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The E-Business, the E-Customer, their Relationship and Interactivity



KunnskapskildenE-Business –
E-Business, E-Customer, Relationship and Interactivity


The E-Business, the E-Customer,
their Relationship and Interactivity 

Jan Vig 

Dissertation  av Jan Vig om E.Business, E-Customer, Relationship and Interactivity  (286 sider) i forbindelse med Masterstudie i Information Technology and Communication Juni 2000.


The E-Retailer Business, the E-Customer,
their Relationship and Interactivity

Table of Contents

Chapter One Introduction to the study

Chapter Two Business in Cyberspace

Chapter Three E- Retailer Commerce

Chapter Four E-Customer, Relationship and Interactivity

Chapter Five A Successful Case study – Amazon.com

Chapter Six The Future, Critical Success Factors, E-Business Strategy, Results and Conclusion



Chapter 6

The Future, Critical Sucess Faktors, E-Business Strategy, Results and Conclusion 


Chapter Six The Future, Critical Success Factors, E-Business Strategy, Results and Conclusion

6.1 Introduction 185
6.2 Future trends 188
6.3 The critical success factors for E-Business 194
6.4 Developing effective E-Business Strategy 203
6.5 Lessons learned 210
6.5.1 Understanding E-Business 210
6.5.2 Change 210
6.5.3 A ‘complete’ development process 211
6.5.4 Customer satisfaction 211
6.6 Recommendation 212
6.7 Conclusion





Success requires embracing the Internet strategically.  85 percent of the businesses that have an Internet presence simply show up, reacting to the Internet rather than first developing a strategic plan.  Most simply place brochures and promotional materials on an Internet site.  Many also accept resumes online, post job opportunities, call it a success, and move on.  This is a non-strategic reaction to the Internet, putting up a presence just for the sake of being there.  Little or no thought is given to the opportunities that the Internet presents.  Instead, it is viewed as simply another marketing vehicle or distribution channel.

An Internet strategy is much more than taking selected business processes from the past and applying them to the Internet or Intranet.  There is much deeper business value in these technologies.  Fully embracing the Internet means redefining the E-Retailers core competencies, developing new relationships with customers, and inter linking with new business partners to offer more complete solutions.  Truly successful companies look at the Internet as an opportunity to redefine the rules of business and the roles they play in providing new and better solutions.

In short, E-Retailers must look beyond short-term, tactical responses to deeper strategic approaches, align the business goals with their Internet strategy, and act early.

By not developing a responsible, thorough, and strategic Internet plan, the E-Retailers will be unprepared and vulnerable, with little time to respond to new customer needs and business models.


The E-Retailer has also to reflect on which impact the exchange of information and services, creation of an global marketplace, interaction among partners of the value chain, empowerment of customers and relationship management will have on the organisation.
They should also be carefully and not think to narrow as done in the lot of the literature and the press, who mention secure payment transactions, selling in cyberspace, electronic shopping, home banking, interactive marketing etc., as this is what E-Business is about. It is far more than that and the last ones mentioned are only parts of the challenges in the new digital world.


E-Retailers should ask themselves the following questions:

  • What is the complete solution E-Customer seeks?
  • What will be E-Customers’ new values needs priorities, and expectations?
  • What E-Customer values are not currently being served well by the E-Retailers Internet solutions?
  • Are E-Retailer’s current business and technology systems flexible enough to respond to changes?
  • For what types of E-Customers can the E-Retailer offer value-added solutions?
  • What inter linking business partners should the E-Retailer consider in order to develop a more thorough solution for their E-Customers?
  • How well does E-Retailers understand the capabilities of the Internet from a customer interaction perspective?
  • Is E-Retailers able to extend and take advantage of existing information assets in order to address changing E-Customer priorities?




The E-Retailers should pay attention to the new culture, which will very soon create the workplace and the society of tomorrow. E-Retailers have to react proactive to the new digital world and the expectations the Internet customers have otherwise they will not succeed.

E-Customers want:

  • Convenience. With increased work hours, and less free time, the E-Customers highly value convenience.
  • Choice. E-Retailer will have to offer its customer more options and product diversification.
  • Guaranteed Fulfillment. E-Retailers will have to offer complete and quaranteed technology to fulfil the needs of the E-customers. The customer will expect this.
  • Education. E-Retailers will have to offer concise, relevant, timely and well- presented information to the E-Customer so that they feel more comfortable with their buying decisions. The E-Retailers will have to offer value through the ability to access more interactive information on the E-Retailer Web Site about products and services.
  • Interaction. E-Retailers will have to offer highly interaction with the customer, because they want to be a community of interest and give the customer high value. They will use audio, video, images and text. Eventually virtual reality.
  • Personalisation. E-Retailers will have to offer the customer personalisation products and services, because they will have to respect this priority. E-Retailers will do that based on profile or other conditions.
  • Proactivity. E-Retailers will have to give individuals solutions /services and products that proactively market, upgrade, support, and operate themselves.
  • Push/Pull communication. E-Retailers will have to offer both push and pull communication
  • Security. E-Retailers will have to offer secure communication systems, because the customers will require and rely on this.
  • Transparency. E-Customers shouldn’t have to bother with the details of how the end product, service, or solution is achieved. Effective interlinking of business and solutions and sites are essential for E-Retailers to achieve complete transparency.
  • Timeliness. E-Retailers will have to respond and deliver products and services timely. They will have to update information immediately. Real time information.


One of the most important recommendations for the E-Retailer is to go through a “complete” E-Retailer Commerce Development Process in order to establish themselves as an E-Business.The Dissertation present it’s own view how such a process should be.


E-Retailers have to go through the following 10 step process to be successful:

E-Retailer Commerce Development Process


Phase One
1. Initiation, Planning and Strategy

1.1 Initiation 1.2 Planning
1.1.1 Design of document templates
1.1.2 Needs Assessment Questions
1.1.3 Initial Meeting
1.1.4 Initial Contract 
1.2.1 Defining the Project  Write a mission statement  Identify Objectives  Identify the users  Identify the scope of the project


1.2 Strategy consulting 1.2.2 Organisation
1.2.2        Business strategy
1.2.3        Marketing strategy
1.2.4        Online strategy  Web Strategy1.2.4.2  E-mail strategy1.2.4.3  Newsgroups strategy.  Online promotion strategy1.2.5 E-business strategy

1.2.6 Communication strategy

1.2.7 CRM/1to1 Strategy

1.2.8 Business Intelligence Strategy

1.2.9 Technology Strategy  Project group client  Project group 1to1  Information management and communication strategy
client-1to1  Documentation1.2.2.5  Time limits /Mile stones1.2.2.6  Costs for the project
  1.2.3 Project Management Project Plan




Phase One
2. Situational Analysis
2.1 Goals 2.2 User-/Target group
Which goals has the client with the “product”  Further development of who the user-/target group is for the total solution. Segmentation
2.3 Needs analysis(Needs assessment) 2.4 Environmental Intelligence
Further development from the answers at the needs assessment questions from 1.1.2
Which needs has the client, which the solution has to meet? How will the solution be used?
Which needs by the user-/target group can be satisfied with the solution? The definition of Goal, Target group and needs and demands will be a result of the client’s own knowledge about the market.
2.4.1 Social development2.4.2 Technology development2.4.3 Economic Development2.4.4 Ecological Development2.4.5 Political/Legal Development
 2.5 Benchmarking/Market Intelligence
2.5.1        Market/Industry2.5.2        Customer2.5.3        Competitors
2. 6 1to1 Marketing / CRM
2.6.1 Software CRM
Phase One
3. Concept Development
3.1 Description of the concept 3.2 What should be delivered?
3.1 Description. Break down 3.2.1 A specification of what has to be delivered. This is the basic for timetable and price.




Phase Two
4. Design and Specifications
4.1 Graphic design
customer/user oriented
4.2  Communication strategy customer/
user oriented
4.3 Technological Solution  
4.3.1        Functions
4.3.2        Use of standards. Software/hardware  Site Coding  Database development4.3.2.3  Database Web Integration4.3.3 Installation and technical surroundings4.3.4 Operation4.3.5 Maintenance



Phase Two

5. Production (Web Site Development)

Phase Two

6. Testing

6.1  Site Upload 6.2  Test Group Evaluation
6.3  Test group Evaluation Report 6.4  Technical documentation
6.5  User documentation  

Phase Two

7. Implementation, acceptance and launch

7.1  Client acceptance testing 7.2  Acceptance Testing Report
7.3  Training  



Phase Three
8. Online and offline promotion and tracking
8.1 Online promotion 8.2 Offline promotion
7.3.1        Web Site registration7.3.2        Links7.3.3        E-mail and Newsgroups PR7.3.4        Newsletter7.3.5        Advertising the Web Site7.3.6        Affiliate Programs7.3.7        etc  8.2.1        Ads8.2.2        Web Cards8.2.3        Business Cards8.2.4        Mail and fax Press Releases8.2.5        Radio, TV8.2.6        Advertorials 
8.3 Tracking  
8.3.1 Quantitative measurement and tracking8.3.2 Qualitative measurement and tracking  



Phase Four
9. Evaluation
Here we evaluate in teamwork with the client both the process and the production and also internally  
Phase Four
10. Support & Consulting
10.1 1 to1 marketing/CRM/
10.2 How to build loyalty
10.3 Web site activity analysis
10.4 General support


Table 6.15 E-Retailer Commerce Development Process


Concerning recommendation for the E-Retailer Business development team it is essential that the E-Business team also integrate people with the following know how and skills:

  • Customer relationship managers
  • People with skills in Business Intelligence
  • Online marketer
  • People with survey experience
  • Strategic Internet consultant



Download Dissertation


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Jan Vig
Daglig leder

Kirkeveien 35, NO-1710, SARPSBORG
Mobile : +47 414 43 727
e-mail: ja-vig@online.no
Web: www.slowdown.no ,www.intelligence.no , www.risikoledelse.com

Copyright © 2000-2015 VIG CONSULTING

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