Using Permission Marketing in the B2C

Permission marketing is developed by Seth Godin, a well-established international marketing guru at the turn of the century. A key element of "permission" based marketing is that you are in essence, purchasing someone's time and getting their "attention".

Permission marketin envision every customer shaping the targeting behavior of marketers. Consumers empower a marketer to send them promotional messages in certain interest categories. Typically, this is done by asking the consumer to fill out a survey indicating interests when registering for a service. The marketer then matches advertising messages with the interests of consumers.

Permission marketing offers the promise of improving targeting by helping consumers interface with marketers most likely to provide relevant promotional messages. Since the adverting arrive in the mailbox of the individual, it is likely that more attention would be paid to them in comparison to banners. Another motivation for permission marketing on the Web has been the failure of the direct mail approach of sending unsolicited promotional messages.

Permission marketing models allow for two kinds of exit or opt-out strategies: partial or complete. In partial opt-out, the consumer indicates that he or she wants to stop receiving advertisements in a sub-category. For example, this may occur when the consumer may have been interested in a category for a short period of time only. New models now allow consumers to specify a date after which they will be automatically opted out of a category. In complete opt-out, the consumer decides to terminate a relationship with a particular marketer and hence, will not receive any more promotional messages.

So why Permission Marketing is very important for B2C?

It can be said that permission marketing is one of the ethics in marketing. By using this approach, customers will feel comfortable with the information given to them, they will not feel annoyed. Unlike spam or junk mail. By using permission marketing, the intended information will be directly arrived to the customers so it will save cost and time.

References:

• www.wikepedia.org
• http://jcmc.indiana.edu/vol6/issue2/krishnamurthy.html

Past, Current and Future Conditions for Book Industry

Nowadays buying goods doesnt mean we have to go to the stores, we can do it through the internet..Internet become the famous media for choosing and buy products, but the use is only booming nowadays while in the past, many people are not aware of the internet.. Let compare the use of internet nowadays, past and in the future..Im using book industries as the case study..

In the past,

Internet is not as common as today when people will prefer to go to particular store to get their desired books..People are not used to use internet to do the transactions..Many reasons that contribute to this habbit..Starting from the feeling of unfamiliar using internet, afraid using the credit card via internet and also worried that their order unable to be delivered properly. They more convinient to go around to malls to get what they want..But later, this habit of hanging around in the mall shift to internet era where everything will be done through internet..

Nowadays,

We can call as transation era where step by step, people starts to shift to internet as the media to buy goods especially books..Although it hasnt been shifted 100% to internet yet, but sooner or later we're heading to it..From seller point of view, they started to feel comfortable and more effective to sell through internet..They started to improve their website a user friendly so that they can serve their customers better. Like www.inibuku.com where they put books display in their website and and make the website easy to use for their customers.. They realize they have to compete in certain ways to attract more customers..www.inibuku.com give 10 to 15% discount for every books and also the payment is Cash On Delivery so it provide customers more value added..By experience this kind of situation, sure more customers will soon shift to internet in the future.

In the future,

Im very optimistic that in the future, internet will booming and everyone will use internet as the media to do transaction. Sellers and buyers will realize that by using internet, they will save time and cost..

But there are certain things that need to be fixed before we can arrive into that era such as:Internet infrastructure and security...If customers can be sure about these two things, then for sure Indonesia can move into internet era completely..

Let make it happen :)

5 Rights of e-Procurement

Nowadays, lots of companies swith to use e-procurement in their business despite of using manual procurement. Many companies believe that e-procurement can increase profitablity and reduce costs. E-procurement is the business-to-business or business-to-consumer or Business-to-government purchase and sale of supplies and services through the Internet as well as other information and networking systems, such as Electronic Data Interchange and Enterprise Resource Planning.

Typically, e-procurement Web sites allow qualified and registered users to look for buyers or sellers of goods and services. Depending on the approach, buyers or sellers may specify costs or invite bids. Transactions can be initiated and completed. Ongoing purchases may qualify customers for volume discounts or special offers. E-procurement software may make it possible to automate some buying and selling. Companies participating expect to be able to control parts inventories more effectively, reduce purchasing agent overhead, and improve manufacturing cycles. E-procurement is expected to be integrated with the trend toward computerized supply chain management.

E-procurement is done with a software application that includes features for supplier management and complex auctions. The new generation of E-Procurement is now on-demand or a software-as-a-service.

According to Baily, there are five rights of e-Procurement that can reduce costs and increase profitability, which are:

1. At the right price.

By conducting an e-procurement, company are able to have an idea for a right price. Let says, PT Telkom conducting an e-procurement for IT products. By having this event, PT Telkom should be able to look around which price is suitable for their budget and big possibilities that PT Telkom able to get the specific products with a cheap price. Companies who join the e-procurement of PT Telkom are enthusiatic bidding to win the procurement. The lowest bidder will win the procurement. Of course, PT Telkom is benefiting from this. That's one of the point that prove e-procurement will reduce cost.

2. Delivered at the right time.

Another benefit from e-procurement is that PT telkom will have their good on time. Joining an e-procurement especially from a big companies will have a quite big impact for the winning supplier. Its like catching the "BIg Fish" so it is important for them to deliver the good at the right time.

3. Are of the right quality.

For PT Telkom, e-procurement is one way to ensure that the goods that they want to buy is in good quality. Joining an e-procurement from a big companies is a gold opportunity so for sure these supplier doesnt want to ruin the opportunity by selling a poor quality products. Besides that, PT Telkom have an opportunity to select the suppliers before deciding these supplier can join the e-procurement. By doing this, PT Telkom can make sure the goods that they will receive will in a good shape and quality.Having a good quality will reduce cost because these goods can be used for a long time.

4. Of the right quantity.

Sometimes when we order a certain products from our supplier, they make errors in the quantity. If this happen, each parties will blame each other. e-procurement will prevent this error to occur. By avoiding this types of error, company can reduce cost and also at the end increase profitability.

5. From the right source.

Conducting an e-procurement will enable company to make sure that the goods they're about to order come from the right source. Usually when come to purchasing, companies especially those big companies have a strict policies to buy goods only from a reliable sources. Sometimes, those big companies saying that they dont mind to pay a little bit higher than usual but they know where their product are coming from rather than getting a cheaper price but they dont know where it come from. This happen because big companies will have an auditing team that will checking and clarify all the purchasing documents including checking the background of the stores that we're buying those goods from.

For me, these five rights of e-procurement are proven to reduce cost and increase profitablity for a company. Also, by having an e-procurement, companies will have paperless documentation and also it will be good for the environment. Saving our earth rite? :)