E-Commerce Times Talkback
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The projected boom in the online population over the next few years presents e-tailers
with an "enormous opportunity" to win the loyalty of a whole new crop of consumers,
according to data released Thursday by IDC.
As a result, the research firm advised Internet sellers to "heed the homilies of the
importance of first impressions," which are pivotal moments that can make or break the
transformation of an uninitiated browser into a regular buyer. The study noted, however,
that any effort to build a strong customer base must first be predicated on an
understanding of the expected shift in Web user demographics.
A good first impression means a catchy, cute domain name. For example, there are over 50 developed Websites that begin with the word "Think" because "Think domains" are distinctive and highly memorable.
But I think a lot of businesspeople, in reaction to all the media hype about cybersquatting, are foolishly not willing to pay even a grand for a good domain name (whereas if they asked a professional naming company to find a good name for them they'd be charged $30K or more) and end up choosing a lousy name that gives their customers a bad first impression.
Just my opinion.
First impressions are important but the right product is even more important. "Single product ponies" are perfect for sale over the Internet as they target the specific interests of consumers whereas broad-ranged stores like BUY.COM or AMAZON fail by trying to be all things to all people.
One month does not make a trend. More significant was the news of a Microsoft and AOL deal falling apart. Microsoft, with partners John Malone's Liberty Media and Rupert Murdoch's News Corp, will now pursue the acquisition of DirectTV. With significant cable TV and satellite access Microsoft is now poised to agressively take on AOL-Time Warner's dominant global position in the 'New Media' industry. More analysis is available from 71 page online Executve Briefing at URL:
AOL-Time Warner's recent deal with Legends Holdings LTD, China's leading PC manufacturer, is an attempt to shore up their overseas market share - trailing both Yahoo and MSN [Microsoft]. Most observers are following closely how AOL uses Time Warner's rich media portfolio over their 29 million subscriber base and 69 million monthly 'unique visitors.'
Frank B. Leibold, Ph.D.
President, LEIBOLD & ASSOCIATES
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