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ECT News Community   »   E-Commerce Times Talkback   »   Re: E-Commerce Balancing Act: Convenience versus Cost

Re: E-Commerce Balancing Act: Convenience versus Cost
Posted by: Elaine X. Grant 2002-02-05 17:44:48
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Some online shoppers will do anything for a deal, and some will gladly pay extra for
convenience. The trick for an e-tailer is to find a perfect balance between the two. A
recent survey by GartnerG2 found that 79 percent of online shoppers value convenience,
but just 32 percent think price is important. If convenience is so important, why don't
more e-tailers follow the lead of Kozmo, the ill-fated online delivery service?

Re: E-Commerce Balancing Act: Convenience versus Cost
Posted by: davidport 2002-02-06 14:36:43 In reply to: Elaine X. Grant
Since most people probably want price AND convenience, please allow me to ask the following two questions in order to illuminate why most e-businesses can't profitably offer both: First, presuming you subscribe to a daily newspaper, if you and your family were planning on being out of town for a few days, would you be likely to stop the delivery of your paper (or at least ask a neighbor to pick it up)? Second, presuming you answered "yes" to the first question, then for similar reasons might you also be leery about ordering goods over the Internet -- goods which just might be left outside your locked front door if nobody was home?

What's my point? Profitably offering both price and convenience requires the selling of a large volume of goods -- and your answers above prevent such a volume.

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