Papers On Network Marketing

 I. Introduction
the Internet in recent years, the global network soar in Europe and the United States, not only in various international media, the world's major leading enterprises also have to provide information on the Internet services, hoping to take this group of popular trains.
When the Internet was seen as decisions of national competitiveness in the next century's infrastructure, whether developed or developing countries around the world, all working full construction of its national information highway (NII), as a big country, China's economic development, natural not lag behind other countries. Since 1988, the University of the German Karlruhe a global network of networks connected to start the establishment of China Academic Network (CANET), so far, currently in the universities, government agencies have been few on the site, and use more than one hundred thousand persons. one of China's three major network services company ChinaPac declared the end of this year the company's network footprint to over 2,000 cities in China to provide 100,000 connection points. Xinhua News Agency, also recently before this century, China's Internet users will 100 million people.
day Internet development is now the city has been academic research into commercial applications, and become a global business tool and an indispensable tool for business. China's enterprise managers and management education by Zhang who, when the importance of applying the epoch-making technology, and science and technology as the primary productive force, to actively develop the Internet's commercial applications in China, so Chinese enterprises in global competition can soon catch up. According to experts in accounting, 5 years later Internet users worldwide will be more than 2 billion people, the market size more more than 20 billion U.S. dollars, any enterprise which is a great opportunity not to be ignored. With computer technology, NII, ISDN, etc. The rapid development has been the impact of enterprise information network operation and management. networking in the era of globalization will require a new marketing approach, but I do not know whether China's entrepreneurs ready?
Second, the new media - Internet
Internet, originated in 1969, four West Coast universities and research institutes will be the main computer connected to 50KBPS line, set up a small communication network, known disaster ARPANET. By 1974, ARPANET had been Nigeria is to have 100 nodes of the network, and then grow to form today's scale to millions of global Internet network.
the formation of the Internet does not come from the global system planning, it is the reason why there is today, thanks to the fact own characteristics: openness, sharing and low prices. to the Internet, anyone can enjoy the creative freedom to play, all information flows are not restricted. In the absence of the so-called supreme, the operation of the network by each user municipalities to decide, free connection, no time and distance restrictions, anyone can join networking, so the network resources are shared. Because the Internet is the beginning of academic exchanges, people are accustomed to free use, so when the business of the future, the network service provider (ISP) are adopted low-cost strategy, so they created the rapid development of Internet users.
many Internet service applications, the main features are: e-mail. can send text anywhere , sound, graphics files to the global computer network; remote login. can be connected to a remote computer, so that those who travel to distant lands like the back room hosts the work of the general; file transfer protocol. norms of mutual transfer large amounts of files between computers can be used from the global public server to obtain the required software; online forums. a provider of Internet users worldwide to discuss issues of garden, has now formed tens of thousands of discussion groups; global network of information on the network can interact with multimedia displays, is one of the most widely used functions; Others include electronic bulletin boards and so on. is that these connections, transfer, interactive access to the form of the message type of features that make the Internet and interactive business transactions with the ability to communicate, and gradually become operational indispensable tool.
customers on the Internet, from the early academic groups and scientific institutions, and gradually extended to the professional and commercial activities, and then spread to the family In 1994 under the SIMBA survey, only 2.6% of U.S. households use the Internet, the proportion of corporate users is not high, only about 270 million business users. but the U.S. has 1 / 3 of the families have computers, modems, the price dropped significantly. therefore estimated that by the year 2000, Internet, the global market, will be obvious economies of scale formation.
Although more than 20 million global users, but use the network to the proportion of shopping is still not high, currently estimated at about 2 billion U.S. shopping hail market, 2 years after growing to 25 billion by the year 2002 global Internet users more than 2 million people, the market size is more up to 200 billion U.S. dollars. Internet Marketing, low cost, and has the effect of global marketing, the Internet rapidly by the current growth trends, globalization and multinational corporations is clearly a global electronic network marketing, is not a mirage, so the business community if not promptly recognized the new media, I am afraid will lose a lot of opportunities.
1996 held in Seoul, Korea international advertising organizations the world's annual meeting, the theme that is�� ��latest media on the theme of the focus is concentrated in the Internet advertising industry for the future development. Although the number of Internet users is still small, and concentrated in specific groups (high income, highly educated, young), but the media industry, the need to treat it as new technology and new tools, perhaps even leading the future of media channels. we now have to do some investment to learn and understand this will be necessary.  par Internet and computers, communications technologies are closely related, but for corporate marketing, the key focus is on consumer interaction. use of the Internet for marketing services, which is the focus of consumers. The current knowledge is: the Internet opened a new era of one to one marketing, companies can at this stage and the traditional network marketing methods and new media, the Internet's hierarchical market, build brand recognition and strengthen brand trust and further participation in the brand so that consumers loyalty to the process of shaping.
three characteristics of network marketing is defined
marketing, to create the trading activities of individuals and organizations, the planning and execution of ideas, products, services, ideas, promotion, channels, and the process . From this point of view, the Internet really have many marketing features:
1. not far behind the Internet, which go beyond the constraints of time and multimedia sound and light features, is the creative marketers can play.
2. Internet catalog of goods for display, linked database provides information inquiries about products, customers can make an interactive two-way communication, to collect market intelligence, product testing can be conducted consumer satisfaction surveys and product design, product information provided, and services, the best tool.
3. promotion on the Internet is one to one, rational, consumer-led, non-compulsory, progressive, and is a low-cost and user-friendly promotions therefore in line with grading and direct marketing trends.
4. fast-growing number of Internet users, and throughout the world, users are mostly young, middle-class, high educational standards, it is a great potential market channels. marketing on the Internet to the collection of information by product, service at one go, it is also a channel full of smart business.
use of the Internet is a communication line, the global computer information network into the international transfer system will be shown to the most important marketing channel. network marketing features include: 24-hour delivery anywhere worldwide marketing services; computer can store large amounts of information, on behalf of consumer inquiries, the amount of information can be sent and accuracy far more than other media; to response to market demand, or adjust the price to update product; reduce printing and mailing costs; and no shop rent, saving water and labor costs; can avoid the interference of a salesman selling strong; can be provided through information and interaction conversations with consumers to establish long-term good relations.  par is a function of the Internet is the most powerful marketing tool, it is also both channels, promotion, electronic transactions, interactive customer service, and the fear of market information and the provision of multi- kinds of functions. It the nature of sound and light interactive communication, as the media across time and space, has attracted the eyes of the younger generation. In addition, it has a one to one marketing capabilities, it is consistent with�� ��Focus Marketing Direct Marketing�� ��future trends.
in the era of consumer-oriented marketing management 4p (product, price, place, promotion) should 4c (customer, cost, convenience, communication) for the full combination. The characteristics of network marketing is in line with customer-led, low cost and easy to use, full communication 4c requirements, so we can expect the next century will be the commercial and business activities, the most important marketing tool.
Network Marketing can be regarded as a new marketing channel, it does not have to replace the traditional channels, but through the development of information technology to innovation and re-marketing channels. but it is undeniable is that the network is bound to support smart business impact of traditional marketing Therefore, the business community must pay attention to this trend, and with the community, the software industry made close contacts and cooperation. to the advertising industry, for example, the body in the latest era of prostitution, sales are consistent from start to finish the job that is attracting attention from the triggered interest, resulting in purchases, procurement, stretch from, and advertising companies will participate in the marketing of the course. commercial enterprises also need to change the traditional organizational forms, to enhance the function of the media sector, the introduction of both marketing and computer technology literacy talent, the future can have the competitive advantage of the market.
Fourth, the application of network marketing and strategy network marketing�� ��
symbol of the Academy Award, in 1995 the business was first obtained by the Federal Express Corporation. the most innovative Market Award, sponsored by Te Nage, inviting scholars and experts as the review of network marketing. assessment criteria, there are three: (1) successful use of Internet marketing, creating huge profits are; (2) the use of network marketing for enterprises was positive impact on persons; (3) for the promotion of network marketing in excellent contributors.
FedEx Global Network page of a skilfully 24-hour customer inquiry system, users simply enter the parcel number, you can immediately find out the network parcel where the present and the future may arrive. Federal Express and the network to provide software free of charge for customers to use, the software can help check the standard file and print bar code to facilitate customers in their own homes to deal with packages. Judges said: ; Federal Express to scientific and technological strength, integrated enterprise network of online databases and Internet inquiries, successful customer service, corporate image and style show. Ragu & acute, a manufacturer of Italian seasoning sauce food companies who registered to obtain protection. Ragu's home page is designed to lively, smiling woman in Italy is the only main character throughout the home. content in addition to pizza, pasta and other food practices, the Italy and travel information in detail. The most special is Ragu designed a very detailed market survey, which also asked consumers preference for promotions. assessment of his comments: fear of consumer opinion on effective and market information, and can be successfully achieved brand awareness of the momentum. The average weekly orders received on the network of about 5000 document, then the customer throughout the world. Online shopping can be across geography and time and space constraints, eliminating the cost of mail-order catalog sent to truly realize the dream of global marketing. There is no doubt, the Internet network will be the most important marketing channel for the future, managers must re-examine the company's marketing strategy, network marketing will be included in early planning of the marketing mix.
(a) the application of network marketing in the 4P
the following we focused on marketing combination 4P, respectively, that the Internet can play in the marketing function and common applications:
1. Product / Service
general, suitable for products sold on the Internet generally have the following characteristics: ( 1) has the flu or with computer-related technology; (2) family of network group for the target market; (3) market need to cover a large geographical area; (4) is not easy to set up shop selling special goods; (5) the cost of the network far less than other sales channels; (6) consumer information via the network, that is to make product purchase decisions.
provided by the network products and services is primarily the provision of information, he In addition to product performance, features, quality, and customer service content to be displayed fully, but more important is the humanity and customer-oriented approach, targeting individual needs to make one to one marketing services. the features include:
* use of electronic bulletin boards or e-mail or an online service to do two-way communication with consumers;
* to provide consumers and consumers, consumers and companies to discuss on the network area, can take understanding of consumer needs, market trends, as a reference for the company to improve product development;  par * offer online auto service system, based on customer demand, automatically at the appropriate time by providing online information about products and services, such as: motor vehicle dealers on the network to alert customers informed about regular maintenance, flower shop to remind customers about the family birthday time, bank time deposits to expire to remind customers, teachers remind students of exam dates and be prepared to do so;
* each department online staff development can be discussed by the network, the prototype of the product or announcement on the network to trigger the full around the world to discuss relevant personnel;
* Supporting consumers through the Internet survey, in order to understand the consumer for the product characteristics , quality, packaging and style advice, etc., to assist in product development and improvement;
* on the network to provide relevant expertise and products to further service to consumers, the move will not only increase the value of the product, but also enhance corporate image, such as: flower gardening and flowers provide the knowledge of vehicle maintenance vehicle to provide common sense, knowledge of cooking utensils provided;
* development of e-books reports, electronic magazines, electronic databases, electronic games and other information products, and through a global network to provide affordable services;
* can be used to design consumer demand in the network, providing personalized products and personalized services, such as: available online on the choice of clothing styles and color combinations, buyers can decide on the network such as the desired color and accessories.
2.
Although prices lower the cost of online transactions, but because the transaction forms, price elasticity is also large, business enterprises the flexibility to teach large enterprises to fully view all the channels should be the price structure, and then designed an online transaction price. because online transactions are fully interactive communication, and fully grasp the consumer's purchase information, it is easier to reason way to be pricing strategy.
3.
online promotion and marketing promotion with one on one with the consumer demand-oriented features, in addition to advertising as a company, but also discover the best pipeline of potential customers. But because online marketing is basically a passive promotion, how to attract consumers on the line, and can provide valuable commodity information incentives for businesses will be a challenge.
4.
no doubt that cable channels have traded on the enterprise structure of the existing channels would be a challenge. Internet connection to consumers, the commodity directly displayed in front of customers, answer customer questions and accept customer orders. This direct interaction with the electronic shopping beyond time and space, No revolution in marketing channels.
(b) of the competitive strategy of network marketing network marketing
competitive advantage is the ability to product descriptions, promotions, customer surveys, advertising, public relations, customer service ..... . and other marketing activities together, one on one communication, the real pursuit of the marketing mix to achieve comprehensive benefits. These marketing activities are not limited to ground zai, combining text, sound, images, pictures, and video with dynamic or statement showing the way and can easily update the information quickly, but consumers can also be repeated on-line browse query. The combination of these functions, the equivalent of creating a myriad of distributors and sales representatives, the so-called virtual distribution representatives of business and virtual business, do not pay rent, do not pay salaries, but also secret information provided by consumers, creating the best distributors and representatives of the savings business of marketing and distribution costs, but also enables companies so low cost competitive advantage.
marketing strategy is based on business goals, resources and environment, develop a series of marketing activities through more value than the competition and more efficient services and products, expand market size, thus achieve planned business objectives. Network Marketing is able to combine the advantages of the questionnaire, network, database, and the latest, fastest and most comprehensive way to customer information. and then the information through the network, interactive statistical analysis of revision and intelligent function, with a large number of major customers and potential customers a complete information competitive strategies of network marketing is how to take advantage of this, expansion of major customers and potential customers to buy scale. can be owned by the strategy include:
1. to expand line scale. use of .
2. to strengthen customer relationships. to strengthen two-way interaction with customers through the use of customer information and analysis, try to have more customer features, then develop more customer needs.
3. multiple marketing channels of. the traditional marketing channels and networks, and other new types of channels, including tight integration to do in order to build the largest customer contact. Here the strategy of multiple marketing channels, in addition to expanding market share, but also created many unexpected new demand .
4. Accuracy of consumer demand. By analyzing and sorting customer information and more accurate positioning of the target market and, therefore, in order to make effective market promotion. re-use colorful network of multimedia features on the new Network impress customers, thereby increasing the size of the market customers, and expand the benefits of network marketing.
do not ignore any kind of innovative media, to go through a long development period, to find him market potential, radio, television is so, the Internet abuzz. to the current level of technology and electronic media to fully replace the traditional magazines, newspapers, there are some gaps. to the network's most popular World Wide Web WWW for also faces many problems on the use, including: retrieval and transmission are too slow to less than ideal picture and sound, content-poor, as free to be attractive to information overload, quality varies greatly, not standardized and management. Many manufacturers set home page on the network, the main purpose is advocacy and this, for the effect of driving consumption is very low. According to statistics, the turnover rate of traditional marketing channels, about 25%, but the use of the Internet for marketing, turnover rate of less than 5% . of course, how to enhance the effect of network marketing is the industry need to work. It has recently been the development of franchising network marketing company, with sales to non-merchandise stores way to better customer service and brand image, and indeed many of the network upgrade marketing effectiveness.
five network marketing impact on business functions
the Internet increased dramatically in recent years with the network number, especially in the commercial and marketing applications on a more rapid development of Jordan. Internet marketing companies can expand vision, redefining the scope of the market, narrowing the distance of consumers to replace the one-way human communication and media promotions, change the form of market competition. So this so-called Super 90's technology and management tools, has been gradually to the traditional impact on business methods and influence. The main effects are summarized as follows:
(a) changes in traditional marketing style of the traditional Shaw
closely dependent on the channel layer house, and put a lot of manpower and publicity for the market approach, In the Internet age will be unable to load the luxury. In the future, staff marketing, market research, advertising, promotion, distribution agents and other traditional marketing techniques, combined with network marketing, and full use of online resources in the same form at the lowest cost investment, access to the largest market volume of new marketing model. the future of marketing, will depend on the network as the customer contact channels and product promotion set, so businesses web site (URL) will become important to contact the external code. In short, the sales mainstream of the times, the traditional way of marketing the organization and operation is bound to make dramatic changes to adjust, which is in charge of marketing department a major change in the future challenges facing.
(b) organizational restructuring
Internet within the enterprise network have led the rapid development of the network formed by the internal and external communication and management, need to rely on the network as the main channel and information source. the impact, including: business and direct sales personnel reduction, reduce organizational level flat, distribution agents and branches to reduce the number of outlets, channel shortening, the virtual dealer, virtual stores, virtual departments, internal and external virtual organization prevails. these effects and changes, will encourage business re-engineering the organization of the urgent need for . In particular, the rise of the network within the network to change the internal practices and way of learning and growth, personal independence and professional workers will be further enhanced. so personal studio, working from home, flexible work, commissioned by outsourcing, shared business resources and so on, all in the future will also form a very the need for organizational restructuring.
(c) changes in competitive patterns
free and open characteristics of the network, the Internet era of competition in the market is transparent, everyone can master the same industry and competitor product information and marketing behavior. So the key to victory is how to timely obtain, analyze and use these to obtain the information from the network, to develop a competitive strategy advantage. In addition strategic alliance is also a network The main competition in the era patterns, how to use the network to form alliances and to form a coalition the size of resources to create competitive advantage, will be an important means for future business.
(d) recycling
network of customer relationship marketing, business competition is a competition, customer-focused style, for customers, retain customers, expand customer base, close customer relationships, analyzing customer needs and create customer characteristics, then the customer through education and marketing company image, establish customers for the virtual enterprise a sense of trust and network marketing. the Internet age target market, customer type, product type and there will be very different from the past, so how to cross geographical, cultural, temporal and spatial gap between recycling customers will require many innovative marketing as.
(e) the need for cross-border
by division of business in the past, businesses only need to focus on the enterprise and the local market, foreign markets are appointed by the agents or traders can operate. However, the Internet capabilities globally consistent across time and space, has made far less than the cost of global marketing regional marketing, so companies will have to enter the era of transnational business. Internet age enterprise, not only to be familiar with the characteristics of cross-market customers, promote trust and meet their needs, not to arrange cross-border production, transportation and future services, the arrangements are by these transnational network of business contacts and implementation.
six, the Internet's future development trend of the former American Telephone and Telegraph Company
Vice Forbes, chairman off the network for the magical world that talk about the future of this fable: there was a theologian, the most powerful supercomputers to ask: with all of the world's super-computer line. after line, or not answer, and later with the world's largest computer line, and then with all of the mini-computer connection, and all personal computers are linked on-line. to the last with all the cars, microwave ovens, video machines, electronic table top and the microcomputer, etc. are all networked together. theologians ask: Master John. Naisbitt recently pointed out that Internet technology will lead humanity into the whole digital life and the world by computer network equivalent of the 20th century, the road network and electricity grid, as world economic growth of the next century may be the most infrastructure .20-century road network has led business, chain, vehicle, transport, real estate and other major industries, can be expected, the Internet will be for the next century the world economy to create more new industries and business opportunities.
Although the network and the 3C (computer, communications, consumer goods) the combination has generated opportunities for business applications, but which have the potential of the Internet point of view, the current development and applications also can be said to be in embryonic stage. We are in the bud even the early stages of development for Internet applications, and many want to know and learn, the following will be the development trend of the future Internet, do some induction, provided for your reference.
(b) rapid advances in network technology. The main two network hardware - computer and network facilities, the unit cost function decrease exponentially, making the rate of expansion and the general public. One of the backbone network will continue to enhance the broadband, fiber optic services to universal compression technology allows multimedia data can be transmitted through ordinary telephone lines. network dedicated computer development, can easily handle complex animation and virtual reality applications, coupled with the video search tools and multimedia software development, network computer functions hundred times more so today.
(c) a network of major commercial transactions. Although the development of the network began in academic applications, but the most vigorous development of professional networks or commercial transactions. It is estimated that the transaction costs on the network is approximately equal to the cost of traditional marketing, 1 / 10, the future universal, the proportion of this cost will reduced. Therefore, governments around the world are applied to the development of electronic business transactions, as the primary investment purpose of the national information network. next to the object of commercial transactions will increase significantly the number of professional networks, electronic money (E-cash), smart cards, network within the firewall (Firewall )...... and so on commercial transactions and technology, will make electronic transactions more convenient and reliable. electronic commercial transactions there is a huge market interest, is to bring the main reason for the rapid development of the Internet, and therefore the protagonist of the next network stage.
(d) of the Internet in business, family and education at the more general application, will gradually form a new virtual society. In this virtual community, the use of more humane, more life applications of . modern society deal with the practical things needed are the distance will be able to transcend time and space, and was instantly transferred to the network of equality, so that the future is more convenient and efficient and colorful society. the future of human food, clothing, housing, , transportation, education, entertainment and other network services are inseparable from everyday life, so how do people in the psychological and behavioral adaptation to form a virtual social life application of network technology is an important issue.
(e) network culture, crime and dirty invasion will be a new social security problems. When the Internet become a source of information on social activities and the main channel, the inevitable porn, violence, crime, also with the invasion of the network, how to take into account the principle of free and open, standard order and the use of moral to protect social security and user rights, will be the future management of the virtual community is a major challenge. In addition, network security and privacy of the Republic of strong cultural invasion and so on. Therefore, the future Internet network management complexity of the problem , will be far higher than the existing variety of media management.
benefits? history forward, we are standing still to fall behind. Marx said, science and technology are productive forces, it proved the words of a good point. In my opinion, science and technology are primary productive forces. so, is familiar to everyone, and it is the best of China's reform and opening up policy comments.
technology really is the first productivity, technological progress is a rich source of technological development and economic integration is the modernization of China's science and technology should policy. the Internet is currently the most important human society, technological development, is also the most economic potential of the application of technology, as countries around the world to network infrastructure and technology development as the next century, a source of national competitiveness, as the world's largest economy China, naturally can not arrest the tide of history behind this, but can not be excluded in the future global economic and trade information outside the network. At present, China Although the development of the Internet a little behind other countries. But if in the coming years, to more open a more open mind and vision, I believe we will be able in a very short period of time to catch up, and the Internet to the Chinese market and global market integration, and further accelerate China's modernization.