Friday, March 5, 2010

In response to Doug K's question

Multiple companis offer deals for buying in bundle or signing up for contracts with them, can you provide any examples of any? Do you think phone companies are taking advantage of their customers? What marketing techniques do you think cell phone companies used to make texts become so popular, and what techniques could they use to possibly make even more money from this service?

I know that my cell phone company, U.S. Cellular offers deals and packages for text messaging. They offer free text messaging for eith $15 or $20 dollars extra each month which is a lot I think. They also offer smaller packages, I personally spend $5 dollars extra a month and get 250 texts a month which is enough for me, I dont do that many. But there are some who text so much that they should spend the $20 dollars extra a month because once you go over the limited number you have, they start charging you by text which are around 25 cents each. This can be very costly and add up quick if you dont have unlimited texting. My sister has Sprint for a cell phone company and hers is around the same for unlimited texting.
I dont think that cell phone companies are taking advantage when they offer the packages but they definitely are when you go over your text messaging limit. I think 25 cents for each text is rediculous, I remember when it used to be 10 cents which is a little more reasonable. I'm glad they dont charge you for receiving messages but I feel like some day they might end up doing that as well. The costs of text messaging are rediculous and they know how popular it is so the prices are only going to increase in the future.
I dont think cell phone companies really used a big marketing plan to get text messaging popular. It was customers and word of mouth that got it so popular. My friends told me about it and thats when I became interested. Everyone just started to do it, I dont remeber seeing ads for it. Now you see cell phone companies on television trying to get you as a customer with their unlimited texting packages and talking minutes. I also dont think companies are going to have to do too much to make even more money from text messaging. They just need to get people to want to use their service and they can do this by offering better deals.

How do you feel about the costs of text messaging? Do you think texting is becoming a big problem both in school and in general? Is texting more of a form of communication now then personally talking on the phone? If not, do you think it will be some day?

Legal and Ethical issues in E-marketing

How marketers use technology to gather information, both online and off, to foster long term relationships with customers has raised many legal and ethical issues. Some of these issues include personal privacy and unsolicited e-mail.
One of the major privacy issues involves the personal information companies collect from their website visitors. According to a survey by the Progress and Freedom Foundation, 96% of popular commercial websites collect personally identifying information from visitors, usually through cookies. Some people fear that websites are collecting personal information which violates their privacy, especially if it's done without their knowledge. In response to this, some companies are cutting back on the amount of information they collect. Companies can legally buy and sell information about customers to gain a competitive advantage. Some companies recognize privacy concerns and strive to protect customer security.
I'am a member to many different websites and I shop online every now and then. This definitely is a big issue, I didn't realize that websites keep a lot of your personal information and can sell it to other companies. If I do buy something online I check out as a guest and not a member so you would think that the company doesn't store your information but I'm sure they do after reading this. It is pretty scary and companies need to start protecting their customers security. I definitely don't want my personal informatin roaming around on the web to different people, I would like to trust the company to protect my security.
Spam is also another issue. Many internet users believe that spam violates their privacy and steals their resources. Many companies also hate spam because it costs them around $22 billion a year in antispam filters, new equipment and lost productivity. Another issue is phishing which is the practice of sending fraudulent that appear to come from a trusted, legitimate source and request personal information for the purpose of committing identity theft. Phishing meggages will often come from financial firms, like Citibank and may direct viewers to an authentic-looking website to trick them into giving personal information including account numbers and passwords. This is a big issue and everyone needs to be cautious and aware of all these threats to your private information.

Everyone needs to keep an eye out when they are reading and responding to e-mails. Have you ever received an email that seemed fishy? Maybe you thought something was odd about it so you deleted it or maybe responded but didn't know it was a phishing email?