Editorial Staff
By:style='mso-tab-count:2'> William Ernest Waites
Who would have thought that a computer virus transmitted over the Internet
would have caused the global consternation that the recent ILOVEYOU worm
created? For most of us, the Internet has been something between a toy and a
distraction. But seemingly suddenly, the Internet has become so pervasive that
a single email launched somewhere in the Philippines brought tens of thousands
of computer systems to their knees and resulted in losses that are estimated in
the billions.
What's happening? What impact is
the Internet having on our lives as business owners and executives? Let's look
at some recent numbers:
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> According to NUA, a company that researches the
Internet, 304.36 million people were online as of March 2000. 136.86 million of
those people are in North America. 83.35 million are in Europe.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Editor &
Publisher Magazine reports that 148 of the nation's 150 top selling newspapers
are now online.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> The U.S. Association of National Advertisers estimates
that two-thirds of US companies advertise online. AMI-Partners, a New
York-based consultancy, estimates that some 600,000 small businesses are
selling products and services online, with transactions approximating $25
billion in 1999.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Recent survey findings from the National Association of
Realtors indicate that 37 percent of people shopping for homes used the
Internet in their quest.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> iLogos Research's third annual normal'>Global 500 Web Site Recruiting Survey has determined that 92 percent
of major U.S. companies use the Internet to recruit employees, and all 500
companies have corporate websites.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Locally, Research Data Services, Inc., which regularly
tracks the habits of Lee County tourists, determined that 50 percent of those
who visited in March claimed to use the Internet to acquire travel information,
and 22.63 percent claimed to have used the Internet to book some aspect of
their travel.
Given this spectacular growth and
the extensive use of the Internet for communications and commerce, all it took
was the mischief of an ingenious Philippine computer student to temporarily shut
down a large portion of the world's businesses and government departments.
What we have here is not just a
new medium of communication, but a new context for business. The Internet is an
increasingly abundant repository for information. Whether it is the pursuit of
product information, travel information or scholarly research, a resource the equal
of the Internet has never existed in our history. (I did much of the research
for this article via the Internet - without leaving home.)
This accumulation of knowledge and
information will continue to attract growing numbers of people. Increasingly
sophisticated websites will entice, entertain and enlighten the same people with
whom you want to do business.
Consider the stakes. For a
relatively modest investment on your part, you make it possible for more people
to visit your business in a single day -- with the click of a mouse -- than can
read your brochure, call your office or walk into your store in a year by a factor
of thousands. Lee County Visitor and Convention Bureau's Lee Island Coast Web
Site averages 50,000 user sessions every month according to Director of Sales Pamela
Johnson. That's the equivalent of 600,000 brochures every year, and not one of
them ends up in the landfill.
While all this is very exciting
and represents a glittering new world of business opportunity, it is not
without its drawbacks and pitfalls. One of those is the virtual flood of websites
that greets the average search engine request. It is formidable.
Tropical Traveler, a local
Internet Service Provider specializing in tourism information, has invested
more than $200,000 in registering some 2000 domain names. It has discovered
that more and more people are avoiding this frustration by simply entering the
name of the subject in their browser -- preceded by www. and followed by .com.
These folks can't be bothered to look through all those listings with their
sketchy descriptions. They are willing to take their chances that style='mso-bidi-font-style:normal'>style='text-decoration:none;text-underline:none'>www.something.com
will get them close enough to the information they want. According to Executive
Director Chuck Lunsford, Tropical Traveler has experienced 3,876,110 hits and
646,000 visitor sessions between January 1 and May 15, 2000.
This demonstrates the growing
importance of selecting a proprietary domain name (not an ISP's suffix) that is
as close as possible to the word(s) you feel your customer would use to
describe your product, service or company. It also points out the need to keep
your website registered with the search engines so that you show up near the
top of the list of responses to a search request. (Recently, some search engine
operators have been requiring payments, similar to slotting allowances for a supermarket
shelf, to maintain a high ranking.)
Another downside to the burgeoning
Internet, from a business point of view, is that all that information will
allow your customer to learn as much about your competitors as they can about
you. Without a strong "brand identity," extensive promotion via other
media, and a website that compels the customer to stay with you, price
comparison will become the competitive arena. Is there anyone out there who can
underprice you?
Of course, if your competition is
on the web and you are not, well, price won't even enter into the equation.
You'll lose the business before they even get to the price. This reflects that
the Internet is approaching what author Malcolm Gladwell calls "The
Tipping Point."
In his recently published book of the
same title, Gladwell maintains, "The Tipping Point is the moment of critical
mass, the threshold, the boiling point." He describes the result as "epidemic"
-- when a series of small changes become one big, sudden change.
It happened with cellular phones.
Suddenly, you were out of the loop if you didn't have a cell phone. How long before
using the Internet to acquire information, products and services will be as
commonplace as the cellular phone?
When that day comes, you can take
advantage of it by starting now to make your online presence more than a page
from your brochure. Even such a confirmed bastion of creative excellence, as
Bob Schmetterer, CEO of Euro RSCG Worldwide, writes in normal'>One, a magazine published by the One club for art and copy,
"Interactivity, for the first time in history, makes possible the direct
connection between businesses, brands, ideas, and consumers. That means that
now, more than ever, we need ideas that capture people's imagination, and
redefine the power of creative communications as the center of
enterprise."
Here a few guidelines.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Think of your website as your business, not just another
advertising medium.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Give your website visitors a rich content experience,
not just a visual hors d'oeuvre.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Use the ability of the Internet to involve your
customers on the basis of their personal needs and wishes.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Recognize that the Web is growing and changing; start
now but be prepared to upgrade your website as new technology overtakes the
old.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Adapt your website to appeal to your best customers.
According to Media Metrix there are six types of online shoppers: Simplifiers,
Surfers, Connectors, Bargainers, Routiners and Sportsters. Find out which group
represents your best prospects, and tailor your site accordingly.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Hire a professional Web Site designer that can
translate your business's brand personality and brand image into this exciting
new environment.
tab-stops:list .25in'>·style='font:7.0pt "Times New Roman"'> Spend some time surfing the Internet yourself, looking
at competitors' sites, scoping out the best techniques, involvement features
and design ideas for application to your site.
Even with the recent concerns
about viruses, privacy and porn, don't assume the Internet is a fad that will
fade in a few months. It's here to stay.
William Ernest Waites
is former Chairman and Co-Creative Director of Spiro & Waites. His experience
with computer-based communications goes back to before there was an Internet,
when a precursor called Videotex was in trial programs.