Similar questions

Discuss ‘SOSTAC’, the generic framework for e-marketing planning.

Develop an outline strategic e-marketing plan for an organization you are familiar with.

SOSTAC approach to SCM.

1.Introduction:

i. An e-marketing plan is needed in addition to a broader e-business strategy to detail how the sell side specific objectives of the e-business strategy will be achieved through marketing activities such as marketing research and marketing communications.

ii. Since e-marketing plan is based on the objectives of e-business or business strategy, there is overlap between the elements of each approach particularly for environment analysis, objective setting and strategic analysis.

2.Diagram:

3.Stages:

i. Objective:

• Effective e-marketing plans are based on clearly defined objectives since these will inform the strategies, tactics and help in communicating the strategic aims to the workforce and investors.
• The value of the objectives can be tested using the widely used SMART mnemonic, i.e. are they specific, Measureable, Achievable, Realistic and time constrained.

• Examples of SMART e-marketing objectives are as follows:

  • Reduce cost of routine customer service by 10% to enable focus on delivery of specialized customer service.
  • Established business-to-business engineering company- increase overall revenue by 5%, through trading sales in new international market.
  • Establish mobile phone operator-increase customer retention by reducing churn from 25% to 20%.

ii. Situation analysis:

• The aim of situation analysis is to understand the current and future environment in which the company operates in order that strategic objectives are realistic in light of what is happening in the market.

• The above diagram shows the inputs from situation analysis that inform the e-marketing plan. .
• These mainly refer to company’s external environment.

iii. Strategy:

• The strategy element of an e-marketing plan defines how e-marketing objectives will be achieved.

• Strategy definition has to be tightly integrated into the e-marketing planning process from situation analysis to objective setting to strategy definition.

• The amount invested on Internet should be based on the anticipated contribution the Internet will make to business.

• Thus, it basically involves the framing of strategy for the development of supply chain strategies to achieve these goals.

iv. Tactics

• Marketing tactics to implement strategies and objectives are traditionally based around the elements of marketing mix.
• There are various other approaches such as customer-driven tactics that affect both the design and services provided by an e-commerce site.
• The marketing mix- the 4Ps of Product, Price, Place and Promotion is an essential part of implementing marketing strategy by many practitioners.
• The 4Ps have been extended to 7Ps by including three further elements that better reflect service delivery: People, Process and Physical evidence.
• The marketing mix is frequently applied when developing marketing strategies since it provides a simple framework for varying different elements of the product offering to influence the demand for products within target market.

v. Actions:

• The actions component of e-marketing planning refers to activities conducted by managers to execute the plan.
• Questions that need to be resolved when specifying actions include:
  • What level of investment in the Internet Channel is sufficient to deliver these services? What will be the payback?
  • What training of staff is required?
  • What new responsibilities are required for effective Internet marketing?
  • Are changes in organizational structure required to deliver Internet based services?
  • What activities are involved in creating and maintaining the website?
• At this stage, the e-marketing plan will be finalized to summarize actions that need to occur.

vi. Control:

• The control element of an e-marketing plan can be achieved through a combination of traditional techniques such as marketing research to obtain customer views, opinions and novel techniques such as analysis of web-server log files that use technology to monitor whether objectives are achieved.
• Intranets can be used to share in information among marketers and consultants within an organization.
• Thus, it basically deals with measuring the outcome.
• Also, base lining is done to maintain pressure for performance delivery.