Why go Online? - Amadeus · 0 Amadeus Technology & Solutions 108 155 192 192 192 95 95 95 Brighter,...
Transcript of Why go Online? - Amadeus · 0 Amadeus Technology & Solutions 108 155 192 192 192 95 95 95 Brighter,...
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Brighter, Bolder, Better
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Amadeus Technology & Solutions
Showcase Singapore
3 November 2011
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Why go Online? Amadeus E-Commerce Forum
Pierre-Olivier Chaplain
Regional Manager
Implementation & Product
Management
Amadeus Asia Pacific
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Your customer profile
is changing
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Changing customer profile
Better Educated
Access to Newer
Technology
Has new
cool tools
Always online
Socially
Connected
Instant
Gratification
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Longer & Better Educated
Source: Singapore Statistic Board
Increasing Literacy
Rate 95% (2010) Higher Tertiary
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Access to cool Gadgets
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Web 2.0
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Facebook Time
Market Ave Time on FB
Aug 2011 per
session
Singapore 38 mins 46 secs
New Zealand 30 mins 31 secs
Australia 26 mins 27 secs
UK 25 mins 33 secs
US 20 mins 46 secs
France 21 mins 53 secs
India 20 mins 21 secs
Brazil 18 mins 19 secs
Study by Experian Hitwise on
how much time spend on
Facebook.
Increased also contributed with
the proliferation of smartphones.
Implication – to brands in greater
engagement in social network
and consequently greater sales.
According to Socialbakers.com,
Singapore has one of the highest
Facebook penetration rate in the
world at 55.09% with over 2.59
million users and adding about
32,400 new members each
month. This is higher than US/UK
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Source: Experian Hitwise
Yahoo News 02Oct 2011
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Yahoo News! 27th September 2011
Internet as important as air, food, water and
shelter to Gen Y…survey conducted by networking vendor Cisco
Findings part of Cisco World Connected Technology.
More than half of them said that they could not live without the
internet,..”integral” to their everyday lives.
Surveyed college students and young professional in 14 different
countries,
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www.cisco.com/en/US/netsol/ns1120/index.h
tml#-2011
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Change in Technology
Embrace change!
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What’s happening?
Technology is constantly changing and improving.
Better equipment & better work environment
You too have better tools NOW!
“Light” speed Internet connection.
Faster internet speed….gone are days of 52kpbs
Increasing Internet Users
Asia is growing in number of internet connected household
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Internet trending in Singapore
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Yahoo News! 28th October 2011
Asia top for internet speed…AFP Relax News / Akamai
Cities in Asia dominate the list of top 100
fastest internet speeds in the world, with
Japan alone contributing 59 of the top 100.
Hong Kong and Singapore were also high on
the list, along with cities in South Korea –
which contributed 10 to the top 100 – and
Australia.
Average speeds in Singapore were up an
impressive 47% on the previous year and 8.5%
from 1st Qtr, putting the city state firmly in the
29th position globally.
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So what?
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What does this means?
We now have a more well informed
customers, who have at their finger tips
the latest tools and gadgets and are
always connected.
These customers have easy access to
research material and compare prices.
Because they are well informed, their
expectation have also increased.
What should you do to meet the
expectation of these new breeds of well
informed customers?
Hiding from them is not the answer.
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I want cheap tickets
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Price sensitivity
Travel products remain as price
sensitive affected by events in
the world.
Customers always on the look-
out for bargain prices.
Suppliers are going direct
offering competitive rate parity.
You need a tool to help you to
react to the fast changing &
competitive environment and
be there to offer equally best
deal “hot from the oven”.
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Show me the money?
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New Money
Possibly new income source from Digital
Advertising
Revenue from advertising banners
Earn money through
CPC or CPM earnings
Leverage on other complementary products,
example Insurance … High Commissions
Affiliates Marketing
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24x7 Store Front
Reach more and new customers via your new
never need to sleep sales person – your website.
You shop don’t have to close just because is
6pm.
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Who are your
competitors
now?
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Competitors
You have your direct suppliers now going direct
to the consumers.
You have the OTA that are also eating into your
pie
No longer you are competing among the locals but with
global companies.
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Changing B2C model?
Maximise your offline strength to now support
new online sales.
Online players expanding their online model.
http://www.ttgasia.com/index.php?option=com_content&task=view&id=16112
What is your strategy against online competitors?
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Operation Efficiency
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Improve your operation
Leverage on online booking engine to allow your
customers to make the booking themselves.
You staff just need to retrieve the booking to start servicing
Put up data on your website that allows your customers to
find the information on their own.
Reduce unnecessary calls to your consultant.
Allows your consultant to focus on the high yield
bookings.
Maximise automation
Can you fully automated certain functions?
E.g. Automated Ticketing
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Who are you?
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Make known your brand
Use internet to achieve brand awareness and
recognition.
Do not underestimate the power of brand loyalty
Through internet marketing such as advertising
banners, Electronic Distribution Marketing EDM
(email mailers) etc
Cheaper EDM over print-work and much more extensive
Or participating in Search Engine Marketing such
as Google Ads
Do they know who you are?
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Stay Relevant
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Stay Relevant
Keep up with the times
Add value to your customers
Keep up with the service levels that your
customers are expecting
Don’t
follow me
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So the facts remain that….
1. Educated, well connected customers
2. Maximize power of technology
3. People are still bargain hunters for good price
4. New money
5. Your new sales consultant that never sleeps
6. Improve your operation efficiency
7. Improve your brand awareness
8. Strategy against new global competitors
9. Stay relevant
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Can you afford
not to go online?
Why go online?
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Do I have the
manpower or
do I need to
hire more?
What technical
skill set do I
need?
Is my product
good enough?
Will it cost me
more money?
What shall I
do for
Marketing?
What is my
strategy?
Where do I
start?
What is my
domain name?
Do I need a
hosting company?
Ho do I create a
website?
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Where to start?
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Formulate your Strategy
Formulate your company strategy towards going
online.
Strategy must include the following review;
Technology
Human Resource
Marketing
Product
Operation
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Technology
This is the key enabler of
any e-business strategy
Organizations must
formulate their technology
strategies based on the
assumptions on software
and hardware platforms
Tech trends worth constant
monitoring due to changes
and developments
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Technology considerations
Domain name selection?
How will my website look like?
Buy or build your website?
Which Hosting company shall I choose?
Site security? – Ensure site credibility
Online payment?
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Human Resources
Management and staff, not just
the IT staff, must have
appreciation and even have the
necessary IT and business
skills
Assigning these “things” to IT
staff can lead to development of
technically sound IT
infrastructures which are not
appropriate for the
implementation of the
Company’s business strategies
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Marketing
There must be a rethinking of the
medium, the message, and the
communication plan.
Examples:
(a) From an 8 am to 6 pm office to 24
hour 7 days a week business
(b) From Local reach to global reach
(what to do with an order from
abroad)
(c) From a website as an expanded
brochure or catalog to a marketing
tool for e-commerce
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Marketing considerations
Should I go for SEM/SEO? Can I afford SEM?
How should I handle Social Network?
Do I need CRM / EDM?
How do I track and measure traffic?
What should be my KPI be?
Consider forming alliance?
Promote your website both Offline and Online
Privacy rules
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Product
Update your product offers on a
regularly basis
Set the right price
A difference of just $1 in a product
can persuade a customer to make
the purchase.
Specializing in an Area or
Destination
Create your niche or be the subject
matter experts.
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Distribution & Operation
Order placement, fulfillment and
supply are now being organized
electronically and communication
is now almost instantaneous
Seamless integration of front, mid
and backend systems being
achieved
Implications:
Old distribution channels may become
obsolete
Less need for middlemen
Middlemen need to find and provide
value or be lost in the new game
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Conclusion
Web success requires a company to develop a
plan for integrating the web into its overall
strategy.
How a company succeeds depends on how well
the company exploits the web’s interconnectivity
and the opportunities it creates, to transform
relationship with suppliers, customers and
others.
Like any business venture, creating a meaningful
presence on the Web requires an on-going
investment of resources – time, money, energy
and talent
44 Source: Prentice Hall Publishing