Key to e-commerce success

The arguments in favour of online trading are by now well rehearsed, what is not so widely appreciated at the planning stage is the key to success. 

For launching a web site, as we have said before, is not an end in itself. It’s only the beginning. Or as Winston Churchill and Bill Gates both famously said in another context, “This is not the end. This is not even the beginning of the end. But it is, perhaps, the end of the beginning.”

In other words, appreciate that launching a web site means an ongoing commitment and workload. To get out of our site what we hope, we first have to put in the effort of day-to-day management and concerted promotion. Few things relating to a web site, especially for small to micro-sized companies, are in reality as automatic as we might hope.

Studies have shown that after the initial surge of enthusiasm surrounding the planning and launch stage, web site expectations can take a serious knock when the hoped for tangible results fail to materialise as quickly as anticipated. The dawning that it is a tough old marketplace with lots of competition can often put a serious dent in motivation and interest. Despite all the research and statistics of how an online web presence can significantly boost sales, many sites seem to run rapidly out of steam.

The key to turning around these doldrums and realising significant business benefits is… not to give up. Keep plugging away at it is, it would appear, the best advice.

According to a recent study of 600 UK small to medium-sized enterprises by the Cranfield School of Management initial over-optimism often cripples e-commerce developments at an early stage because web developments are more challenging and the results not as great as expected. In many cases, the disillusionment caused companies to halt further adoption and as a consequence miss out on the increased benefits realised later on in the web development lifecycle.

The conclusion, then, is that expectations need to be managed throughout the development, right from conception, through planning to execution. Clearly, e-commerce of itself is not a magic bullet.

So how do we stand the best chance of success?

1) Set out our aims clearly from the start. If we know where the goals are, we stand a much better chance of scoring.

2) Examine our motivations, our customer base and how the web site will meet both of these needs and generate new business.

3) Consider how the web site will integrate with existing business processes and systems. Research which online payment options suit our business best.

4) Choose a memorable domain name that is easy to spell, not too long and which clearly brands our business. Generic domain names are good, but most, if not all, are long gone.

5) Ensure our web pages can be displayed by a range of browsers, mobile devices and meets disability access standards.

6) Develop a business continuity plan to minimise the effects of unexpected outages or IT failures.

To survive in business, every company needs to remain competitive. As competitors and our supply chain switch to e-commerce, a critical mass is reached. At this point, it becomes imperative to follow suit or face being ham-strung by our rivals.

Furthermore, growing numbers of clients are now insisting on trading electronically. The public sector too is swiftly moving in this direction. Since December 2005, e-procurement has been a priority for local and central government. This means they must have the capability to buy all their supplies from businesses who can sell electronically and those that can’t are in danger of being cut out. By 2010, the government want all companies to deal with it online – filing tax returns, paying bills etc. over the web.

In the longer term, this expected exponential growth will spread across all sectors of the economy as more IT-literate workers enter the labour market. This new generation will undoubtedly drive us towards total e-commerce, both within businesses and as part of any future customer base.

Welcome to the future.