P1251328612CAtyF

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Virtual Storefront

• E-tailer sells physical products or services
  on-line instead of through a physical retail
  outlet.
• Generates revenues via margins, handling fees and
  links

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Marketplace Concentrator

• Concentrates information about products and
  services from multiple providers at one central
  point
• Generates revenues via listing fees, links (B2C)
  or industry fees (B2B)

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On-line Exchange

• Bid-ask system where multiple buyers can purchase
  from multiple sellers
• Generates revenues via transaction fees
• Covisint (p.126) lowers transaction costs

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Information Broker

• Provides product, pricing and availability
  information.
• Generates revenues via transaction fees
  (commissions)

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Auction

• Provides electronic clearinghouse for products
  where price and availability are constantly
  changing.
• Auctioneer receives a fee or commission.

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Reverse Auction

• Consumers submit bid to multiple sellers to buy
  goods and services
• Auctioneer creates a margin

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Aggregator

• Mainly B2B, brings small companies together to
  facilitate purchasing as one large buyer -
  economies of scale.
• Generates revenues by selling the software and/or
  subscription fee.

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Content Provider

• Provides content of interest (e.g., news, sports,
  political, entertainment).
• Generates revenues via subscription by readers or
  advertisements (banners or links).

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Virtual Community

• Provides on-line meeting where people with
  similar interests can communicate and find useful
  information. Supports heavy repeat usage.
• Generates revenues via advertisements, especially
  links.

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Portal

• Provides initial point of entry to the Web along
  with specialized content and other services.
• Generates revenues via advertisements and search
  engine fees.

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SUPPLY-CHAIN MANAGEMENT
10.32
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EXTRANET(replaces EDI systems)
10.13
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Channel Conflict

• Multi-channeling
• Page 136

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Driving Traffic to a web site
E-mail
Search Engines
Domain Name
E-commerce Web site
External Links
Public Relations
Advertisements
Promotions
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Domain Name (Brand)
Web site
www.coca-cola.com
DNS
DNS
www.coke.com
DNS
www.cocqcola.com
198.4.159.10 (IP address)
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E-mail
No spamming ! Use opt-in, opt-out approach
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Search Engines Directories
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ltHTMLgt ltheadgt ltmeta name keywords content
coke, coca-cola, the real thing, soft drinks,
pop, mixers, colagt   lttitlegt Coca-cola Homepage
lt/titlegt lt/headgt   ltbodygt lth1 align centergt
ltugt Welcome to Coca-cola Homepage!lt/ugtlt/h1gt  
Overture is an active bid search engine
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Public Relations

• Gomemphis.com Full text of the Presidents
  State of the Union address
• World Chess Match moves
• Clinton cyber town hall meeting

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Promotions
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online - is more tractable than offline
advertising
Advertising
offline traditional tv, radio, billboard and
magazine can be tagged with .com
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Pool of Impressions
1,000
2
Pool of Visitors
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Cost per Impression 15/CPM (.015) Cost per
visitor _at_ 2 click-through (.015/.02
.75) Cost per purchase _at_ 5 conversion
(.75/.0515.00)
Buyers
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Profitability of Each Site Can Be
DeterminedRipped Fuel Example
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Banner Click-Through Rates
Banner Click-Through Rates (Apr 1999-Jan 2000)
Percent
Month
Source Nielsen//NetRatings
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Passive vs. Active Approaches

• Passive Banner, Pop-ins
• Active Content (text) links, Affiliates

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Driving Traffic to a web site
E-mail
Search Engines
Domain Name
E-commerce Web site
External Links
Public Relations
Advertisements
Promotions