ISPs for E-Commerce

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ISPs for E-Commerce

• Nizar R. Mabroukeh, M.Sc., C.S.
• mabroukeh_at_hotmail.com
• http//www.geocities.com/mabroukeh
• For E-Commerce Short Course
• 18th April, 2000

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Topics to be Covered

• Planning
• Requirements
• Requirements for an ISP
• E-Commerce Add-ons for ISPs
• Starting the business as an ISP
• Advertise
• Sell (shopping, checkout, authorization, charge
  back).
• Promote
• Surviving the competition
• Future Developments

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Planning and Requirements
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Business Model
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RequirementsInfra-structure

• A connection to a larger Internet Provider.
• Hardware and Software to provide Internet
  Services.

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Connecting To A Larger ISP

• ISPs are divided into classes (A, B and C),
  according to how many sub-networks they can
  support with unique IP addresses.
• Example
• ATT ? KACST ?Commercial ISPs ?Internet Café
• Satellite Leased Line Leased Line
• or Submarine
  or Frame Relay
• Fiber Optic

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Connecting To A Larger ISP

• Hardware depends on type of connection.
• You are connecting your LAN to the larger
  provider.
• Generally, you will need
• An appropriate Router.
• A Gateway, if different types of network.
• A Proxy server to cache your link.
• A Firewall to protect your LAN from intruders.
• May need a leased-line modem or digital modem.

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HW SW to Provide Internet

• You will providing for 3 types of customers
• Your local users on your LAN (directly connected
  to the servers)
• Dial-up users (using Modem)
• Corporate accounts (Leased-lines, VPNs,
  Frame-Relayetc.), like Internet Cafès and
  Intranet solutions to companies.

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HW SW to Provide Internet

• For the 3 different types you will need
• A machine for each of the following applications
• Web Server Ex. Microsoft Internet Information
  Server (MIIS), Apache server (for Linux)
• Proxy Server Ex. Netscape Proxy Server
• E-Mail Server Ex. Microsoft Exchange.
• Firewall to protect your LAN from the last 2
  types of customers. Ex. SQUID, ipchains

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Dial-up Customers HW

• For dial-up customers you will need a pool of
  modems (a modem for every phone line you have).
• A customer dials your service using a pilot
  number which will connect him to the first
  available line from the pool.
• Thus you need a Port Master and a RAS (Remote
  Access Server).
• User Authentication follows the OS on the RAS.

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Corporate Accounts HW

• Leased-line modem, Frame-Relay switchs, VPN
  routersetc. depending on connection type.
• Most importantly you will need to have a pool of
  vacant and static IP addresses to provide.

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Tuning to E-Commerce

• Online Catalogue
• Shopping Cart
• Secure Servers and SSL
• Payment Gateways
• Commerce Service Providers (CSP)

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Mall Services
Secure access (DID)
Secure access (DID)
Advertisers
Secure access
Secure access
Remote Sales
Classified Ads Customer
Mall BackOffice
Mall front
Extended Services
Electronic Mall Administration
Browse Mall Services
Order
Extended Services
Collect Services (shopping basket)
Secure eCommerce Services Hosting
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• Mall infrastructure
• Database design and programming
• Store test drive
• Central Category directory
• Global shopping
• Global search capability
• Mall front
• Advanced shopping cart
• Static store policy pages
• Multiple payment methods
• Mall Backoffice
• Service manager
• Modify, add and delete services
• Modify, add and delete templates
• Modify, add and delete store

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• Mall manager
• Fulfill orders
• Generate invoices
• E-mail confirmation notices automatically
• Track open orders
• Track and manage accounts receivable
• Generate past due notices
• Search orders
• Search unordered baskets
• Payment processing
• Customer (store owner) manager
• Modify, add or delete customer information
• Manage customer passwords
• Track account balances
• Assign service levels
• Set credit limits
• Set credit length
• Search for customers

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• Mall front manager
• Modify, add and delete Mall front text
• Modify, add and delete Mall front advertisements
• Modify, add and delete Mall demo
• Graphical Reports and Statistics
• Mall front processes
• Report on traffic and order analysis by day,
  week, or year
• Report on store sales statistics by item number,
  rank, time period
• Options
• VeriSign Server Set-up (to eliminate spoofing)
• Automated Billing System
• Staff administrative training

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Store Services
Secure access (DID)
Customer
BackOffice
Storefront
Electronic Store
Browse Catalog
Extended Services
Order
Collect products (shopping basket)
Extended Services
Secure eCommerce Services Hosting
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• Each store is rented from a Community or
  Mall by a business
• Each business selects the services that best meet
  the online requirements of that business
• Each store may choose among different services
  like
• Home page for advertisement of a business or
  classified with contact information
• About page
• Order information page
• How to shop page
• Catalog list pages (one level, up to 100)
• Product list pages (up to 100 items)
• Store specials page
• Reporting and statistics
• Advanced reporting and statistics

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• Central directory search
• Advanced shopping basket
• Image uploading
• Shipping matrix
• Tax matrix
• Automated order notification
• Global specials listing
• Generic invoices
• Real time payment processing capability
• Drop ship supplier order notification
• Customer profiling
• Store infrastructure
• Storefront management facilities
• Backoffice administration facilities

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Your Team

• Technical Team
• Customer Support Team
• Sales Team
• Marketing and Promotion Team
• Billing and Accounting Team (Customer Care)
• Content and Quality of Service Team

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Technical Team

• Configures, manages and administers your
  connection as well as troubleshooting problems on
  the LAN and the Internet setup.
• Supports and provides connection to corporate
  users.
• Responsible for providing a continuous and smooth
  link with appropriate bandwidth to your ISP (Tune
  the connection).

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Customer Support Team

• On-site installation and setup of service for
  dial-up users.
• Help-Desk service and troubleshooting.
• Provides After-Sales service for dial-up users
  and small corporate accounts (like Internet
  Cafés).
• Takes customer notes on service.
• Works side-by-side with Technical team.

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Sales Team

• SellSellSell
• First Contact with customer thus first on-ground
  impression about company.
• Must be knowledgeable about The Internet in
  general and about the companys capabilities.
• Promise only what the company can deliver and
  deliver what was promised.
• Make friends with customers and keep in contact
  after closing the deal.
• You Better have a sub-team for corporate
  accounts.

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Marketing and Promotion Team

• Advertise ? Sell ? Market ? Promote.
• Marketing is important for continuity of the
  company as well as in competition.
• Hold promotional campaigns taking chances of
  special occasions.
• Must have a clear goal (part of the general
  mission of the company) on each campaign.
• Should be flexible and fluctuant with Competition
  (able to compete).

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Billing and Accounting Team

• Must be online with customer database
• Always on contact and direct arrangement with
  Marketing team.
• Aware of their limits that might depend on
  technical matters of the link.
• Ex. If server cannot keep track of off-peak
  hours, we cannot sell off-peak accounts.

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Content and Quality of Service Team

• They provide content to the users.
• Design your webpage and keep it up to date.
• Keep users attracted and entertained
• Hold newgroups discussions.
• Link people together Chatting Services, small
  tutorials, free personal websites for users
• Link your users to the government or people who
  interest them.
• Provide E-Commerce.

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You Have All The Gadgets

• Fully Equipped and ready.
• ? Lets Hit The Market

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Start Your Business

• After you have decided on your company mission,
  you can advertise on the grounds of this mission.
• Sell
• In-door sales For walk-in customers
• Out-door sales Target a special class or group
  of people or industry sector, collect contacts,
  call them on the phone and visit them.
• Market and Promote (again, have clear goals and
  targets)

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Important Points for Sales

• Internet Customers are usually interested in
• Price vs. quality of service.
• Customer Support (after-sales service).
• On-call Tech. Service.
• Trial accounts.
• Your Bandwidth and your ISP.
• If I am a customer, I would ask you to convince
  me to buy from you and not other companies. This
  is when your content comes into action.

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Online Catalogue

• Navigation
• The shopping cart
• Check-out

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Payment and Order Processing

• What is involved in credit card processing?
• Authorisation.
• Capture.
• Charge back.
• Other payment methods
• Fax.
• Telephone Order.
• Micro-payments.
• Electronic cheques.

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Surviving The Competition
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Ensure Continuity

• Try as much as possible to keep your
  configuration tuned for best performance.
• If you need more bandwidth get more.
• If you need more phone lines get more.
• You might need to install new modems to keep up
  with technology that youre customers are using,
  do it.
• Provide Content and Entertainment as mentioned
  before.
• Make a survey about your service every now and
  then by calling customers and asking them (keep
  up quality of service).

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Ensure Continuity

• Get rid of nosey customers, naggers, hackers, and
  hot shots ! HOW?
• Make friends with your loyal customers, arrange
  gatherings.
• You can also promote and market for your new
  services in these gatherings.

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Future Development

• The Internet is growing dramatically everyday.
  Thus the emergent need for development to keep up
  with technology.
• It would be good if you had future plans in mind
  since day one of establishing your company.
• Development in hardware and in content.

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Development Team

• Establish a team for Research and Development
  (RD).
• Give them resources they need Money, testing
  devices, library, research tools
• Usually RD is the most money and time-consuming
  department in any company.

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RD Responsibilities

• Should follow up on new technologies and
  services.
• Should be able to carry out experimentation and
  testing on new technologies and provide
  management with consultation and support in
  futuristic plans.
• Should be able to come out with new ideas and
  plans to enhance the performance of employees,
  the network and the system as a whole.

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Summary

• We have seen the basic steps one needs to start
  his business as an ISP.
• To be a successful ISP keep in mind the following
  points
• Good planning (the internet provides a lot of
  services and there is a lot of technology
  involved, you might get lost).
• Robust connection to your ISP and enough
  resources.
• Quality of service.
• A lot of customer care.
• The competition is wild !

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Points to Ponder

• Globalization What is your part in it? And where
  is your contribution to it?