If you are already in business, you probably have the basics of marketing down: clearly define your target audience, figure out where you can reach it, then frequently measure the success of advertising and adjust accordingly.

On the Internet, however, there are a few extra wrinkles. On the plus side, privacy issues aside, it is easier to track the effectiveness of marketing. For example, banner advertising agencies such as SmartAge Corp. and DoubleClick Inc. provide information about what sites generate the most "click-throughs" (the number of users who clicked on the advertisement). Web addresses given out over e-mail (to those who asked for them, of course) can be tracked with unique identifiers so you can track what combinations of wording and special offers are more effective.

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One of the negatives of marketing on the Internet is that there are so many sources of information that it is difficult to choose what will be most effective. One way to get information about where your customers hang out is to use the log files that your Web server generates. Most Web servers can be configured to tell you where your visitors are coming from -- the last site they visited before yours.

For most B2C businesses, the majority of customers come through search engines, such as AltaVista, Yahoo, Google, and others. Getting your site listed, making sure that your site shows up high in the list of search results and ensuring that your site is listed for specific keywords is a science in itself. There are several Web sites dedicated to just this one subject (some are listed below) and there are products, such as FirstPlace Software Inc.'s WebPosition Gold that try and optimize your site for particular search engines.

The ease with which Web sites can link with each other and trade ads has given rise to a thriving referrals market on the Internet. Don't hesitate to approach businesses that sell related products to see if you can help each other. There are almost as many examples of reciprocal agreements, including commissions on referrals and advertisement trading, as there are e-commerce sites.

Action items

Use the detailed customer description written earlier to come up with an initial marketing plan, identifying likely marketing channels. Be ready to revise this initial plan frequently. If you are an existing business, survey your customers to find out what they want in an online service. Survey likely competitors and note what tactics they use and which seem most successful.

Find out more

Articles: Sell your stuff Promotional and merchandising tactics that work Six steps to more effective e-selling Merchandising takes as much refinement online as it does offline. These six steps will make your e-tail sales sizzle. Syndication/affiliate networks PC Magazine reports on the services that can help you develop or join an affiliate network. How to increase hits to your Web site Cheap ways to promote your Web site Put your site on the map Related sites and resources: Give and take Entrepreneur article shows you how to increase traffic using reciprocal links. Adbility.com Provides a good overview of the various promotion and marketing methods available for businesses, such as "affiliate programs," where you link to related businesses on the Web to generate business for each other. Search Engine Watch Information about how search engines work and how to make the best use of them to promote your business. WebPosition Gold Information about FirstPlace Software's product that claims to help your business get a prominent position on search engines. The art of business Web site promotion Another site with a good overview of the subject. Also includes a forum so you can share experiences with others.

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