Assessing the significance of digital channels

Purpose

To illustrate the issues involved with assessing the suitability of the Internet for e-commerce. Activity

For each of the products and services in Table 4.3, assess the suitability of the Internet for delivery of the product or service and position it on the grid in Figure 4.8 with justification. Make estimates in Table 4.3 for the direct and indirect online revenue contribution in 5 and 10 years' time for different products in your country. Choose specific products within each category.

Table 4.3 Vision of online revenue contribution for different types of company

Products/services

Now

2 years' time

5 years' time

10 years' time

Example: Cars, US Direct online sales Indirect online sales

5% 50%

10% 70%

25% 90%

50% 95%

Financial services Direct online sales Indirect online sales

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