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Super
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It is interesting to note the increasing number of traditional companies using Super Bowl ads to profile the internet side of their business, as well as the new dot.com companies. Some of the dot.com companies are investing big money on a gamble to get recognition, others are using their ad to feature a new service, and others are using it to reinforce existing awareness to keep competitors at bay. In fact, the whole arena
of Super Bowl ads has taken on a hype of its own now and is sometimes referred
to as the "Oscars" for marketing campaigns.
Story filed Monday, Jan 31,
2000 in the Yahoo Tech Headlines section
In Jan 2000, the following Internet companies had Superbowl spots:
What did people think of the usefulness of the dot.com ads in Jan 2000?
Michael Cooney explains "The "dot-com" Superbowl ads cost $2.2 Million for each 30 second spot. Most of these "dot-com" companies were near-unknowns. How would you have spent the $2.2 Million? For your first contact, is it better to talk to 60 million of the general population (half of whom were running to the kitchen for more chips and dip) one time for 30 seconds, or address 1,000,000 of your hottest, most likely prospects, for 10 minutes? I’ll pick the latter any time. For $2.2 Million, each
company could have hired a direct response expert to create a direct mail
package, hired a top list company to produce a finely-tuned, customized
list of 1,000,000 of your best, most-likely-to-buy prospects, and mailed
to them your most irresistible, compelling case for doing business with
you. That would win hands down over the Superbowl ad approach, I guarantee
you. One of those Superbowl ads actually ended with the statement: "...did
we just waste $2 Million?" Here’s your answer, guys: YES!"
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| Super
Bowl Sunday 2001 Jan 28th |
www.superbowlxxxv.org
"Last year (Jan 2000) in Atlanta, Georgia, two dozen dot com companies mortgaged their futures for a one-shot chance at establishing brand recognition among 130 million football viewers. Many of the adverts were arty, incomprehensible and panned by critics and consumers alike for failing to make it clear what the companies did. This year only 10% of the 30-second spots during the three-hour sports extravaganza have been bought by internet firms, a third of last year's figure" "The big buyers for this
Super Bowl (2001) are financial services firms, especially brokers and
investment bankers, who are locked in an escalating battle for retail and
online customers.
Schoolman writes that "At
$2.5 million for a 30-second spot, this year's Super Bowl ads are
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| . | IEC 802 is intended to note
the key things you'll require in e-business activities that involve marketing.
For those people that do not have a marketing background, we'll review
basic marketing concepts. Additionally, we'll go further and discuss these
concepts in the context of the online environment.
WTGR |
| Class
1 Jan
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| Class
1 Jan
Class
Jan
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Chapter 11 |
Chapter
11 in Kalakota's book "e-Business:Roadmap for Success"
"The business strategy questions confounding managers are how to transform the old company to the new company design and how to bridge the capability gap between the "needs of physical today" and the "needs of digital tomorrow" Kalakota says the needs of physical today are related to cost-cutting back-office software that assists in process reengineering and streamlining operations He suggests that the needs of the digital tomorrow are tied to revenue enhancing front-office software that helps spur profit growth by makingit easier for businesses to sell products via the Web, to get the most out of customer data, and to manage relationships with suppliers and consumers. "e-Business strategy is about the uncertain future and therefore tends to be based on assumptions, premises and beliefs about customer priorities, technology evolution, competition, and the core competencies that will be needed to compete" In Kalakota's book, chapter 11, (page 301) he proposes that there are two types of e-business strategy planning
Bottom-up planning, which has a more tactical approach (meaning actions based on reaction to circumstances) has a "more focused or narrow view of the environment" and is focused on the short term results.
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| Class
1 Jan
Class
Jan
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 |
Schneider and Perry's book
Electronic
Commerce uses the word "Strategy" freely to describe three critical
chapters in their book, namely
Chpt 8 Strategiesfor Marketing, Sales and Promotion including Identifying Web Presence GoalsChpt 9 Strategies for Purchasing and Support Activities including EDI Electronic Data InterchangeChpt 10 Strategies for Web Auctions, Virtual Communities and Web Portals including Auction Basics |
Article about Alliances being more effective than mergers. |
"Merger Mania Gives Way
to Alliance Fever"
Sandra Mingail wrote an article which was based on the premise that before the e-commerce mania, many companies that lacked capabilities would simply look for opportunities to buy smaller companies that had those capabilities - however Sandra makes the point in her article that with the hectic pace of e-business, many companies are taking the option of developing alliances. While alliances can be tricky to develop, you are not taking such a big risk compared to when you lay out a lot of money to buy a smaller company. Another postive aspect of alliances is that they "... can be structured to reflect varying degress of commitment". "One of the biggest benefits of alliances is speed". It is a lot quicker for some key executives to agree on developing an alliance for a limited situation than it is to go through all the "due diligence" and financing required to buy a company. Sandra Mingail writing in the July 4th, 2000 Financial Post section of the National Post Online |
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| Class
1 Jan
Class
Jan
Class
Jan
Class
Jan
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Strategy E-commerce
E-commerce
E-commerce
E-commerce
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Rob Spiegel wrote story in
the Jan 26th E-Commerce Times titled
Rob's story was based on
a new study by Deloitte and Touche that shows that while roughly one third
of retailers with a Web presence consider their online store to be
"strategic," a majority have set up Web operations with no clearly
articulated strategy and are merely "testing the waters to gauge
Internet demand."
Components of a good e-commerce
strategy
http://www.sob.cencol.on.ca/faculty/trichard/GNED119/Chpt8/sld010.htm see also http://www.occc.com/marketing/m-4.htm the following explanations on GOPST comes partly from www.occc.com/marketing/m-4.htm and partly from WTGR Goals--
Goals are the ultimate thing you want to achieve. They are the statements
that a company uses to motivate employees and statements used to judge
and measure challenges that you face. Excellently worded goals should include
measurable statements.
Examples:
. Examples:
(theoretically if you have the largest product offering, you have the potential to make the largest sales, which helps fulfill the goal) Plans can include such concepts as
Examples:
Examples:
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| Before we begin this section
looking at chapters as an example of past mergers, and future mergers,
we will review Terence Corcoran's rant on the Canadian corporate model
in the Financial Post
the full text was at
"A country that keeps burning up its investment capital in futile protectionist schemes and nationalist investment programs inevitably earns lower returns on its savings. The result is less wealth accumulation, perpetual inefficiencies, creeping economic decline relative to our competitors south of the border. Even the investments that seem to make money behind protectionist walls -- a Purolator, for example -- hurt the economy if they block efficiency and genuine competition." "Then, as now, there will be no chance of allowing foreign control. Borders and the other major U.S. book retailers, such as Barnes & Noble or Amazon .com, have already spent billions developing the business concepts, computer systems and management expertise of modern book retailing, but they will be blocked at the Canadian border. Why? So a handful of Canadian "entrepreneurs" can try to duplicate the model, free of the real competition that gave rise to the concept in the first place." |
| Class
2 Jan
Class
Jan
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E-Commerce Strategy chapters.ca and cyberplex.com |
We
will look at one of the high profile users of e-Commerce solutions as well
as looking at the service company that put the solution together. In order
to "Conduct E-commerce Successfully" you must attend to the fundamental
aspects of business and marketing - in the case of Chapters - the challenge
was filling orders after sales had been made.
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2 Jan
Class
Jan
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Case Study
"acquisition" BCE Inc.
a telephone and internet provider buying
a content producer
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Read Michael Lewis' article in the April 7th, 2000 Financial Post http://www.nationalpost.com/financialpost.asp?s2= canadianbusiness&s3=news&f=000407/252895.html Lewis writes "BCE sought CTV in order to channel the network's news, sports and entertainment programming on to BCE's Internet portal, and across its pay-for-view TV service"
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| Many of the IEC program
participants and faculty attended Internet World 2000 in Feb 2000.
We will participate in the "e"-Seneca booth in Feb 2001- which has been confirmed by Prof. Zigras
exhibitor list for Feb 2000 was at http://events.internet.com/canada2000/exhibits.html |
| Class
2 Jan
Class
Jan
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..................
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Lecture
on the fundamental structure of
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| Class
2 Jan
Class
Jan
Class
Jan
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.
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A
study of the AOL / Netscape buyout
and then the AOL / Time Warner merger
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| Class
2 Jan
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Mergers
Acquisitions Takeovers Partial-Investments Joint-Ventures Strategic Alliances
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"handout" article
on Royal Bank's investment in 20% of AOL Canada
- see the new Mergers & Acquisitions section created in our "articles" directory. Please read the new articles posted there. - one American company, Silicon
Peak, is using Joint Venture relationships to obtain clients. They solicit
wary clients by offering to hold stake in the client company - thereby
ensuring the Client that they will try hard to provide a workable e-commerce
solution.
- with so many mergers and
acquisitions in the internet community, especially among ISPs, an American
company now does, as its core business, consulting to merger partners.
That is to say they advise clients who are merging as to the benefits and
also do research on prospective partners for investors.
- relationships between financial institutions and search engines / ISPs also include this week's story of Yahoo announcing a deal with online bank Telebank. This deal will allow Telebank customers to view their account information on Yahoo details. This is a good example of a Strategic Alliance. In the same article, note that Telebank has signed a merger agreement with online broker E*Trade . |
| Class
2 Jan
|
the story in Corel's own words |
Recent Canadian examples
of Internet M&A activity
- Monday, Feb 7th, 2000, announcement that Corel of Ottawa to buy California software firm Inprise/Borland Corp. for $1 billion http://dailynews.yahoo.com/h/nm/20000207/tc/corel_inprise_3.html the strategic purpose for the acquisitio was to allow Corel a better position to push Linux http://biz.yahoo.com/rf/000207/bhz.html "Corel, best known for its office and graphics software products, has been aggressively pushing into the Linux market with four recent investments in Linux start-ups." http://www.corel.com/news/2000/february/february_7_2000.htm |
| Explanation
of Project #1, worth 15 % |
This project will be
completed by producing a web page - specifically a page linking to your
existing web site. On this page you will provide:
1 example each of
- from your point of view
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