Credibility. Little-known firms can become
instantly "visible" if they use the Internet wisely. Even a small
firm can develop a polished and sophisticated web presence and
promotion strategy. Another advantage: potential customers are less
concerned about geographic location if they feel the firm is
electronically accessible.
Travel. On-line visibility can elicit
invitations to visit as well as eliminate the need for travel, once
customers are comfortable with service delivery over the Internet.
An increasing number of service providers have never met their
foreign customers except "virtually" on-line.
Why use the Internet?
In short, the Internet can help your firm export successfully in
five ways:
• Basic communications;
• Promoting capabilities;
• Market information;
• Generating sales;
• Delivering services.
Basic communications
The Internet can facilitate "location neutral" communication
with customers, suppliers, strategic partners, and travelling
staff. E-mail, telephony (telephone service over the Internet), and
video conferencing support real-time interactive communications
worldwide. Communications use of the Internet can result in
significant savings and is rapidly becoming the primary mode of
communication in the global business world. Internet service
providers (ISPs) are supporting easy use of the Internet through
tools such as automated mail responders (mailbots), which act like
a fax-back system and allow automatic distribution of electronic
versions of promotional material, samples of work, and brochures
upon request.
Promoting your capabilities
The Internet offers many ways to promote your capabilities and
build your firm's reputation. Because the culture of the Internet
is based on the free exchange of information, you can readily
participate in news groups and on-line conferences, launch
inexpensive mass marketing
initiatives, or develop a web site to heighten your credibility.
This has to be done carefully, however, as blatant advertising or
self-promotion will not be appreciated by the on-line community-
including your potential customers.
News groups
You can build credibility as an expert by using news groups.
More than 10 million people participate in news groups, which are
generally free or low cost. Usenet news groups are hierarchical and
arranged by subject. They are dedicated to the discussion of a
particular topic (of which there are estimated to be more than
100,000). They can be an effective way to establish yourself as an
expert by providing thoughtful, value-added comments and responses
to the questions and opinions of other users.
Direct marketing with mailing lists
E-mail address lists can be used to promote your services,
advertise awards or upcoming events, or solicit new customers.
Mailing lists can be an inexpensive way to reach large numbers of
target customers, especially for a mass market approach (for
non-customized services).
They are generally organized by subject matter and, when you
post a message to a particular mailing list, it is sent out to
everyone who has subscribed to that list. Note that some receivers,
however, may perceive your message as "junk mail."
There are three types of lists: moderated (screened) lists,
unmoderated lists, and digests (a compilation of messages, rather
than many individual e-mails).
You can also generate your own mailing list by selecting e-mail
addresses from your contact database, registration on your web
site, subscription to your electronic newsletter, etc. If you do
create your own mailing list, increase your response rate by
ensuring that all replies will be confidential, and guaranteeing
that you will not distribute respondents' e-mail addresses.
Industry homepages (association or government web
sites)
Many industry associations and government trade agencies are
developing on-line directories highlighting their member firms'
capabilities. You can create a link from the agency web site to
your own web site, and/or create a webpage on the industry homepage
site.
You benefit from the low cost and time investment (relative to
setting up your own web site). Your contribution will be based on a
standard template. You will have low design and set-up costs,
minimal maintenance responsibilities, and no technical expertise
required. On the other hand, you have no control over the design
and presentation, a limited ability to customize your material, and
no capability to interact with customers.
Creating your own homepage
There were over 230 million web sites by the end of 1997 and
more are being added by the minute. With the advent of Java and
HTML programming language, building a homepage is now within the
technical grasp of most companies. However, it takes significant
resources to properly design and maintain an on-line presence.
Developing a web site must be undertaken in the context of your
firm's overall business goals in order to maximize the return on
investment.
Having your own web site (rather than just a webpage on someone
else's site) allows you to adapt your material over time based on
customer feedback, link your web site to complementary sites, and
add value to the services you provide. On the other hand, web sites
take time and resources to develop, as well as dedicated resources
to maintain.
Many web design firms, as well as Internet Service Providers,
can help you develop a web site. Many governments and associations
also have subsidy programmes to help offset set-up costs. Whichever
method you choose, senior management should be committed to
maintaining the site, as they might for other strategic exporting
efforts.
Gathering market information
The Internet is a rich resource for information on your markets,
competitors, and customers. With training in Internet search
techniques, you can design targeted searches on specific
topics.
Market research
While there are commercially available market research services,
you can conduct a great deal of your own research using popular
search engines (see box).
On-line bidding
Many governments and large organizations post bidding requests
electronically, to encourage fairness and transparency in the
bidding process. Establish a regular monitoring process to identify
the ones
of most interest to your firm (see also pages 24-26).
Partner search
To identify strategic partners, there are numerous government
and association sites that support searches for firms of
complementary strengths (e.g., ITC's Services Exporting Homepage
http://www.intracen.org/servicexport/). These can be found using
search engines and by monitoring the web pages of associations. It
is important to develop a capabilities profile of your own form to
post on these electronic bulletin boards, clearly stating what you
are looking for in a partner.
Customer feedback
Your web site can capture valuable customer and supplier
feedback on your services. Bulletin boards, chat groups, on-line
conferences, and direct e-mail links are examples of mechanisms to
collect customer feedback. You can also use news groups and mailing
lists to post questions to your customers and solicit their
responses.
Generating sales
Advances in encryption technology have made financial
transactions over the Internet secure for consumers. Retail,
travel, and financial industries have been quick to capitalize on
electronic commerce. Many other service industries, however, could
also promote and sell their services via the Internet.
The more customized the service is, the more difficult it is to
sell it directly over the Internet. For example, for a customized
service like management consulting or legal services, clients
decide based on the reputation of individuals and not solely on a
web site, no matter how professionally presented. For a standard
service like travel, clients are more comfortable purchasing
electronically. They may comparison shop on-line, but then purchase
directly.
Service delivery
Some services are well-suited for actual delivery over the
Internet. The cycle of promotion, design, client communications,
delivery, and follow-up can be conducted electronically. You can
reap significant cost savings by reducing travel to a client to
market and deliver a service.
Dorothy Riddle is an ITC consultant on services export
development (e-mail: driddle@compuserve.com)
TIPS:
E-mail Netiquette
Unwritten "Rules of the Road"
Electronic mail is the most frequent use of the Internet. While
first-time users may view it as impersonal, users grow to
appreciate its speed and convenience.
E-mail can be used to transmit text, data, graphics, sound, and
video.
Initially, the concern was connectivity: did the other party
have e-mail? Now the challenge is being "heard" when users are
deluged with 50-100 e-mail messages each day.
DOs
• Make your Subject Line clear.
• Keep the message short and stay on one topic.
• Personalize your message to the receiver.
• Reply promptly (within 24 hours) to messages.
• Use customized signature (sig.) files. Automatically added at
the end of your messages, they can include name, title, contact
information, and a short tag line if desired.
• Use the automatic response feature when you are away, so that
senders know when to expect you back or whom to contact in the
interim.
• Be courteous.
• Use good grammar and spell check your message.
• For mass mailings, use the "blind copy" feature.
• Only post ads where they are welcome.
DON'Ts
• Don't use CAPITALS, as this is the equivalent of shouting on
the Internet.
• Don't send attachments or complex graphics without permission;
they can take a long time to download.
• Avoid spamming, the equivalent of "junk mail".
Your Internet Strategy
Given the many activities and corporate functions that you can
perform through the Internet, it is critical that you:
• Closely examine your primary business objectives.
• Identify the technological capabilities and preferences of
your customers.
• Analyze your service delivery process to determine which
options provide the most competitive advantage.
Driving Traffic to Your Website
Design
• Design the site to support your objectives.
• Get professional design advice.
• Ensure that the site reinforces your desired corporate
image.
• Don't make your site rich in graphics, to avoid downloading
delays and visitor frustration.
• Ensure it is accessible 24 hours/day.
• Engage customers in a dialogue.
• Fine-tune your content for each visitor. (Integrate a personal
preference database into your site).
• Keep your site updated, to retain a freshness factor.
• Give your site entertainment value.
• Keep your tone conversational in style.
• Evaluate your site to ensure it is meeting your
expectations.
Launch
• Market the presence of your site through other promotional
materials.
• Register your site on common search engines; get listed on
"What's New" sites.
• Plan a web site "launch" to invite clients to view the site.
Send out press releases; send messages to e-mail news groups; send
announcements to newsletters (printed and electronic) and mailing
lists; advertise in "What's New" sites; attract banner advertising;
send direct mail announcements; add a note to signature (sig.)
files.
• Provide gifts and giveaways during launch activities.
Links
• Ensure that you are "well-linked" from other relevant
sites.
• Position "outbound links" 2-3 layers down in your site, to
ensure that visitors see all that you have to offer.
• Once another site has agreed to provide a link to your sites,
provide them with your icon in correct web file formats (*.gif or
*.jpg format for graphics and HTML for text). Within the HTML
include a tag line that entices people to click on your link.
• Check your links regularly.
Encourage repeat visits
• Include a What's New page.
• Maintain a current calender of events for your industry.
• List employment opportunities.
• Maintain useful links from your site.
• Provide on-line chat sessions/bulletin board.
• Post a tip of the day/week/month.
• Show surveys and results.
Maintenance
• Keep your site "evergreen" by updating it regularly.
• Decide whether you want to maintain your site in-house or
contract it out.
• Respond to web site e-mails within 48 hours.
News Groups-To Build Credibility
Monitoring news groups is time consuming, so choose news
group(s) carefully. As with e-mail, overt advertising is not
appropriate. Here are some tips for successful news group
participation:
• Monitor each news group initially to see if it will be
worthwhile.
• "Lurk" (read without posting any messages or response) until
you understand the preferences and standards of the news group
because they are all different.
• Use sig. files to increase your visibility, customizing your
tag line to be relevant to the focus of the news group.
• Only post a message when you have true value to add to the
discussion.
Direct Marketing with Electronic Mailing
Lists
If you are going to use mailing lists, here are some tips:
• Choose a list whose subscribers closely fit your target group
(e.g., government procurement officers if you are selling GIS
systems to municipalities).
• "Lurk" for at least two weeks to monitor the behaviour and
standards of a mailing list before posting a message.
• Test any bulk e-mails on a "friendly audience" before sending
them "live".
• Carefully compose the subject line to encourage readers to
open your message.
• Ensure that your message is "on subject."
• Have a "call to action" in your message to encourage readers
to respond or visit your site, and then have a process in place to
track any responses you receive.
• Use a sig. file so that your message is easily identified.
• Observe the same netiquette rules as outlined for e-mail
communication.
If you are looking for web sites with mailing lists, here are
some examples. They are generally organized by topic.
• Liszt http://www.liszt.com
• The List of Publicly Available Mailing Lists
http://www.neosoft.com/internet/paml.
• Post Master Direct Response
http://www.postmasterdirect.com
"What's New" Sites
These sites advertise new web sites:
Netscape's What's New
http://netscape.com/home/whats-new.html
Site Launch http://www.sitelaunch.net/
Epage Classified http://op.com
Open Market http://www.directory.net
Net-Happenings Newsletter http://www.mid.net/NET
Net Surfer Digest http://www.netsurfer.com/nsd/index.html
Use Search Engines for Market Research
Alta Vista http://altavista.digital.com
Excite Inc. http://www.excite.com
Hot Bot http://www.hotbot.com
Infoseek http://www.infoseek.com
Lycos Inc. http://www.lycos.com
Meta-Crawler http://www.metacrawler.com
Northern Lights http://www.nlsearch.com
Webcrawler http://webcrawler.com
Yahoo! Inc. http://www.yahoo.com
Choosing an Information Service Provider
Given the explosion in Information Service Providers (ISPs)
around the world, it is important to choose your ISP carefully.
There is a trend towards On-line Service Providers (OSPs) which
supply value-added services including content, web site design, and
other services in addition to basic Internet access. The following
are questions to consider:
• Do you offer flat-fee service?
• How many hours of access do I receive per month within the
basic fee structure?
• How many users can I add per modem line without additional
charges?
• Is a free homepage included in your basic subscription
fee?
• Do you offer 24-hour technical support? In what languages? How
long is the average wait to speak to a real person?
• When I travel, will I be able to receive local dial-in access?
Roaming services?
• Do you offer an executive news service?
• Do I receive free Internet browser software with my
subscription?
• Do you offer/include e-mail and Internet research
training?
• How often can I expect to receive a busy signal during
dial-in? What are your peak usage times?
• What is your network utilization ratio?
• How fast is your e-mail delivery?