An alternative way of thinking through the benefits, is to review the 5 Ss of Smith and Chaffey (2005) who suggest there are five broad benefits of e-marketing:

• Sell - grow sales (through wider distribution to customers you can't service offline, or perhaps through a wider product range than in-store, or better prices).

• Serve - add value (give customers extra benefits online, or inform them of product development through online dialogue and feedback).

• Speak - get closer to customers by tracking them, asking them questions, conducting online interviews, creating a dialogue, monitoring chat rooms, learning about them.

• Save - save costs of service, sales transactions and administration, print and post. Can you reduce transaction costs and therefore either make online sales more profitable or use cost savings to enable you to cut prices, which in turn could enable you to generate greater market share?

• Sizzle - extend the brand online. Reinforce brand values in a totally new medium. The web scores very highly as a medium for creating brand awareness, recognition and involvement, as explained further in Chapter 5.

Online revenue contribution

An assessment of the direct contribution of the Internet or other digital media to sales, usually expressed as a percentage of overall sales revenue.

Online promotion contribution

An assessment of the proportion of customers (new or retained) who are reached by online communications and are influenced as a result.

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Borrowing Basics

Borrowing Basics

Some small business persons cannot understand why a lending institution refused to lend them money. Others have no trouble getting funds, but they are surprised to find strings attached to their loans.

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