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Reassessing the Effectiveness of Internet marketing in building company’s Revenue

Introduction and literature view

Internet marketing, also referred to as i-marketing, web-marketing, online-marketing or e-Marketing, is the marketing of products or services over the Internet . The power of internet, a type of medium , you can truly get your business out there to lots of  people not with in days but minutes. One can get results 10 times faster than back when it was in the 90’s.The internet marketing has effected the conduct of business and trade pattern.Industries and firms are increasingly influenced by the application of internet marketing , as are the people who use it for communicating and purchasing .Internet marketing lowers communication costs , reduces the length of time to market for goods and services and make possible to deliver of information in a digital format(Secrets of e-commerce, international trade center,2009).

There are people that keep looking for different ways in which they can advertise their products. The most common way is to do it in a way in which it would be ocular to the persons that are targeted. Many people and businesses that have a constant source of funds will usually use the TV. The reason being is that the television is the leading source of information to the people of the world with over forty percent of the words consumed by people’s ears. However, there is a new way in which people have begun to advertise. This new way is internet marketing and can actually be done in so many different ways. It is so effective because people that are all over the world can be influenced. As long as the internet spreads around the world, the influence that internet marketing has will continue to grow. There are so many ways in which someone can advertise their marketing services and tools throughout the internet. They can do it through a blog or any other ways that are easy to access the public. The best thing that marketers love to see is that the ways in which they advertise are free. This means that there will be a higher net profit for them. For this reason, a lot of people have entered the internet marketing realm. Also, a lot of the people that market online are unaware of the fact that they are online marketers. (William Guenter, 2010)

It’s hard to believe, but just ten short years ago, there were only a handful of entrepreneurs who took the Internet seriously. Having goods and services marketed on the internet seems second nature now, but actually internet marketing is a relatively new phenomenon. When the internet first started and more of the public began to access it, companies began to realize that they could utilize the internet to provide information to potential customers. On November 4, 1994, the leaders of the movement to commercialize the Internet got together to share their visions of where they thought business on the Internet was headed. There were two remarkable things about this event. First, how incredibly accurate their visions turned out to be. Second, the entire historic meeting was captured on video! The key to the Internet’s explosive growth in the 1990s was commerce – buying, selling and marketing.  The first examples of internet marketing were simply text websites. They were very basic and simple with no pictures or graphics. As the internet started to develop, more and more companies realized that they had a global audience at their disposal. Websites became more complex. They contained pictures of products and graphics intended to keep the customer interested. However, they served their purpose as people began to turn to the internet for information about companies and what they had to offer .Eventually, the technology existed so that companies could sell their products right from their website. E-commerce began to grow very quickly once methods to securely provide your credit card number became available. Consumers could now order products right from their home. Companies could reach customers all over the world. Online auction sites became very popular as people could sell their items to each other for a small fee .Today, putting up a web site, buying traffic and taking orders is so easy that hundreds of thousands of people around the world make all or part of their living from the Internet.

Ten years ago, only a small handful of people did .The company that made the difference was Netscape. Netscape made using the Internet easy and not just for users, but for people who wanted to use it to publish and sell products and services as well.Ten years ago on August 9, 1995, Netscape’s shares went public and its co-founder, 23 year old Marc Andreessen was suddenly worth $100,000,000. The Internet boom was on. Online auction sites became very popular as people could sell their items to each other for a small fee.There also was an increased use of the internet as a source of advertising. Companies began to place ads on other websites to promote their products.

The internet has even been used as a primary source of advertising. Companies have created innovative advertising programs, sometimes referred to as viral marketing. Viral marketing seeks to create a buzz about a product through word of mouth. Some viral marketing plans even use alternate reality games in order to promote a particular product.

The internet marketing is a growing global trading platform .As internet technology advances , internet marketing is likely to be used in almost every conceivable way to exchange information and trade goods and services. Small and rural businesses may be among the biggest beneficiaries because Internet marketing provides unprecedented opportunities to trade across borders. The Internet has brought media to a global audience. The interactive nature of Internet marketing in terms of providing instant responses and eliciting responses are the unique qualities of the medium.

As more and more people choose to shop online, internet marketing is quickly becoming a fast and reliable method to create an ever-increasing cash flow. People across the globe, in steadily increasing numbers, are making this venue of shopping their favorite way to purchase the items they need. As more and more people choose to shop online, internet marketing is quickly becoming a fast and reliable method to create an ever-increasing cash flow. People across the globe, in steadily increasing numbers, are making this venue of shopping their favorite way to purchase the items they need.(Alfred Sant , 2010 ) .

Not surprisingly, interest in starting an Internet marketing business has increased exponentially, as more and more people realize that the opportunity is indeed possible to achieve. The earning and growth potential of Internet marketing is also enormous. More and more customers are turning to online shopping while Internet availability is increasing globally. Once the you’ve mastered the skills and expertise needed in running a home business on the Internet, the risk is low.(Adrienne collier , 2010 ) .

Purpose of study:

Now a day’s marketing is not as simple as we think it should be , as world has become a small place where people know each and every activities taking place in any part of the world . Electronic media has developed much advancement in the field of marketing. So to move with such a speed internet marketing is introduced in order to modify the marketing techniques particularly used by different companies in a globalization era . The case analyzed in the study is Pakistan Railways with respect to internet-marketing. The electronic media makes it possible to capture the daily number of visits to particular website and the interested customer in purchasing the product online or showing interest in the product by asking details through e-mails. Through this process one can introduce the loyalty programs to reward customers who frequently purchase the same brand, with the intention of enforcing their loyal behavior and may be even turning them into advocates of the brand.

The objective of the research from Pakistan Railway perspective is to study how the internet marketing is helping in generating the part of total revenue by getting the data comparison of expenses and revenue generation.


I have used the method of getting my secondary data through personal visit of Pakistan Railway headquarter information and technology department. They provide me data by the several visits and sending them e-mails . They didn’t provide me exact figures of revenue generate from internet-marketing but give me data in % form of whole revenue. The data which they provide me is from the year of 2004 to 2009. I get the data which is related to the expenditure on doing internet-marketing and their role in generating the money and the part of whole revenue of Pakistan Railways.


First of all I understand the basic importance of internet-marketing in today world of globalization, in which buying and selling are taking place without visiting the particular place in any part of the world and things are at your door step. In this country (Pakistan) things related to technology are not moving with that pace which is the requirement of globalization but effects can be seen when I visit the Pakistan Railway I.T department in order to see that both the purchaser and seller are interested in using the new way of doing business. The data which I have collected was not of single person but of different companies are visiting the websites in order to see the rates and book their orders only by sending mail to related person of Pakistan Railways.





PR %



















As we can see from the graph created through the data that revenue is also increasing from the year 2004, this increasing trend is steadily moving. When finally reached to year 2009 then it obtains a significance improvement toward becoming the major part in the total revenue of Pakistan Railways.

Recommendation and Conclusion:

The final conclusion one can get is that more information about the products of same company must be available online or internet. Related search words must be available for the search engines to get to the related sites in order to improve the profitability of any company. Focus should be more on the availability of the information of the products of the company




William Guenter (2010) Article: Ways in which people market over the internet.

Adrienne Collier (2010) Article: Internet Marketing, why its growing more appealing   and why it should appeal to you.

Alfred Sant (2010) Article: Internet marketing Hidden Secrets! Insider secrets that expert marketers “Donot want you to Know”

International Trade center (2009), Secrets of e-commerce, second edition, (9, 10)

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