8/25/01 1

Around the World in 90 Minutes

Anna Pollock

DestiCorp Limited

The view from somewhere “out there”!

8/25/01 2

Scope and Purpose

What’s really happening out there? Commerce in the 21st Century Strategic Implications

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What’s Really Happening?

Fashions or fads? B2C, B2B, hubs,portals,ASPs,WAP “killer apps” …Holy Grail

Gadgets or gizmo’s? Technology as fashion accessory

The Doppler or Dopelar Effect? Tendency of stupid ideas to look smart when

they come at you quickly enough ! Products or Models? Trends or Transformation?

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From Old to New Old

A linear, mechanical world view Supply chains Economy as machine

Re-engineer, fine tune, kick start Compete, economies of scale

New A networked, organic, systems view Holistic, complex, self-repairing Economy as ecosystem

Collaborate, biodiversity, niche Fluid, amorphous, dynamic, messy

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Four letter words may not be acceptable but TLAs are!

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4 Ps 2 6 Cs

Tenets of Marketing in 20th Century product, price, positioning, promotion

Six “C’s” of e-Commerce Customers Convergence Content Competence Collaboration Community

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People Power

Perfect information shifts power to the consumer = commoditisation

Customers are not eyeballs – they are our guests AND partners, collaborators, co-creators

Our customers AND employees are people

Engage them in conversation Companies don’t serve guests, people do Get personal – with permission, of

course! Get viral!

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What do Customers want?

To be treated as an individual To have a complete, positive

experience To be fickle, variable To be treated as a whole person

Physical, mental, emotional, spiritual

To sustain a dialogue, a conversation

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Cluetrain Manifesto

If you only have time for one clue this year, this is the one to get… we are not seats or eyeballs or end users or customers. We are human beings and our reach exceeds your grasp…….Deal with it!

www.cluetrain.com

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Cluetrain Manifesto

Companies that don’t realise their markets are now networked person-to-person, getting smarter as a result and are deeply joined in conversation are missing an opportunity.

See HERmail.net

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What do our Guests want?

To be treated as an individual To have a complete, positive experience To be fickle, variable To be treated as a whole person

Physical, mental, emotional, spiritual To sustain a dialogue, a conversation Convenience: appropriate content --

when, where, what and how I want it! Personal conversations on de-

personalised devices, anywhere, 24*7!

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Convergence

When? before, during, after the trip

Where? Print, PC, Web, phone, PDA, TV

What? Text (language) Data (standards) Images & sound: smell soon! Tools (search, select, retrieve, transact,

manipulate, share)

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Depersonalization of the Personal Computer “If I said to you ‘Can I borrow your laptop?’, it’s

like, ‘My feet are cold. Can I borrow your socks for half an hour?’”

“It’s a personal computer, and I think there’s got to be a depersonalization.”

Peter CochraneChief Technologist, BT

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Personal Computers & Pocket Computers

“When you consider the number of pockets out in the world, the PC market looks puny”

Bill Joy, Sun Microsystems

Ambient Intelligence

Cell Phone Handsets and Handheld Computers Overlap in Function

Cellular Phone Handset

Cell Phone with Email, Web Browser

PDA with Wireless Data

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M-commerce

Convergence leads to ubiquity Voice - anywhere Text: SMS Web: e-mail Web browsing-push, LBS Tool for moving info “bits” Authentication tool Payment tool

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MENU:1: VIEW VIDEO2: SEND TO T-MAIL3: WEB SITE4: RECEIVE MAIL

M-commerce

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iDTV – t-commerce

What is it? More than better image, sound and 100’s

of channels Instant access to in-depth, supportive

information Community building, e-mail, instant

messaging Consumer power: EPG’s and PDVR Intelligence and refined targeting Personalisation

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iDTV – some statistics

In 2000, 15% of European viewers use iDTV, expected to reach 60% by 2004

In 2000, some 29 million UK households already have it

US will lag – 27% of American TV viewers in 2004 will use iDTV

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Will “they” buy?

66% say yes 41% have already done so High response rate (22%) for click

through ads iDTV to generate $20 billion in

revenue by 2004 $11 billion in advertising $ 7 billion from commerce $ 2 billion in subscription fees

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iDTV: Trends and Issues

Disappearance of channels (thanks to EPGs and PDVRs!)

Appearance of personalised TV portals

Blurring of advertising and programming

Need for media-rich content Brand strength, content range and

quality essential.

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Content

Text (language, design) Data (standards) Images & sound Geocoded Tools (search, select, retrieve, transact,

manipulate, share) Intelligence

..Has to be machine-readable ……XML wrapped, tagged

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Strategic Challenges

Mammoth Variability Market variations: language,

culture, regulations Commercial: rates, commission

structures Customisation: trade partners,

corporate customers, loyal customers

Channels: consistency, follow-through

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Channel Management

Appropriate content By channel Stage in the customer’s purchase

cycle By customer’s trip purpose By customer nationality By customer profile

Machine automation mandatory!

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Cost Headaches Ahead

# of unique eBusiness relationships

Tim

e &

Co

st

Each e-Business relationship is unique, involves integration with disparate systems, and every

change currently requires a skilled programmer.

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Competence

You can’t do it all What does your guest want, need? What is your core competence? With whom can you, must you

ally? Creating a collaborative

infrastructure Generating reach cost effectively

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Collaboration

From “chain” to network From web site to “business web” From product focus to customer

focus From owning to partnering New leadership styles required New organisational structures

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Towards C-Commerce

Old: Supply Chain Management

Suppliers CustomersSCM ERP CRM

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Towards C-CommerceNew: Business web or Ecosystem

ANCILLARYSERVICES

CHANNELPARTNERS

SUPPLIERS CUSTOMERS

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Community Building

A business-web is a community of enterprises, their suppliers, partners and customers that collaborate to create wealth by delivering sustained value to a customer or set of customers.

Opportunistic, customer centric, fluid, organic, messy!

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Final “Takeaways”

Think “infrastructure” not sites Think ecology not technology Companies don’t look after guests

– people do! Unleash the creativity, curiosity

and passion of your people To find the Holy Grail:

never cease asking the question: how may I serve you?

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DESTiCORP Limited

Positioning as the leading authority on C-commerce and Business Webs in the tourism and hospitality sector

E-services and Business Web Enabler

Web Services Provider