Selling online / Negotiating I

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Selling online / Negotiating I
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Selling and buying online is very often called
e-commerce

• It is electronic commerce (EC) which offers us
  the opportunity to buy and sell on the Internet
• A system used to conduct business transactions
  over a computer network
• A simple form of EC is taking an order over the
  telephone

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E-commerce can refer to

• Business transactions between companies or
  between companies and their customers
• Transferring money through the Internet
• A new term dotcom frenzy (going mad for the world
  of Internet) appeared in the late 1990s

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A new term clicks and mortar is becoming very
popular

• It is a business that combines online selling
  with traditional offline selling ( in stores)
• A store using this cliks and mortar sell its
  products in a shop beside offering the same
  products online
• The Internet part is called clicks and
  traditional selling is called mortar

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An example Tesco

• It is an international supremarket chain based in
  the United Kingdom (food, clothes, electronic,
  financial services...)
• Tesco has successfully combined old economy with
  the world of e-commerce
• Today Tesco sells goods in stores and on the
  Internet

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Another example Webvan

• It was an online credit and delivery grocery
  business that went bankrupt in 2001
• It is a good example of how a good business can
  be spoiled the application of online selling
  trapped the business there were big demands
  with short-term profitability, instead of growth
  and market expansion

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An example of failure e-toys

• It was a high-profile company that built a great
  service
• It started selling toys online in America
• The problem was their low profit (no profit- no
  futher business) which caused the company to run
  out of cash and go into liquidation

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Amazon almost the only online seller

• Amazon is today called the only pure-play
  (exclusively) online seller that has a well known
  brand
• It has good e-fulfilment systems (taking orders
  and delivery) and it is very efficient, but some
  say that its long-term profitability is not
  certain

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To set up Amazon.co.uk it was necessary to

• Achieve lots of sales and secure profit
• The only way to have this is to do a fantastic
  job for customers so they keep coming back
• You must have a good website (it must be easy and
  quick to use)
• It must give lots of information about the items
  and offer low prices
• When somebody orders, you must provide a fast
  delivery which is reliable
• If anything goes wrong you need an excellent
  customer service team (on the phone or by e-mail)

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Many companies report an increase in online
selling

• Easyjet and Ryanair (airline companies) now have
  more than 90 tickets sold online
• This proves that online selling increases where
  the goods dont have to be physically delivered.
  Physical delivery brings up problems of
  warehousing and the need for good infrastructure

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The choice of goods to sell online

• Some goods and services may be more suitable for
  selling online (holidays and travel)
• Some other products may produce problems
  groceries and shoes
• What happens when you find out that the product
  you got is not suitable, or it is not at all what
  you ordered?

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Selling online and high-street retailing
differences and similarities

• You dont need shop assistants when you buy
  online (but there are some people on the phone
  ready to help)
• If you buy in a shop, delivery is not a problem
• Similarities customer satisfaction, quality,
  reliability of goods are equally important in
  both cases

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New developments teenagers buy a lot online

• They buy games, CDs and clothing
• The problem is they are too young to own credit
  cards, so they sometimes manage to do this with
  the help of their parents
• Visa calculates that they spent a total of 153
  billion dollars in the US last year!
• The parents are more likely to buy them something
  in a real shop than to give them credit cards

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Internet users in Croatia

• 1,4 million people have an access to internet
• Many of those who have access do not use it (34)
• Internet users in Croatia are 56 men and 44
  women ( most younger than 34)
• The biggest part of users have a high school
  diploma

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Neckermann and Quelle

• Thanks to their online services these companies
  have increased their sales
• Neckermann has earned over 100 million kunas
  thanks to a good service provided for over 350
  000 buyers
• They have many employees and the figures are
  still rising
• It is a good idea to start an online selling
  business in Croatia (low competition,
  possibilities for new markets...)

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• Modern life with little time to walk around the
  stores is another reason to surf the Internet and
  have your goods delivered at home
• On these websites you can see the articles in
  detail, check the prices and be sure to receive
  your money back if you are not content

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The advantages of using the Internet for business

• It is simple and it saves time and money
• It saves the effort and the cost of bureaucracy
• You can go through a mass of information in very
  short time
• You can keep up with your competition

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Negotiating tips

• Be friendly.
• Have clear aims.
• Tell the other side what you want.
• Listen carefully.
• Pay attention to the other sides body language.
• Dont change your plan during the meeting.
• Never be the first to make an offer.

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Negotiating stating aims

• We would like to have it in a months time.
• We must have delivery by the end of next week.
• Our company has a strong time is money policy.

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Making concessions

• If I have to finish in one month, Ill need to
  have an extra designer.
• That could be all right as long as I get some
  money in advance.
• We might deliver the goods immediately if your
  payments are on time.
• If I finish in one month, will you agree to
  reduce the number of pages?
• I think we could arrange that if we receive half
  the amount in the next 24 hours.

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Rejecting suggestions

• We would prefer to pay you a fixed amount.
• I am very sorry, our company does not approve of
  third parties.
• Actually, we already have a skilled personnel to
  do that.

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Bargaining

• How about paying me half when I start the work?
• Would you consider lowering your prices if we
  make arrangements for delivery?
• How about contacting new clients for this new
  product?

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Focussing the discussion

• Lets talk about the time for setting up the
  website.
• Allow me to concentrate on our long-term profits.
• Our priority is to have the goods as soon as
  possible.

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Talk about companies / present simple and present
continuous
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Which of these companies would you like to work
for?

• A family owned company
• A multinational company
• Your own company (be self-employed)

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Which of these business sectors would you work in?

• Telecommunications/media
• Engineering
• Retailing
• Tourism
• Banking and finance
• Food and drink
• Transport

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Present simple

• Form He/she/it works. I work. They work.
• He doesnt work. They dont work.
• Does he work? Do they work?
• Use we use the present simple tense to
• -give information about permanent activities
• (Valentino makes luxury chocolates.)

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• -describe a state that doesnt change
• (He looks like his father.)
• -talk about routine activities, repeated
  actions or habits
• (I often travel abroad on business.)
• -some verbs are always used in the present
  simple (not with ing)
• What do you mean? I remember her name.

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Present continuous

• Form I am going. He/she/it is going. They are
  going.
• I am not going. Am I going?
• Use We use the present continuous to
• -describe activities in progress at the moment of
  speaking
• (She is talking to him on the phone right now.)

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• -describe temporary situations
• (The delegation is staying at the Hilton until
  Friday.)
• - refer to future arrangements
• (He is starting a new job next week.)
• - describe changing situation
• (We are developing a new marketing strategy.)

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Complete these sentences with either the present
simple or the present continuous

• We normally _______ (hold) ous sales conference
  in Spain, but this year we _______ (hold) it in
  Poland.
• Although we ________ (use) our own sales
  representative at the moment, we generally
  _________ (use) agents in Japan.
• It normally _______ (take) us two years to
  develop a new product.

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• We dont often ______ (raise) our prices more
  than 5, but this time we __________ (raise) them
  10.
• Usually our Sales Director _________ (deal) with
  important customers.
• We usually ________ (recruit) from within the
  company, but this time we _________ (advertise)
  externally.

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• We _______ (rent) offices until our new
  headquarters are ready.
• The company ________ (want) to achieve record
  sales this year.

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Complete this job advertisement with the
following verbs (present simple or continuous)

• look, have, offer, employ, be, offer, prepare,
  consider, need, grow
• We ____ one of the largest mobile phone retailers
  in Europe. We _____ independent and impartial
  advice on mobile phones. We ____ more than 800
  stores in 10 countries, and we ________ fast.

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• We ______ over 3000 workers. Currently we _______
  the next stage in our development, and we ______
  for major growth outside Europe.
• We ____ for people who are reliable, confident
  and enthusiastic. We _____ experienced people who
  want to work for an expanding company.

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• We _____ a competitive salary and private health
  insurance. We are willing to reward staff with
  attractive performance-based bonuses.