Disadvantages of E-Marketing Outweigh the Advantages

Topics: Marketing, Internet, Personal computer Pages: 5 (1622 words) Published: May 19, 2011
Throughout the past 50 years, marketing has changed substantially with the development of science and technology. Since start of the age of information technology from as early as the 1960s, traditional marketing has been evolving into to a new form of marketing, E-marketing. E-marketing is the use of information technology in the processes of creating, communicating, and delivering value to customers, and for managing customer relationships in ways that benefit the organization and its stakeholders (Strauss, J 2006 P.3). With the increasing demands of consumers, digital media brings more opportunities and at the same time more challenges for operators in today’s world. As a marketing mode that typically reach its audiences via the Internet, e-marketing benefits from the advantages of the internet and transcends distance and time, to which traditional marketing cannot measure up. Meanwhile, the shortcomings of the virtual world also impact e-marketing negatively, namely security issue and the cost of computer hardware which limits its reach in the developing world. As a result, e-marketing is like a two-sided blade. This essay will argue that the disadvantages of e-marketing outweigh the advantages support due to the following: limitation of access to computers, the threat to personal privacy, high cost and the low efficiency.

Two significant advantages of e-marketing for public are global reach and convenient. By using the Internet as a channel of marketing, e-marketing has the same features as that of internet which can implement services for customers from different countries at any time. E-marketing can be particularly useful for niche providers, companies whose products can be posted easily, or businesses that are looking to expand geographically but cannot afford to invest in new offices or businesses (DTI 2004, P.4). The commercial information can reach anyone, anywhere that provided internet access in the world. It allows merchants to tap new markets and competition globally. In addition, time is no longer a factor effects on marketing. (Strauss, J 2006 P.35) Instead of being applied by organizations and officers during typical working hours, most of the marketing efforts from e-marketing are supported by website, which open 24 hours and 7 days a week.

However, e-marketing has one main obstacle which is the limitation of access to computer as the result of the costs of the hardware, the low speed of internet connection and unreliable power supplies. Firstly, despite advances in the past few decades, ownership of personal computers is still very low in the developing world. In Ukraine, for example, only 1.8 percent of the population owns a personal computer. In Mexico, 6.8 percent of the entire population owns a personal computer; and in India, only half of 1 percent of the population owns one (Strauss, J 2006 P.81). The statistics of the ownership of personal computer in the countries above indicate that e-marketing limits the potential audience the marketing efforts try to reach. Secondly, e-marketing is the balance between connection speed and web site design. In the developing countries, internet connection is still largely through dial-up connections, which depends on the telephone lines and restrict the speed at which data can be sent and received. In 2005, Italy had 0.77 percent of its total population as broadband subscribers, while China had 0.21 percent, and Russia had 0.02 percent of its citizens subscribe to broadband (Strauss, J 2006 P.87). This data illustrates that broadband is still limited in use as the communication infrastructure for e-marketing. The third challenge for e-marketing is the unreliable power supply in many countries. In Nepal, one of the poorest countries in the world, only 15% of all households have access to electricity. Moreover, it sometimes experienced blackouts during the summer months across the entire country (Strauss, J 2006 P.84). The unstable electricity supplies...
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