Internet, a channel
As I mentionned earlier, Internet is a medium, or at least a bunch of different media. However, Internet is way more than this. The web is also the most powerful retail channel ever. E-Commerce companies appeared very early on the web, and since then, some of them have become retail giants.
The business model is pretty simple : no need to re-invent the wheel on this point : customers pay for the products they’ll get. There are however numerous fields in which e-retailers have been innovating to increase their revenues and margins : : marketing, sourcing, supply chain management, CRM, ergonomy…
In 2007, the US E-Retailers are expected to generate $259 billion of online sales including travel (+18% year over year), according to the National Retail Federation (NRF) and Shop.org.
There are 2 big tendancies in the e-commerce sector : the big ones (e.g. Amazon) are trying to reach a broader and broader base by expanding to more and more products to leverage their technical expertise (sourcing, supply chain…), whereas the small ones are getting more on more focused on niches or at least vertical segments to leverage their knowledge of the products they’re selling, the custoner’s needs… In e-commerce, the good strategy is clearly to waive strong links between you and your customers, and help them forget that they’re actually buying “alone” in front of their computer!
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October 25, 2007 at 9:49 pm
[...] n’est ni un medium , ni un canal de vente, c’est en fait une plateforme accessible a tous, tout ...