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Ten
E-Business Proverbs for 2006, Part 1
By Bryan Eisenberg |
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Goldman, Sachs & Co.,
Nielsen//NetRatings, and Harris Interactive Inc.
reported online sales grew 30 percent year over year
this holiday season. That's great news. If you were one
of the businesses that experienced this level of growth
(or better), your online business should get lots more
attention in 2006. On the downside, you'll be challenged
to hit some lofty growth goals.
A few weeks ago, I
shared some thoughts and advice on what you should
work on in 2006. This week, I want to share some
profound wisdom from my friend Sam Decker, former
e-commerce and customer-centricity leader at Dell.
Decker recently joined
Bazaarvoice, a new company providing managed
technology and services to bring word of mouth closer to
a company's online experience (it's still in stealth
mode, and, in full disclosure, I'm an advisor to the
company).
Bottom line: when it comes to online
success, Decker knows what he's talking about. He spent
seven years at Dell, four of them leading the consumer
site, Dell.com, to double conversion annually in the
midst of a struggling PC industry and online sales
slowdown after the dot-com crash. By 2003, Dell's
consumer online sales reached $3.5 billion, making it
the largest e-commerce site (according to comScore).
For several years, I've tapped Decker's
expertise and shared his advice in this column as well
as my recent book, "Call
to Action." I asked him to reflect on his 13 years
of online experience and share his top 10 principles for
lasting e-business success. Like orange juice
concentrate, below I've attempted to squeeze in as much
of Decker's great ideas on e-business strategy,
operations, metrics, and merchandising:
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Drive individual ownership among the
company ranks. When you
give team members the expectation and autonomy to
"own" a goal, they widen their scope and take
responsibility for achieving it. There's an
entrepreneur in everyone. By giving each team member
published goals or numbers to hit a week, month, or
quarter, they'll quarterback the plays to make it
happen. Whether it's in their control or requires
collaboration with others, owners are responsible to
report on progress weekly and to hold partners
accountable. The goal should align to larger
e-business goals and objectives so all quarterbacks
can see how they fit into the larger picture.
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Narrow team focus.
In e-business, there are 100 plates to spin. That
spreads a team thin. Sometimes at the end of a
quarter or year, you realize you just maintained the
Web site. A team can achieve strategic breakthroughs
if everyone moves in parallel toward a targeted
direction. At least once a quarter, align team
members to accomplish one to three strategic
objectives. Publish dates, owners, and goals that
lead to achieving these objectives. Then share and
celebrate the accomplishment. True, this is basic
management stuff. But it's easily forgotten in the
trenches. Without this focus, day-to-day maintenance
leads to mediocre results. Besides, it's more fun to
look back on big accomplishments.
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Align business with e-business.
Many companies keep the Web team in a figurative
corner. One company with over 40 percent of revenues
in online sales put its online team in another
building! E-business is an outward reflection of
almost every business function. The best way to get
other groups engaged in the online business is to
share goals and measures to which they're personally
committed. Put online goals in the performance plans
of customer service, sales, brand management,
finance, IT, and other company functions. Each
function can affect your Web site in some way. Don't
just align the Web team toward goals, as it takes
others to help achieve them. Widen the lens and
align the business around your e-business.
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Democratize metrics.
How accessible and convenient is it to view your Web
analytics? Are they only analyzed by a select few in
the company? Bringing a wider set of eyes to the
online metrics increases companywide attention to
e-business. As a result, more cross-functional
partners will participate in moving e-business
forward. Whether your Web analytics is outsourced or
homegrown, make it easy for everyone to frequently
view relevant Web metrics.
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Share Web metric reports.
The key to making e-business effective is to make
sure everyone's on the same page. Another obvious
one, because what company doesn't have reports? But
great reporting brings e-business to the forefront
and keeps things moving in the right direction.
Great Web reports should be accessible; easily
understandable outside the Web team; consistently
formatted; distributed frequently; presented weekly;
and easy to demonstrate impact to the business. Show
goals, the status against those goals, and the plans
to achieve them. Get Web metrics reported alongside
other business reports and operations reviews so
executives see the connections. Use these metrics to
motivate and align.
I told you Decker knows his stuff. Next,
the remaining five bits of wisdom. In the meantime, if
you've had successes or failures implementing these
concepts,
share them with me
ABOUT THE AUTHOR
Bryan Eisenberg cofounded marketing consulting firm
Future Now with his brother in 1998. Future Now
applies persuasion architecture to increase online and
multichannel conversion rates so prospects purchase,
subscribe, register, make referrals, or accomplish other
goals that can be measured and optimized. Bryan helped
invent and develop MAPSuite, a suite of software
applications that allows non-experts to apply persuasion
architecture to their businesses. He is the publisher of
GrokDotCom and has authored
several books and reports, including the "New York
Times," "USA Today," and "Wall Street Journal"
bestseller "Call
to Action"; his latest is "Waiting
For Your Cat to Bark?"
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