Wednesday, 4 June 2014

Importance of developing a good website for businesses

There has been a rapid shift towards e-commerce in the digital age and it is easy to see why. The internet provides a considerable number of advantages to a business including flexibility, larger reach, low cost and high levels of convenience for their customer. It is essential for businesses to understand what motivates customers to shop online and this information should inform strategy and marketing decisions (Wolfinbarger and Gilly, 2001)

For many companies operating online, their website will be the first line of communication they have with the customer. It is important that their site provides the customer with all the information they need, whilst being easy to navigate and clear for readers and also providing a point in which they can contact the company for further queries.


Benefits of good web design:

Consistent brand identity

It is important that the site creates a consistent, visual language for the brand across the whole site. This way the brand will have a more memorable impression than those who do not achieve consistency.

Interest = More visitors on the page

The site must be interactive with content that is of interest to the reader. Keeping the reader interested is a huge step into encouraging a purchase.

Competitive advantage 

 Having a website that is 'good enough' will not cut it anymore, as you find many industries websites look the same and do the same thing. To achieve a competitive advantage the website must achieve quality and this means distilling the message of all your unique selling points into one coherent visual message (antemeridiemdesign, 2014)

Reduce marketing costs

The website will provide a far cheaper, in many cases more effective solution to advertising. Rather than spending huge amounts on newspaper ads, the company can place a number of full page ads on the site, that they can add to and change at their will.

Good structure and polished details

Large blocks of text, confusing navigation and obscure calls to action will turn potential customers away. The site should be clear, readable, functional and most importantly direct people to what you want them to do.

Room for improvements.

The site should have a good enough foundation and quality aesthetic that can be added to if needs must. New products or services may come along and they must fit seamlessly into the design. A site that caters for this situation means a company can avoid going back to square one with their design.


Who does it well?

GlaxoSmithKline


(Adams, 2014)


The sites appealing, easy to use boxy design, clearly shows information and conveys their message in short bursts of texts. The site is easy to navigate including click through links to other pages into the boxy design,  through which the reader can read further into if they would like.. The pharmaceutical company also shows clear links to its Facebook and twitter to encourage further interaction from the consumer to the brand.


BP



In reaction to their 2010 Mexican Gulf Oil spill, BP redesigned their website to clearly showcase their efforts to quell the spill and clean up the oil from the ocean. The result was an extremely visual, easy to navigate site that allows for different media (images and videos) to promote the company in a positive way. There are also clear links on the site to contact BP quickly and efficiently.




Summary
Having a good website for a business is extremely important at a time in which a high percentage of customers would opt to shop online rather than a physical store. A good website can lowers costs throughout the business, including marketing, staff costs and market research costs. As well as this, it provides the customer with a round the clock market place in which no customer can be turned away and their is a large amount of product available to chose from. Having a good website will not only draw customers in to your business but also encourage them to take the final steps when it comes to purchasing a product or service.




References

antemeridiemdesign. (2014). 10 benefits of quality web design.Available: http://www.antemeridiemdesign.com/articles/10-benefits-of-quality-web-design.php. Last accessed 1/6/2014.

Adams, S. (2014). The World's 10 Best Corporate Websites . Available: http://www.forbes.com/pictures/mkl45lfgf/10-glaxosmithkline/. Last accessed 1/6/2014.

Gilly, Mary C. and Mary Wolfinbarger (2001), “A Comparison of Consumer Experiences with Online and Offline Shopping,” Consumption, Markets & Culture, Vol. 4, No. 2, 187-205

Tuesday, 3 June 2014

A movement into eWOM

eWOM

Ehrenberg (1974) highlights the importance of word-of-mouth and the satisfied users influence making itself felt. As the importance of Social Media marketing continues to rise, so does the importance to exploit eWom (electronic word of mouth) and move away from more traditional methods of advertising.

 eWOM is any positive or negative statement made by potential, actual or former customers about a product or company (Cheung, 2008). eWOM may have higher empathy, credibility and relevance to customers over a more traditional marketer created source of information according to Bickart and Schindler (2001) (Greun et al, 2006).

eWOM provides the customer with a huge reach in which they can influence brand image or brand perception. Companies can attempt to start eWOM and viral marketing operations, however once they begin, they become hard to control as little to no tools are available for content flow management (Jansen et al, 2009)

ASOS



Companies such as online fashion store ASOS have been able to successfully focus their marketing towards eWOM with great results. Through online adverts and consumer generated advertising using bloggers and online influencers, ASOS has been able to connect with its consumer, at times involving the consumer and as a result gained high levels of interaction.


 Russell Colley (1961) developed DAGMAR, which stood for Defining Advertising Goals for Measured Advertising Results (Colley, 1961).  This hierarchy model uses the theory that advertising should be used to target a defined audience and give them information that will stimulate action. Advertising will succeed or fail on how well it communicates to the right people at the right time and at the right cost (Fill, 2013).  It is easy to see why companies such as ASOS are moving towards a more specialised form of Marketing. Using eWOM marketing, ASOS can attain information on their demographics  and use this to advertise specifically to its target market, reducing risk and ensuring the message is relevant to that specific audience.


eWOM and social networks 

A fairly new form of eWOM marketing is micro-blogging through social media platforms such as Twitter. These platforms provide the user with an opportunity to describe things of interest or express an attitude or opinion and share these with others. It directly effects eWOM communication as the thoughts people share can have an effect on the brand on a scale that has never been seen before. Companies can use these micro-blogging platforms to their advantage as they offer immediate sentiment and provide insight in affective reactions toward product at critical junctions of the decision making and purchasing process (Jansen et al, 2009)

Summary

eWOM has a huge impact on product and brand perception. Whether it occurs naturally, from a person sharing his or her thoughts with their audience, or a business launching a campaign to encourage online conversation, eWOM brings many benefits as well as drawbacks to a company. eWOM can be beneficial for feedback, forecasting and sales predictions, product development and information on demographics. However there are of course risks in a loss of control in which negative comments on the brand can have a bad effect on a brands perception. It is important that a company, if they do chose to encourage and influence online conversation, build a strategy that the consumer can relate to and will provide benefits to them for sharing.



References

Colley, R (1961) Defining Advertising Goals for Measured Advertising Results. Association of National Advertisers: New York

Cheung. C. Lee, M and Rabjohn, N.. (2008). The impact of electronic word-of-mouth The adoption of online opinions in online customer communities. Impact of electronic word-of-mouth. 18 (3), 230.

Ehrenberg, A. (1974). Repetitive Advertising and the Consumer.. Journal of Advertising Research.. 14 (25), 3.

Greun, T. Osmonbekox, T and Czaplewski, A.. (2006). eWOM: The impact of customer-to-customer online know-how exchange on customer value and loyalty. Journal of Business Research. 11 (59), 449-456.

Jansen, B., Zhang, M., Sobel, K. and Chowdury, A.. (2009). Twitter Power: Tweets as Electronic Word of Mouth. JOURNAL OF THE AMERICAN SOCIETY FOR INFORMATION SCIENCE AND TECHNOLOGY. 11 (6), 1.