Same model can work for both sale types______________________
2 answers

Seller establishes brand image
– Printed information mailed to prospective buyers
- Orders placed by mail or phone
FOR WHAT ????

Replaces or supplements print catalogs
– Orders placed through Web site
– Creates additional sales outlet for existing companies
for what ??

________________ Getting a Great Deal Online
Some discounters began as retail operations online

– Allows more customers to be reached at a lower cost
– Marketing channel examples
• Physical stores
• Web sites

• Mailed catalogs or newspaper insert

Traditional retailers now using Web catalog revenue model

__________________________________
Lands’ End personal shopper agent
Learns preferences and makes suggestions

_______________ Graphic image built from customer measurements

___________offers variety of information services for lawyers and law enforcement officials

Problem: varying computer monitor color settings
Solution: send fabric swatch on request
Solution: offer generous return policies

which one is for Fee for Content Revenue models ?

Subscriptions and individual access rights to online academic journals and other publications

Purchase rights and resell rights in subscription packages to schools, libraries, and companies
and not-for-profit institutions
Dow Jones provides business-focused publications online

_______________ subscriptions to individuals for purposes of business research, job searches, or investment analysis

_______________ Market leaders Amazon.com’s Kindle products, Barnes & Noble’s Nook products, and Google’s eBookstore

_______________ Largest stores MP3, Apple’s iTunes, eMusic, Google Music, Microsoft’s MSN Music, and Rhapsody

_______________ software intended to curtail music piracy Amazon MP3
store: first to offer DRM-free MP3 format

in Fee-for-Content Revenue Models the sales include:
Books (sold individually) • Magazines and newspapers subscriptions

Complications
No single store
Individual stores promote their own music file formats
Some artists/recording companies partner with specific store or boycott online sales altogether

Select Fee-for-Content Revenue Models

Advertising-supported revenue models

Service fee charged Based on transaction number or size

in Advertising-Supported Revenue Models , Can obtain large advertiser interest by:

Site used as a launching point to enter the Web
Almost always includes a Web directory or search engine
Often includes other features

Listing of hyperlinks to Web pages
General interest strategy: Yahoo! portal search engine
Presents search term-triggered advertising on each page
Specific interest strategy: C-NET and Kayak as examples with targeted advertising

– Leverages brand name from cable television business
– Sells advertising; offers free information
– Mixed model includes advertising and subscription revenue
collects insider subscriber revenue

Purely a subscription-supported site
Not-for-profit organization with no advertising
Free information
Attracts subscribers and fulfills mission

what is the Advertising-Supported Revenue Models ?

____ Online agencies earn a fee on every ticket sold
Ticketmaster

Sales revenue source
• Advertising (older concept); pay-to-play for premium games; subscription fees

– Some elements of advertising

Fee based on service value
Not a broker service
Not based on transactions-processed number or size

_________ agency revenue model receive fee for facilitating a transaction

Travel sites generate revenue through:
Commissions
Web site advertising fees (advertising-fee revenue model)
and the examples are Travelocity , Expedia , Orbitz

Fee-for-Transaction Revenue Models
examples for Real estate and mortgage loans , National Association of Realtors Web site

____________ Limited Web use
State laws prohibit extension of practice
Instances of unlicensed practice can arise
Patients or clients may set appointments and receive online consultation

– Few businesses accomplish all goal
s – Most fail to provide visitors sufficient interactive contact opportunities
– Improving Web presence
• Accessible to more people • Easier to use
• Encourage visitors’ trust • Foster feelings of loyalty toward the organization

Legal consultations to United Kingdom residents

United States accounting professionals site

________ Web sites no longer sell products
Sites now provide product and retail distributor information

_____ company’s Web site sales activities interfere with existing sales outlets

__________ Online purchases returnable at retail stores
Required compensation and bonus plans adjustments to support Web site
Channel cooperation made it successful

______ Two or more companies join forces
Undertake activity over long time period

_________Build interface flexibility options

Yodlee account aggregation services provider
– Yodlee concentrates on developing the technology and services
– Banks provide the customers
• Amazon.com – Joined with Target and many smaller companies
it for Revenue Strategy Issues for Online Businesses

Difficult to sell online
Customers want to see product in person or touch
Overcome by some sites by limited online offerings
Chanel , Calvin Klein

Physical outlet stores being replaced with overstocks Web page sales
Reach more people than physical outlet stores
Frequent updates possible

__________ Public image conveyed to stakeholders
Usually not important Until growth reaches significant size

________ Customers, suppliers, employees, stockholders, neighbors, and general public

_________Critical even for smallest and newest Web operating firms

Focus: very specific objectives • Not image driven
• Must satisfy many business needs
• Often fails to convey a good presence

Focus: very specific objectives • Not image driven
• Must satisfy many business needs
• Often fails to convey a good presence

Web business site is :
– Intentionally creates distinctive presences
– Good Web site design provides:
• Effective image-creation/ image-enhancing features

Selection of smaller graphic images • Choice of streaming media connection type
• User-specified information attributes – Controversial Web site design issues
• Adobe Flash software use – Some tasks lend themselves to animated Web pages