About
Subscribe
  • Home
  • /
  • CX
  • /
  • Migratory patterns of the lesser-spotted Web consumer

Migratory patterns of the lesser-spotted Web consumer

As most companies realise the benefit of hosting numerous communication and trade channels, it`s becoming more evident to traditional businesses that electronic commerce is not just about online shopping.
By Basheera Khan, UK correspondent, ITWeb
Johannesburg, 02 Apr 2001

The telephone has long been used as an alternative, and the advent of fax technology created another channel for businesses to communicate with their clients, let alone suppliers and partners. The has added another dimension to relations; the trick is to those consumers that have grown accustomed to telephonic interaction in the ways of the Web. This market is the most likely to migrate to a different technology platform.

A case in point is that of Call-A-Car, McCarthy On-Line`s call centre-driven car sales division. The Call-A-Car operation allows consumers two lines of communication - telephone and Internet. While the customer base initially expanded through the telephonic channel, the company reports that its customer base is shifting towards the Web.

In July 2000, Call-A-Car closed 90 Internet deals and by November last year this number had increased to 250. Currently, between 40% and 50% of all Call-A-Car deals are done on the Internet - a leap from the less than 5% when the division was first launched three years ago.

The Internet has added another dimension to customer relations; the trick is to educate those consumers that have grown accustomed to telephonic interaction in the ways of the Web.

Basheera Khan, journalist, ITWeb

The fact that Internet buyers are generally more focused means that the chances of closing a sale online are far greater than doing the same via a series of telephone calls. One key element that e-tailers need to take into consideration is that the e-commerce ripple is working its way down the liquid standard measurement (LSM) spiral.

Online consumers are there mainly to find better deals on products that are generally easier to buy in brick-and-mortar operations. The key is cost - South African online consumers, like the rest of their counterparts, are financially constrained. And according to a number of e-tailers, most searches are driven by price.

It looks like e-commerce is finally expanding outside of the original target market of LSM 7 and 8 consumers. I have my doubts as to whether it actually made an impact among this market in the first place. After all, consumers in this bracket are largely wealthy professionals in the 40 to 50 age group who - and this is the clincher - don`t necessarily have PCs in the home.

This is the challenge for traditional businesses in online marketing - trying to get their best customers to engage in communications or transactions using any one of a number of digital channels, while at the same time styling the product in a way that will make it attractive to the emerging breed of consumer that has already taken to the new media like so many ducks to water.

Share