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About 91 percent of Irish companies now have Web sites, according to the survey. However, 66 percent of these say that they are less than satisfied with their ability to drive traffic to their sites.
Furthermore, 53 percent of Irish companies now have an e-marketing strategy. However, only 18 percent of these say that they have achieved more than 10 percent of repeat business generated through the Internet.
The survey was conducted to measure Internet marketing techniques and best practices in the Irish marketplace.
On-line marketing refers to e-mail marketing sent to subscribers, and is therefore permission-based, said a spokesperson for NewWorld Commerce, which carried out the survey with the Marketing Institute of Ireland.
The survey also found that almost two-thirds of Irish companies use off-line media such as television and radio to attract traffic to their Web sites.
In addition, Irish companies use their Web sites mainly to communicate information regarding new products and customer services and to relay news and press announcements.
However, few Irish companies use their Web sites for promotions or other incentives, and few employ bulk e-mail as a means of on-line marketing.
"Having an effective an effective corporate Web site is only the first step in a successful on-line presence, and it is imperative that organisations explore all the options available toward building customer relationships on-line," said Canice Lambe, chief technology officer and founder of NewWorld Commerce.
"The issue for companies in Ireland must now be how to use the information gathered through e-commerce to maximum effect in order to retain customers and to anticipate their needs," said Miriam McDonald, chief executive of the Marketing Institute.
The use of on-line marketing by Irish companies shows that they see the benefits of one-to-one customer relationships across all sectors of industry, according to a spokesperson for NewWorld Commerce.
Given the rate at which on-line marketing has been adopted so far, it is also likely to increase, said the spokesperson.
This year's survey marked an increase in the numbers of responses from participating companies as well as a significant increase in the speed of responses, added the spokesperson. Nearly 90 percent of companies responded within 24 hours.
The survey included responses from 272 companies nationwide, mainly focused on IT, marketing and public relations.
NewWorld Commerce, which operates in Ireland, provides a self-service marketing solution that allows marketers to create, manage and deliver marketing campaigns on-line.
The Marketing Institute of Ireland is the professional representative body for marketing people in Ireland.
NewWorld Commerce is at www.newworldcommerce.com and the Marketing Institute is at www.mii.ie
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