ONLINE MARKETING - HOW CONSUMERS RESPOND TO THE SCHEMES OF INTERNET MARKETING PDF

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International Journal of Management (IJM) Volume 12, Issue 3, March 2021, pp.855-871, Article ID: IJM_12_03_083 Available online at http://iaeme.com/Home/issue/IJM?Volume=12&Issue=3 ISSN Print: 0976-6502 and ISSN Online: 0976-6510 DOI: 10.34218/IJM.12.3.2021.083 © IAEME Publication Scopus Indexe...

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International Journal of Management (IJM) Volume 12, Issue 3, March 2021, pp.855-871, Article ID: IJM_12_03_083 Available online at http://iaeme.com/Home/issue/IJM?Volume=12&Issue=3 ISSN Print: 0976-6502 and ISSN Online: 0976-6510 DOI: 10.34218/IJM.12.3.2021.083 © IAEME Publication

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ONLINE MARKETING - HOW CONSUMERS RESPOND TO THE SCHEMES OF INTERNET MARKETING Dr. N. Srinivas Kumar Professor & Assistant Director, Guru Nanak Institutions Technical Campus (GNITC) – Autonomous, Telangana, India ABSTRACT Traditional marketing tactics are well-known by firms around the globe, although there are few innovative options for promoting competition. And then there's online marketing, which has almost infinite opportunities and choices. This research looked at the increasing significance of online marketing, as well as a number of online marketing schemes. It also includes a concise overview of online marketing, as well as simple internet schemes and the response to the problem. The findings of the analysis would aid web advertisers in developing better targeting strategies to affect customers' buying intentions and purchasing behaviour. The data was obtained using the chosen structures borrowed from the literature. The PLS-SEM methodology was used to test the conceptual model using survey data from 392 Indian consumers. The study validates a conceptual model that creates a connection between numerous marketing schemes and purchase intention and consumer purchasing behaviour. Influencer marketing, social network marketing, eWOM, and viral marketing all have a huge impact on purchase intention, according to the study. Email marketing and content marketing, on the other side, have no effect on purchasing intention and purchase intention leads to consumer purchasing behavior. Key words: Online marketing, Purchase intention, Consumer behavior, Social network, Words of Mouth. Cite this Article: N. Srinivas Kumar, Online Marketing - How Consumers Respond to the Schemes of Internet Marketing, International Journal of Management (IJM), 12(3), 2021, pp. 855-871. http://iaeme.com/Home/issue/IJM?Volume=12&Issue=3

1. INTRODUCTION

About every aspect of human existence has been touched by the applications of ever-increasing technologies in this age of invention. The internet is a natural extension of e-business. The term applies to doing business over an interactive network, most often the internet or one of its variants (Wilson & Makau, 2018). Internet, information system for managing business

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Online Marketing - How Consumers Respond to the Schemes of Internet Marketing

processes, online selling portal, business models that collect data on different consumer and market segments and then render this information accessible to external parties for a price, and online financial exchange service are all characteristics of e-business (Tembrink, 2020). Ebusiness is a branch of online marketing. That is the method by which a company sells its goods or services on the internet. The process of operating a business on the internet and advertising its services or goods utilising online marketing techniques or resources has a number of advantages (Santos, 2020). The management of the consumer's online experience of the commodity, from first impression to purchase to distribution and beyond, must be described as online marketing. The philosophy of online marketing is built on customer interactions for two purposes. Marketers are compelled to follow the consumer's point of view as a result of this strategy (Scheuffelen et al., 2019). It requires managers to pay close attention to all facets of their digital brand's relationships with customers, from product creation to messaging messages, sales and fulfilment procedures, and after-sales customer support.

1.1 Background of the Study

With technological advancements, internet marketing has improved dramatically since then. Digital ads cost $333.25 billion in 2019, and this figure is expected to rise to $517.51 billion by the end of 2023. In the third quarter of 2018, Google alone made $24.1 billion in revenue from AdSense and AdWords. The majority of this revenue came from contextual multimedia advertising (ads) that were shown to internet consumers (Santos, 2020). These descriptive figures indicate that internet marketing is becoming more common as a corporate communication method (Wilson & Makau, 2018). Product, Price, Location, and Promotion are the four Ps that make up the marketing mix. The Place of internet marketing refers to social media platforms, blogs, and smartphone apps, to name a couple, while the Promotion refers to advertisement, branding, and public relations. However, the researchers claim that the scholarly literature on the features and results of online marketing strategies is still lacking. In nonacademic sources, influencer marketing is often synonymous with electronic word-of-mouth (eWOM) marketing and/or messenger marketing is associated with social network marketing (Scheuffelen et al., 2019). As a result, this chapter defines the terminology used in online marketing and distinguishes between online marketing approaches and techniques. It defines the terminology used to determine the efficacy of multimedia ads. As a result, this contribution helps to clarify the taxonomy of web marketing terminology and definitions. It fills a void in the literature by highlighting the variations and parallels between each form of online marketing (Kingsnorth, 2019). To that end, the researchers performed a comprehensive literature review that classified various online marketing concepts, clarified their use, and defined their boundaries and relationships (Tembrink, 2020). As a result, this analysis will assist businesses in determining the most appropriate online marketing tactics and techniques for increasing the efficacy of their online marketing efforts. According to the CMO Council, 71% of internet consumers are more inclined to buy from a company they track on social media sites like Twitter or Facebook. Furthermore, the bulk of advertisers (59%) spend at least 6 hours a week on social media (Scheuffelen et al., 2019). Furthermore, internet marketing provides three times the number of leads as conventional outbound marketing thus costing 62% less. Marketing experts are 50% more likely than users to prefer a company on Facebook, 400% more likely to support products on Twitter, 100% more likely to make a transaction after seeing something on Facebook, and 150 percent more likely to make a purchase after seeing something on Twitter (Warokka et al., 2020). However, 83 percent of consumers said they had a "poor encounter with social network ads," indicating that there is still potential for growth.

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1.2 Significance of the Study

Consumers may choose goods they believe are deserving of buying through online marketing, which includes comprehensive discussions of the characteristics, consistency, reliability, architecture, and functionality of different products through industries. Due to a variety of factors, including the elimination of regional constraints, ease of usability, convergence of a vast amount of knowledge into a small online website, wide margin for customization, and strength of scope to future and current users across the globe, managers are rapidly turning to online marketing. Purchase intention and consumer purchasing behavior from various sectors may be influenced by online marketing schemes. The aim of this analysis is to find the influence of different marketing schemes on purchase intention and consumer purchasing behavior by using customers as a marketing asset.

2. REVIEW OF LITERATURE In today's world, consumers not only purchase but still sell goods. By word of mouth and through web platforms and virtual communities, they exchange knowledge regarding product consistency, durability, pricing, ease of usage, and warranty claim procedures. Several internet marketing terms refer to tactics that can be used to improve online popularity and raise product or service revenue.

2.1 Email Marketing Email marketing is one of the most well-known internet marketing strategies. It is one of the most often used digital strategies. Despite the recent prevalence of social networking, many people still prefer to obtain brand information through email. In terms of return on investment, email marketing is very successful. However, there are many approaches to increase the effectiveness of email marketing. According to Jeshurun (2018), personalising email marketing (for example, attaching the recipient's name to the email subject) increases the likelihood of the recipient reading the email by 20%. Mackintosh et al. (2017) created a classification algorithm to predict the success of an email campaign. The authors stated that the open rates were determined by the keywords used in the email. They said that using custom messaging and using question marks in email subject lines would improve the likelihood of an email being opened. Furthermore, they suggested that there are some hours of the day when marketing communications are more likely to be heard and read by their recipients (Zhang et al., 2017). Data processing technologies may be used to find these moments. For several purposes, direct emails can be forwarded to individual users. Waheed & Yang (2017) identified three types of promotional emails: I advertising emails that increase visibility of appealing rewards, such as product and service promotions and discounted pricing. This form of email will help you boost revenue and build consumer loyalty. Disruptive innovations are being used by certain creative advertisers, such as gamification to reward and incentivize internet consumers to click their email links; and (ii) electronic newsletters targeted at the customer interaction. As a result, these emails can provide web users with high-quality, engaging material. These emails are also known as relational emails because they are used to establish a relationship with online users; and validation emails because they are used to inform consumers that their online purchases were completed successfully (Gunelius, 2018). In terms of identity and corporate appearance, these kinds of emails are very useful. To summarise, electronic newsletters are designed to guide internet customers to a company's website (Jenkins, 2008).

2.2 Social Network Marketing

Social network marketing is another common online marketing strategy. Brands and companies will use social networking platforms like Facebook and Instagram to connect with clients and

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sell their goods and services to their fans. This will lead to an increase in market recognition and revenue. Customers, on the other side, will write brand reviews or even buy goods online (Bhosale & Phadtare) (2019). As a result, in addition to increasing consumer satisfaction, social network ads will have a positive effect on electronic positive eWOM advertisements (Liao & Yang, 2021). Influencer marketing, video marketing, and viral marketing are examples of other types of social network marketing. Marketers may utilise social networks to publish their material digitally, which provides them with a variety of advantages. Their aim is to sway internet consumers and persuade them to buy their goods or services. Sijabat et al. (2019) created a new algorithm that can detect the results of influencer marketing material. Despite this, social media platforms such as Facebook and Instagram are constantly displaying video advertising for companies to their users. Advertisers in both situations will use Facebook targeting (Facebook owns Instagram) to find the most relevant subscribers to serve their advertisements to (Prabowo, 2019). Since they provide access to a broad variety of user information, such as demographics and other related information, social networks are an excellent venue for targeted advertisements (Vassileva, 2017). However, the advertisers' social networking posts may not often pique the attention of internet consumers. As a consequence, they may want to block or filter advertisements (Imtiaz, 2019)

2.3 Electronic Word of Mouth Marketing

Electronic Word of Mouth (eWOM) is one of the most profitable and fascinating online marketing strategies (Sijoria et al., 2018). Online consumers are becoming more active with eWOM. More people are expressing their opinions on goods and services, both good and bad (Pihlaja et al., 2017). Person consumer feedback in web fora, journals, and social networking may therefore be categorised as eWOM. Positive eWOM would help companies, according to Ismagilova et al. (2017), because it would boost their positioning in the eyes of their customers (Srivastava & Sharma) (2017). Furthermore, prospective customers benefit from eWOM because it relies on customers' independent comments about their experiences with a company's goods or services (Zhang et al., 2020). User feedback and ratings may help potential customers reduce their vulnerability and quest period. People may still use the review forums to pose questions and communicate with other people (Khwaja et al., 2020). These are some of the factors that entice people to participate in eWOM.

2.4 Influencer Marketing

Another form of online marketing that is prominent with social media is influencer marketing. Online consumers who promote goods or companies to their followers can be considered influencers. As a result, influencer marketing and eWOM advertisements are strongly linked. However, in this situation, the influencer may be a well-known person such as a celebrity, figurehead, or athlete who has a large number of social media followers. Influencers may be compared to actors on social media platforms. They are well-versed in the art of personal branding (Glucksman, 2017). As a result, social media influencers can market themselves as a company. As a result, influencer marketing entails collaboration with two brands: the social network influencer and the company that he or she is endorsing (Stubb et al., 2019). According to Campbell and Farrell (2020), social networking influencers will charge up to $250,000 a tweet, depending on the size of their following and the medium they use. Influencers operate in a variety of fields, including lifestyle, design, comedy, politics, and gaming (Taylor, 2020). Influencer marketing is expected to grow to a $5 to $10 billion business by 2020. It's also worth noting that gaming influencers are gaining a lot of traction in online marketing.

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2.5 Viral Marketing

Another kind of online marketing that everyday social network users may do is viral marketing (not necessarily influencers). Subscribers to social networking platforms will share online 8 materials, such as blogs, photographs, and videos, with their families, coworkers, and acquaintances (Agam, 2017). If their audience appreciates their social networking messages, they can go viral (like a virus). Third parties can exchange and reshare the articles in this situation. In various social networking platforms, the most appealing or innovative posts will go viral. Breaking news or emotional material, such as humorous images, for example, has the ability to go viral and social media consumers enjoy and post them (Bhattacharya et al., 2019). Since internet users and their friends are involved on social networks and messengers like Facebook Messenger, WhatsApp, and others, they are perfect platforms for viral marketing. Other marketing tools, such as email marketing, may also be used to spread viral content. Influencers can play a big role in social marketing and they can distribute the word to their fans. As a result, the most powerful people in the world could spread viral online material. Guo and Wu (2019) created algorithms to determine the most powerful social network influencers with the most clout among their fans. Businesses may also recognise and employ prominent social network consumers to disseminate their advertising material in a similar manner (Nguyen et al., 2017). Their viral marketing tactics could include mass-marketing distribution incentives, in which people are rewarded for spreading advertisements to their peers (Stubb et al., 2019). There are several company websites that compensate internet users by giving them money if they refer their mates to use their services.

2.6 Content Marketing Many internet consumers have begun to adapt the tone of their online posts in order to cater to various digital platforms as a result of the rise of social media. Content marketing for internet consumers entails the production of meaningful communications that are exchanged across images, journals, and social networking content (Du, 2017). The aim of these messages is to pique the recipients' attention. The aim of content marketers is to engage current and future consumers (Vinerean, 2017). As a result, their content messages can be tailored to their intended markets. The sold material may not seem to be useful or informative to the web consumers. As a result, the material should be tailored to the intended audience. In order to win the interest of internet consumers, content marketers may use a variety of interactive systems (Mansour & Barandas, 2017). In order to better consider their target audience's favourite material, marketers can evaluate their target audience's desires. Content marketing success is dependent on the production of persuasive and timely communications that cater to web consumers. According to a report by Müller and Christandl (2019), certain Facebook and Twitter material is more successful at certain hours of the day and on certain days of the week.

2.7 Purchase Intention The intensity of a consumer's attitude about the desire to make an online transaction can be defined by their purchase intention. Purchase intention is one of the components of consumer cognitive activity that explains how a buyer plans to purchase a specific brand. To assess customer purchasing intention, Yazdanpanah & Forouzani (2015) emphasised variables such as concern in the purchase of a specific brand and expectation to buy from the brand. According to Lee (2015), the willingness and purpose to make an online purchase applies to a circumstance in which a customer is willing and plans to participate in online purchases, which involve tasks such as retrieving and exchanging details as well as product purchase. As a result, it's critical to evaluate the idea of buying in this report. Online marketers must examine the effects of online marketing schemes such as EM, eWOM, CM, IM, and VM in order to learn about their

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consumers' buying intentions. McCarthy et al., (2003) looked at why people don't purchase g...