Chapter one
The issues confronting the growth and development of E-Marketing in KSA today
There is a high growth rate of Information Technology (IT) in the Kingdom of Saudi Arabia (KSA) in the present days due to the high sales of personal computers (PC) and the improvement in the internet sector. According to the Ministry of Commerce in KSA, the e-marketing practices are not growing at the same rate as the growth of IT which therefore calls for the evaluation of the South web practices (Al-Otaibi & Al-ZAhrani). The development of web services and the growth of internet are the two major contributions in the growth of the E-marketing in every nation in the world. The use of internet is continuously booming worldwide whereby a big population is turning to the use of E-commerce both globally and locally in Saudi Arabia. With the current estimation of around 28 million citizens in the country, the IT sector has recorded a growth rate of 9.3% with the spending on the e-commerce estimated at SR12 billion (Eid 2011). However, cultural factors such as the tradition of oral communication, which gives more weight to word of mouth advertisement than text and images found on the web, may be a contributing factor in the success of e-marketing in the Arab region (Fandy 2000).
The KSA marketing dimension is concerned with the ability of the website to attract more customers and presenting goods and services offers in a more intelligent manner. This is done through the three features which include: targeting the correct audience; providing customer-centric services; and gathering information concerning the individual customers and giving the necessary services. Many people have not yet realized the need of internet in business activities t...
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Key Duties: • Carried out research on e-commerce and IT for small and medium-sized enterprises (SMEs). • Taught a range of management and Information Technology (IT) subjects to undergraduate programmes. • Delivered lectures, conducted tutorials, seminars and laboratory sessions for undergraduates. • Supervised numerous undergraduate computer-based projects, final year industry-based research and work programs. • Set course and degree requirements, curriculum revision and undertook academic planning activities.
In the exploding world of e-commerce, the ability of a company to attract customers using websites is critical for the company’s success. The use of the website by two computer manufacturers, Dell and Compaq, is evidence of this fact. Dell is the forerunner in the direct marketing of computers to customers via the Internet. As the success of Dell’s marketing approach became apparent, other computer companies such as Compaq have tried to market their product directly via the Internet as well. In evaluating the Dell and Compaq computer websites, several areas had to be assessed and compared for their effectiveness in promoting the product. The four main areas included in the evaluation of the websites were the target audiences for each company, the style chosen for the website, the content of each website, and the structure of each website. However, the experience of Dell in direct marketing has allowed them to create a website that is more effective for a wide customer base than the Compaq website is.
Technological development is impacting the business landscape by providing new ways and opportunities to conduct business. In the last decade e-commerce has especially created new possibilities to change ways of doing businesses or create new business models. In such a changing environment the role of the leader is becoming vital (Ada 2006).There is no doubt in importance of e-commerce in this new era .It became the necessity of organizations and even competitive advantage. In near future it will be difficult to survive without adoption of e-commerce.
Some of the main marketing concepts include Marketing Mix, Online marketing, digital marketing, sales promotion, advertising and direct sales. The company had made vital changes in its stores, website along with its basic infrastructure by incorporating advanced technologies of online marketing techniques. The research has found that customers of Marks and Spencer are spends more money on best and better quality ranges of products. Hence, the online marketing strategy of the company has emphasized on the heritage, style, and quality of its clothes (Vinereanet al. 2013). The above conceptual framework provides a brief description about the customer behaviour on the online marketing criteria and who they impact the consumer buying behaviour. From the above review, it is clear that the traditional marketing had been enhanced with the invention of online marketing and the business organisations have been greatly profitable by it (Hansen, 2015). With the help of the online marketing strategies, the business organisations can invest in wide range of products and reduce their promotional costs by investing in online marketing advertisements. Though traditional marketing strategies have its own importance, the online marketing strategies have been more beneficiary to the business organisations in
E-commerce, a system by which people can buy, sell and deal without even seeing the person on the other side, has taken a front seat in improving the economy of countries around the world. Technology today has made it possible for monetary institutions to help locate the customers resources and help solve their problems at any given time through online banking.... ... middle of paper ... ...
Marketing is a vital component in the success of businesses. Smaller businesses rely on business advertising, expenses, knowing if the business is networking with the right people, or joining the best organisations which lead to success (EStartup business blog, 2010). Marketing concentrates on customers and what the customers want. Customers are the source of sales and profits. Many small businesses are faced with remarkable hardships due to not developing the right marketing plan (EStartup business blog, 2010). To help these businesses a more appropriate or better marketing plan needs to be designed. Small business internet marketing services can help businesses develop and thrive in a highly competitive market. For the highest quality internet marketing services, hiring an online marketing company to design a customized internet marketing campaign may be advantageous for some businesses (EStartup business blog and contributors, 2010). Identified will be the role that marketing plays in a successful business demonstrated by use of two examples, the importance of developing a marketing plan, and ethical and legal issues that surround marketing practices (EStartup business blog, 2010).
ICT has revolutionized the world especially in commerce, education and socialization. It has reduced the world into a small global village. This has been facilitated by the greatest innovation in the information and communication technology (ICT): the internet. Since its innovation, there have been many benefits and opportunities that have been realized from different quotas including; education sector, business sector, health sector, communication sector and transport sector among others. Many organizations in these and other sectors have in one way or another adopted the use of the internet so as to enhance their services, processes and products. In addition, the use of ICT has become one of the factors that add to competitive advantage and thus every other organization wants to gain this competitive edge against other organizations: including Kingdom of Saudi Arabia.
The Information revolution is changing our daily lives. With the rapid development of computers and the internet, online commerce has become quite common and plays an important role in the modern world. Online business has been booming in recent years. US online retail sales rose an average of 11% in the first three months of 2009 (“US Online Sales Up,” 2009). The growth of online sales may be due to the growing number of consumers who shop online.
Internet marketing is defined as the application of the Internet and related digital technologies in conjunction with traditional communications to achieve marketing objectives (Chaffey, D., Ellis-Chadwick, F., Johnston, K. and Mayer, R. 2006, 8) [20]. According to Chaffey et al. (2006, 20), to be successful in Internet marketing, a strategic approach is needed 15 to manage the risks and deliver the opportunities available from online channels
Li, F 2007, What is E-business ?: how the Internet transforms organizations, Blackwell Publishing, Oxford.
Mustaffa, S and Beaumont, N 2002, “The effect of electronic commerce on small Australian enterprises”, Technovation, Vol. 24, no. 2, pp. 85-95. (online ScienceDirect)
The report also talks about the differences between, advantages and disadvantages of e-business and e-commerce. Recommendations and advice have been given in the end for businesses intending to adopt an e-business dimension.
For businesses small and large, marketing is essential in promoting a service or good to potential consumers. The ultimate objective is to maximize profits by creating consumer awareness of a certain brand. The results of successful marketing includes higher sales, and a solid reputation in the industry. In any industry, there are various ways to advertise a product or good. Traditional marketing refers to the non-digital methods of promoting a product, which includes newspapers, radio, direct mail, and telemarketing (“Digital vs Traditional Marketing”). Digital marketing is considered an ‘umbrella term’ which refers to the use of any digital media, such as the internet, social media, emails, and blogs,
growth in usage by both consumers and businesses. The unique capabilities of the Internet has captured the attention of the marketing community. While a growing number of companies have or are interested in developing an Internet presence, there is still a great deal of uncertainty about it and the potential ethical issues associated with its use as a marketing medium. Although many businesses are acknowledging the importance of a Web site, but the potential ethical issues related to marketing on the Internet still having an uncertainty in this situation. Much less attention has been given to the business community's perceptions of the ethicalness of this new medium. The unique interactivity of the Internet has captured the marketing community's interest as a way to develop and enhance customer relationships and establish greater brand identity. Thus, many commercial services have become available on the Internet that allow consumers and organizations to interact electronically. These services include booking airline tickets online, buying books and compact discs, and receiving stock market information. Although the number of consumer users and commercial organizations navigating on this "information superhighway" is growing almost exponentially, the benefits of the Internet are not without drawbacks.