| A study released by research firm "Gartner Group" | | | | into two categories:a) physical products that cannot be |
| predicts 75% of alle-business projects will fail due to | | | | distributed over the internet;b) non-tangible products |
| poor planning and unrealisticexpectations of technology. | | | | and services that can be delivered to the |
| In order for any company to conduct | | | | customeronline. |
| successfulbusiness on the Internet, a process of | | | | For the travel and tourism industry the fulfillment |
| evaluation must be utilized. Oneframework to which | | | | process is theconfirmation of the reservation, booking |
| companies often compare their business is "The | | | | and backroom movement of theinformation to the |
| Seven | | | | Vendor Databases. |
| Pillars of E-business equation". | | | | Pillar 5) Online consumption is possible with only a few |
| Pillar 1) Online Marketing has been in existence since | | | | types of companies. |
| around 1994, when thefirst wave of mainstream | | | | It is not synonymous with travel. The closest use |
| companies jumped onto the web displaying | | | | would be a virtual tour ofthe experience and the use |
| theirrudimentary html pages containing product | | | | of travel articles to satisfy the consumer'sinterest for |
| information. Still today, somecompanies do little more | | | | information on destinations, activities, etc. |
| than place their information on the Internet usinga | | | | Those selling information can actually have customers |
| pleasing layout; in hopes that someone will stumble | | | | consume purchasesonline. For example, someone |
| upon their site andbuy the product. Many companies | | | | subscribing to the Wall Street Journal |
| have not yet reached pillar one. Accordingto the | | | | Interactive Edition can browse various newspaper |
| Yankee Group, only 31% of small business and 51% of | | | | articles online. |
| medium-sizedbusinesses in the United States have a | | | | Pillar 6) Online Support can be offered regardless of |
| website. | | | | whether the product orservice is fulfilled and |
| Pillar 2) Online Ordering is the process of allowing a | | | | consumed by the customer online. Many |
| customer to submitorder information through a | | | | companieshave an online support process in place. |
| company website. Online Ordering is quite easyto set | | | | Customers can email or visit aspecial section of the |
| up through an online web-form created in static html. | | | | company website for support. More |
| When thecustomer clicks on "submit", the information is | | | | sophisticateddatabase-driven company websites will |
| forwarded to a company emailaddress. Customer | | | | allow users to track orders online andreceive support |
| follow-up and billing occurs offline through | | | | information through the use of a password or other |
| traditionalbusiness channels. Many tourism companies | | | | form ofidentification code. |
| are at this level, receiving arequest forma and even a | | | | Pillar 7) Online direct one-on-one marketing. Once |
| credit card number. They think that they are now inthe | | | | companies have got tothis level of use of the Internet, |
| online business. However, all of the information has to | | | | they should be using their customerdatabase and |
| be processed bythe vendor. In reality, this is another | | | | market data to continuously communicate and market |
| form of fax ordering. | | | | theirservices to their customers. This requires planning |
| Pillar 3) Online Selling takes the Online Ordering | | | | and marketingmanagement. An example of this would |
| process one step furtherwhereby the customer's | | | | be an online last minute club targetingspecific |
| transaction is actually conducted online. For theease of | | | | customers on seasonal or regional specials. |
| the customer, credit card information is recorded and | | | | The power of being able to deliver direct marketing |
| throughtraditional business channels, the company | | | | programs at the press ofa key has enormous cost |
| provides goods or services to thecustomer. Credit | | | | saving implications versus the more traditional mailor |
| card information is authenticated directly online | | | | general advertising mediums. It makes the necessary |
| andcustomers are supplied with proof of payment. | | | | analysis of thereturn on investment of these types of |
| The vendor receives paymentdirect to its Merchant | | | | programs much more favorable. |
| Bank. | | | | As you can see, there are several important steps in |
| The third pillar is a stage most companies cannot | | | | the equation to sellingonline. When planning an |
| seem to master. Itrequires sophisticated | | | | e-business strategy, it is necessary to take |
| database-driven websites, intensive strategicplanning, a | | | | theseseven pillars of e-business into consideration. Ask |
| large programming and insurance budget, and a bank | | | | yourself thesequestions: |
| that allowsonline credit card merchant accounts. | | | | How far do we want to take the e-business equation? |
| This is where and its services becomes the enabler. | | | | How far will our business model and the nature of our |
| We provide all of this capability without the individual | | | | product offerings andservices allow us to take the |
| problems that thevendor would encounter, at a very | | | | e-business equation? - The Canadian Rockies Internet |
| low cost. | | | | Guide features the e-businesssolutions provided by |
| Pillar 4) Online fulfillment happens after the customer | | | | Visit us to streamline your e-commerce solutions |
| has been marketedto, placed an order, and the | | | | today! |
| financial transaction has occurred. This stepis divided | | | | |