Why the Web?
The two basic reasons to build a web site are to save
money and to make money.
Save Money
- Many companies have reduced product-support costs
significantly by putting frequently asked questions
on their web site.
- Delivery services let people track packages themselves.
- Annual reports are printed in smaller quantities.
- Catalogs are made available with new information
instantly.
Cisco Systems, one of the leading Internet hardware
manufactures, sells over $6M in equipment per day as
its web site, saving over $500M/year in order costs.
How can you use the Web to save money?
A common argument is, "It's easy for you
to say how we should build these websites to serve people,
but if we ask for the money, we'll get turned down.
We don't have the money to build fancy web sites."
But consider, how much did you spend on photocopiers
last year? How much on envelopes and postage? How
much on phone centers? The money you need to build
websites is being spent all around you.
Every phone center in the country is ripe for at
least partial migration to the Web. Every mailroom
should think about shipping bits down the wire rater
than paper in envelopes. Every time you fill out a
form, envision someone on the other end, keying the
information into a database. Why not enter the information
directly into a database yourself? Direct capture
of information and feedback is one of the major advantages
of the Web. A fully functional web site may seem to
be a complicated project, but it will pay off.
How can you use the Web to make money?
Whether you're selling books, concert tickets,
investment advice, or software, the Web can be a profitable
method of distribution. Catalogs and retailers are doing
good business. Specialty malls attract lots of customers.
The Sharper Image gets an average of $160 per sale at
their web site (and the cost of processing the order
is significantly lower than using the 800 number).
The web offers convenience and low price through
disinter mediation – the removal of middlemen.
Travel agencies are already on the Web. Writers and
designers work long-distance for clients they never
meet face-to-face. Banks, brokers, and government
agencies are meeting customer needs online.
This is the real world of the Web. The money isn't
only in web-industry tools and banner advertising.
It is in serving more customers, more efficiently,
24 hours a day, 7 days a week, 365 days a year.
The opportunities are limited only by our imagination.
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