The Marketplace in the Sky

The concept of doing business in "Cyberspace", the intangible world of bits and bytes, is sometimes hard to grasp by many who are so accustomed to the traditional, tangible office.

How on earth (pun intended), can anybody make money if they do not have a shopfront to display their goods, a suave salesperson, and a cash register??? Our company went through an amusing episode recently, when we decided to close a physical showroom in Geneva, Switzerland. As a company which derives it's revenue online, it was only a matter of time before the accountant subtly suggested that the expensive plaza space had become a liability. It simply was not earning it's keep. Everything we sold could be purchased online, shipped from the depot, or delivered electronically. So the showroom was emptied, the carpets vacuumed, and the sign went up... "Space for Rent"

Although we still maintained an administration office upstairs, our plaza neighbors saw it differently. The first indication of doubt came from our travel agent two doors
down. Normally tickets are issued, collected, and paid for on a 30 day arrangement. However, suddenly there was a "requirement" to pay on collection.

Similar reactions were seen from suppliers, customers and creditors. Anxious phone calls were made to the accounts department...."Are you out of business?" Even the plaza restaurant staff and bartenders expressed there sympathy ..."Sorry it did not work out."

The lesson we learned from the above is simple. When you "window dress" with your advertising, you send out positive signs that you are alive and well. Take that away and people get a negative impression. In this case, it was not "taken away", but moved elsewhere, to Cyberspace.

It then dawned on me .... these people did not know that there was a "Marketplace in the sky." Understandably, not everybody eats and sleeps Internet, the majority of ordinary folk have not even had it as a starter! They read about it, they hear about it, but not everybody "gets it". Even amongst those who are connected and using the Internet. Just because there is an email account on their business card, does not mean they fully understand this amazing new dimension in which to do business.

Now, this article is not about the "haves" and "have-nots". Much has been written about the fact that many countries will be left behind as the Internet Commerce train picks up speed, especially where PC penetration is low, not to mention regions where the telephone is considered a luxury.

This article is about the "I'm on-board too!" crowd ... and the "Hey, this is a whole new business dimension" elite. I use the word "elite" purposely, because that's what they are. A sharp, efficient, worldly bunch of managers and business owners, who row their boats much faster than their colleagues and competition. They have grasped the fact that the Internet is the single most important thing to ever happen in their business lives! An amazing tool with which to propulse their commercial activities. Way beyond any "tangible" point the slower adopters still
have in their "traditional" sights.

This new Cyber vision has nothing to do with age. Yes, there are whiz-bang college kids who breath HTML, but there are also some very Internet savvy elder businesspeople out there. Unfortunately this is a small club, not because they lack the brain cells, but due to a mental block. A "reality" barrier which prevents them from seeing the "intangible". A marvelous frontier-less network of commerce, trade and opportunity.

"Resistance to change", "trust in the tested", call it what you will, but the lack of "real" insight into the Internet is going to cost companies dearly. Smart shareholders and junior board members should seriously ask the question if their helmsman is steering the right course. Is he/she just going with the flow, or do they really understand the implications that the Internet Commerce Storm is going to have on the their ship?

Easier said than done. How does one know if the helmsman is seeing treasure on distant shores, or just a mirage painted by journalists and fellow golf club members. Here is a comparison between two different helmsmen.

The "Going with the flow"
He/she has agreed to pay for a website, because everybody else has one. The website design is outsourced to an inexpensive studio, delivered, installed.... and know happily sits in a corner of a cheap webhoster, serving up stale content.
He/she does not see the need to have a full-time employee, or studio retained, to constantly freshen up and keep pace with rapidly changing web technology.
He/she does not understand the need to pay for advertising to attract website traffic. "The website itself, is the advertisement, is it not?"
He/she forbids marketing and sales staff to surf the web for new customers, business partners, tenders and leads.
He/she will not send staff on training courses for Internet skills such as email, web design, and online advertising techniques.
He/she refuses to see the salesman with the Internet fax server, voice-over-IP software, and other online productivity tools.
He/she is proud to give out a business card with www.company.com and me@company.com on it. However, they still think that "bandwidth" is the thickness of their trouser belt.
The "On-course visionary"

Takes a personal interest in the company website and realizes that the web presence is the single most important aspect of their Internet commerce strategy.
Hires a serious web design firm, or appoints specific staff members to look after the company "online shopfront". Not just a sandalled techie, but also sales and marketing people. A team who regularly hold meetings to discuss the design, flavour and presentation of the web presence. Above all, analyze the website statistics and sales results!
Allocates a significant chunk of the budget to pay for marketing campaigns, advertising and contests, both online and off. The company's web address is everywhere, even on coffee mugs, and the car number plates of employees. Actively encourages open use, within reason, of the Internet. The liberty to explore, find new business, see what the competition is doing, and of course, spread the company gospel.
Walks over to the technical department and scolds them for not yet installing an Internet fax server .... and to find out why long distance calls are still going out via the telephone exchange.
Regularly attends, and takes the staff along, to Internet commerce seminars. Reads up on new technologies, and knows that an "IP address", is not a meeting place for people with incontinence.
If your company management are just "going with the flow", then you can expect that the ship is not really going to go anywhere. Yes, they will try and follow the "on-course visionary", but each ship must have its' own sail correctly set, to take advantage of the prevailing winds. Set those sails wrong .... and the winds of change are going to blow right past you!

About the Author

Herby Olschewski is president and CEO of ICCWorldWide. A company committed to taking the Mystery out of doing business on the 'Net. Providing a comprehensive checklist of the items required to orchestrate a successful Internet commerce strategy.
:To contact see details below.



http://www.ICCWorldWide.com