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Show Me the Money E-commerce in the arts Hans de Kretser

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Presentation on theme: "Show Me the Money E-commerce in the arts Hans de Kretser"— Presentation transcript:

1 Show Me the Money E-commerce in the arts Hans de Kretser Hans@dekretser.com

2 Show Me the Money E-commerce in the arts Hans de Kretser Hans@dekretser.com

3

4 The total value of UK internet sales by businesses reached £103.3 billion [ONS e-commerce survey, October 2006 for the previous year]

5 The value of goods bought on the internet this Christmas jumped by 50% to over £7bn for the 10 weeks up to Christmas [The Independent, December 2006]

6 Ticketmaster.co.uk is the 18 th most popular online retailer in the UK [Source: IMRG-Hitwise Hot Shops List, November 2006]

7 Online now accounts for 10% of all retail sales in the UK, compared to just 0.5% in 2000. [IMRG via E-Consultancy Blog, January 2007]

8 67% of internet users have bought online [BMRB internet monitor November 2006]

9 65% of internet users believe using credit cards online is safe [BMRB internet monitor November 2006]

10 £629 is the average amount spent online per user in last six months [BMRB internet monitor November 2006]

11 Top types of sites visited A site where you can buy a product or a service 20.46m Map/Direction Site 17.82m Local Info Services 15.97m Weather Sites 11.97m Local Government/council 11.81m Price Comparison Sites 11.59m Education Sites 11.58m Auction Sites 11.45m Music Sites 11.32m Personal Finance Sites 9.46m

12 UK shoppers make more purchases online than in other European countries [emarketer.com January 2007]

13 …and spend more then other Europeans [Forrester research, July 2006]

14 Half the UK population makes money by selling online, making £8.5 billion in the last year, an average of £341 a head. [Orange Broadband, 2006]

15 54% of UK residents are using online sales websites to make extra funds. [Orange Broadband, 2006]

16 12% of people over the age of 30 claim to have made in excess of £500 by selling online. [Orange Broadband, 2006]

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18 Of 1,000 retailers, two-thirds (69%) of UK retailers are missing out on potential revenues by not offering their goods or services online. [Source: Barclaycard via E-Consultancy Blog, December 2006]

19 23% claimed the cost of setting up online was a major barrier 13% were put off by the technical knowledge required to set up a website

20 Three-quarters of the UK population shop online. [Source: SciVisum (via Revolution), September 2006]

21 57% cited speed as the main reason for buying online [Source: SciVisum (via Revolution), September 2006]

22 But 78% of e-shoppers have turned off a computer out of frustration with site performance [Source: SciVisum (via Revolution), September 2006]

23 47% said that sites that crashed mid- transaction were a major cause of web rage [Source: SciVisum (via Revolution), September 2006]

24 54% were frustrated by the inability to ask questions over the phone, while others cited usability issues such as complicated registration (47%), inability to find information (46%) and inability to amend orders (45%). [Source: SciVisum (via Revolution), September 2006]

25 Show Me the Money E-commerce in the arts Hans de Kretser Hans@dekretser.com

26 Content An overview and key considerations Regulations Making it work – design in practice Stepping up What the future has in store

27 Online Ticketing

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29 Online Multi-buy

30 Online Membership

31 Online Memberships Tate 25% memberships online New online relationships

32 Paperless direct debit

33 Online gift tokens

34 Online Merchandise

35 Online Donations

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37 Panto Donations £1 to each booking Option to remove Gift Aid Cinderella £5,364 Peter Pan £1,625 Children’s Hospital Fund Online Donations

38 Ancillary services

39 Online Auctions

40 Mobile Technology

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42 Phone tones

43 Payment options Offline processed payments Credit Card payments –Third party such (e.g. WorldPay) –Direct with bank Mobile –Stored details (e.g PayPal) –Micro-payments

44 Offline payment

45

46 Payment Service Providers

47 WorldPay Fees –£200 set up –£30 per month –£0.18 - £0.25 per transaction Other providers include SecPay and securetrading

48 Payment Service Providers

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50 Through your bank Rigorous set up Separate merchant accounts Impose higher percentage commissions Banks adopt customer side if they query delivery leading to chargebacks

51 M-payment Multi-channel Micro-payment M-wallet Sim card pre pay

52 Online Ticketing www.ticketing.org.uk Roger Tomlinson Outlines 5 options

53 Online Ticketing 1 Allocation to ticket agency e.g. Keith Prowse No connection to live box office data

54 Online Ticketing 2 Allocation to an own branded online selling tool e.g ts.com No connection to live box office data

55 Online Ticketing 3 Combined Ticketing Systems/ Service Supplier links to their online ticketing e.g TicketMaster Connection to live box office data

56 Online Ticketing 4 Supplied Internet Gateway e.g Tickets.com Connection to live box office data

57 Online Ticketing 5 Own Internet Sales Tool e.g ENTA Live Connection to live box office data

58 Online Ticketing Real Time ticketing also allows: Mobile phone – SMS ticketing Interactive voice response Other sales outlets Other venues

59 Online Ticketing Reasons for going online Reach new audiences Extend sales outlets and opening hours Data capture Reduce pressure on box office Convenience to customers Reduce overheads Not to be left behind Increase income

60 Online stores

61 Online Stores 1 Process offline e.g. Kenwright.com No connection to stock system – doesn’t handle payment

62 Online Stores 2 Sell through another website e.g. Amazon.com/ ebay Easy to set up – handles payment no branding

63 Online Stores 3 Sell through a payment service provider e.g. Worldpay Can integrate catalogue with site design

64 Online Stores 4 Dedicated shop system e.g. ShopCreator Stock control, own payment

65 Online Stores 5 Bespoke shop system e.g. with developer Integrated with other services such as online ticketing, Own payment

66 Rules and Regulations E-commerce Regulations came into force in August 2002 Covers selling via internet, email and sms

67 Rules and Regulations Include on site your business' name geographic address company registration details email address VAT details professional bodies

68 Rules and Regulations Allows customers to go back and correct mistakes before the order is placed

69 Rules and Regulations Acknowledge receipt without undue delay

70 Rules and Regulations Consumer Protection (Distance Selling) Regulations 2000 –Clear information about sale –Provided in writing (e.g email) –Cooling off period to cancel

71 Rules and Regulations Electronic Commerce Directive –Clearly identify commercial communications –Outline steps for contract to be concluded

72 Rules and Regulations Sales of Goods Act –Products fit for sale Trades Description Act –Products exactly as described

73 Rules and Regulations Privacy and Data protection recommended practice –Allow to accept and proceed or decline or proceed –Placed at bottom of policy

74 Terms and Conditions Show terms and conditions Ideally acknowledge before purchase

75 Break

76

77 Designs that pay Reasons for shopping online: Ease of use - 59% Low prices - 32% e-commerce times January 2006, Keynotes systems

78 Designs that pay Essential principles of product page design Advice from Jacob Nielsen – usability expert

79 Designs that pay Simplicity Try not to over crowd the page –Name and description –Product image –Price –How to buy –Variations

80 Barbican product page

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82 Natural History Museum

83 Designs that pay Dimensional Navigation “if…there are certain criteria that people use to buy, built it into your navigation”

84 Wycombe Swan

85 Carmina Burana

86 Wycombe Swan

87 Science Museum

88 Designs that pay Site search –Becoming more significant as search facilities improve

89 Designs that pay Information Rich Product pages should be simple, but they should offer access to a complete source of information Layer information

90 Sadler’s Wells

91 Designs that pay Expert opinions Important that reviews stand up as independent

92 Spiegel

93

94 Designs that pay

95 The way to check-out Allow all related options to be selected before item is added to shopping cart

96 Barbican

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98 Designs that pay Product/event page essentials –Title –Description –Photo –Dates if performances, availability/delivery time if products –Links to t+c’s privacy policy, warranty –A big BUY button

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100 Designs that pay The Seating Plan

101 Designs that pay The Seating Plan

102 Designs that pay The Seating Plan

103 Designs that pay The Seating Plan

104 Designs that pay Log-in and registration Start or finish? As simple as possible

105 Goh

106 Sadler’s Wells

107 Sadler’s login

108 Designs that pay Southbank Centre

109 Designs that pay

110 Only a small proportion of users who start e-commerce transactions actually complete them And these are often a small proportion the overall visitors (Roger Tomplinson, A practical guide to developing and managing websites)

111 Designs that pay Minimise clicks and pages

112 Designs that pay Make the e-commerce pages obvious

113 Designs that pay Don’t make users repeat actions –Identifying dates on the website then again when they want to book online –Making people have to go through the whole process for each event/product

114 Designs that pay Speed is essential –Page design –Database calls

115 Designs that pay Transactions require interaction –Keep required information to a minimum –Keep it simple

116 Stepping up How organisations have made a difference

117 Stepping up Self selecting Seating plans When given the choice 84% prefer to automatic selection (Sadler’s Wells) Overnight rise in online sales

118 Stepping Up Improving the customer journey Barbican new website improved online sales from average of 35% to 55%-60% sales by improving customer journey

119 Stepping Up “We also send an automated email to customer who “dropped off” mid journey of booking tickets – to ask them if we can assist.” Sigal Hachili - Barbican

120 Stepping up Using web traffic analysis tools –Sadler’s Wells use www.nedstats.co.uk –Track user behaviour Shows bought direct from emails What stage they leave the shopping basket Customers who bought x also bought…

121 Stepping Up Marketing –Print –Email –Search Engine Optimisation –Paid for Search engines

122 Stepping Up The Home Page –47% land on a home page Allow users to navigate to different sections Offer different routes to purchase decisions

123 Live Nation

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125 The future in store? Web 2.0 to Ecommerce 2.0 –Second generation of web-based services — such as social networking sites, wikis, and communication tools — that emphasize online collaboration and sharing among users.

126 The Future in store? Drag and drop Shopping Baskets

127 The Future in store? Prompted Search

128 The Future in store?

129 Unbundled Services

130 The Future in store? Mashups

131 Show Me the Money E-commerce in the arts Hans de Kretser Hans@dekretser.com

132 Show Me the Money E-commerce in the arts Hans de Kretser Hans@dekretser.com


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