The Complete Independent Movie Marketing Handbook 1 The Future of eCommerce in SA Ramon Thomas.

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Presentation transcript:

The Complete Independent Movie Marketing Handbook 1 The Future of eCommerce in SA Ramon Thomas

The Complete Independent Movie Marketing Handbook 2 Why People Shop on the Web Convenience and ease of use Shoppers only buy 5% of the time e-Commerce is International

The Complete Independent Movie Marketing Handbook 3 eCommerce Examples Amazon.com eBay.com iTunes Yahoo! Google

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5 Amazon Marketplace ( i.e:Third-party Marketplace ) is Amazon.com's fixed-price online marketplace that allows sellers to survey their goods alongside Amazon's offerings. Buyers can buy new and used items sold directly by a third party through Amazon.com using Amazon Marketplace. This concept is similar to eBay's successful half.com. This sales strategy and program has been very profitable for Amazon.com, with a commission rate of 6 to 15 percent of the sale price, a $0.99 per-transaction fee, as well as a variable closing fee. Users can leave feedback on transactions, similar to eBay's feedback system, except that Amazon uses a five star rating system instead of just positive, neutral, or negative. Any feedback less than four stars will negatively affect the seller's rating. It is important to note that this rating system is different from Amazon's regular book rating system - while their book rating system should be used to vote on the content of the book, the quality of the publication, the individual's opinion of the book, or any number of other factors, the Amazon Marketplace rating system should only be used to describe the quality of the transaction and whether the product meets the criteria in the seller's listing. Negative feedback, for instance, because a book is old and expensive, affects the seller's feedback rating negatively, and causes other buyers to be less likely to purchase from that seller. Another big difference in the Amazon vs. eBay feedback is reciprocity. Amazon has a one way street. The seller is always judged for the feedback left but the seller is powerless to effect the feedback of the buyer because the buyers feedback is not included in any metric Amazon uses. If a buyer on eBay has bad feedback you can block them but on Amazon you have to accept a sale from a bad feedback customer. Without this measure, customers who feel for any reason to leave a bad feedback can and do. Check it out for yourself. Take a Powerseller on eBay and see if they are selling on Amazon you will see similar items but feedback will be at least 5% off on Amazon what it is on eBay.

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The Complete Independent Movie Marketing Handbook 17 The Numbers 1.1 billion Internet users (4 million)‏ 2.5 billion Cellphone users (32 million)‏ 100 million websites

The Complete Independent Movie Marketing Handbook 18 # Websites each year since the Web's founding.

The Complete Independent Movie Marketing Handbook 19 Blogosphere

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The Complete Independent Movie Marketing Handbook 21 Cluetrain  "A powerful global conversation has begun. Through the Internet, people are discovering and inventing new ways to share relevant knowledge with blinding speed. As a direct result, markets are getting smarter—and getting smarter faster than most companies." 

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The Complete Independent Movie Marketing Handbook 23 Online Music Rise of Mp3 (1997)‏ Napster (1999)‏ Declining album sales (post 2000)‏ iTunes & iPod (2001)‏

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The Complete Independent Movie Marketing Handbook 25 eCommerce Growth Top Category: Video Game - 159% US $170.8 billion in 2006 ($102.1 billion)‏ Reach $200 billion by end of 2007

The Complete Independent Movie Marketing Handbook 26 Online Retail in South Africa R514 million in 2005 Online Air Ticket Sales: R1.8 billion Kulula.com 1 st to reach R1 billion 826 online retail sites Experience Curve

The Complete Independent Movie Marketing Handbook 27 South African eCommerce Kulula.com MWEB Shopping Zone, Digital Mall Pick ‘n’ Pay, Woolworths Kalahari.net, Exclusive Books NetFlorist, Cybercellar Digital Planet, Ascot Direct

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The Complete Independent Movie Marketing Handbook 38 Components of eCommerce Shop Shopping Cart  osCommerce  Zen Cart  ViArt Shop Payment Gateway  Authorize.net  Chase Paymentech (Orbital Gateway)‏  Cybersource  LinkPoint (owned by First Data)‏  VeriSign Payflow (Owned by PayPal)‏

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The Complete Independent Movie Marketing Handbook 45 Resources

The Complete Independent Movie Marketing Handbook 46 Contact Details: Ramon Thomas Tel or Connect with me on LinkedIn, Facebook & MySpaceLinkedIn MySpace