THE E-VOLUTION - INTERNET IS HERE TO
The competitive edge for New Zealand Business
The competitive edge
Time is on our side
When we are awake they are asleep
New Zealand has world class networks
An open market with 100+ ISP’s
Trading possible 24 hours x 7 days
How does it work then?
passing information over a distance
now a true multimedia
288 million internet users
3000 new connections every hour
by 2005 765million internet users
10% of the time compared with telephone
What is the internet?
The internet is a world wide system of computer
networks where users can get information from other computers
Internet Facts & Figure
60% of all New Zealand households have a personal
Online penetration in New Zealand households
is approximately 41% ... and growing
New Zealanders are technology savvy with a high
penetration of mobile phones, answer phones, faxes etc.
Slightly over half of all US households own a
Online penetration in US households show 63%
of users are online once a day
Still by far the most popular
5-6 million emails per day in New Zealand
fast, effective, low cost ... and easy
to make mistakes !!!
a couple of tips
the rules of cc and bcc
cc = carbon copy
Rule is - don’t expose your database
all parties see the entire email list
bcc = blind carbon copy
only that person
Always use a signature file
On your signature file should be
Response rates - it is important to respond to
Your mission statement
Phone and fax numbers
Brand awareness on the Internet
Without one is like being without a phone
Easy to remember
Maximum 36 characters
consider whether your business best suits .com
Domain Name rules
In New Zealand there is not alot of rules
All NZ place names have gone already
most generic names have gone
alot registered domain names are now for sale
register the alternatives as well - eg. misspellings
Keep it simple
Make sure homepage downloads quickly
links to other sites are important
brochure sites to e-commerce - start with
a website that can grow
use professional hosting
include alternative contact information on your
website eg. physical address, phone/fax etc.
Finding your site
links from other sites
direct from URL
hundreds to choose from
When was the last time you looked?
Listing on search engines is about key words
Who is in front of you? Your competitor?
Evaluating cost of sales
Truth is no model to benchmark
Dot.com companies - bit of a freak!
Most is additional to existing marketing
The challenge is to migrate customers
Beware of the dark side
How secure is your connection
Do you have a “firewall”?
Have you imported a “Trogan”?
What “cookies” do you have?
Acquire customers - combat competition
Need to grow revenue - protect customer base
Reduce costs - Customer satisfaction
Millions of users
24 hours x 7 days
Deepen customer relationships
Reduce operating costs
reduce processing costs
eliminate maverick purchases
strengthen buying power
Without doubt internet dramatically lowers costs
for both buyers and sellers
What is the brand you want to promote?
What values do you want attached to your brand?
Will need to adapt ... but reinforce don’t reinvent
Promote your www.site
Why do I need a website?
Like trying to run a business without a phone
Ways to be found - search engines - domain names
- page links - advertising - word of mouth - Target It !!
Now turn browsers into buyers
Clients demand trust
Your brand needs to deliver all of this to achieve
Future of the Internet ...
Who knows !!!
trends include converging technology - more interactive
- faster access - multi-media
Challenge - are we ready?
Many issues to deal with
Mobile Internet is on its way ...
with a new digital network
CDMA - Code Division Multiple Access starts next
Nationwide data network
Circuit & Packet date a 14.4kbp
the CD1 network will support IP wireless Internet
allow Internet capable devices to connect via
your CDMA phone: laptop computers - PDA devices
Domain name - do it
keep it simple
use professional design
keep up to date
e-volve Internet into the Business Plan
Last year New Zealanders spent $242 million
Year before $46 million
However $5 of every $6 went overseas
Is the trend to continue?
Leanne Taylor - WWW Design
The American Defence Department quickly followed
by academics and researchers first conceived the Internet in 1969.
The descendants of these original supercomputers are still at the heart
of the Internet, but the explosive growth in the last five years has transformed
the concept from defence and academic life to the whirlwind of commerce
from the comforts of home.
The two big killer applications of the Internet
are electronic mail (email) and the World Wide Web from which we conduct
e-commerce. Just as we are all coming to terms with this we now have
WAP (wireless application and m-commerce (mobile commerce) due for launch
in New Zealand next year.
At the beginning of November 2001, along with
some 700 others I was privileged to be accepted to attend the E-Commerce
Summit held in Auckland. The main aim of the Summit was to advance
e-commerce for New Zealand business. It was exciting to network with
people representing business, government, education and the broader community
whose use of information, communication and technology is making their
businesses operate more effectively which in turn helps New Zealand connect
more dynamically into the new global economy. For two days I was
presented with a wealth of inspiring and knowledgeable International and
New Zealand speakers and attended workshops on Tourism, Building Consumer
Confidence, Exporting and Innovation.
The Summit was very positive - “preaching
to the converted” always is. To understand the power of the Internet
it is necessary to understand the power of networks and an interesting
comparison was given - back in the days when the telephone had just been
invented, telephones weren’t very useful because there weren’t many people
you could ring up - no one had a telephone !! Now that almost every
household has at least one phone and most of us, unfortunately, have one
in our pocket, they are so useful that most of us regard them as essential.
This clearly shows that the value of a network grows in relation to the
growth of the network.
Quite simply the power of the Internet comes
from its size. A connection to the Internet this year with over 360
million users and access to over 2 billion web pages is very valuable to
the user. Therefore the bigger the Internet grows the more important
it becomes. The Internet has not changed business fundamentals -
trust must still developed and is the basis for any ongoing business relationship.
The Internet is proof that people like to investigate and compare in their
own time without the pressure of sales people.
Already having an email address is as important
as having a fax machine and soon it will be just like having a telephone.
E-commerce means on-line trading and because no-one actually owns the Internet
it is relatively inexpensive to purchase internet access and gives small
businesses in small towns the use of technology that once would only have
been available, because of cost, to a multinational company. Small
businesses can now operate in the global environment and participate in
global networks and markets. While e-commerce is about financial
transactions, e-business is about all business processes from marketing
and sales to information management and human resources. E-business
makes it possible for us to market our products on the web. The bottom
line is that all organisations, not just large corporates, now have the
opportunity to take advantage of worldwide networks by using the Internet.
Distance has become irrelevant and transaction costs are minimal.
Everyone in business needs exposure, whether you operate a lawn mowing
round or a huge corporate venture - success depends on exposure and the
Internet is the tool to achieve this.
The Summit provided a platform for the Government
to announce their vision “that New Zealand will be world class in embracing
e-commerce for competitive advantage” that “Building our awareness and
capability to participate in an electronic world is a matter for immediate
attention by all New Zealanders”. The Government assured us that
it recognises its key role, alongside the private sector in providing leadership
- building capability and providing an enabling regulatory environment.
The overall message from the Summit was quite
clear and simple - “the train has left the station - get on board or be
The standard of presentations by the guest
speakers at the Summit was outstanding, but for me the one that stood out
the most was Jim Sterne from America. Jim Sterne is an internationally
recognised e-Business consultant and used a host of examples to demonstrate
what works online and what doesn’t and if you ever get the opportunity
to hear him speak - grab it.