Unveiling the Legacy of the Rosetta stone A Key to Ancient Knowledge.pptx
Role of it in marketing of services
1. INFORMATION TECHNOLOGY IN MARKETING OF
SERVICES: THE INDIAN PERSPECTIVE
“Companies best
equipped for the twenty-
first century will consider
investment in real-time
systems as essential to
maintaining their
competitive edge and
keeping their
customers.”
- Regis McKenna
2. Introduction
• Information technology in India is an industry
consisting of two major components: IT Services and
BPO.
• The sector has increased its contribution to India's
GDP from 1.2% in FY1998 to 7.5% in FY2012.
According to NASSCOM, the sector aggregated
revenues of US$100 billion in FY2012.
• Information technology is playing an important role
in India today & has transformed India's image from
a slow moving bureaucratic economy to a land of
innovative entrepreneurs. The IT sector in India is
generating 2.5 million direct employment.
3. Importance of Information
Technology in Marketing of Services
• Helps in gaining in competitive advantage over
rivals.
• Saves time by providing prompt transaction.
• Helpful in CRM and database management.
• Service enhancement.
• Improved and up-to-date market intelligence.
• Helps in improving marketing efficiency and
effectiveness
4. How Has Technology Changed The Role Of
Marketing In The Recent Past?
There’s no denying that technology has changed the
way that global citizens receive, interpret and react
to information. With the proliferation of the internet
at the turn of the twenty-first century, and the rapid
evolution of devices that allow quick and easy access
to its millions of portals, consumers are finding new
ways to interact with companies and with products.
Given these new forms of buyer seller interactions,
many professionals and individuals alike now believe
that the information age, facilitated by evolving
technologies, has redefined the role of marketing.
5. Contd.
The scope of IT in any organization is pervasive and has
dynamic repercussions for its business operations, business
environment and the way of marketing of its products and
services. Three areas in particular will be considered:
• changes in the nature of marketing activities;
• changes in the nature and use of marketing information by
enabling the handling of higher volumes of and more complex
marketing information (“information effects”);
• Changes in the structure and organization of the marketing
function (“invisible effects”)
6. Contd.
• As we understand, service marketing demands
more personalized services which requires
personalized communication. Technologies
like SFA(Sales Force Automation),
CRM(Customer Relationship Management),
IMC(Integrated Marketing Communication),
CDW (Customer Data Warehouse) for
Database Marketing (DM) etc. are good
examples of how technology can help the
marketer in winning customers’ loyalty.
7. Innovative ways of marketing
• Quick response or “QR” code is an easy way to encourage
website visitors to make know about a company’s.
• Retina trackers/eye-tracking technology (or EEG bands) and
brain-wave monitoring, they can make heat maps of where
consumers eyes tend to go on a label or a store shelf, or even
see what experiences cause the pleasure centers of
consumers' brains to light up.
• Big Data Intelligence: Data mining from data warehouses, like
Twitter Data Grants, which allows research institutions free
access to its public and historical data after submitting a
proposal.
9. Dimensions/types of services on the basis of technology:
Technology Intensive Services Technology Extensive Services
1. (ICT) Information and communication 1. Real Estate
Technology-based Software firms.
2. Banking
3. Medical & healthcare
Source: Research work of Sunbdo (2000)
10. Information Technology is everywhere. Following are
the main technology-dependent sectors:-
1. Technology in Banking:-
• Automated Teller Machines (ATMs)
• Virtual Bank (CAT, i.e. Customer Activated Terminal or
Kiosk).
• Image Processing Function
• Electronic Funds Transfer at Point Of Sale (EFTPOS)
System or Debit Cards.
• Electronic Data Interchange (EDI)
• RTGS, NEFT System, IMPS,ECS, CBS
• ICICI Bank Tab Banking (Account opening services)
11. 2. Technology in Education:
• Virtual classroom Concept
• Digital Library
• Projectors- for audio-visual effects.
• Smart Board/ Mimio Board Technologies
(Sensor-based-interactive-white Boards)
12. 3. Technology in Health Care:
• Electronic Medical Record (EMR): This digital record can hold
the full details of an individual patient’s full medical history,
which ultimately helps to direct diagnostic and therapeutic
decisions when a patient enters the healthcare system.
• Senseonics: A mobile alert app to monitor glucose level in
patients.
• Pedometer: A portable gear to count a runner’s steps, e.g.,
Nike’s + Fuelband.
13. 4. Technology in BPOs/KPOs:
• India is one of the fastest-growing IT services
markets in the world, with three-quarters of large
Indian enterprises increased their IT spending in
2013, with an average IT budget of US$ 12.2 million,
according to a survey by Gartner.
• A majority of the Fortune 500 and Global 2000
corporations are sourcing IT and ITES from India.
• In 2013, the $13 billion Philippines BPO industry
grew by 15.6%, compared with the 8.9% growth of
India's $20-billion BPO space – NASSCOM.
14. India’s top IT company: TCS
Tata Consultancy Services (TCS) was founded in 1968
as a division of Tata Sons by J R D Tata. TCS is one of
the largest provider of information technology (IT)
services, business solutions and consulting company
headquartered in Mumbai. Currently, TCS has over
3,00,000 employees across the globe. It is the largest
Indian company in terms of market capitalization and
is the largest India-based IT services company in
2013.
15. TCS’s contribution to India’s GDP
During recent times, TCS has become the
country’s biggest wealth creator. According to a
Motilal Oswal study, TCS has come out tops in the
2008-13 period, overtaking ITC, which had led in
2007-12. Revenue: F.Y-2012-13= RS. 48426.14 Cr
16. IT companies on the world stage
0
50
100
150
200
250
IBM TCS Accenture HP Infosys
Series1 202 68 56 54 32
Marketcapin$Billion
(AsonDec30th2013)
World's top IT companies by Marketcap
18. Will information technology make marketing
obsolete?
Paradoxically, while marketing is almost
universally regarded as essential to modern
organizations, marketing departments have come
under increasing fire.
Charges of inadequacy and inefficiency are
common. The U.S. auto industry receives regular
abuse, being accused of failing to provide the cars
people want. And thus causing erratic behavior in
the distribution process.
19. Contd.
• Information technology blurs the classic
strategies of cost leadership (seeking market
share through low cost) and differentiation
(targeting special market segments), as it
offers the possibility of achieving both. This is
because it, facilitates not only rapid and
flexible design but also targeted delivery of
products and services.
20. Contd.
Returning to our question: Will information
technology make marketing obsolete? If we think of
marketing in
conventional, compartmentalized, planning-back-at-
headquarters terms, separate from operations, sales
and R&D, the answer is likely to be yes. But, the
answer is no, if we think of marketing as distributed
throughout the organization, bringing in the voice of
the customer through appropriately collected
information and helping to define and communicate
a bundle of benefits in an integrated way with
R&D, operations and sales. Then information and
information technology will play a transformational
role in strengthening marketing throughout the
organization.
21. Future of Sustainability of Information
Technology in Marketing of Services:
The ability of information technology to permit large
scale operations and yet provide individual attention
is only just beginning to be tapped, thanks to
Database Management System (DBMS). As part of
information-oriented strategy, many big
organizations maintain database of its frequent
buyers to provide new services to them, such as
"frequent buyer" programs that reward brand
loyalty.
22. Conclusion:
What happens next?
In the next five years, it won’t be strange to see marketing’s
function becoming more diluted with information
technology, giving birth to marketing-tech teams. CMOs and
CIOs will collaborate on greater projects, with the former
dropping more budget bucks on information technology than
the latter. Why will this happen? Mankind’s fascination with
mobile technologies, configured with GPS, 4G and Wi-Fi
capabilities, combined with their thirst for information on-
the-go will channel attention away from traditional media
outlets to handheld devices. Already, the Gartner Group
estimates that the mobile application industry will reap USD
15 billion by 2015.
