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97

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108

155

192

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95

95

95

Brighter, Bolder, Better

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Amadeus Technology & Solutions

Showcase Singapore

3 November 2011

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Why go Online? Amadeus E-Commerce Forum

Pierre-Olivier Chaplain

Regional Manager

Implementation & Product

Management

Amadeus Asia Pacific

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Your customer profile

is changing

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Changing customer profile

Better Educated

Access to Newer

Technology

Has new

cool tools

Always online

Socially

Connected

Instant

Gratification

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Longer & Better Educated

Source: Singapore Statistic Board

Increasing Literacy

Rate 95% (2010) Higher Tertiary

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Access to cool Gadgets

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Web 2.0

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Facebook Time

Market Ave Time on FB

Aug 2011 per

session

Singapore 38 mins 46 secs

New Zealand 30 mins 31 secs

Australia 26 mins 27 secs

UK 25 mins 33 secs

US 20 mins 46 secs

France 21 mins 53 secs

India 20 mins 21 secs

Brazil 18 mins 19 secs

Study by Experian Hitwise on

how much time spend on

Facebook.

Increased also contributed with

the proliferation of smartphones.

Implication – to brands in greater

engagement in social network

and consequently greater sales.

According to Socialbakers.com,

Singapore has one of the highest

Facebook penetration rate in the

world at 55.09% with over 2.59

million users and adding about

32,400 new members each

month. This is higher than US/UK

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Source: Experian Hitwise

Yahoo News 02Oct 2011

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Yahoo News! 27th September 2011

Internet as important as air, food, water and

shelter to Gen Y…survey conducted by networking vendor Cisco

Findings part of Cisco World Connected Technology.

More than half of them said that they could not live without the

internet,..”integral” to their everyday lives.

Surveyed college students and young professional in 14 different

countries,

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www.cisco.com/en/US/netsol/ns1120/index.h

tml#-2011

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Change in Technology

Embrace change!

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What’s happening?

Technology is constantly changing and improving.

Better equipment & better work environment

You too have better tools NOW!

“Light” speed Internet connection.

Faster internet speed….gone are days of 52kpbs

Increasing Internet Users

Asia is growing in number of internet connected household

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Internet trending in Singapore

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Yahoo News! 28th October 2011

Asia top for internet speed…AFP Relax News / Akamai

Cities in Asia dominate the list of top 100

fastest internet speeds in the world, with

Japan alone contributing 59 of the top 100.

Hong Kong and Singapore were also high on

the list, along with cities in South Korea –

which contributed 10 to the top 100 – and

Australia.

Average speeds in Singapore were up an

impressive 47% on the previous year and 8.5%

from 1st Qtr, putting the city state firmly in the

29th position globally.

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So what?

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What does this means?

We now have a more well informed

customers, who have at their finger tips

the latest tools and gadgets and are

always connected.

These customers have easy access to

research material and compare prices.

Because they are well informed, their

expectation have also increased.

What should you do to meet the

expectation of these new breeds of well

informed customers?

Hiding from them is not the answer.

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I want cheap tickets

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Price sensitivity

Travel products remain as price

sensitive affected by events in

the world.

Customers always on the look-

out for bargain prices.

Suppliers are going direct

offering competitive rate parity.

You need a tool to help you to

react to the fast changing &

competitive environment and

be there to offer equally best

deal “hot from the oven”.

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Show me the money?

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New Money

Possibly new income source from Digital

Advertising

Revenue from advertising banners

Earn money through

CPC or CPM earnings

Leverage on other complementary products,

example Insurance … High Commissions

Affiliates Marketing

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24x7 Store Front

Reach more and new customers via your new

never need to sleep sales person – your website.

You shop don’t have to close just because is

6pm.

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Who are your

competitors

now?

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Competitors

You have your direct suppliers now going direct

to the consumers.

You have the OTA that are also eating into your

pie

No longer you are competing among the locals but with

global companies.

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Changing B2C model?

Maximise your offline strength to now support

new online sales.

Online players expanding their online model.

http://www.ttgasia.com/index.php?option=com_content&task=view&id=16112

What is your strategy against online competitors?

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Operation Efficiency

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Improve your operation

Leverage on online booking engine to allow your

customers to make the booking themselves.

You staff just need to retrieve the booking to start servicing

Put up data on your website that allows your customers to

find the information on their own.

Reduce unnecessary calls to your consultant.

Allows your consultant to focus on the high yield

bookings.

Maximise automation

Can you fully automated certain functions?

E.g. Automated Ticketing

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Who are you?

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Make known your brand

Use internet to achieve brand awareness and

recognition.

Do not underestimate the power of brand loyalty

Through internet marketing such as advertising

banners, Electronic Distribution Marketing EDM

(email mailers) etc

Cheaper EDM over print-work and much more extensive

Or participating in Search Engine Marketing such

as Google Ads

Do they know who you are?

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Stay Relevant

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Stay Relevant

Keep up with the times

Add value to your customers

Keep up with the service levels that your

customers are expecting

Don’t

follow me

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So the facts remain that….

1. Educated, well connected customers

2. Maximize power of technology

3. People are still bargain hunters for good price

4. New money

5. Your new sales consultant that never sleeps

6. Improve your operation efficiency

7. Improve your brand awareness

8. Strategy against new global competitors

9. Stay relevant

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Can you afford

not to go online?

Why go online?

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Do I have the

manpower or

do I need to

hire more?

What technical

skill set do I

need?

Is my product

good enough?

Will it cost me

more money?

What shall I

do for

Marketing?

What is my

strategy?

Where do I

start?

What is my

domain name?

Do I need a

hosting company?

Ho do I create a

website?

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Where to start?

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Formulate your Strategy

Formulate your company strategy towards going

online.

Strategy must include the following review;

Technology

Human Resource

Marketing

Product

Operation

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Technology

This is the key enabler of

any e-business strategy

Organizations must

formulate their technology

strategies based on the

assumptions on software

and hardware platforms

Tech trends worth constant

monitoring due to changes

and developments

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Technology considerations

Domain name selection?

How will my website look like?

Buy or build your website?

Which Hosting company shall I choose?

Site security? – Ensure site credibility

Online payment?

….

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Human Resources

Management and staff, not just

the IT staff, must have

appreciation and even have the

necessary IT and business

skills

Assigning these “things” to IT

staff can lead to development of

technically sound IT

infrastructures which are not

appropriate for the

implementation of the

Company’s business strategies

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Marketing

There must be a rethinking of the

medium, the message, and the

communication plan.

Examples:

(a) From an 8 am to 6 pm office to 24

hour 7 days a week business

(b) From Local reach to global reach

(what to do with an order from

abroad)

(c) From a website as an expanded

brochure or catalog to a marketing

tool for e-commerce

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Marketing considerations

Should I go for SEM/SEO? Can I afford SEM?

How should I handle Social Network?

Do I need CRM / EDM?

How do I track and measure traffic?

What should be my KPI be?

Consider forming alliance?

Promote your website both Offline and Online

Privacy rules

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Product

Update your product offers on a

regularly basis

Set the right price

A difference of just $1 in a product

can persuade a customer to make

the purchase.

Specializing in an Area or

Destination

Create your niche or be the subject

matter experts.

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Distribution & Operation

Order placement, fulfillment and

supply are now being organized

electronically and communication

is now almost instantaneous

Seamless integration of front, mid

and backend systems being

achieved

Implications:

Old distribution channels may become

obsolete

Less need for middlemen

Middlemen need to find and provide

value or be lost in the new game

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Conclusion

Web success requires a company to develop a

plan for integrating the web into its overall

strategy.

How a company succeeds depends on how well

the company exploits the web’s interconnectivity

and the opportunities it creates, to transform

relationship with suppliers, customers and

others.

Like any business venture, creating a meaningful

presence on the Web requires an on-going

investment of resources – time, money, energy

and talent

44 Source: Prentice Hall Publishing