It looks like John Smith has an issue on his hands. He is currently on the verge of bankruptcy which will leave 75 people out of jobs. The only way for him to keep his workers and not lay anyone off, he has been asked for the names and numbers of those who are most likely to buy a new car within the next 12 months. He definitely needs the money but the real question is-
is it right in selling the information?
John Smith could sell the names if he needs the money to save his business and keep is employees working. If he doesn't sell the information then he's leaving a lot of people out of work who need to the job not only to support themselves but their families as well. That alone would make me me want to sell the information, even if other sources say it's not an ethical thing to do, such as the AMA standard of ethics.
The AMA commits itself to promoting the highest standard of professional ethical norms and values of its members. The AMA also states that as marketers we should also do no harm, foster trust in the marketing system and embrace ethical values. We should also be honest, responsible, fair and respectful. It's important for companies to keep their customer information private and protected. If John decides to sell the information, then he is going against the statement of ethics. This will make people not trust his company anymore and when people have a bad experience at a place, they tend to tell a ton of other people. This could be very bad for John Smith's company because the customer relationship should be valued and be kept private. He is not being fair and respectful to his customers information that should be kept protected, not sold for $8,000 dollars to another company.
In the end he needs to do what is right which is to keep his customers information secure within his comany. If he sells the information he will lose all of his current customers plus a ton of future ones because news travels fast. He might come out with an extra 8,000 but after a little bit of time he will end up right back where he started but with less customers and employees.
It's hard to say what you would do unless you are the one in the current situation or dilema. Do you think there is a way for John to talk to his current customers about his situation and get some sort of agreement forms with signatures. If he talks to each person and gets their approval first, then only sends in the information on customers who said it was okay to do. What do you think about this? Is it now ethical? What if you were the customer and were asked if it was okay if they give your name and number to another company, would you be alright with it?
Monday, March 8, 2010
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?
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?
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?
Friday, February 26, 2010
In response to Daniel G's question
Before I buy something, I always go online and read reviews, to see what people have to say. Even if I read a bad review though, it may not stop me from buying it. Do you also do this?
I actually do this myself all the time. I see a products advertised on television and the interent all the time and find myself looking them up. I try to go to a website that has other peoples responses to the product and see that they have to say. Sometimes they are rated by stars, so 4 out of 5 stars is good where as 1 out of 5 is terrible. But even with horrible reviews, if I think the product looks cool or interesting I will buy it anways.
One thing I do realize more now is that the reviews people give actually help. I think it's really nice of people to go online and tell you how a product is before you go and spend a bunch of money on it. They are saving you time and money on something that they may have already wasted their money on and for them to take more time out of their day to write a review, it's pretty awesome and helpful. This includes movies too. I find myself looking up reviews on movies before I go out to see one or rent/buy one. I dont want to waste my time on a bad movie and these reviews generally help. Everyone has different views on what a good movie is and so when I read a review, sometimes I will disagree with who ever wrote it because maybe they have a different sense of humor then I do. You can take in information and opinion any way you like.
What I like about reviews is you have the option of looking them up or you can go out and buy whatever it is you want to buy without anyones opinion. I definitely think that reviews are helpful and I have not bought a product before because it got a lot of horrible reviews. If there is one bad review in there the chances of my purchasing it are pretty high but if all the reviews are horrible, then I wont.
The internet is so helpful with reviews on products and services. Do you ever find yourself looking up movie information and reviews before you go buy them and or see them in the theature? I actually went to a movie recently and they are adding commercials to the previews now, what do you think about this? Do you find it annoying and unnecessary like I do?
I actually do this myself all the time. I see a products advertised on television and the interent all the time and find myself looking them up. I try to go to a website that has other peoples responses to the product and see that they have to say. Sometimes they are rated by stars, so 4 out of 5 stars is good where as 1 out of 5 is terrible. But even with horrible reviews, if I think the product looks cool or interesting I will buy it anways.
One thing I do realize more now is that the reviews people give actually help. I think it's really nice of people to go online and tell you how a product is before you go and spend a bunch of money on it. They are saving you time and money on something that they may have already wasted their money on and for them to take more time out of their day to write a review, it's pretty awesome and helpful. This includes movies too. I find myself looking up reviews on movies before I go out to see one or rent/buy one. I dont want to waste my time on a bad movie and these reviews generally help. Everyone has different views on what a good movie is and so when I read a review, sometimes I will disagree with who ever wrote it because maybe they have a different sense of humor then I do. You can take in information and opinion any way you like.
What I like about reviews is you have the option of looking them up or you can go out and buy whatever it is you want to buy without anyones opinion. I definitely think that reviews are helpful and I have not bought a product before because it got a lot of horrible reviews. If there is one bad review in there the chances of my purchasing it are pretty high but if all the reviews are horrible, then I wont.
The internet is so helpful with reviews on products and services. Do you ever find yourself looking up movie information and reviews before you go buy them and or see them in the theature? I actually went to a movie recently and they are adding commercials to the previews now, what do you think about this? Do you find it annoying and unnecessary like I do?
Tuesday, February 23, 2010
Response to article questions
I think one of the biggest advantages of direct mail is its ability for a people to make personal contacts with one another. Emailing is definitely easier especially if you have a P.O. Box, but with direct mail, its more personal and may mean more if you are writing to a family member or friend. Direct mail is beneficial to everyone because everyone gets mail and has an address. If a person chooses not to use the interent, whether they are from an older generation or dont have the money for the technology, then they wont receive important mail and or mail from a company trying to promote a new product or sale. Emails and electronic means of marking are so easy to erase, and if the only way a company reaches out to people is by email, then most of their mail is probably erased or sent to the junk mail folder. Direct mail is still a very important for companies to do if they want to reach new customers and get their product out there.
Barcodes seem promising but concerns with their use are the fact that most people dont have a barcode scanner device. People will need something to be able to read these bar codes which could cost people more money then they are willing to pay. Barcodes seem more like our generation, most of the older generations dont like technology or like the simple things technology offer which definitely isn't the barcode idea. It is definitely a neat idea and shows promise.
E-marketing has already started to take over traditional forms of marketing. Most companies have their own website online which allows you to shop their products and see their sales. You are able to create an account with the most companies online and instead of going to the store, you can order online and have it shipped to your home. It's in the companies best interest to have a website especially these days because if they dont, then most people will go to another company website that does. I think companies will still send direct mail but phone calls will and already are decreasing. Most people don't like phone calls and get annoyed by them if its people they dont know, so having more of an e-marketing approach will only help companies in the long run.
Big companies and corporations are already well known so I think that smaller businesses and companies would benefit more with the use of direct mail. There's a hair cut place in Bratt, Vt that is a small business and on your birthday they send you a card in the mail that gives you a percent off their services and products for one day. They do give you a time limit to go in and use it but it is still nice that they offer you a deal and that they have direct mail. Most of the customers who go their appreciate it and it helps the company build a more personal relationship with their customers. If the customers like the company then they will also spread the word to their friends so it is important for a company, big or small, to make the customers happy.
I know most companies are trying to go green and if they did market electronically, they would save paper and some company costs, but would the product or service that they are trying to promote succeed without any sort of direct mail?
Barcodes seem promising but concerns with their use are the fact that most people dont have a barcode scanner device. People will need something to be able to read these bar codes which could cost people more money then they are willing to pay. Barcodes seem more like our generation, most of the older generations dont like technology or like the simple things technology offer which definitely isn't the barcode idea. It is definitely a neat idea and shows promise.
E-marketing has already started to take over traditional forms of marketing. Most companies have their own website online which allows you to shop their products and see their sales. You are able to create an account with the most companies online and instead of going to the store, you can order online and have it shipped to your home. It's in the companies best interest to have a website especially these days because if they dont, then most people will go to another company website that does. I think companies will still send direct mail but phone calls will and already are decreasing. Most people don't like phone calls and get annoyed by them if its people they dont know, so having more of an e-marketing approach will only help companies in the long run.
Big companies and corporations are already well known so I think that smaller businesses and companies would benefit more with the use of direct mail. There's a hair cut place in Bratt, Vt that is a small business and on your birthday they send you a card in the mail that gives you a percent off their services and products for one day. They do give you a time limit to go in and use it but it is still nice that they offer you a deal and that they have direct mail. Most of the customers who go their appreciate it and it helps the company build a more personal relationship with their customers. If the customers like the company then they will also spread the word to their friends so it is important for a company, big or small, to make the customers happy.
I know most companies are trying to go green and if they did market electronically, they would save paper and some company costs, but would the product or service that they are trying to promote succeed without any sort of direct mail?
Friday, February 19, 2010
In response to Doug K's question
Do you find yourself being influenced by e-marketing? What is the most effective way that this type of marketing gets your attention pop-ups, banners, etc.. Do you find yourself reading reviews before buying products?
Yes I do find myself being influenced by e-marketing, but who doesn't. Pop-ups dont really grab my attention, they actually annoy me, especially if you get three or more at one time. Some banners grab my attention more then others and allow me to click on them and go to that site or product thats being promoted. I love the fact that I can go to firms websites online and find the products and the prices that I'm looking for. I can easily pull up a few different sites and compare the same product, but the price may be cheaper at one place then at the other. Maybe the product that I'm looking for isn't even sold at a particular company and I see this while I'm at there site. This allows me to look else where for the product and also saved me time by not going to this place to find the product that they dont carry. I definitely find myself reading reviews before buying certain products, usually if its something that is electronic. I want the best product out there and the best price and if it has a lot of good reviews, the chances of me buying it are high. E-marketing is very useful and all firms should do it if they haven't yet.
Most big firms e-market their products and prices. Do you think more small businesses should e-market more if they don't already?
Yes I do find myself being influenced by e-marketing, but who doesn't. Pop-ups dont really grab my attention, they actually annoy me, especially if you get three or more at one time. Some banners grab my attention more then others and allow me to click on them and go to that site or product thats being promoted. I love the fact that I can go to firms websites online and find the products and the prices that I'm looking for. I can easily pull up a few different sites and compare the same product, but the price may be cheaper at one place then at the other. Maybe the product that I'm looking for isn't even sold at a particular company and I see this while I'm at there site. This allows me to look else where for the product and also saved me time by not going to this place to find the product that they dont carry. I definitely find myself reading reviews before buying certain products, usually if its something that is electronic. I want the best product out there and the best price and if it has a lot of good reviews, the chances of me buying it are high. E-marketing is very useful and all firms should do it if they haven't yet.
Most big firms e-market their products and prices. Do you think more small businesses should e-market more if they don't already?
E-marketing
E-marketing refers to the strategic process of creating, distributing, promoting, and pricing products for targeted customers in the virtual environment of the internet. What is great about e-marketing? It gives marketers and customers the ability to share information.
Through firms websites, customers like myself are able to learn about the firms products and prices. This is definitely important for firms to have, especially with the interent becoming more used. The internet is even being added to most cell phones these days and if a firm doesn't have a website, then most customers will go to another company that does have a site. Websites also allow customers to provide feedback mechanisms through which people can ask questions, voice complaints, indicate preferences and even communicate their needs and desires.
I currently work at Target and this firm does have a website. Customers are able to go to target.com and look up our products and our prices. Our website also allows them to see if we carry that product in their local stores because there are so many targets out there and not every single target has the same products. Customers can also go to target.com and voice their complaints and make suggestions. These results come to our store and then during the morning huddles (team member gathering), we are read the results and come up with ways to improve if the feedback is poor.
The internet is being used more and more each day. I dont think there is a day that I go without checking my email, doing an assignment or looking up something. Do you think that teachers are starting to use the interent more and more in their classes, whether it's assignments or activities or quizzes?
Through firms websites, customers like myself are able to learn about the firms products and prices. This is definitely important for firms to have, especially with the interent becoming more used. The internet is even being added to most cell phones these days and if a firm doesn't have a website, then most customers will go to another company that does have a site. Websites also allow customers to provide feedback mechanisms through which people can ask questions, voice complaints, indicate preferences and even communicate their needs and desires.
I currently work at Target and this firm does have a website. Customers are able to go to target.com and look up our products and our prices. Our website also allows them to see if we carry that product in their local stores because there are so many targets out there and not every single target has the same products. Customers can also go to target.com and voice their complaints and make suggestions. These results come to our store and then during the morning huddles (team member gathering), we are read the results and come up with ways to improve if the feedback is poor.
The internet is being used more and more each day. I dont think there is a day that I go without checking my email, doing an assignment or looking up something. Do you think that teachers are starting to use the interent more and more in their classes, whether it's assignments or activities or quizzes?
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