product variety, consumer preferences, and web technology: can the web of data reduce price...
DESCRIPTION
E-Commerce on the basis of current Web technology has created fierce competition with a strong focus on price. Despite a huge variety of offerings and diversity in the individual preferences of consumers, current Web search fosters a very early reduction of the search space to just a few commodity makes and models. As soon as this reduction has taken place, search is reduced to flat price comparison.This is unfortunate for the manufacturers and vendors, because their individual value proposition for a particular customer may get lost in the course of communication over the Web, and it is unfortunate for the customer, because he/she may not get the most utility for the money based on her/his preference function. A key limitation is that consumers cannot search using a consolidated view on all alternative offers across the Web.In this talk, I will (1) analyze the technical effects of products and services search on the Web that cause this mismatch between supply and demand, (2) evaluate how the GoodRelations vocabulary and the current Web of Data movement can improve the situation, (3) give a brief hands-on demonstration, and (4) sketch business models for the various market participants.TRANSCRIPT
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Product Variety, Consumer
Preferences, and Web Technology:
Can the Web of Data Reduce Price
Competition and Increase Customer
Satisfaction?
September 2, 2009, Linz, Austria
Martin Hepp http://www.unibw.de/ebusiness/
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Part I: Diversity in Markets
The specificity of exchanged
goods has kept on growing...
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Specificity
How much you loose when you can‘t
use a good for what it was designed.
3 Martin Hepp,
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Range of Production on the Level of the Overall Economy
Parts = N *cx
5
N = Number of Commodities
c = Number of Components per Level of
Division of Labor
x = Depth of the Division of Labor
Martin Hepp,
Similarity of components
weakens the effect.
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Growth in Specificity
Reason # 2: Technical Advancement
and Innovation
6 Martin Hepp,
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Growth in Specificity
Reason # 3: Logistics
Temporal Constraints etc.
8 Martin Hepp,
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Growth in Specificity
Reason # 4: Wealth
Abraham H. Maslow (1908-1970)
A Theory of Human Motivation (1943)
9 Martin Hepp,
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Multi-Dimensional Trade-Off Problems
• Product Features
• Price
• Services
• Logistics
• Preferences regarding business partners
• Etc.
14 Martin Hepp,
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Part II: E-Commerce on the Web
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Limitations of the Web, 2009
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No Unified View: Jumping Back and Forth
Across Data Silos
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Martin Hepp,
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We know the best hits only when done.
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Specificity vs. Keyword-based Search
• Synonyms
• Homonyms
• Multiple languages
• No parametric
search
21 Martin Hepp,
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Challenge: Web-wide Product Search
• Find all MP3 players
that have a USB
interface and a color
display, and sort them
by weight (lightest
first).
...on a Web Scale!
24 Martin Hepp,
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Today: Loss of Variety and Detail
25 Martin Hepp,
Many Different
Products
Variety in
Preferences
Manufacturers &
Retailers Consumers
Web Search
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Effect: Overly Price Competition
27 Martin Hepp,
Only 1 – 2 Product Models Considered
Comparison Shopping on the Small Subset
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This will change soon.
Actually, very soon.
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Deep Comparison Shopping
29 Martin Hepp,
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Search Engine Results
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Part III: The Web of Linked Data
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The World Wide Web, Essentially:
Turn References in Documents from
Road Signs into Roads
31
Click!
Martin Hepp,
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The Web of Linked Data, Essentially: 1. Cluster Web links by what they mean
2. Use URIs to indicate the type of links
3. Use HTTP URIs so that it is quick and easy to explore
what this URI means.
4. Make clear whether you are referring to something or
its representation.
32 Martin Hepp,
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The Web of Linked Data, Essentially: 1. Cluster Web links by what they mean
2. Use URIs to indicate the type of links
3. Use HTTP URIs so that it is quick and easy to explore
what this URI means.
4. Make clear whether you are referring to something or
its representation.
33 Martin Hepp,
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The Web of Linked Data, Essentially: 1. Cluster Web links by what they mean
2. Use URIs to indicate the type of links
3. Use HTTP URIs so that it is quick and easy to explore
what this URI means.
4. Make clear whether you are referring to something or
its representation.
34 Martin Hepp,
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Technical Effects & Working Assumption
• This will reduce the
computational
complexity of
processing,
combining, reusing
data on a Web scale
35 Martin Hepp,
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Core Web of Linked Data Technology Pillars
• URIs for everything
• RDF: A data model for exchanging conceptual graphs based on
triples
– Triple: (Subject, Predicate, Object)
– Exchange syntax: RDF/XML, N3, etc.
• RDFS and OWL: Formal languages for that help reduce ambiguity and codify implicit facts
– foo:human rdfs:subClassOf foo:mammal
• SPARQL: Standardized query language and endpoint interface for
RDF data
• LOD Principles: Best practices for keeping the current Web and the
Web of Data compatible
36 Martin Hepp,
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Part IV: E-Commerce on the Web of
Linked Data
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What Do We Need?
• Vocabularies
– Product or service
types
– Businesses
– Offerings
• Data Sets
– Product model data
– Businesses, contact
details, opening hours
– Offering data
• Tools
• Applications
41 Martin Hepp,
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Part V: The GoodRelations
Vocabulary and Data Space
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GoodRelations: A Unified View on
Commerce Data on the Web
43
Product Model
Master Data Shop
Offerings Auctions Spare Parts &
Consumables
Warranty
Delivery Payment
Retailers Manufacturers
Arbitrary Query
Extraction
and Reuse
Martin Hepp,
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On the Shoulders of Giants
44
A Unified View of Commerce Data
on the Web Martin Hepp,
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The GoodRelations Vocabulary • A universal and free Web
vocabulary for adding
product and offering data
to your Web pages.
• Compatible with all relevant
W3C standards and
recommendations
– RDF – OWL
http://purl.org/goodrelations/
45 Martin Hepp,
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GoodRelations Design Principles
• Keep simple things
simple and make
complex things possible
• Cater for LOD and OWL
DL worlds
• Academically sound
• Industry-strength
engineering
• Practically relevant
46
Lightweight
Web of Data
LOD
RDF + a little bit
Heavyweight
Web of Data
OWL DL
Martin Hepp,
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Albert Einstein on Schema Design
"Make everything as simple as possible, but
not simpler.“
Albert Einstein
47 Martin Hepp,
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Basic Structure of Offers
48
Agent 1 Object or
Happening Promise
Agent 2
Compensation Transfer of
Rights
Martin Hepp,
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GoodRelations: License
• Permanent, royalty-free access for commercial and non-commercial use.
http://purl.org/goodrelations/
50 Martin Hepp,
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Domain Structure and Use Cases
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The Minimal Scenario
• Scope
– Business entity
– Points-of-sale
– Opening hours
– Payment options
• Suitable for
– Every business
– E-commerce and
brick-and-mortar
52 Martin Hepp,
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The Simple Scenario
• Scope: Minimal scenario plus
– Range of products or services
– Business functions
– Eligible regions or customer
types
– Delivery options
• Suitable for
– Any business: E-Commerce and
brick-and-mortar
– Specific products or services 53 Martin Hepp,
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GoodRelations Annotator
54
http://www.ebusiness-unibw.org/tools/goodrelations-annotator/
Martin Hepp,
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The Comprehensive Scenario
• Scope: Simple scenario plus
– Individual products or services
– Product features
– Pricing, rebates, etc.
– Availability
• Suitable for
– Any business: E-commerce and brick-and-mortar
– Specific products or services
– Structured product database
55 Martin Hepp,
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osCommerce Extension
56
http://code.google.com/p/goodrelations-for-oscommerce/
Martin Hepp,
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Joomla/VirtueMart Extension
57
http://code.google.com/p/goodrelations-for-joomla/
Martin Hepp,
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Product Model Data Scenario
• Scope
– Individual product
models
– Quantitative and
qualitative features
• Suitable for
– Manufacturers of
commodities
59 Martin Hepp,
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Others Do Care: Pick-up in Industry
• BestBuy
• Smart Information Systems
• ebSemantics
• Yahoo! SearchMonkey
• Virtuoso Sponger Cartridges for Amazon, eBay, and
• Major German mail order companies
• etc.
60 Martin Hepp,
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Conclusion
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Today: Loss of Variety and Detail
66 Martin Hepp,
Many Different
Products
Variety in
Preferences
Manufacturers &
Retailers Consumers
Web Search
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2010: Point-to-Point Commerce
67 Martin Hepp,
Many Different
Products
Variety in
Preferences
Manufacturers &
Retailers Consumers
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Why Should I Bother?
• Web Shops: Better visibility in latest generation
search engines (e.g. Yahoo)
– Same holds for any business that has a Web page, from A as in Amusement Park to Z as in Zoo.
• Manufacturers: Allow your retailers to reuse
product feature data with minimal overhead at
both ends.
• Software Developers: Help your customers to use and generate Semantic Web data. It’s easy!
68 Martin Hepp,
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What Should I Do?
• Web Shops: Create a GoodRelations data dump of
your range of offers (rather simple)
• Vendors of Web Shop Software: Create
GoodRelations import and export interfaces (we can
help you with that)
• Every Business: Ask your webmaster to create at
least a basic description of your range of products or
services
• Entrepreneurs: Invent new business models based
on GoodRelations data
69 Martin Hepp,
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Part VII: The Sky Is the Limit
Semantics in Affiliate Models,
Serendipity, Matchmaking
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Thank you!
http://purl.org/goodrelations/
Prof. Dr. Martin Hepp
Chair of General Management and E-Business
Universitaet der Bundeswehr University Muenchen
Werner-Heisenberg-Weg 39
D-85579 Neubiberg, Germany
Phone: +49 89 6004-4217 Fax: +49 89 6004-4620
http://www.unibw.de/ebusiness/
http://purl.org/goodrelations/
71 Martin Hepp,
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Bonus Track: Tools and Resources
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Additional Information
• Web Page – Ontology – Language Reference – Primer – Recipes – Wiki
http://purl.org/goodrelations/
73 Martin Hepp,
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GoodRelations User‘s Guide („Primer“)
74
http://www.heppnetz.de/projects/goodrelations/primer/
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GoodRelations Cookbook:
Recipes & Examples
75 Martin Hepp,
http://www.ebusiness-unibw.org/wiki/GoodRelations#Recipes_and_Examples
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GoodRelations Annotator
76
http://www.ebusiness-unibw.org/tools/goodrelations-annotator/
Martin Hepp,
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GoodRelations Validator
77
http://www.ebusiness-unibw.org/tools/goodrelations-validator/
Martin Hepp,
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RDF2dataRSS Tool
78
http://www.ebusiness-unibw.org/tools/rdf2datarss/
Martin Hepp,
![Page 79: Product Variety, Consumer Preferences, and Web Technology: Can the Web of Data Reduce Price Competition and Increase Customer Satisfaction?](https://reader033.vdocuments.mx/reader033/viewer/2022051818/54bdfe294a795946588b47c7/html5/thumbnails/79.jpg)
osCommerce Extension
79
http://code.google.com/p/goodrelations-for-oscommerce/
Martin Hepp,
![Page 80: Product Variety, Consumer Preferences, and Web Technology: Can the Web of Data Reduce Price Competition and Increase Customer Satisfaction?](https://reader033.vdocuments.mx/reader033/viewer/2022051818/54bdfe294a795946588b47c7/html5/thumbnails/80.jpg)
Joomla/VirtueMart Extension
80
http://code.google.com/p/goodrelations-for-joomla/
Martin Hepp,
![Page 81: Product Variety, Consumer Preferences, and Web Technology: Can the Web of Data Reduce Price Competition and Increase Customer Satisfaction?](https://reader033.vdocuments.mx/reader033/viewer/2022051818/54bdfe294a795946588b47c7/html5/thumbnails/81.jpg)
Thank you!
http://purl.org/goodrelations/
Prof. Dr. Martin Hepp
Chair of General Management and E-Business
Universitaet der Bundeswehr University Muenchen
Werner-Heisenberg-Weg 39
D-85579 Neubiberg, Germany
Phone: +49 89 6004-4217 Fax: +49 89 6004-4620
http://www.unibw.de/ebusiness/
http://purl.org/goodrelations/
81 Martin Hepp,