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BDC Perspective: E-business – back to basics


Although Fortune 500 companies are making headlines today with their Web savvy, Canadian small and medium-sized businesses are still sluggish when it comes to exploiting the full potential of e-business.

So given the exciting promises, why are SMEs slower to act? "A lot of it has to do with the fact that there's little customer pressure for them to move further ahead with Web initiatives," says Brian Tricker, BDC Consultant. "I think the key is that you have to give your customers a compelling reason to change the way that they deal with your company." And that can translate into their saving time and money or making their lives a little simpler. "Once you find that compelling reason, then you're in business," he says.

For Tricker, the good news is that more and more entrepreneurs are now taking the time to do some strategic thinking before investing money in Internet projects. "And that means a higher chance of success down the road," he adds. "There was a flurry of activity to put up websites, but we're now seeing that people are stepping back and carefully assessing their needs before springing into action," he says.

Look before you leap
That same look-before-you-leap philosophy is reflected in BDC's e-strat program, a consulting service that helps entrepreneurs develop e-business strategy and action plans that are customized to their specific needs. "It's not just about putting your brochure up on the Web. What we try and do is help people understand that the Web is a tool and not an end in itself," he explains. It's one vehicle, among many, that enables you to disseminate information, manage customer relations, be more productive and ultimately grow your business.

Put your customers center-field
Whether it's retail, supply chain management or simply getting your message out to the public, Tricker's core advice to entrepreneurs is to "put the customer at the centre." "So much of what's on the Web today is too company-centric and not customer-oriented," he says.

"Put simply, you have to imagine what a real sales call sounds like in your company and basically replicate each of those steps online," he explains. For Tricker, that means taking your customers through the typical process of how they find information or, for example, purchase products. Entrepreneurs can start by asking themselves these basic questions: What makes my customer choose my company? What does my customer do first when he/she arrives on the site? What would make them more comfortable without a human transaction involved? What are the benefits for my customer over other means such as print or a store-front? And how can I help my customers find what they need quickly and efficiently?

Design with customers in mind
"It's easy to lose sight of customers when you're building an interactive Web site," adds Tricker. In fact, he suggests that small business owners get their clients involved in the initial Web design and subsequent functionality. "Bring them in and present your ideas. Find out what triggers their actions," he says. A common error for entrepreneurs, adds Tricker, is to rely simply on technology experts to take the lead in development. "You know your customers best. It's important to take control of the process, so that you take the path that best suits your client's way of thinking," he explains. The BDC consultant recommends that entrepreneurs seek marketing expertise to help them develop dynamic, customer-centric websites. "Marketing people are trained to orient themselves from the customer point of view," he adds.

Tricker also suggests that small business owners start by thinking of their existing customer base, particularly in first-time Internet ventures. "Use the Web to try and service your existing customers who you know well, rather than venture into unknown territory," he says. Ultimately, this makes you less vulnerable to setbacks and helps you ride the normal learning curve.

A fundamental rule, he adds, is designing your site for different kinds of customers, whether they're newcomers or return users. "Not all your customers behave the same way in real life, so you have to make sure that different people can use your site in different ways," he explains. Be sure you have short-cuts for Web savvy visitors, or have a toll-free number available for clients who may want the option of picking up a phone.

Track your progress
Another key strategy today for successful e-business is to be sure that you have a built-in process to monitor Internet activity. "If 90% of your customers skip your flash intro, then you know that your efforts should be elsewhere," he says. Entrepreneurs can rely on basic tools to track how users come to the site, how long they stay and where they're coming from. "This is invaluable to building a customer-centric site," emphasizes Tricker. "It's like observing your customers in a store."

Set aside a development and maintenance budget
Once your Web initiative is up and running, Tricker also believes that budgeting for ongoing development and maintenance is essential for success. "It's rare that you get something perfect right out of the box," he adds. "You need to be able to tweak your Web services and make adjustments as your business evolves. Budget for content development and, if possible, assign somebody in your company to be accountable for that content, he says."This helps ensure that your website remains timely and relevant," he concludes.



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