Analyse the Internet marketing strategy of an organisation of your choice.
The essay should be in the region of 4,000 words. Equal marks will be allocated for discussion of theory (50%) and data (50%). You may choose any organisation, i.e. one that is covered during the course, a business based on your own experiences as an employee or one from the literature. You should use both traditional academic literature (e.g. Harvard Business Review, Sloan Management Review, JSIS, EJIS, Journal of Interactive Marketing and others) and business literature (e.g. Business Week, the Economist and relevant trade journals), together with relevant information from notes, case studies and data used during lectures.
The following framework is intended to help you structure your essay. It is not intended to limit you from including other aspects of Internet marketing. Note that depending on your emphasis and availability of case data, you may choose to focus on a particular aspect of Internet marketing such as online competitor analysis, social media or website design.
The online market
The size and growth of the online market.
Use of the Internet for research and e-service, as well as purchasing.
Forecast of the future development of the online market
Online market segmentation
An analysis of online competitors.
Website design and usability.
An evaluation of online promotional activities, e.g. paid search and banner advertising.
Use of social media for marketing purposes.
The integration of the Internet with the overall marketing strategy of the firm.
Cost advantages Differentiation
Chapter 1: Introduction 2
1.1 Background 2
1.2 Group Purchasing Introduction 2
1.3 About the report 3
Chapter 2: Overview of Chinese Group Purchasing Market 3
2.1 The Amount and Regional Distribution in 2010 3
2.2 Scale of Investment and Financing in 2010-2011 4
2.3 Variation of Chinese Online Group Purchasing Market in 2011 5
Chapter 3: Classification and Profit Model Analysis in Group Purchasing 7
3.1 Classification of Group Purchasing 7
3.2 Analysis in Profit Model 8
Chapter 4: Marketing Strategies in Group Purchasing 9
4.1 Introduction to 4Ps Theory 9
4.2 Product Strategy 10
4.3 Price Strategy 11
4.4 Promotion Strategy 12
Chapter 5: Summary 12
Chapter 1: Introduction
The rapid development of Groupon group purchasing draws attentions worldwide in 2009, USA. Since January 2010, the first imitator of Groupon mode appeared in China; the group purchasing becomes unprecedented popular.
The main advantage of Groupon mode is that it provides great deals with ultra low price every day in order to attract a certain number of consumers, and then charges suppliers 50% trading commissions. These deals will be cancelled if the number of consumers is less than the minimum. Consumers just need to open a Web page or email every day to know what surprises are waiting for them in their cities, and invite their friends via SNS or email to consume. Another advantage is that it saves various inventory and distribution costs. It concerns on service, so can be described as a typical light asset company mode.
1.2 Group Purchasing Introduction
In United States, a group purchasing organization (or GPO) is an entity that is created to leverage the purchasing power of a group of businesses to obtain discounts from vendors based on the collective buying power of the GPO members.  Their features and essences are as follows. 
-Limited trading volume. The precondition of group purchasing completion is the purchase volume to meet the minimum requirement. Normally, group purchasing sets its maximum number due to difficulties in production and distribution.
-Low price, big discount. One of the purposes of group purchasing is to get lower-price.
-Limited time. Group purchasing is temporary business promotion, which is not a permanent business strategy. Therefore, group purchasing activities usually have the time limitation.
-Micro-payment. The amounts of group purchasing are mostly micro-payment in China. The large-value payment transactions, such as houses and cars, have not been involved yet.
-High level gross profits. The group purchasing activities belong to promoting behaviors, and the main purpose is to attract consumers shop again. The low marginal cost of production or high level gross profits could support big discount sales.
-From consumers’ perspective, the group purchasing is an online shopping pattern.
Group purchasing is a C2B mode which is different from traditional B2C or C2C e-business that to make a large number of consumers transact with merchants together. In this process, the group purchasing website plays an intermediary role. The group purchasing suits not only merchants who want to wholesale goods in low prices, but also consumers who have same requirements and want to get big-discounts.
-The group purchasing is a promotion method that analysis from the business perspective.
It is different from traditional online brand advertising and searching advertising, which is group purchasing provides great deals with ultra big discounts every single day. It has realized exposure for each single production to complete sales and is CPS (cost per sale) billing essentially. From a business perspective, group purchasing not only suits new product introduction, but also suits clearance. In addition, it is one of the brand marketing methods.
1.3 About the report
This report is going to analysis present situation of group purchasing industry, and its profit model, categorize group purchasing companies. According to the results the following chapter provides marketing strategies of group purchasing based on 4Ps theory. This report provides current situation and data reference about entire Chinese group purchasing industry, for BuyWithMe.com which refers to enter this industry (BuyWithMe.com is a group purchasing website allowing consumers to leverage group buying power to get discounts with local merchants. The company is headquartered in New York City ).