By Will Rowan
* Redefines the function of selling in a electronic, networked industry
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Extra resources for Digital Marketing
The Economist straddles two charging models: print edition subscribers receive open access to the online edition (which gives at least one big benefit over the print edition – a searchable archive), and non-subscribers are charged on a pay-per-view basis to access archive material. One of the Web’s original information and comment sources, Salon, gives the added incentive of ‘no advertising’ with their premium (subscriber) edition. All of these services offer a value trade with customers, they appear to start from the company’s need for income, rather than the customers’ reasons for buying the product.
Traditional business thinking has centred on the company. The ways in which organizations have approached their marketing have been driven by company goals. In any given market the traditional company is likely to have substantial control over all four of the principal aspects of marketing. It will have control over which products are produced, although this is often shared with retail suppliers or major business customers. The price at which the goods are sold will also result from negotiation, usually with the company’s business partners.
Some sort of distribution function will deliver products to the marketplace – it may involve physical distribution, telephone contact with customers or prospective customers, or digital delivery. This breakdown may not apply to every organization, but almost every traditional organization’s responsibilities can be broken down against marketing’s ‘four Ps’. A reflection of how fundamental the changes brought about by digital business are likely to be is that not only will guiding principles change but those changes will also be reflected in corporate structures.