subject: Three Real Disadvantages of the Transactional Style of Marketing on the Internet [print this page] If you take a good, hard look at it, there are three real disadvantages of the transactional style of marketing on the internet. This style is the old way of doing business. The product is put in place; you name a price, and try to find customers with your marketing processes. This will get items sold, but that is the end of your relationship with the customers. Here are some of the problems with this old world style of marketing.
1) The focus is on the original sale. The company is saying that their product is cheaper, better, or more beneficial in some way. Then they are hoping that the consumer will choose their product from among the competition. There is no way for the consumer to know if that is true until after they have completed purchase. Then the cycle begins anew with another prospect.
2) The next problem is that it is short sighted. Yes, you do sell a product, but there is little or no return business. Once the product is in the hands of the consumer, they will not return unless there is a problem. There is even no reason for them to choose your business again when they need more product. It is very likely that they will begin the search process again, looking for the best deal.
3) There is no company loyalty built into this system. Rarely does a company only provide a product. Many times there are additional products and services that enhance or maintain the original product. These sales are potentially lost with the Transactional Style. A Relationship Style of marketing creates return visits and product/company loyalty. Brands and return incentives are a great way to build the loyalty you are seeking.
The good news is that these relationships can be built with little or no advertising budget by those that have the knowledge to do so. The traditional types of marketing will be around for some time, but they cannot match the power of the internet and they loyalty that can be built in this atmosphere.
Three Real Disadvantages of the Transactional Style of Marketing on the Internet
