Electronic CommerceE-Commerce Friendly Products

Product Attributes for Selling on the Web

Digital or Knowledge-based products Software, video games, music, movies,

books Direct-to-consumer web services Gambling and porn

Product Attributes for Selling on the Web

Digital or Knowledge-based products

Consulting services

Information or data provider [banner ad revenue]

Must be what your TM wants

Must be high quality

Must be unique

Product Attributes for Selling on the Web

Hard Goods Computers and computer equipment

Books CDs Specialized Niche products

Virtual Vineyard

High Touch vs. Low Touch

Low-Touch products are typically standardized goods that do not require examination.

High-Touch products are those which consumers prefer to hold, feel, or examine closely.

Technology

Physical Solutions

Branding

Customer ServiceReturn PoliciesSASE with purchaseLow price guaranteeCustomer service call center (or online)After-sale service

Top Online Brands by Category (4-2-02)

Top Online Brands by Category (4-2-02)

16 Point Checklist1.Product Quality2.Competition

• Unique product (niche market) or approach

• Clutter – hard to find in crowd3.Market Size

• Wide appeal vs. niche marketing• Are your customers online?• Does your product fit into online activities?

4.Promotability• can you promote it effectively?• how competitive is the promotion field for it right now?

16 Point Checklist5. Profit Margin/Pricing6. Supply and Exclusivity

• Is your supplier reliable? Flexible? Consistently high quality?

7. Advantage for you to sell the product online?• Information-poor vs. information-rich

products8. Value-added by selling your product online?

• Availability• Price• Convenience• Speed of delivery• Assortment

16 Point Checklist

9. Sizzle Factor10. Support Required?11. Legality / Regulation

• Both product sale/use AND Trademark issues

12. Cost of Transportation• No cost vs. shipping cost as a

percentage of item cost

16 Point Checklist

13.Cost of Inventory• Channel of distribution issue and

power issue

14.Potential for repeat purchase• Of that product or related

merchandise

15.Community• Can you build a relationship with and

between your customers?• Chatrooms, newsletter, discussion

list,...

16.Fun for you!