Measure Quality of Your ECommerce

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Measure Quality of Your E-Commerce

• Kun-Huang Huarng, Ph.D.
• Professor, Dept. of International Trade
• Director, Library
• Feng Chia University, Taiwan

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Customer Experience Pyramid (Chernatony, 2001)

• Rational value
• Emotional value
• Promised experience

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E-Commerce Effectiveness Pyramid

• Intuitive observation
• Emotional touch
• Valued experience

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Advanced marketing, mobile techniques
Valued experience
Advanced numerical analysis, customer database,
marketing
Emotional touch
Information technology
Intuitive observation
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Effectiveness Pyramid Support

• Intuitive observation information technology
• Emotional touch advanced numerical analysis,
  customer database, marketing
• Valued experience advanced marketing, mobile
  techniques

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Intuitive Observation

• Adapted from
• Turban, King, Viehland, Lee, 2006

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Elements

• Navigation
• Consistency
• Speed
• Performance
• Security

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Site Navigation

• To help visitors find the information they need
  quickly and easily

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A Generic Navigation Bar
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Site Navigation

• Metrics
• How will visitors find the site?
• How will visitors use the site?
• Is it easy for visitors to find their way around
  the site?

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Consistency

• The elements, including layout, typeface, colors,
  graphics, and navigation aids, that visually
  distinguish a site from any other.

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A Web Page Layout Grid
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Consistency

• Metrics
• Are design elements, especially look and feel,
  consistent from page to page?
• Will the web site and contents look the same to
  all visitors?

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Speed

• Speed ranks at or near the top of every list of
  essential design considerations, for good reason.
  
• Visitors who have to wait more than a few seconds
  for a Web page to load are likely to hit the
  stop or back button and go somewhere else

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Speed

• Metrics
• 4 second rule
• 12 second rule

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Performance

• Make sure the Web site design is properly tested
  before it is launched
• Ensure that it continues to perform up to
  expectations after launch.

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Performance

• Metrics
• Is the site available for full services, 24 hours
  a day, 7 days a week?
• Does everything of the site work properly?

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Security

• More than just preventing and responding to cyber
  attacks and intrusion.

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Security

• Metrics
• Is visitors information protected?
• Do the visitors feel safe in actions?

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Discussion (Intuitive observation)

• Basic issues
• Technology oriented
• Related to observations of customers
• Lay a solid background for upper layer(s)

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Emotional Touch

• Adapted from
• Rayport and Jaworski, 2001

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Elements

• Context aesthetic and functional look and feel
• Content digital subject matter such as text,
  video, audio, graphics
• Community interaction between users
• Communication dialogue between site and users
• Customization tailored by the site or
  personalized by users

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Context
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Context

• Look and feel of a screen-to-face customer
  interface

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Types

• Aesthetically dominant look-and-feel, high
  form, low function
• Functionally dominant low form, high function
• Integrated - balance of form and function

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AestheticalExample - KMGI.com
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FunctionalExample - Brint.com
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IntegratedExample - Patagonia.com
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Form vs. Function
Integrated
High
Aesthetically Dominant
Frontier is gradually moving outward as
technology advances
AESTHETIC/FORM
Low
Functionally-Dominant
High
Low
FUNCTION
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Content
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Types

• Offering dominant
• Superstoreone-stop shopping
• Category killerspecific category, specific
  customers needs
• Specialty storethe uniqueness of quality
• Information dominant information, but may have
  entertainment
• Market dominant market for buyers and sellers

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Offering Dominant
Multiple
NUMBER OF PRODUCT CATEGORIES
Single
Broad
Narrow
DEPTH OF PRODUCT LINE (Brands)
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SuperstoreExample - Amazon.com
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Category KillerExample - Petsmart.com
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Specialty StoreExample - Frontgate.com
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Information Dominant Example - Business 2.0
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Market DominantExample - PlasticsNet.com
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Question

• Context can paint a thousand words?
• Content is the king?
• Metric
• Context vs content

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Community
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Community

• User-to-user dialogue
• A feeling of membership
• Strong sense of involvement

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Types

• Bazaar browse but not interact
• Theme park finite number of areas organized by
  categories and subcategories
• Club highly focused on only one area of
  interest, promoting interaction among members
• Café focused on common area of interest but
  provides considerable interaction among members

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BazaarExample - Games.Yahoo.com
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Theme ParkExample - VoxCap.com
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ClubExample - Gillette Cancer Connection
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CaféExample - Singles.com
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Communication
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Communication

• Dialogues initiated by the organization (or web
  site)
• One-to-one/one-to-many
• Nonresponding/responding/live

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Types

• Broadcasting
• Interactive
• Hybrid

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Applications

• One-to-many nonresponding user mass mailings
  targeted to user
• One-to-many, responding user mass mailings
  targeted to defined audiences
• One-to-many, live interaction live information
  exchanged in real-time
• One-to-one, nonresponding user personalized
  messages to specific user needs or interests
• One-to-one, responding user specific users
  interests or needs
• One-to-one, live interaction sends and receives
  personalized user messages or carries on chat
  sessions addressing specific users needs or
  interests

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One-to-Many, Non-Responding Example -
theStandard.com
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One-to-Many, Responding User Example - BizRate.com
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One-to-Many, Live Interaction Example- Accrue
2000 Web Seminar
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One-to-One, Non-Responding User Example -
Hallmark.com
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One-to-One, Responding User Example - Amazon.com
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One-to-One, Live Interaction Example -
LivePerson.com
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Question

• The value of a web site has always been measured
  by the number of members in its community?
• Communication is a key to Internet marketing?
• Metric
• Community vs communication?

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Customization
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Customization Types

• Personalization by user
• Consciously articulated
• Acted upon preferences
• Tailoring by site
• Reconfigure past behavior
• Reconfigure by other users of similar profiles
• Datamining

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Personalization by User Example mylook.com
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Tailoring by SiteExample - Amazon.com
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Question

• Personalization by customers?
• Tailoring by site?
• Metric
• Personalization or tailoring?

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Case Charles Schwabs Web Site

• Reference
• Rayport Jaworski, 2001

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Design

• Context
• Highly functional look-and-feel
• Little attention to aesthetics
• Quick location and process information
• Content
• Category killer
• Information dominant
• Fits value proposition

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Design

• Community
• Not offered on its site
• Site provides all necessary information
• Customization
• Personalization tools
• Fits with user friendly platform

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Design

• Communication
• Number of communication venues
• Learning Center
• Quarterly Investment Magazine
• Live investment forums
• Real-time customer service through phone service
  and in-branch

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Reinforcement

• Reinforcement among the design criteria
• Site content
• Highly functional layout
• Reinforces context

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Discussion (Emotional touch)

• Marketing issues
• Large customer purchasing database
• Advanced analysis such as data mining
• Relevant to customers feelings
• Lay a foundation for the top layer.

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Valued Experience(Contextual Marketing)

• Adapted from
• Kenny and Marshall, 2001

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Real Story 1

• Beef noodle commercial
• Morning (when)
• Radio (how)
• Me (who)

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What is wrong

• Who me
• Where in a gym
• What is s/he doing jogging
• When is that early morning

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Real Story 2

• I What do you want to have for dinner?
• Andy I am not hungry at all?
• Andy If I were very hungry, I could eat
  whatever!

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What is wrong

• Who Andy and me
• Where in a car
• How is s/he feeling he is not hungry
• When is that evening

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Discussion (4Ps)

• Product (Brand)?
• Prices?
• Promotion?
• Place?

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Contextual

• Not try to bring the customers to the Web sites,
  but send the message directly to the customers at
  the point of need.

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The message

• The product/service

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At the point of need

• Who is the customer (segmentation)
• Where is s/he
• What is s/he doing or how is s/he feeling
• When is that

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Fitted Context
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Johnson Johnson (Tylenol)

• Context
• Who investors
• Where in front of PC
• What buying/selling stocks
• When the stock market drops more than 100 points

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Johnson Johnson (Tylenol)

• Places its products in most fruitful digital
  context possible
• In this context (When the stock drops more than
  100 points)
• Tylenol headache reliever commercial is put on
  Web

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Johnson Johnson(Clean Clear)

• Context
• Who teenagers
• Where in front of PC
• What chatting online
• When all the time

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Johnson Johnson(Clean Clear)

• In this context,
• Sending one another talking e-postcards that
  offer a free skin analysis and a sample
• Viral friend to friend referral that multiply
  exponentially (at little cost)

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Johnson Johnson

• A response rate that is several times higher than
  standard
• However, limited to PC

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(Extended to) Mobile Context
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Mobile

• Ubiquitous Internet
• New media mobile media

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Garage - context

• Who drivers
• Where garage
• What
• Wait for a parking lot
• Look for a proper lot
• Pay
• When parking

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Garage - supplies

• Sweden
• Garages accept digital wallets through cellar
  phone
• Significant information, such as who, when and
  how often
• Turn frequent visitors into monthly customer
• Dynamic pricing, charge more when the garage is
  full, etc.

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Shopping mall operators - context

• Who shoppers
• Where mall
• What
• Dont know the shops information
• Forget what to buy
• Forget the coupons
• When shopping

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Shopping mall operator supplies

• Simon Properties, largest retail mall developer
  in the US
• Mobile devices to generate wish lists, to order
  products for home delivery
• Track customers when they move in the mall
• Feed to the tenant retailers the purchase data
• The tenant retailers can provide timely and
  relevant promotions, such as e-coupons

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Disney - context

• Who tourists
• Where theme park
• What
• Wait in line
• Exhaustiveness
• Time is money
• Where to shop
• When playing

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Disney - supplies

• FastPass e-ticketing
• Mobile devices to reserve a seat, i.e., to create
  virtual lines
• Increase enjoyment (and spending) while deepening
  the information based relationships
• Gathering information, Disney can follow up with
  carefully targeted catalogs or promotions for
  movies, games, or merchandise.
• Others such as sports stadiums, theaters, and cabs

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GM - context

• Who drivers
• Where highways
• What
• Running out of gas
• Dining
• Car problems
• When driving

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GM - supplies

• From an auto maker to a communications
  intermediary
• Drivers spend 8.5hrs/wk, for 70 M vehicles
• AOL, 7.5hrs/wk, for 22M visitors
• The information in every GM vehicle is valuable
  to other marketers, such as Shell and Texco,
  retailers and restaurants, mechanics
• Tie car owners closely to the company

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Discussion (Valued experience)

• Advanced marketing
• Advanced technologies
• Related to customers experiences

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Summary
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Intuitive Observation

• Fundamental level
• Elements
• Navigation
• Consistency
• Speed
• Performance
• Security
• Information technology

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Emotional Touch

• Middle level
• Elements
• Context/Content
• Community/Communication
• Customization (personalization/tailoring)
• Advanced numerical analysis, customer database,
  marketing

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Valued Experience

• Top level
• The message
• Product/service
• At the point of need
• Who is the customer
• Where is s/he
• What is s/he doing
• When is that
• Advanced marketing, mobile techniques

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Internet Marketing

• Break 4Ps
• Focus on customers
• Ubiquitous marketing
• Ubiquitous relationships

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Internet Marketing

• More than web sites
• Various information technologies
• As a result, we are serving captured customers
  and winning forever customer loyalty, which is
  the goal of our e-commerce.

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References

• De Charnatony, L. Succeeding with brands on the
  Internet, Journal of Brand Management, 8(3),
  186-195, 2001.
• Turban, King, Viehland, Lee, Electronic Commerce
  - A Managerial Perspective, 2006.
• Rayport, J.F. and Jaworski, B.J., e-Commerce,
  2001.
• Kenny, D. and Marshall, J.F., Contextual
  marketing The real business of the Internet,
  Harvard Business Review, vol. 78, iss. 6,
  November-December 2000, pp.119-125.

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Thanks for listening