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• Module overview
• 1. What is marketing?
  • 1.1 What is marketing?
    • 1.1.1 Different uses of the term 'marketing'
    • 1.1.2 Different levels of marketing
    • 1.1.3 A definition of marketing
  • 1.2 Clarification of the marketing definition
    • 1.2.1 Outputs
    • 1.2.2 Inputs
    • 1.2.3 Exchange
  • 1.3 Development of marketing
  • 1.4 Types of marketing
  • 1.5 What is a service?
    • 1.5.1 Characteristics of services
    • 1.5.2 A service definition
    • 1.5.3 Classifications of services
    • 1.5.4 Services: a growth sector
  • 1.6 Marketing in the maritime industry
  • 1.7 Towards social and ethical responsibility
    • 1.7.1 Common criticisms of marketing
    • 1.7.2 Social impact of marketing
  • 1.8 Summary

• 2. Strategic marketing management

  • 2.1 Introduction
  • 2.2 The environments
    • 2.2.1 External environment
    • 2.2.2 Internal environment
    • 2.2.3 Mission statements and objectives
    • 2.2.4 Resources
  • 2.3 Controllable factors
  • 2.4 The strategic marketing management process
    • 2.4.1 Planning
    • 2.4.2 Implementation and control
    • 2.4.3 Marketing plan
  • 2.5 Types of marketing strategies
    • 2.5.1 Strategic considerations for services
  • 2.6 Summary

• 3. Marketing research and information systems

  • 3.1 Introduction
  • 3.2 The marketing information system (MIS)
  • 3.3 Marketing research
    • 3.3.1 Scope of research
  • 3.4 The marketing research process
    • 3.4.1 Step 1: defining the problem
    • 3.4.2 Step 2: analysing the situation
    • 3.4.3 Step 3: obtaining problem-specific data
    • 3.4.4 Step 4: interpreting the data
    • 3.4.5 Step 5: solving the problem
  • 3.5 Summary

• 4. Consumer and B2B buying behaviour

  • 4.1 Introduction
  • 4.2 Consumer buying behaviour
    • 4.2.1 Psychological influences
    • 4.2.2 Cultural and social influences
    • 4.2.3 The decision-making process
  • 4.3 B2B buying behaviour
    • 4.3.1 Business buying processes
    • 4.3.2 Main types of business markets
  • 4.4 The buying of services
  • 4.5 Summary

• 5. Segmenting markets, targeting and positioning

  • 5.1 Introduction
  • 5.2 Market segmentation
    • 5.2.1 Dimensions used to segment markets
  • 5.3 Target markets
  • 5.4 Market positioning
  • 5.5 Summary

• 6. Product planning and decisions

  • 6.1 Introduction
  • 6.2 Product concepts
    • 6.2.1 The total product concept
    • 6.2.2 Product classifications
    • 6.2.3 The service offering
  • 6.3 The product mix
  • 6.4 Branding
  • 6.5 Packaging
  • 6.6 Product life-cycle
  • 6.7 Product development
  • 6.8 Summary

• 7. Pricing considerations

  • 7.1 What is the 'price' of a product?
  • 7.2 Pricing environments
  • 7.3 Pricing objectives
  • 7.4 Pricing policies
    • 7.4.1 Discount and allowance policies
  • 7.5 Price setting
    • 7.5.1 Cost-oriented price setting
    • 7.5.2 Demand-oriented price setting
    • 7.5.3 The price setting process
  • 7.6 Summary

• 8. Marketing logistics networks

  • 8.1 Introduction
  • 8.2 Definition of distribution
  • 8.3 Channels of distribution
    • 8.3.1 Selecting channels
    • 8.3.2 Main Australian channels
    • 8.3.3 Distributing services
    • 8.3.4 Managing channels
  • 8.4 Managing distribution
  • 8.5 Distribution and ports
  • 8.6 Summary

• 9. Integrated marketing communications

  • 9.1 Communication with a purpose
  • 9.2 Marketing communication process
  • 9.3 The promotional mix
  • 9.4 Managing advertising
  • 9.5 Managing publicity and public relations
  • 9.6 Managing personal selling
  • 9.7 Managing sales promotion
  • 9.8 Summary

• 10. E-commerce and direct marketing

  • 10.1 Introduction
  • 10.2 Direct marketing
  • 10.3 Electronic commerce
    • 10.3.1 Successful e-commerce
  • 10.4 Online marketing
  • 10.5 Using customer databases
  • 10.6 Privacy issues
  • 10.7 Summary

• 11. Managing the service encounter

  • 11.1 Introduction
  • 11.2 Participants
    • 11.2.1 Customers
    • 11.2.2 Service personnel
  • 11.3 Managing the service encounter
    • 11.3.1 Role theory
    • 11.3.2 Script theory
  • 11.4 Process
    • 11.4.1 Operations management and services
    • 11.4.2 Manufacturing efficiency
    • 11.4.3 Improving services efficiency
    • 11.4.4 Matching supply and demand
  • 11.5 Physical evidence
    • 11.5.1 Types of physical evidence
    • 11.5.2 Space demarcation
    • 11.5.3 Atmospherics
    • 11.5.4 Servicescapes
  • 11.6 Summary

• 12. Customer relationship management

  • 12.1 Introduction
  • 12.2 Customer relationship management
  • 12.3 Customer satisfaction
    • 12.3.1 Benefits of customer satisfaction
  • 12.4 Service quality
    • 12.4.1 Conceptual model of service quality
    • 12.4.2 SERVQUAL
  • 12.5 Summary

10.3.1 Successful e-commerce

To become more successful in implementing e-commerce, Miller and Layton (2000, pp. 489-490) suggest nine key developments are required:

• Customer self-service capability
• Efficient information access through focused search engines and smart catalogues
• User-centred query capabilities, allowing suppliers to bid
• Emergence of a wide range of information appliances
• Virtual reality entertainment - 3-D worlds with images, animation, sound and video
• Online customer service and transaction history
• Universal and secure payment systems, such as smart cards
• Cost effective microtransactions-making small payments at low cost
• New 'casting' technologies, replacing broadcasting-for example, push casting.

Some Web sites you have visited may already have fulfilled the above criteria.

Your text deals quite comprehensively with the activities involved in what we refer to as e-commerce. When working through the reading take particular note of what is meant by the term 'marketspace' and how e-commerce is being used to add value to what is becoming an interconnected network between customers and suppliers. Two further readings are included to keep you informed about how the maritime sector and ports are utilising e-commerce.

In your text

Kotler et al. (2004) Chapter 20, pp. 774-790, 'Alliances and the virtual organisation' and 'Electronic business'.

Reading 10.2

Tyler , A. 2001, 'Application of e-business in maritime R&D and technology', Proceedings of the Inaugural International Conference on Port and Maritime R&D and Technology , Singapore , 29-31 October, pp. 159-165.

Reading 10.3

Peronnet, M. 2001, 'Report of the 2 nd Annual E-Commerce in Ports Conference', Ports and Harbors , May, pp. 6-8.

Activity 10.2

Think about the virtual value chain in terms of your organisation or one of which you are familiar. Is that organisation utilising e-commerce to its fullest? What efficiencies and other benefits could your organisation gain from being online?

With only about 600 million (or about ten per cent) of the world population online (Lamb et al 2005), there is still enormous opportunity for growth although this may take some time in the developing countries. The growth of online users is phenomenal when we consider that ten years ago, less than 30 million people worldwide accessed the Internet.

There are of course a number of disadvantages of e-commerce. A survey of Australian Web users (Quester et al. 2001) found that only 41 per cent of the respondents had shopped online. Some of the deterrents to online purchasing were either too much or too little information, uncertainty of the final cost, the lack of human contact, delay in receiving replies to online requests, and poorly designed Web sites, all resulting in increased frustration for customers. As Quester et al. (2001, p. 538) suggest, 'online customer service will increasingly become a competitive advantage'. It would appear that customers have similar needs and require the same attention whether online or dealing face-to-face with businesses.

Before we begin the related area of online marketing, and considering we have looked at some advantages and disadvantages of e-commerce, it may be a good opportunity to examine some of the myths that have already developed surrounding e-commerce. The next reading highlights seven e-commerce myths, these will assist us gain a better understanding of the real potential of e-commerce.

Reading 10.4

Howarth, B. 2000, '7 e-myths exploded', Business Review Weekly ,
20 October, p. 72-76, 78, 80.

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