TEAM NIMBUS
REPORT 3: PRINCIPLES

This team report will compare the book principles to our selected companies: Amazon.com, eBay, and iVillage. However, some principles may not have been used or applied by the company.

PRINCIPLES

1. The quantity of people visiting your site is less important than the quality of their experience - Amazon's customer-focus strategy has kept customers on their site and coming back repeatedly. They do this by offering one-stop shopping and easy checkout procedures.
2. Marketers shouldn’t be on the web for exposure, but for results - Amazon's diversification of product choices allow it generate all revenues from the result of its Internet operations. However, Amazon has yet to make a profit.
3. Consumers must be compensated for disclosing data about themselves - Amazon's customers of eBay are compensated for disclosing membership information by becoming part of an enriching online trading community that is mutually beneficial.
4. Consumers will shop online only for information-rich products - Amazon is an online retailer of books, music, and video products. Recently, customers can now shop on its Amazon.com Auctions site that competes with eBay. However, some of the most popular items are information-rich products.
5. Self-service provides for the highest level of customer comfort - Amazon's business model is based on customer self-service. Customer's can do their own browsing to compare product and pricing. At their new auction site, buyers list their own goods and sellers place their own bids.
6. "Value-based currencies" enable you to create your own monetary system - Amazon currently does not offer any sort of "Value-based currency".
7. Trusted brand names matter even more on the web - Amazon recognizes the value of brand names and is working hard at establishing its brand name throughout the world.
8. Even the smallest business can compete in the web’s global "marketplace" - Amazon was the "brainstorm" of Jeff Bezo started in 1995 to provide online retailing of books worldwide. This idea has evolved to including CDs, videos and auctions.
9. Agility rules – web sites must continually adapt to the market - As a leading online retailer, Amazon continues to be responsive to the ever-changing demands of the market

TEAM NIMBUS
REPORT 3: PRINCIPLES

PRINCIPLES

1. The quantity of people visiting your site is less important than the quality of their experience - From the very beginning eBay works hard at keeping customers on their site and coming back repeatedly. They do this by advertising the benefits of membership.
2. Marketers shouldn’t be on the web for exposure, but for results - eBay is an Internet business and receives all revenues from the result of its Internet operations. EBay is one of a few Internet companies that have always made a profit.
3. Consumers must be compensated for disclosing data about themselves - Customers of eBay are compensated for disclosing membership information by becoming part of an enriching online trading community that is mutually beneficial.
4. Consumers will shop online only for information-rich products - On eBay consumers can shop for virtually anything. However, some of the most popular items are information-rich products.
5. Self-service provides for the highest level of customer comfort - eBay's entire business model is based on customer self-service. Buyers list their own goods and sellers place their own bids.
6. "Value-based currencies" enable you to create your own monetary system - eBay currently does not offer any sort of "Value-based currency".
7. Trusted brand names matter even more on the web - eBay recognizes the value of brand names and is working hard at establishing its brand name throughout the world.
8. Even the smallest business can compete in the web’s global "marketplace" - eBay was started less than five years ago as small Silicon Valley start up.
9. Agility rules – web sites must continually adapt to the market - As a small and flexible technology company, eBay is responsive to the ever-changing demands of the market.

TEAM NIMBUS
REPORT 3: PRINCIPLES

PRINCIPLES

1. The quantity of people visiting your site is less important than the quality of their experience: The quantity of membership is key to iVillage’s success or they won’t make money. But quality is key to get members to return. But, foremost, building that critical mass is most important because iVillage is dependent on advertising revenue for money and advertising rates are based on the number of people that are exposed to the message.
2. Marketers shouldn’t be on the web for exposure, but for results: Results, for marketers, are key to making money. But, through exposure to they gain results.
3. Consumers must be compensated for disclosing data about themselves: Only members of iVillage are able to chat. Thus, they must register first. In registering, you give up information about yourself. And, in logging in, the site is able to monitor who spends time online and how much time they spend online.
4. Consumers will shop online only for information-rich products: More information is needed to make this determination.
5. Self-service provides for the highest level of customer comfort: This site is purely self-service so the satisfaction and comfort received are gleaned from use and the ease of accessibility and use of the site.
6. "Value-based currencies" enable you to create your own monetary system: iVillage currently does not offer this service.
7. Trusted brand names matter even more on the web: IVillage has associated with some big names (i.e. Ford) and thus these well-recognized, national brands lend much credibility and future to the site.
8. Even the smallest business can compete in the web’s global "marketplace.": iVillage is relatively new and the current competitors cannot be identified at this time.
9. Agility rules: Web sites must continually adapt to the market. This type of site must continually assess the needs of its consumers.