- 1. Can I offer additional information or transaction services to my existing customer base?
2. Can I address the needs of new customer segments by repackaging my current information assets or by creating new business propositions using the Internet?
3. Can I use my ability to attract customers to generate new sources of revenue such as advertising or sales of complementary products?
4. Will my current business be significantly harmed by other companies providing some of the value I currently offer?
- + Seller-oriented sites: controlled by third parties, but represent the seller rather than providing a full range of options;
+ Neutral site: independent evaluator intermediaries that enable price and product comparison and will result in the purchase being fulfilled on the target site;
+ Buyer-oriented sites: controlled by third parties on behalf of the buyer;
+ Buyer-controlled sites: involve either procurement posting on buyer-company sites or those of intermediaries that have been set up in such a way that it is the buyer who initiates the market making.
- The internet offers endless possibilites for bargin hunters. However a recent survey found that 90% of online shoppers will take the first price offered and will not shop around for better deals.
- Companies will need to make sure their pricing is competitive in order for customers to return to them- as it is so easy for them to find another company that supplies a similar product
- Increased price transparency
- There are endless oportunities for promotion online