The Internet Explosion
- By Pamela Upshur
- Published 04/27/2008
- Internet
- Unrated
Pamela Upshur
Pamela Upshur is the owner of Upshur Creative. Upshur Creative combines fresh, contemporary, fully functional turnkey websites with the best PHP scripts and databases to create the largest and most comprehensive turnkey collection for entrepreneurs. http://www.upshurcreative.com
View all articles by Pamela Upshur
The Internet is more than just a massive network of computers. It is a revolution in communication. IN 2000, nearly 100 million people were online (up from just 36 million in 1996. Twenty-nine percent of all Americans were online in 2000, and by 2008 that number is expected to increase to 43 percent. Why all the interest in the Internet? The Internet is a powerful communications medium that allows its users instant access and allows businesses to operate without borders. Listed below are the benefits of selling online:
1. Lower Cost
The automation of customer service lowers cost, which may make it possible for a company to offer products as a lower price.
2. Large purchases per transaction
For example, online bookseller Amazon.com makes personalized recommendation to customers and, along with every title offered, list related titles ("Customer who bought this book also bought..."). Another click or two will add one or more titles to an order. These features lead people to buy more books than they might in a traditional bookstore.
3. Integration of business processes
The Internet offers companies the ability to make more information available to customers than even before. For example, a computer company that tracks each unit through the manufacturing and shipping process can allow customers to see exactly where the orders is at any time. This is what overnight package delivery company Federal Express did when it introduced online package tracking.
4. Large catalogs
Amazon.com offers a catalog of 3 million books on the Internet. Imagine fitting a paper catalog that size in your mailbox!
5. I
mproved customer interactions
Online tools allow business to interact with customers in ways unheard of before, and at almost instant speed. For example, customers can receive automatic e-mails to confirm orders and to notify them when the orders are shipped.
Flexibility Successful websites are not just glorifies mail-order catalogs. The Internet offers companies the ability to configure products and build custom orders, to compare prices between multiple vendors easily, and to search large catalogs quickly.
As revolutionary as the Internet has been in the consumer market, it has been even more revolutionary in the business-to-business market which consists of selling goods and services from one business to another. Business-to-business e-commerce is already at least 5 times as big as Business-to-Consumer e-commerce.
The rise of Internet marketing came so fast and furious that it drew hundreds of competitors into the frey. As a result, many Internet companies are not proving as successful as people hoped, and their stocks have dropped in price tremendously. Companies such as CDEnow, Peapod, eToys, and Drkoop.com have failed or seen their stock drop dramatically.
Many Business-to-Business stocks experienced similar failures. There is no question that some Internet businesses will grow and prosper, but along the way there are sure to be lots of failures, just as there have been in traditional businesses. There once were dozens of automobiles companies; almost all of them failed and only a few large companies now dominate the auto industry. Success will come to those who offer quality products as good prices and offer great service. Many of those companies will be a combination of old brick-and-mortar companies, such as Sears and General Electric, with new Internet sites that make them more competitive.
1. Lower Cost
The automation of customer service lowers cost, which may make it possible for a company to offer products as a lower price.
2. Large purchases per transaction
For example, online bookseller Amazon.com makes personalized recommendation to customers and, along with every title offered, list related titles ("Customer who bought this book also bought..."). Another click or two will add one or more titles to an order. These features lead people to buy more books than they might in a traditional bookstore.
3. Integration of business processes
The Internet offers companies the ability to make more information available to customers than even before. For example, a computer company that tracks each unit through the manufacturing and shipping process can allow customers to see exactly where the orders is at any time. This is what overnight package delivery company Federal Express did when it introduced online package tracking.
4. Large catalogs
Amazon.com offers a catalog of 3 million books on the Internet. Imagine fitting a paper catalog that size in your mailbox!
5. I
Online tools allow business to interact with customers in ways unheard of before, and at almost instant speed. For example, customers can receive automatic e-mails to confirm orders and to notify them when the orders are shipped.
Flexibility Successful websites are not just glorifies mail-order catalogs. The Internet offers companies the ability to configure products and build custom orders, to compare prices between multiple vendors easily, and to search large catalogs quickly.
As revolutionary as the Internet has been in the consumer market, it has been even more revolutionary in the business-to-business market which consists of selling goods and services from one business to another. Business-to-business e-commerce is already at least 5 times as big as Business-to-Consumer e-commerce.
The rise of Internet marketing came so fast and furious that it drew hundreds of competitors into the frey. As a result, many Internet companies are not proving as successful as people hoped, and their stocks have dropped in price tremendously. Companies such as CDEnow, Peapod, eToys, and Drkoop.com have failed or seen their stock drop dramatically.
Many Business-to-Business stocks experienced similar failures. There is no question that some Internet businesses will grow and prosper, but along the way there are sure to be lots of failures, just as there have been in traditional businesses. There once were dozens of automobiles companies; almost all of them failed and only a few large companies now dominate the auto industry. Success will come to those who offer quality products as good prices and offer great service. Many of those companies will be a combination of old brick-and-mortar companies, such as Sears and General Electric, with new Internet sites that make them more competitive.