is a big social media payoff in today's Internet dependent world: Offline experiences have become a gold mine of raw material that consumers draw upon in producing online content that adds value to their iBrand equity and, at the same time, to our own."

If a business has great costumer service or great products, this can lead to consumers to add value to the brand online. Information travels fast on the internet, when a consumer were to say how great or bad their experience was online thousands of people will read this. Its consumers sharing their experience and if they are good chances are others will try it.

p. 185

"The 'friendships' with iBrands you want to develop are not as numerous as you might think. Even if you have a large, loyal online community following your brand, you may not have many at all who are actually dedicated consumer iBrands."

The relationship with consumers and the brand follows under a 90-9-1 principle. If you have a million people following your brand 90 percent of them are lurkers who just observe and don’t contribute to the brand. 9 percent are editors who modify or add content but rarely create them. 1 percent of users are creators who are responsible for create new content, these are the dedicated consumers.

p. 188
"[Marketing agencies] must develop programs that maximize how the client's entire enterprise contributes to the value and growth of its consumers' iBrand equity."

In particular, what does "consumers' iBrand equity" refer to?

p. 188
"[Marketing agencies] must develop programs that maximize how the client's entire enterprise contributes to the value and growth of its consumers' iBrand equity."
In particular, what does "consumers' iBrand equity" refer to?

Consumers iBrand equity refers to the measurement of existing loyal customers that are influencing new consumers to join the market sphere of the company. how this is done is usually
through word-of-mouth advertising. the brand equity can be measured through impact on sales, transaction count, new orders, product movement, retail traffic etc.

Class Content: Textbook Quotations, Challenge Accepted

"By establishing your cyberworld credibility in advance and earning the respect of savvy Web-oriented consumers who are well versed in the conversational lifestyle online, you gain profitable allegiance whether or not a crisis situation ever arises." p. 158

This is saying that if you were to earn the respect of and get a good reputation online from other consumers, down the road if anything were to occur you have their respect.

"While near-term ROI is not out of the question, your focus should remain squarely on long-term ROR (return on relationship)." p. 162
Return on Investment is important, but your main focus should remain on long term return on relationship because customer loyalty in the long run is more important than the investment you put in.

"In the end, our goal could be simply stated: Grow the customer base and its spending level while minimizing the cost to motivate actions to make it happen." p. 170

This statement is saying our goal is to maximize customer base, which is mainly made up of returning costumers and at the same time try to minimize the cost of trying to do so.

"We looked at buying patterns, types of products initially purchased compared to what was bought later, the favored channels, the interval between purchases, and a firmographic description of the consumer." p. 171

Firmographic – allow marketing researchers to determine what segments exist in the overall population, and also to help create a picture of characteristics the consumer has. These can later be used to help develop a marketing plan.

"Thanks to the emergence of newer social platforms like Twitter, life-streaming tools like FriendFeed, Posterous, and Tumblr, and video-streaming services like Ustream and Justin.tv - online conversations can now take place in real time." p. 161 Identify some of the lesser known applications mentioned here, or in our Sociable menu on the blog, and give a quick summary of what they do.

FriendFeed allows your friends to share, discover and discuss photos, videos, music or interesting things your family or friends find.
Posterous is a simple blogging platform for people to share their thoughts, photos, videos and other blogs they find quick and easily.
Tumblr is a microblogging platform that focuses on being very simple to use.
Ustream and Justin.tv are both platforms meant for individuals to broadcast live videos for the public to see.
Reddit is a social news site for registered users to post links. Registered users vote for the post that makes it to the main page or down vote the links causing them to fall.

"If the Web is the centre of the universe and customers are using it to outmaneuver competitors, aren't human beings on the telephone dispensable?" p. 174

This statement is basically saying that we don’t need salespeople anymore because of how popular the web is now. Why do we need salespeople if they can find our product online by themselves. Humans are not dispensable. Communication and service is important for business to business and dedicated people do it the best. The marketing environment is changing but the need for basic human needs have not changed.

"Marketers should heed the fact that a single consumer response to a call to action (i.e., an ad hoc response), does not denote permission for ongoing interaction." p. 101

Marketers need clear permission to keep going with their interaction. Marketers can get permission by using text or phone channel to make an offer with a call to action.

"Mobile marketing is not an end unto itself, but rather an extraordinary versatile new tool put at your command by extraordinary advances in technology." p. 103

Mobile marketing can be referred to in various forms and is defined as: “the use of the mobile medium as a means of marketing communication” (Karjaluoto Heikki and Leppäniemi Matti, “Factors influencing consumers’ willingness to accept mobile advertising: a conceptual model”, Int. J Mobile Communications, Vol 3, No. 3, 2005, p. 198.) However for the purposes related to internet marketing, the term relates to the use of mobile devices (cell phones) as a marketing tool. The textbook defends the end of mobile marketing and in turn states that used in the right way can greatly benefit a company as a marketing tool. Mobile marketing as a method iDirect and iBranding strategies can be very effective. The ability to send a text message directly from your company to a potential can be a valuable asset. Other considerations include figuring in how many people use mobile devices; of those users, which send/receive regular SMS texts and MMS (multimedia); and also those who access the internet and use applications.

Important considerations in mobile marketing:
Clearly defined target demographic
Product desirability
Expectations of company (goals)

However it is also considered a controversial form of marketing. The impacts of neglecting the above factors could lead to spam mobile marketing issues which ultimately are ineffective and a waste of time/money. Other issues include privacy; how are the numbers being collected and what content is being sent.

Though used properly, mobile marketing directed at specific audiences who are interested in the product, could result in increasing revenue and customer base.

"One of the most interesting findings in human decision making is that people like to make decisions collaboratively." p. 130

In terms of decision making, it is noticeable that humans tend to look to each other for opinions or experiences with a similar purchase/product. Clear examples of this are large purchases such as a house or cars. In relation to internet marketing, it refers to reviews of products on websites and social networking sites.

Virtually any product can be found online in any price range and consumers now-a-days tend to collaborate to ensure a quality/comfortable transaction. Good examples of this are on online marketplaces such as eBay or Amazon. EBay’s feedback function offers consumers a way to research the seller and see if the accuracy of the item description and the shipping speed. Sites such as Amazon allow users to post reviews of the product and their purchase experience.

Another example of collaboration is social networking sites, ex. Facebook. Nearly anything can be posted on Facebook as a group and anyone can post comments on the wall and anyone can view these.

Lastly online videos are a powerful tool where people gather to discuss products. Notable examples are YouTube and podcasts. Podcasts are particular to the Apple brand and iPod users. This method has gathered strength recently and is creating a large and dedicated following from Apple users. YouTube is strongest when the person posting the video has credibility (measured by views/subscribers). Again users can post comments to where people gather to gain knowledge.

The ability seek out information online is considerably one of the strongest tools in online shopping today. It isn’t dedicated to online shopping, however. Products that are bought traditionally (offline) can be sought out online to gain insight into the products. Collaboration is a strong tool and is prominently used today.

MacBook Wheel: Practical or Practical Joke??

The Onion News Network (ONN) declared on December 18, 2008, that Apple would be releasing a new MacBook that was designed without a keyboard. The MacBook Wheel is said to revolutionize the laptop industry by eliminating the keyboard and make "typing a thing of the past." It was unveiled at the annual Apple Expo by Steve Jobs.

The Macbook Wheels features include:
- an ultra thin humming bird battery which last 19 minutes before it requires charging
- virtually unbreakable unless dropped or hit
- includes an energy saving feature which turns the screen black after 4 seconds

The Macbook Wheel will be offered in 8gb for $2,599 or the upgrade to 40gb for $9,960. It is estimated to be released for purchase 3-18 months after the convention.

It is up in the air about whether hardcore Apple enthusiasts will be camping outside stores days before the release.

Is The Web Dead??

WIRED magazine declared in a recent issue that the "the web is dead". This statement was supported by an article that states with evidence that the web is now a minor contributor in the internet world. It declared that the internet is composed of: the web, peer-to-peer, videos, and other. Slightly over half of the internet is contributed by videos, followed by equal portions to peer-to-peer and the web, and a small remainder to other (Cisco estimates).

The main notion behind the statement is that the web is on decline from previous years in which it dominated the internet. Nowadays it is much more common to see an internet user browsing apps such as Facebook on their phone. Almost all forms of useful media and information can be accessed via apps; this minimizes the use for "surfing the web" to find the same information.

Although WIRED had many valid points, the article was met with criticism from various websites. Many claim that the information provided from Cisco was manipulated to have a more dramatic impact. The web could have a much larger share depending on how videos was comprised. One website claimed that YouTube, accessed through the web, was grouped into videos, giving it a much larger share of the internet.

Depending on the user, one could bypass the web completely, with possession of a smartphone. Someone with an iPhone does not need to access the web to connect with friends, find out the weather, sport updates, and read current events, etc. In contrast it can be argued that without a smartphone, one is left to rely on the web to find the same information.