Strategy Formulation: Community Customer Interface...The customer interface is the virtual...
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Strategy Strategy Formulation: Formulation: Customer Interface Customer Interface Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved. Based on Chapter 5 of Jeffrey F. Based on Chapter 5 of Jeffrey F. Rayport Rayport , J. F. , J. F. & & Jaworski Jaworski , B. J. (2003). Introduction to e , B. J. (2003). Introduction to e - - Commerce: with e Commerce: with e - - Commerce Commerce PowerWeb PowerWeb . 2nd . 2nd Edition. McGraw Edition. McGraw - - Hill/Irwin. Hill/Irwin. 2 Introduction Introduction The customer interface is the virtual representation of a firm's chosen value proposition Seven design elements of the customer interface (7Cs) – Context – Content – Community – Customization – Communication – Connection – Commerce 3 The 7Cs of Customer Interface The 7Cs of Customer Interface Context Site’s layout and design Commerce Site’s capabilities to enable commercial transactions Connection Degree site is linked to other sites Communication The ways sites enable site-to- user communication or two-way communication Customization Site’s ability to self-tailor to different users or to allow users to personalize the site Community The ways sites enable user-to- user communication Content Text, pictures, sound, and video that webpages contain 4 Fit and Reinforcement of the 7Cs Fit and Reinforcement of the 7Cs Context Content Community Customization Communication Connection Commerce Business Model Consistent Reinforcement Individually Supporting Fit
Transcript of Strategy Formulation: Community Customer Interface...The customer interface is the virtual...
StrategyStrategyFormulation:Formulation:
Customer InterfaceCustomer Interface
Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.
Based on Chapter 5 of Jeffrey F.Based on Chapter 5 of Jeffrey F. RayportRayport, J. F., J. F.&& JaworskiJaworski, B. J. (2003). Introduction to e, B. J. (2003). Introduction to e--Commerce: with eCommerce: with e--CommerceCommerce PowerWebPowerWeb. 2nd. 2ndEdition. McGrawEdition. McGraw--Hill/Irwin.Hill/Irwin.
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IntroductionIntroductionThe customer interface is thevirtual representation of a firm'schosen value propositionSeven design elements of the customerinterface (7Cs)– Context– Content– Community– Customization– Communication– Connection– Commerce
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The 7Cs of Customer InterfaceThe 7Cs of Customer InterfaceContext
Site’s layout and design
Commerce
Site’s capabilities to enablecommercial transactions
Connection
Degree site is linked to othersites
Communication
The ways sites enable site-to-user communication or two-way
communication
Customization
Site’s ability to self-tailor todifferent users or to allow users
to personalize the site
Community
The ways sites enable user-to-user communication
Content
Text, pictures, sound, and videothat webpages contain
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Fit and Reinforcement of the 7CsFit and Reinforcement of the 7Cs
ContextContext ContentContent CommunityCommunity CustomizationCustomization CommunicationCommunication ConnectionConnection CommerceCommerce
Business ModelBusiness Model
Consistent Reinforcement
Individually Supporting Fit
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Context: the Determinant theContext: the Determinant theLookLook--andand--Feel of the DesignFeel of the Design
The CONTEXT of a websitecaptures its aesthetics andfunctional look-and-feel
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Dimensions of ContextDimensions of Context
• Function Refers to the organizationand accessibility of information
• Section Breakdown• Linking Structure• Navigation Tools• Speed• Reliability• Platform Independence• Media Accessibility
• Aesthetics Refers to the visualcharacteristics of a site
• Color Scheme• Visual Themes
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Context ClassificationsContext Classifications
• Aesthetically Dominant: Emphasisis on the look-and-feel of the site.
• Functionally Dominant: Emphasis ison the display of textual information.
• Integrated: Balance of form andfunction.
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Form vs. FunctionForm vs. Function--The Design Context FrontierThe Design Context Frontier
Integrated
AestheticallyDominant
HighLow
High
Low
FUNCTION
FunctionallyDominant
Frontier isgradually moving
outward astechnologyadvances
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Aesthetically DominantAesthetically DominantExampleExample -- KMGI.comKMGI.com
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Functional DominantFunctional Dominant --Brint.comBrint.com
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Integrated ExampleIntegrated Example -- Patagonia.comPatagonia.com
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Content: Deciding WhatContent: Deciding WhatInformation to Include (1/2)Information to Include (1/2)
The CONTENT of a website refers toall the digital information on the site
Dimensions of Content– Offering Mix– Appeal Mix– Multimedia Mix– Timeliness Mix
• Current Content• Reference Content
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Content: Deciding WhatContent: Deciding WhatInformation to Include (2/2)Information to Include (2/2)
Content Classifications
– Product Dominant: Encompasses storesites that primarily sell physical goods
• Superstore• Category Killer• Specialty Store
– Information Dominant: Encompassesstore sites that focus heavily on information
– Service Dominant: Encompasses storesites that focus on the services offered, oftenfor a fee
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A Framework to UnderstandA Framework to UnderstandContent ClassificationsContent Classifications
Superstore
CategoryKiller
SpecialtyStore
NUMBER OFPRODUCT
CATEGORIES
Multiple
Single
Narrow Broad
DEPTH OF PRODUCT LINE
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Category Killer ExampleCategory Killer Example -- PetSmartPetSmart
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Specialty StoreSpecialty Store -- Frontgate.comFrontgate.com
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InformationInformation--Dominant ExampleDominant Example-- Fast CompanyFast Company
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Service Dominant ExampleService Dominant Example-- PlasticsNetPlasticsNet
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What Makes A Community?What Makes A Community?
Community includes a feeling ofmembership in a group along with astrong sense of involvement andshared common interests
Five components determine the shapeof online communities:
Characteristics
Member Motivation
Member Participation
Member Benefits
Interaction Tools
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CharacteristicsCharacteristics• The more evolved the community the more
likely it is to have these six characteristics– Cohesion- the community develops a group
identity– Effectiveness- the group has impact on members’
lives– Help- members feel comfortable asking for and
receiving help from other members– Relationships- interaction between individuals
leads to friendships– Language- members develop a specialized
language and/or abbreviations with uniquemeaning within the community
– Self-regulation- the group sets rules for its owninteraction and develops a system for policing itself
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CommunitiesCommunities -- Elements, Types,Elements, Types,and Benefitsand Benefits
Member Benefits
Why members are motivatedto join the community
Community Characteristics
How members participate inthe community
• Cohesion• Effectiveness• Help• Relationships• Language• Self-regulation
• Need fulfillment• Inclusion• Mutual influence• Shared experiences/
information
Interaction Tools
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Community ClassificationsCommunity Classifications
• Nonexistant- sites that have no communityoffer no way for users to interact with oneanother, on either a one-to-one basis or one-to-many basis
• Limited- sites that offer features such asreading and posting information, stories, oropinions
• Strong- sites that offer interactive communityfunctions such as chat rooms and messageboards
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Limited Community ExampleLimited Community Example-- Gillette WomenGillette Women’’s Cancer Connections Cancer Connection
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Strong Community ExampleStrong Community Example-- Bolt.comBolt.com
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Customization: Creating anCustomization: Creating anIndividualized Website (1/2)Individualized Website (1/2)
Customization refers to a site's abilityto tailor itself to each user or to betailored by the user
Dimensions of Customization
– Personalization: The user initiates andmanages the customization process
– Tailoring: Software dynamically publishesunique versions of the site to address specificuser's interests, habits and needs moreappropriately
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Commonly used customizationfeatures:
– E-mail accounts
– Content and layout configuration
– Storage
– Agents
Customization: Creating anCustomization: Creating anIndividualized Website (2/2)Individualized Website (2/2)
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Personalization by User ExamplePersonalization by User Example-- MyLook.comMyLook.com
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Tailoring ExampleTailoring Example -- AmazonAmazonHomepage for Two UsersHomepage for Two Users
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Communication refers to the dialoguebetween a site and its users
Dimensions of Communication
– Broadcast
– Interactive
Communication: Keeping inCommunication: Keeping inTouch with Users (1/2)Touch with Users (1/2)
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Communication: Keeping inCommunication: Keeping inTouch with Users (2/2)Touch with Users (2/2)
Communication Archetypes– One-to-Many, Non-Responding User:
Site messages are announcements thatusers receive without needing to respond.
– One-to-Many, Responding User: Sitemessages are invitations to users tosubmit their comments and responses.
– One-to-One, Non-Responding User:User receives personalized messages toaddress specific interests or needs withouta need to respond.
– One-to-One, Responding User: Userresponds to personalized messages sentby the site.
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OneOne--toto--One, Live InteractionOne, Live InteractionExampleExample -- LivePerson.comLivePerson.com
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Connection: Linking withConnection: Linking withOther WebsitesOther Websites
Connection is the degree towhich a given site is able tolink to other sites
Dimensions of Connection– Outside Links
– Framed Links
– Pop-Up Windows
– Outsourced Content
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Outsourced Content ExampleOutsourced Content Example-- Real.comReal.com
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Connections ClassificationsConnections Classifications
– Destination Site: Provides almostexclusively site-generated content withvery few links to other sites
– Hub Site: Provides a combination of site-generated content and selective links tosites of related interests
– Portal Site: Consists almost exclusivelyof links to a large number of other sites
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Destination SiteDestination Site -- NYTimes.comNYTimes.com
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Hub ExampleHub Example -- Industry CentralIndustry Central
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Portal Site ExamplePortal Site Example -- YahooYahoo
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Commerce: Enabling FinancialCommerce: Enabling FinancialTransactions (1/2)Transactions (1/2)
Commerce refers to the sale of goods,products or services on the site.
Dimensions of Commerce
– Functional tools that are the commerce-enabling features of a website
•One-Click Shopping•Delivery Options•Credit-Card Approval•Order Tracking•Security•Configuration Technology•Shopping Cart•Orders Through Affiliates•Registration
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Commerce: Enabling FinancialCommerce: Enabling FinancialTransactions (2/2)Transactions (2/2)
Commerce Classifications:
– Low: These websites have the ability toprocess transactions, but with few of thetools that enable e-commerce.
– Medium: Some websites have no need forall the commerce bells and whistles andcontain financial transactions as a necessaryfeature but not as their main purpose.
– High: These websites are fully equipped withall or almost all the functional tools thatenable e-commerce.
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Map of 7Cs FrameworkMap of 7Cs Framework
HighMediumLowCommerce
PortalHubDestinationConnection
One-to-one,responding
user
One-to-one,nonrespondi
ng user
One-to-many,
respondinguser
One-to-many,
nonresponding user
Communication
Highlycustomized
ModeratelycustomizedGenericCustomizatio
n
StrongLimitedNonexistentCommunity
Service-dominant
Information-dominant
Product-dominant
Content
IntegratedFunctionallydominant
AestheticallydominantContext
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MarketWatch.comMarketWatch.com((www.cbs.marketwatch.comwww.cbs.marketwatch.com))
HighMediumLowCommerce
PortalHubDestinationConnection
One-to-one,responding user
One-to-one,nonrespondi
ng user
One-to-many,
responding user
Communication
Highly customizedGenericCustomization
StrongLimitedNonexistentCommunity
Service-dominantProduct-dominantContent
IntegratedAesthetically
dominantContext FunctionallyDominant
Information-dominant
Strong
Moderatelycustomized
Strong
Low
One-to-manyNonresponding
user
