Knowing fully well that this company, Dixons, is a retail company dealing in electronics, the Internet has greatly helped us in running our business. There are so many ways the Internet has helped our business, but I will talking about how it has helped the marketing department of this organization.
Before adopting the Internet, millions of pounds are spent on marketing the company's products and services. Some of these spending could be justified while others were just unnecessary. The forms of advertising adopted were: direct sales, yellow pages advertising, newspaper and magazine advertising as well. Television adverts were also part of the marketing strategies adopted by the organization. Though these strategies worked, they still had their limitations and were consuming so much from the company's purse. The Internet has reduced these limitations and has also cut down the cost of marketing ever since we have been using it.
By running our business on the Internet, the cost of advertising has greatly reduced. The cost of running a direct sale campaign is very alarming. Materials have to be printed, packaged in an envelope and then sent to their respective destinations. The Internet has eliminated all these expensive processes and replaced them with relatively inexpensive strategies.
One of the marketing strategies we are adopting now, which is v...
There are neither printing costs nor any postage stamp to be bought. It has a higher response rate that the direct sales method.
The effectiveness of this method is based on the fact of reselling to those who have bought from us, the existing customers. It is conventional wisdom in the high street retail trade that it cost ten times more to attract a new customer than to keep an existing one (Bruce Durie, 2001). Whenever we make a sale, we get the email addresses of the new customer. We get in touch with them on a regular basis and then recommend some other products that may be complementary to what they have bought earlier. This has also afforded us to build relationships with the customers. When we recommend new products to them, they gladly patronize us because of the relationship we have with them.
Another online promotional strategy the marketing department is using is banner advertising. The way this is done is that we have our graphics designers design banners that we can place on other people's website for a nominal fee. This is a very simple and inexpensive marketing strategy. There are several high-traffic websites who are willing to give a space on their web pages in order to generate revenue. What we do is that we find out these websites and contact their owners to find out what it will take to place our banner on their websites.
We find out that the cost these webmasters charge is very cheap. The opportunity they offer all is great. For a little cost, we are able to expose our products to hundreds of thousands of people every month. This has also generated a lot of traffic to our website and has helped so much with the sales being generated. This form of advertising has greatly