Managing Business in a Multi-Channel World
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Published By IGI Global

9781591406297, 9781591406310

Author(s):  
Anne Tseng ◽  
Jukka Kallio ◽  
Markku Tinnila

Mobile operators play a central role in the development of the mobile data services market. They have primary access to the customer relationship, a key source of revenue, and are responsible for how revenue is distributed to other participants in the value chain. As a result, a successful operator-driven business model is essential to the survival of the mobile data industry. The purpose of this chapter is to describe the critical factors that have influenced the results of operators based on countries that have been at the forefront of mobile data services innovation. Then, by comparing the key characteristics of operator-driven business models in these four cases around the world, we will describe the critical factors used in designing successful mobile data services.


Author(s):  
Janne Orava ◽  
Mika Perttula

This chapter introduces digital television as part of a multi-channel environment in a European context. It argues that digital television in general is in its early stage, that European markets for digital television are fragmented, that development occurs in a country dependently, and that digital television’s development pace will have notable effects for the development of a multi-channel communication environment. Furthermore, the authors hope that understanding the development of digital television in a multi-channel context will not only inform researchers of the digital television and multi-channel communication in general, but also will provide some insight into the challenges they are facing on their way to maturity.


Author(s):  
Tommi Pelkonen

This chapter analyzes the development trends in a special field within multi-channel e-business, digital games designed for mobile devices. It presents frameworks with which to analyze business models, industry positions, and strategic alliances of mobile device game developers, publishers, and telco operators. The key conclusions of the paper are that: (1) game developers should focus more throughly in the creation of excellent and value-adding game titles for consumers; and (2) mobile operators and mobile game pubishers should work actively to create a feasible business environment for market actors and to encourage consumers to consume mobile games. Furthermore, the chapter suggests that the key location in mobile entertainment is shifting gradually from Northern Europe to Asian markets.


Author(s):  
Marko Merisavo

Viewing the use of digital channels in marketing from a customer relationship perspective offers several benefits to a marketer. Brand communication can be frequent and personalized, and different options for a dialogue exist. The benefits of dialogue include learning from and about customers, revealing their needs and interests, and being able to provide them with better and more personal service. From a customer perspective, the Internet has given power to get up-to-date information, to compare products and services more easily, and to get in touch with marketers. In a digital environment, customers increasingly use self-service and have more options to initiate action. A customer’s perceived value of using digital channels and interacting with a marketer can come in several ways; it could be money, time, information, convenience, and so forth. This chapter examines how marketers can use digital channels to develop and strengthen customer relationships. In our framework, brand communication, service, personalization, and interactivity are suggested to be the key elements.


Author(s):  
Anssi Oorni

Internet-based commerce is expected to radically affect many consumer markets. Present knowledge of the forthcoming transformations is based largely on the principle of value maximization; in standard economic theories of search, consumers are assumed to be both able and motivated to rationally weigh the costs and benefits they expect to ensue from search. High search costs are offered to explain why consumers evidently do not fully inform themselves about the available options. Electronic media are expected to lower search costs and, thus, radically enhance consumer search. However, little empirical evidence exists in support of these assumptions. The combination of information sources consumers prefer to use is largely unexplored in relation to electronic information sources. Likewise, our knowledge of the objectives related to the procurement decision that leads consumers to adopt electronic sources for product information is still lacking. In this chapter, we examine the determinants of using Internet-based information sources, particularly the World Wide Web.


Author(s):  
Mirella Lahteenmaki ◽  
Markku Tinnila

Intermediaries and especially information-intensive infomediaries have been hailed as winners of the new electronic economy. The need for infomediaries arises from the reorganization of several markets as a result of the Internet. The main claim of emerging e-business companies during the hype at the turn of the millennium was shortening of the value chains. This meant bypassing middle-men with a direct contact to end-customers, in many cases, consumers. However, the millions of Web sites failed to attract customers, simply because they could not be found among all the others. The solution to this problem was the reintroduction of middle-men actors; in this case, a new type of player, the infomediary, focusing on gathering, organizing, and utilizing essential customer information. The infomediary maximizes the value of information by helping clients to locate relevant products and services based on their individual needs and wants or on their personal profiles. In this chapter, we intend to provide a typology of infomediaries, their roles, and value creation models, and demonstrate infomediary evolution by analyzing exemplary cases.


Author(s):  
Magnus Homqvist ◽  
Kalevi Pessi

E-business has been highly debated during the last years, often based on assumptions. This chapter is based on results from several years of collaborative action research. Actual results from implementation projects in the supply chain of the automotive industry are the focus. The objective is to highlight experiences and successful results from business to business integration. The origin is a Volvo initiative with a portal for selling spare parts via a new Web channel. The case presents realized implementation projects as an outcome of a scenario-based strategy. The original scenarios served as a reference, but the development was influenced by actual actions and learnings. The case illustrates that creation of a new platform is challenging, but also that the creation of new business relations is just as difficult. The results indicate that tight follow-up projects can enable valuable innovations. Leverage is high, and rollouts are easier after the initial implementation.


Author(s):  
Kari Elkela ◽  
Tuomas Kokkonen ◽  
Heikki Nikali

This chapter deals with the effect of new forms of consumer communication on shopping behavior. New communication technologies are in a constant state of development, and much debate is taking place concerning the multi-channel communication society. However, in reality, people are continually switching from one channel to another. In this regard, what is important is from whose point of view the system eventually will be controlled. It also can be argued that the opinions and needs of ordinary people have not necessarily received the strongest focus in developing multi-channel technology. This chapter is divided into three main sections. First, the development in message volumes and new technologies within the past decade is analyzed. Second, consumer preferences concerning the means of communication when receiving marketing information are analyzed.Third, the evolution and current state of B2C e-commerce and changes in consumers’ purchasing habits are discussed. Finally, a future vision of consumer behavior in a multi-channel world is presented.


Author(s):  
Veikko Hara ◽  
Karri Mikkonen ◽  
Timo Saarinen ◽  
Markku Tinnila ◽  
Jarkko Vesa

The convergence of information technology, communications, and content raises the question of how service and content providers can best guarantee a seamless customer experience in a multi-service, multi-channel, and multi-device business environment of tomorrow. In this chapter, we argue that one way to achieve this goal is for service and content providers to join forces with new types of channel partners called service mediaries. In this chapter, we analyze the current structure and future trends of multi-channel service delivery by using two frameworks: the BUMMAT model (Kallio et al., 1999), which focuses on service delivery from end-user perspective; and the Future Value Chain framework (Hara, 1999), which describes the layered structure of the future service delivery business. By combining these two perspectives, we offer an in-depth analysis of the various tasks and processes that are needed in order to deliver the newkinds of services and content in a multi-channel context. We will discuss the implications of these findings for telecom operators who are interested in transforming their business models from the voice- and access-centric paradigm to a data- and service-centric business model, where a company’s core competence will be in managing customer information instead of managing access networks. Our objective also is to help service and content providers to understand the current development in the telecom market, so that they have better chances to position themselves in the emerging value networks of digital services.


Author(s):  
Risto Rajala ◽  
Matti Rossi ◽  
Virpi Ruunainen ◽  
Janne Vihinen

In this chapter, we explore the revenue logics and related product distribution models of mobile game developer companies. Mobile gaming is facing a transformation in both technical infrastructures and business models as it grows at a very fast pace. The former change originates from the technological shift of the environment of use; for example, from specific game consoles toward mobile phone platforms. The latter change relates to the possibility of delivering and playing games online, which affects both the distribution partnerships and the revenue stream options of mobile game vendors. We present a set of possible business models for game developers and concentrate on the possible combinations of revenue logics and distribution models for different games.


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