The Characteristics of E-business - Essay Example

?E-Business Table of Contents E-Business Table of Contents 2 Review of www.benjerry.com 3 Review of baskinrobbins.com 6 Review of Maggimoos.com 9 Review of www.baskinrobbins.com 12 References 16 Bibliography 19 Review of www.benjerry.com Ben & Jerry is an organization that offers a range of food products primarily in dairy and confectionary food items including ice creams, cakes etc. in different and attractive combinations and flavours. The company has been associated with this industry since 1978 and is based out of Burlington, Vermont (Ben & Jerry, 2007). The company has its operations spread across all the major markets of the world. In order to cater to a wide variety of audience and considering the hectic life schedules of the target customer, the firm has introduced an online store named ‘scoop shops’. Access to the web page would help a customer to find the product as well as the different product specifications including nutritional requirements. The web page also has a store locator that helps customers to locate a particular store. In addition, the web page also has a section that is devoted to generating feedback from the customers. This helps in gathering a large database of customers as well as analysing the demands of the customers. It also helps in garnering knowledge about any gap in the product or service offering. However, the organization’s website does not have a section that can help customers place orders directly over the internet. This limits the scope of the website as customers can only view product information. The web page, however, has a section that links it to social networking sites like Facebook and Twitter. This has enabled it to get access to millions of internet users in a highly cost effective manner (Singh, Becker & Wiliams, 2009, p.134). The website of Ben and Jerry unlike its competitor Baskin and Robbins do not have a section that segments customers based on their needs. This leads to a general confusion among the customers as he/she has to browse through numerous product lines before actually finding the product of choice. Children formone of the most important customer segments for the product line of the organization but the web page of Ben and Jerry does not have a dedicated section for them. Moreover, the web page is designed in a manner so that it attracts and suits the needs of the US based consumers. This is detrimental to the company’s strategy of international business expansion. Consumers may often get confused as they would not find any section dedicated to their personal needs. The web page also does not provide information regarding the detailed pricing of the products of the store. Hence, online consumers would find it difficult to compare the food items of the firm. It is also important to note that pricing constitutes one of the most important factors that influences the decision making process of the consumer. Hence, non availability of pricing data emerges as one of the key constraints of the web page. In order to address these constraints, the firm must undertake a radical change of the layout of its website. The opening page emerges as a highly attractive one but should also contain more specific information regarding the product line of the organization. It should also contain a section that would effectively try to segment the customers based on the product requirements. This would enable easy navigation for the customers who can easily find the product of their choice. This would reduce the confusion among the customers and would also serve to segment the customers on the basis of their needs and wants. The organization should also make efforts to provide more details of the product offering which would compulsorily include pricing details of the products. This would tend to offer a more informative outlook to the customers. The section of customer feedback must also be modified to an extent that on one hand it tries to analyse the demands of the customers and on the other hand, it tries to portray any gaps in the product offering of the firm and the perceived demands of the customers. This would enable the marketers to effectively address any issues pertaining to the grievances of the customers with regard to the product offering of the firm. Effective data mining tools should also be used to analyse the large volume of data available though the surveys. This would on one hand serve to include better customer relationship management practices and on the other hand, it would also try to analyse the demands of the customers which could be used as reference while initiating product developments. A dedicated section towards children should also be added so as to include these important target market segments within the ambit of online marketing. The firm must also introduce a section which would enable customers to place customised orders for specific food items. This would be highly beneficial to the customers as they would be able to shop goods from the convenience of their homes using the click of a mouse. This is in perfect line with the demands of the customers as many a times the hectic schedules of individual’s deters them from visiting a store to find a product. Use of such a strategy would also provide opportunity to the organization to cross sell other products to the customers. In doing so, the firm must also have access to a secure payment gateway so as to facilitate smooth transfer of funds so that any malpractices do not creep induring the process of online ordering. Finally, Ben and Jerry must also adopt the ‘glocalisation’ strategy of thinking globally and acting locally. This can be done by placing different sections that would be exclusively dedicated to the needs of customers in different nations. This is fairly important considering the fact that the firm operates out of many diverse geographic locations. This can also be done by introducing the web page in different languages based on the choice of a particular location. Application of these strategies would not only help the firm to gain a good positioning and a formidable brand image, it would also provide strategic long term competitive advantage to the organization. Review of baskinrobbins.com Internet has become an inevitable part of the common man’s life. Internet has evolved from being an item of luxury to an item of daily necessity without which modern day life cannot be imagined. The influence of internet can also be found in the changing patterns of distribution channels of business organizations (Fatayerji, 2004, p.15). Online marketing has become one of the most important channels of product distribution as it provides numerous benefits both to the customer as well as the organization. Retail business organizations have largely used this channel to sell their products directly to the customers. The advantages of using an online channel include a globalised presence across nations. It also seeks to eliminate middlemen who do not add any value to the product offering but only serve to reduce the profit margins of the firms. Online marketing also provides an option of providing business organizations a platform to directly interact with the members of the target audience. This provides business organizations an option to cross sell different products. The purchasing trends of the customer on the internet can also be used to analyse the consumer behaviour as well as the perception of a product or service in the minds of the customer. It also offers organizations with an opportunity to showcase a wide variety of products which may be difficult in case of a direct store marketing (Heinemann & Schwarzl, 2010, p.210). Baskinrobbins.com is the online shopping portal of the leading confectionary chain Baskin and Robbins. The online shopping portal of the firm was made with the basic aim of introducing a platform that enabled customers to shop from the convenience of their homes using the internet. It has also led to an augmentation of the analysis of the demand and supply dynamics. Use of internet as an alternate channel for distribution has enabled the organization to forecast demand based on real time sales data. This has enabled the firm to eliminate chances of stock outs or overstocking. This in turn has improved the operational margin of the firm enabling it to generate better operating gains. The online channel serves to offer a volley of services to the customer including customised orders etc which is a step towards better customer relationship management (Baskin Robbins, n.d.). The most unique aspect in the online distribution channel strategy of the company can be related to the simplistic nature of the web portal which seeks to simplify the process of product sales. The busy schedules of the customers have made the online channel even more popular as customers can now find the product of their choice using the click of a mouse. A mere look at the web page reveals the uniqueness in which the firm has segmented its customers. The website features different sections for different types of customers. This has improved the image of the organization in the minds of the customers. An online shopping portal is incomplete if it is not related to the aspect of social networking. The emergence of social networking and its immense reach and potential offers numerous prospects for the organizations and also provides it access to millions of internet users who are hooked on to the internet. The online shopping portal of Baskin and Robbins also features its connection with the popular social networking sites like Facebook and Twitter. This is in perfect synchronization with the targeting strategy of the firm as most of its target market segments as well as product portfolio are designed for young and trendy individuals. Coincidentally, this section of the population is the most active individuals on the internet allowing the organization an access to millions of customers with a marginal spending (Shih, 2009, p.11). The online customer feedback form available on the online web portal is another feather in the cap of the organization. The unique nature of the feedback form makes it a good source for an effective customer relationship management practice. The questionnaire provides an opportunity to the organization to analyse the demands of the customers as well as a source of a concrete feedback for the organization regarding its present offering of products and services. This would enable the firm to analyse the gaps in the present product offering of the firm and the expectations of the client as well as aid in the process of new product development. Immediate remedial measures can be initiated for removing these perceived gaps. However, certain discrepancies also exist in the firm’s strategy which includes data mining issues relating to the large volumes of data generated from the online survey. Handling large volumes of data can be done by using effective tools of data mining that would not only help the firm to manage data but would also help in new product development based on actual feedbacks from the customer (Gilbert, 2003, p.348). Baskin Robbins has its operations in numerous nations across the world having diverse culture and geography. Hence, this calls for a need to introduce a ‘glocalisation’ strategy of thinking globally and acting locally (Milkovich, Newman & Ratnam, 2009, p.484). This would help to make the online channel more effective for the target market audience. In addition to this, the firm must also have good online security measures like secure payment gateway to eliminate instances of false billing. The open nature of the internet especially those associated with online social networking sites must be effectively handled so that the open nature of these forums do not serve to emerge as a threat to the organization. A strong technical support team is also a major requirement for the organization so as to effectively and efficiently handle customer queries (Lisa, 2010, p.202). Data mining strategies and tools also needs to be employed in an attempt to extract valuable information from the large volumes of raw data available to the organization. Finally, an effective customer oriented product mix targeted at the market audience with a good mix of local tastes and flavours could work wonders for the organization and would enable it to generate long run sustainable advantage for the organization. Review of Maggimoos.com The success of the website lies in its clean and professional looking web pages. The website design looks clean and simple, making it easy to interpret. It is important that the website provides easy access to information and makes navigation through the pages easy and without hurdles. The logic is to provide the user maximum access to the required information easily and carry out transactions comfortably. In this regard, the information system has been used perfectly in maggiemoos.com. The navigation buttons are kept as simple as possible so that visitors can understand and use them easily. The website has used the information system wisely for informing the visitors to the website about the details of the company. This includes the various items listed in its menu or the different places where the stores are located. Apart from providing the users with the product and service details, it also seeks to simplify the process of transaction as much as possible. The site allows the user to purchase products online and make payments in the same way. This saves the users enough time which would otherwise be taken whilevisiting store for making a purchase. This system has also helped to widen the customer base of the company significantly. This is because it has increased its access to the internet as well as non-internet users. The website is also segmented properly. It is quite direct in reaching its target customers. The very first look at the website reveals the customer base it is looking to target (Sport England, 2010). The website seeks to reach out to the children of all ages. The appearance of the website shows that children are its primary targets. It depicts graphics of animals and cartoons and animated features making it more attractive to the children. The most attractive feature is Maggie. Maggie is dressed in a pink outfit with pearls and celebrates her award winning ice-cream. The objective is to create a fun experience for the kids. The website also provides a separate section for coffee lovers. This section primarily targets the children aged above 14 to 15 years who are engaged in academic activities. The website provides details about Maggie who is seen to be visiting the groceries, or visiting the library or even donating to the nearby local charity. It depicts the company’s involvement with the community and society (Maggiemoos-e, 2011). Maggie also stops by her fans saying hello and ensuring that they are satisfied. Introducing such concepts is primarily meant to seek favourable liking of the people. The website uses the concept successfully onthe children as they can be easily moulded and attracted bysuch features (Maggiemoos-a, 2011). The company also targets the general people at large through a shopping network where it sells clothes and apparel. Through this, it targets not only the children but people of all ages. It sells children’s, men’s and women’s products, namely T-shirts, caps and a variety of other products. The website even demonstrates and specifies the particular audience it targets through the bestsellers mentioning statements like “Heavy Weight T-Shirt - Harley Print” or, “MaggieMoo’s Cow Stress Reliever” or “Ladies’ V-Neck T-Shirt” (Maggiemoos-b, 2011). A different kind of segmentation has been adopted for the products. The site features a separate section for pizza lovers, or the chocolate lovers (Maggiemoos-d, 2011). It even describes the items to increase their attraction and appeal. In other words, the site tries to portray the fact that it caters to the individual requirements of the people. The website demonstrates its concern for customers through a separate section in which it remains connected with them through e-mails, messages. It also demonstrates its authenticity by mentioning that the information provided by the customers would remain with the company and would not be eaked out. Through this feature, it collects information from the customers with regard to their choice and preferences of items. It gives them idea about which are the favourite products and why. Also, based on this data, it is able to know which age group of people have been visiting their stores and at what frequency (Maggiemoos-c, 2011). With regard to the price, it is seen that it is not very elaborate about its pricing. The various products and flavours offered are mentioned, however, their prices are not. The site provides all details for franchising opportunities. Also, the prices of the clothes and apparel are mentioned. It is recommended that the site also provides details of all products along with their prices for the convenience of the customers. It could also include dynamic feature with regard to the price of products in the website. It could mention discounts or special offers. The site can feature special offers like lower price for online shoppers. This would increase its attractiveness towards internet users. People using the internet would be tempted to purchasing the products online. The use of dynamic pricing is especially useful in case of multiple products like that of Maggiemoose. It would also help to keep the price strategy transparent and visible. This would display authenticity of the website. It could also introduce few more special features with the view of strengthening its relationship with customers. This could include discounts for those making bulk purchases or even those making online purchases. The feedback form which is presented in the website could be altered to include more of customer complaints and suggestions. The feedback-form primarily includes which are the products that are most preferred by the customers. There must be greater emphasis on why the products were preferred. Also, including questions pertaining to the quality of products would be helpful. The customers can be asked to provide their views regarding the drawbacks and loopholes. Based on the feedback, the company can design strategies to remove the drawbacks. This would not only help to create a favourable opinion of the company in the minds of the customer but also strengthen relationship with them. Review of www.baskinrobbins.com Technological advancements have facilitated the activities relating to the business activities. The decision makers are now using technology as an important key success factor for the organisational growth. In the world of business world, technology is considered as a tool for business developments. Successful implementation of the technology in a business adds value to the overall organisation and associated stakeholders (Ray, 2004, p.1). At present, a number of technologies are available in the market for multiple business purposes. The primary aims of these technologies are to reduce the human effort, expected time and to provide the optimal outcome. Technology enables a business organisation to achieve a crucial competitive advantage in the market by offering multiple business solutions. The post-modern organisations are implementing technologies for tasks like product developments, decision making process, maintenance, public relations, data base management etc. Therefore, in order to better integration of technology within the organisation, the entrepreneurs are trying to motivate their employees to be innovative which would helps to add more value to as organisation (Verloop and Wissema, 2004, p.91). With the gradual economic and technological developments, many technological solution has been introduced in market, and among these, the e-commerce and e-business solutions are the most prominent for the business growth purposes. These two systems help an organisation to develop an integrated information and communication for efficient performances. It creates a strong technical foundation for effective performances. The websites of the business organisations are an example of e-business and e-commerce which are very crucial for internet marketing like promotion, online selling, customer relationship etc (Parazoglou, 2006, p.4). Baskin Robbins is a popular ice cream manufacturer in the global market place. The company was founded in 1953 and it experienced a rapid growth since its inception. With a strong experience of 65 years, the company has been able to cater to the target market with higher customer satisfaction level. For better business performance, it has launched its corporate website. Primarily, the company is using its website for four primary research i.e. product knowledge, customer relationship, brand development and for business development. Baskin Robbins produces foods items like ice creams, cake, beverages etc, and as these food items are concerned about the health of the community, it offers entire knowledge regarding their products. One of the major strength of its website is that it displays entire information regarding food processing, accurate quantity & quality of ingredients with the details of proper nutrition facts. Moreover, the website also produces a table for allergic data that helps the consumers to choose their favourable products as per their suitable diets. This indicates that the company is highly concerned with health of their consumers. On the other hand, consumers can also avail price details of the products and can choose as per their purchasing power. The competitiveness in the food and beverages industry has increased as consumers’ lifestyles are changing with time. This has created greater business opportunities and a number of new entrants have already entered into the market intensifying the degree of competition (Gupta, 2009). In such competitive environments, Baskin Robbins has realized the importance of the maintaining consumer relationship for enhancing the consumer loyalty. The company has developed a team for its consumer support and consumers are able to contact this team for better knowledge, feedback, and grievance using contact number which is given in its website. Moreover, to understand the consumers’ changing tastes and preferences and to measure the consumer satisfaction level for its each store around the world, the website also conducts a “guest satisfaction survey” which gathers necessary data regarding consumers. (Baskin Robbins-a, 2011). This is a very innovative idea and also helpful in reducing the cost of marketing research. Business developments is another major area for Baskin Robbins as it primarily follows the franchising business model. Therefore, in case of franchising growth strategy, it is very necessary to offer relevant information to the potential franchise owners (Kestenbaum and Genn, 2008, p.152). In order to attract a number of franchisees, it is necessary to provide the future opportunities and necessary requirements for starting a franchise business. The company offers detailed information for franchising business. However, this information given in its website may not be sufficient for potential franchisees. Finally, Baskin Robbins has successfully used its website for the brand developments in the target market. It has promoted its brand image as fun rather than product. It has also developed community known as ‘birth day club’ which offers free ice cream to its loyal consumers on their birthdays. Moreover, it is also sharing the links of popular social networking sites like Facebook and Twitter for better brand promotions. The Baskin Robbins website is a useful tool for their business growth. However, the company must introduce innovative ideas for upgrading its website to increase the overall value of its stakeholders. Firstly, its website does not offer online selling options to its consumers. The company should introduce this facility for each store. The customer should be able to identify its nearest store and place order online. Secondly, the company does not offer better knowledge for expanding its franchising business. Therefore, the website must offer instant answers of the potential franchises online. Thirdly, it should focus more on its customer relationship managements. The company must offer price discounts for developing a large base of consumers. Fourthly, the company is present in culturally diversified countries like Japan, Germany, Korea, Turkey etc. In these countries, most of the people are not familiar with the English language and hence, they are not able to understand the information given in the website. Therefore, the company should offer information in multiple languages like Japanese, Korean, and German etc. On the other hand, this will be helpful in targeting culturally diversified consumers. The website should also reflect their culture through its website. For example, it can highlight the cultural events of these countries through its website or can show the theme of the festival through its website. References Barker, R & Angelopulo, C. 2005. Integrated Organisational Communication. Juta and Company Ltd. Baskin Robbins. No date. Baskin Robbins. [Pdf]. Available at: http://www.baskinrobbins.com.au/franchiseinfopack_201210_2.pdf [Accessed on March 23, 2011]. Baskin Robbins-a. 2011. Guest satisfaction survey. [Online]. Available at: http://feedback.cimplebox.com/c/br/?survey=5CBCD572-E4CC-4258-9D2D-31EDE86B0F1E. [Accessed on March 23, 2011]. Ben & Jerry. 2007. Scrapbook. [Online]. Available at: http://www.benjerry.com/company/history/ [Accessed on March 23, 2011]. 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