A01 chaf6542 06 se fm indd

 Promotion  technique 

 Main  strengths 

 Main  weaknesses 

 1a  Search  engine 

optimisation (SEO) 

 Highly targeted, relatively low cost 

of PPC. High traffic volumes if effective. 

Considered credible by searchers 

 Intense competition, may compromise look 

of site. Complexity of changes to ranking 

algorithm 

 1b   Pay-  per-  click  (PPC) 

marketing 

 Highly targeted with controlled cost of 

acquisition. Extend reach through content 

network 

 Relatively costly in competitive sectors and 

low volume compared with SEO 

 1c  Trusted  feed 

 Update readily to reflect changes in 

product lines and prices 

 Relatively costly, mainly relevant for 

e‑retailers 

 2  Online  PR 

 Relatively low cost and good targeting. 

Can assist with SEO through creation of 

backlinks 

 Identifying online influencers and setting up 

partnerships can be  time‑  consuming. Need 

to monitor comments on  third‑  party sites 

 3a  Affiliate  marketing 

 Payment is by results (e.g. 10% of sale or 

leads goes to referring site) 

 Costs of payments to affiliate networks for 

set‑up and management fees. Changes to 

ranking algorithm may affect volume from 

affiliates 

 3b  Online  sponsorship 

 Most  effective  if   low‑  cost,   long‑  term 

co‑branding arrangement with synergistic 

site 

 May increase awareness, but does not 

necessarily lead directly to sales 

 4  Interactive  advertising 

 Main intention to achieve visit, i.e.  direct‑ 

 response model. But also role in branding 

through media multiplier effect 

 Response rates have declined historically 

because of banner blindness 

 5  Email  marketing 

 Push medium – can’t be ignored in user’s 

inbox. Can be used for  direct‑  response 

link to website. Integrates as a response 

mechanism with direct mail 

 Requires opt‑in for effectiveness. 

Better for customer retention than for 

acquisition? Inbox  cut‑  through – message 

diluted amongst other emails. Limits on 

deliverability 

 6  Social media and viral 

marketing 

 With effective viral agent possible to reach 

a large number at relatively low cost. 

Influencers in social networks significant 

 Difficult to create powerful viral concepts 

and control targeting. Risks damaging brand 

since unsolicited messages may be received 

 Traditional  offline 

advertising (TV, print, etc.) 

 Larger reach than most online techniques. 

Greater creativity possible, leading to 

greater impact 

 Targeting arguably less easy than online. 

Typically high cost of acquisition 

 Table 9.3 

 Summary of the strengths and weaknesses of different communications channels for promoting an 

online presence 

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