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E-COMMERCE SURVEY OF S.E. MASSACHUSETTS BUSINESSES. Fahri Karakaya, Ph. D. Charlton College of Business Department of Marketing/BIS University of Massachusetts Dartmouth. Umass Dartmouth ranked 5th. among northern public universities by. Number of Internet Users.

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E-COMMERCE SURVEY OF S.E. MASSACHUSETTS BUSINESSES

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E commerce survey of s e massachusetts businesses

E-COMMERCE SURVEY OF S.E. MASSACHUSETTS BUSINESSES

Fahri Karakaya, Ph. D.

Charlton College of Business

Department of Marketing/BIS

University of Massachusetts Dartmouth

Umass Dartmouth ranked 5th.

among northern public universities by


Number of internet users

Number of Internet Users

  • 148.7 million users in North America

  • 86.6 million users in Western Europe

  • 57.6 million users in Asia Pacific,

  • 10.8 million users in South/Central America,

  • 9.5 million users in Eastern Europe, and

  • 7.5 million users in Middle East/Africa.

Source: Business Week (Sept. - 1999)


Web users by region millions at year end 1999

AP 9%

Other 8%

Japan 9%

WE

36%

US

38%

327B

Web Users By Region(Millions at Year end 1999)

Source: ICMM V6.1, IDC 2000


Web users by segment

Web Users By Segment

Small Bus

13%

Med/Lrg Bus

18%

Home

55%

Ed/Gov

15%

Total:327B

Source: ICMM V6.1, IDC 2000


Users devices on the web worldwide millions at year end

Users & Devices On The Web (worldwide)(Millions at Year end)

756M devices

602M users

Source: ICMM V6.1, IDC 2000


Digital homes consumers

Digital Homes & Consumers

  • 40% of US homes now online

  • 26M homes with broadband by 2003

Source: CyberDialogue


Ecommerce on the web

Ecommerce on the Web

  • University of Texas at Austin's & Cisco Systems Inc., study showed that the size of the Internet economy was $524 billion last year (U.S.).

  • The same study forecasted that the revenue could reach $850 billion this year if current trends continue.

  • This year the web will see almost 100 million unique web buyers.

  • The number of publicly accessible Web pages is expected to grow from 800 million in 1999 to 8 billion by 2002.


B2b marketplace opportunity

B2B Marketplace Opportunity

  • Estimates (worldwide)

    • Forrester - $1.3 trillion by 2003 and 92% of all Internet commerce

    • Goldman Sachs - $1.5 trillion by 2004

    • IDC - $1.1 trillion by 2003

  • Huge efficiency gains possible


S e mass e commerce survey may 2000

S.E. Mass. E-Commerce Survey (May 2000)

  • Objective: to assess the e-commerce use and the needs of the area businesses in S.E. Massachusetts.

  • The survey was funded by a grant from UMD Foundation.

  • Using the area zip codes, selected 490 companies from a computer database.

  • Mailed a personalized letter, return envelope and survey.

  • Ninety-four companies responded to the survey (19%).


Demographics of the responding firms

Demographics of the Responding Firms

  • 54% manufacturers 20% service firms, 10% distributors, 8% retailers, and 9% other.

  • On average only 6.3 % of the responding firms’ sales is attributable to e-commerce business.

  • 58% (50 organizations) indicated that 0% of their sales is attributable to e-commerce.


Demographics of the responding firms1

Demographics of the Responding Firms

  • Only five companies attributed 25 percent or more of their sales to e-commerce.

  • On average, the responding firms have engaged in e-commerce for 17 months (range= 0-5 years).

  • Sales and profits - in the range of very good and good.

  • The average size of the responding firms was 127 employees (0 -1954)


Using internet e commerce

Using Internet - E-Commerce

  • 92% use internet

  • 73 % has web-sites

  • However, on average, only one out of four companies (25%) utilize the Internet regularly in conducting business - online promotion, sales, purchase, - customer service, - gathering marketing, vendor, and distributor data online.

  • Overall, most businesses use the Internet to provide information about their products and services.


Internet use by area firms

Internet Use by Area Firms

Measure: 0=never, 1=occasionally, 2=almost always, 3=always


E mail usage by area firms

E-Mail Usage by Area Firms


Contents of responding company web sites

Contents of Responding Company Web-sites


Firms interested in partnerships

Firms Interested in Partnerships


What is important

What is important?


Importance of possible assistance from umass dartmouth

Importance of Possible Assistance from Umass Dartmouth


Conclusions

CONCLUSIONS

  • A great majority of the responding firms use the Internet (92%).

  • 73% has web-sites.


Conclusions1

CONCLUSIONS

  • Only a small percentage uses the Internet/E-Commerce tools extensively.

  • Most web-sites only provide company and product information.

  • Majority of the firms surveyed use e-mail to a great extent.


Conclusions2

CONCLUSIONS

  • Most of the area businesses feel that the UMass Dartmouth could assist them through:- e-commerce seminars/workshops;- networking;- special projects;- e-commerce related problems, and - on-site e-commerce consulting


Conclusions3

CONCLUSIONS

  • There is potential to increase Internet usage and conduct e-commerce to improve business operations.

  • It is also clear that the S.E. businesses are very interested in E-Commerce


E commerce survey of s e massachusetts businesses1

E-COMMERCE SURVEY OF S.E. MASSACHUSETTS BUSINESSES

Fahri Karakaya, Ph. D.

Charlton College of Business

Department of Marketing/BIS

University of Massachusetts Dartmouth

Umass Dartmouth ranked 5th.

among northern public universities by


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