Increasing margins by joining your customers

2002 ◽  
Vol 19 (6) ◽  
pp. 514-523 ◽  
Author(s):  
Claus von Campenhausen ◽  
Hauke Lübben

Just as in real estate, the key success factors for business in cyberspace are location, location, and location. Potential customers on the Internet tend not to be widely dispersed but are found to clog together at virtual water‐holes, known as communities and defined by common interest. In response, every respectable company established its own virtual landmark, i.e. portal, during the (short) era of Internet hype in an attempt to attract customers. Often enough with little success. We propose a different way of thinking. The key to improving profits and margins is in understanding the Internet as a tool rather than a place to be. Companies do not have to build their own Internet water‐hole. Instead, they have to leverage existing online and offline communities. Companies have to access these communities and serve their customers at their place of convenience. This article illustrates how the application of this idea results directly in increased margins and lower customer servicing costs. It explains the drivers of potential gains from understanding virtual communities.

2008 ◽  
pp. 8-14
Author(s):  
Catherine M. Ridings

The rise of the Internet has spawned the prolific use of the adjective “virtual.” Both the popular press and scholarly researchers have written about virtual work, virtual teams, virtual organizations, and virtual groups. But perhaps one of the most interesting phenomena to come to the forefront has been that of virtual communities. Many definitions of this term have been proposed and the term has been used in many different ways. This article will examine some of the most popular definitions and guidelines to understand what truly constitutes a virtual community. To define a virtual community, one needs to first examine the two words separately, particularly the sociological definition of “community.” The German sociologist Ferdinand Tonnies, in his 1887 book, made the distinction between two basic types of social groups: Gemeinschaft (community) and Gesellschaft (society). The former was often exemplified by the family or neighborhood (Tonnies, 1957). Sociology literature also often refers to the definition given by George Hillery, who reviewed 94 different definitions in academic studies. Three elements were common to the definitions, namely that community (1) was based on geographic areas, (2) included social interaction among people, and (3) had common ties such as social life, norms, means, or ends (Hillery, 1955). Thus the term community typically connotes a group of people within some geographic boundary, such as a neighborhood, or perhaps smaller subsection of a larger city. Further specification might have defined a community as a group of people within the geographic boundary with a common interest, such as the Jewish community of Brooklyn or the physician community of London. Therefore, members of the community were drawn together by both local proximity and common interest, even if the interest was in the geographic area itself. The term virtual, precipitated by the advent of information technology, and specifically, the Internet, means without a physical place as a home (Handy, 1995), or that which is electronic or enabled by technology (Lee, Vogel, & Limayem, 2003). Information technology therefore has expanded the means by which the social interaction in communities can be accomplished. While for most of human existence interaction was strictly limited to the face-to-face medium, social interaction can now be accomplished virtually, thus eliminating the necessity of being physically close enough to communicate. This type of communication is called computer-mediated communication (CMC). Combining the two terms together, thus, would mean eliminating the geographic requirements and allowing that the social interaction would occur virtually, that is, via information technology, among people with common ties. In fact, people have been coming together in virtual communities on the Internet for over 25 years. Usenet newsgroups, started in 1979, are widely regarded as the first virtual communities on the Internet (M. A. Smith, 1999), and The Well (www.well.com), started in 1985, is often referred to as an early exemplar of virtual community (Rheingold, 1993). Virtual communities may be part of a long-term shift away from geographic ties to common interest ties (Wellman & Gulia, 1999b). Formal definitions and understandings of the term virtual community still remain problematic, however (Lee et al., 2003). Perhaps the most cited definition is that of Howard Rheingold, a prominent author, consultant, and member of The Well: Social aggregations that emerge from the Net when enough people carry on those public discussions long enough, with sufficient human feeling, to form webs of personal relationships in cyberspace. (Rheingold, 1993, p. 5) Common to many of the definitions is the presence of shared interests or goals (Dennis, Pootheri, & Natarajan, 1998; Figallo, 1998; Kilsheimer, 1997). With the advent of information technology, locating/contacting others outside the local community has become relatively easy, especially when one seeks others who have a unique or uncommon interest. It may be that technology makes it easier for communities to form. For example, it may be difficult for someone interested in traditional bowhunting to locate others with the same inclinations by popping into the local tavern or socializing at a church function. However, a simple search in Google reveals a vibrant community centered around such an interest (www.bowsite.com/). There are virtual communities for nearly every interest that comes to mind, from medical afflictions (e.g., breast cancer, Parkinson’s, Down’s syndrome) to hobbies (e.g., coin collecting, wine, saltwater aquariums) to professions (e.g., nursing, law, finance). Implicit with the notion of community is some permanence among members and frequency of visits by members (A. D. Smith, 1999). Virtual communities must have a sense of long-term interaction (Erickson, 1997), not a place where people go only occasionally or where there are always different people. It is not uncommon for people to develop strong attachments to virtual communities, visiting them often enough to be described as “addicted” (Hiltz, 1984; Hiltz & Wellman, 1997). The members often feel part of a larger social whole within a web of relationships with others (Figallo, 1998). Indeed, many researchers have considered virtual communities as social networks (Hiltz & Wellman, 1997; Wellman, 1996; Wellman & Gulia, 1999a). Ridings et al. (2002) offer a comprehensive definition that incorporates the afore-mentioned concepts: Groups of people with common interests and practices that communicate regularly and for some duration in an organized way over the Internet through a common location or mechanism. (p. 273)


Author(s):  
Subir Bandyopadhyay ◽  
Rosemary Serjak

In recent years, many online brands (or e-brands) have emerged. For a brick-and-mortar brand to excel in the online environment, the brand manager must appreciate some of the key features of the Internet and make adjustments to the traditional brand management strategy. For example, the control of communication in case of online brand management lies with both the brand manager and the consumer, whereas from the traditional branding perspective, the control by and large rests with the brand manager only. We highlight the differences between traditional brand management and online brand management. We then focus on several key success factors in building a successful online brand, which we believe will help guide the brand manager through a series of steps leading to successful online branding.


Author(s):  
Catherine M. Ridings

The rise of the Internet has spawned the prolific use of the adjective “virtual.” Both the popular press and scholarly researchers have written about virtual work, virtual teams, virtual organizations, and virtual groups. But perhaps one of the most interesting phenomena to come to the forefront has been that of virtual communities. Many definitions of this term have been proposed and the term has been used in many different ways. This article will examine some of the most popular definitions and guidelines to understand what truly constitutes a virtual community. To define a virtual community, one needs to first examine the two words separately, particularly the sociological definition of “community.” The German sociologist Ferdinand Tonnies, in his 1887 book, made the distinction between two basic types of social groups: Gemeinschaft (community) and Gesellschaft (society). The former was often exemplified by the family or neighborhood (Tonnies, 1957). Sociology literature also often refers to the definition given by George Hillery, who reviewed 94 different definitions in academic studies. Three elements were common to the definitions, namely that community (1) was based on geographic areas, (2) included social interaction among people, and (3) had common ties such as social life, norms, means, or ends (Hillery, 1955). Thus the term community typically connotes a group of people within some geographic boundary, such as a neighborhood, or perhaps smaller subsection of a larger city. Further specification might have defined a community as a group of people within the geographic boundary with a common interest, such as the Jewish community of Brooklyn or the physician community of London. Therefore, members of the community were drawn together by both local proximity and common interest, even if the interest was in the geographic area itself. The term virtual, precipitated by the advent of information technology, and specifically, the Internet, means without a physical place as a home (Handy, 1995), or that which is electronic or enabled by technology (Lee, Vogel, & Limayem, 2003). Information technology therefore has expanded the means by which the social interaction in communities can be accomplished. While for most of human existence interaction was strictly limited to the face-to-face medium, social interaction can now be accomplished virtually, thus eliminating the necessity of being physically close enough to communicate. This type of communication is called computer-mediated communication (CMC). Combining the two terms together, thus, would mean eliminating the geographic requirements and allowing that the social interaction would occur virtually, that is, via information technology, among people with common ties. In fact, people have been coming together in virtual communities on the Internet for over 25 years. Usenet newsgroups, started in 1979, are widely regarded as the first virtual communities on the Internet (M. A. Smith, 1999), and The Well (www.well.com), started in 1985, is often referred to as an early exemplar of virtual community (Rheingold, 1993). Virtual communities may be part of a long-term shift away from geographic ties to common interest ties (Wellman & Gulia, 1999b). Formal definitions and understandings of the term virtual community still remain problematic, however (Lee et al., 2003). Perhaps the most cited definition is that of Howard Rheingold, a prominent author, consultant, and member of The Well: Social aggregations that emerge from the Net when enough people carry on those public discussions long enough, with sufficient human feeling, to form webs of personal relationships in cyberspace. (Rheingold, 1993, p. 5) Common to many of the definitions is the presence of shared interests or goals (Dennis, Pootheri, & Natarajan, 1998; Figallo, 1998; Kilsheimer, 1997). With the advent of information technology, locating/contacting others outside the local community has become relatively easy, especially when one seeks others who have a unique or uncommon interest. It may be that technology makes it easier for communities to form. For example, it may be difficult for someone interested in traditional bowhunting to locate others with the same inclinations by popping into the local tavern or socializing at a church function. However, a simple search in Google reveals a vibrant community centered around such an interest (www.bowsite.com/). There are virtual communities for nearly every interest that comes to mind, from medical afflictions (e.g., breast cancer, Parkinson’s, Down’s syndrome) to hobbies (e.g., coin collecting, wine, saltwater aquariums) to professions (e.g., nursing, law, finance). Implicit with the notion of community is some permanence among members and frequency of visits by members (A. D. Smith, 1999). Virtual communities must have a sense of long-term interaction (Erickson, 1997), not a place where people go only occasionally or where there are always different people. It is not uncommon for people to develop strong attachments to virtual communities, visiting them often enough to be described as “addicted” (Hiltz, 1984; Hiltz & Wellman, 1997). The members often feel part of a larger social whole within a web of relationships with others (Figallo, 1998). Indeed, many researchers have considered virtual communities as social networks (Hiltz & Wellman, 1997; Wellman, 1996; Wellman & Gulia, 1999a). Ridings et al. (2002) offer a comprehensive definition that incorporates the afore-mentioned concepts: Groups of people with common interests and practices that communicate regularly and for some duration in an organized way over the Internet through a common location or mechanism. (p. 273)


2021 ◽  
Vol 33 (6) ◽  
pp. 1-16
Author(s):  
Delong Zhu

The sudden attack of the new crown virus in 2020 has brought an unprecedented impact on the real estate market economy and has completely disrupted people's work and life rhythm! With the rapid development of the Internet, the Internet has penetrated into all aspects of people's lives. As soon as e-commerce was introduced, it was loved by the majority of young people and brought tremendous changes to people's lives. Based on this, this paper studies a real estate virtual e-commerce model based on big data. In the study of this model, this paper combines the advantages of e-commerce and virtual communities to design a more effective virtual e-commerce model. The analysis of e-commerce and virtual communities shows that the virtual e-commerce model designed in this paper is a more effective model, and the real estate virtual e-commerce model based on big data technology can serve the real estate industry. Do a good job in the sales reform of the real estate industry.


2021 ◽  
Vol 33 (6) ◽  
pp. 0-0

The sudden attack of the new crown virus in 2020 has brought an unprecedented impact on the real estate market economy and has completely disrupted people's work and life rhythm! With the rapid development of the Internet, the Internet has penetrated into all aspects of people's lives. As soon as e-commerce was introduced, it was loved by the majority of young people and brought tremendous changes to people's lives. Based on this, this paper studies a real estate virtual e-commerce model based on big data. In the study of this model, this paper combines the advantages of e-commerce and virtual communities to design a more effective virtual e-commerce model. The analysis of e-commerce and virtual communities shows that the virtual e-commerce model designed in this paper is a more effective model, and the real estate virtual e-commerce model based on big data technology can serve the real estate industry. Do a good job in the sales reform of the real estate industry.


Author(s):  
Hijrah Saputra

This chapter presents a systematic literature review and research agenda regarding key success factors (KSFs) facilitating SME e-commerce in developing countries. Previous studies had mainly pre-adoption when the internet and e-commerce were new. However, SMEs have largely been ignored, and now that attention has turned to post-adoption issues research, which is required in SME and developing country contexts due to the worldwide growth of e-commerce. This chapter comprises a structured literature review using Denyer and Tranfield's context, intervention, mechanisms, and outcome (CIMO) criteria for critical analysis to enable the development of future empirical research areas. The KSFs are considered significant and of concern to stakeholders, including inter alia SMEs and governments to encourage SME growth in e-commerce and positively influence SME and overall business performance to meet customer demand.


Author(s):  
Yenchun Jim Wu ◽  
Shih-Chih Chen ◽  
Chia-I Pan

With the rapidly expanding Internet economy, new business operation models are emerging. Entrepreneurship and innovative business models have become a point of special interest in the Internet era, and are also drawing attention from scholars. This study used three perspectives to explore issues that require understanding in the Internet age in order to improve the survival rate and sustainable development of entrepreneurship. The three perspectives included the differences between the Internet age and traditional entrepreneurship, the personal characteristics of entrepreneurs, and the capital resources and financing of entrepreneurs. Through this study, readers can better understand the key success factors in the dynamic entrepreneurship process and engage in further related discussions.


10.28945/2575 ◽  
2002 ◽  
Author(s):  
Boris Stavrovski

One of the most evident premises for successful E-Commerce transaction should lie in as much detailed recognition of personal customers’ differentiation as it becomes possible through the usage of multiple data resources available over the Internet. The methodical basis for the evaluation and subsequent utilization of all available data may be formed under the well known concepts of the utility theory. A new quantitative measure of the personal readiness for acceptable concessions in E-Commerce transaction (when the item under the consideration have been already chosen) is proposed in a form of so called flexibility functions for potential customers. Flexibility functions are shown to be useful also as a measure of the personal readiness for changes in a scale of attractiveness for all admissible items. The simple algorithms for the derivation of flexibility functions alongside with the particular examples from the commercial real estate field are further discussed.


Author(s):  
Subir Bandyopadhyay ◽  
Rosemary Serjak

In recent years, many online brands (or e-brands) have emerged. For a brick-and-mortar brand to excel in the online environment, the brand manager must appreciate some of the key features of the Internet and make adjustments to the traditional brand management strategy. For example, the control of communication in case of online brand management lies with both the brand manager and the consumer, whereas from the traditional branding perspective, the control by and large rests with the brand manager only. We highlight the differences between traditional brand management and online brand management. We then focus on several key success factors in building a successful online brand, which we believe will help guide the brand manager through a series of steps leading to successful online branding.


Sign in / Sign up

Export Citation Format

Share Document