E-commerce - Cape Peninsula University of Technology
E-commerce - Cape Peninsula University of Technology
E-commerce - Cape Peninsula University of Technology
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Q: BASED ON THE STATISTICS OF PEOPLE PROBABLY FEMALES AND<br />
MOTHERS THAT VISIT YOUR SITE AND MAKE PURCHASES, WHAT<br />
KIND OF PRODUCTS OR SERVICES DO THEY PURCHASE?<br />
A: The statistics we found is that it takes about four shops to become a regular<br />
shopper. If our frequent shoppers tend to stay, they buy everything. The<br />
goods purchases ranges from toothpaste, toilet papers etc. We have also<br />
found that our customers spend more at a single time on home shopping<br />
than they do if they went to the stores. For instance, where a person goes to<br />
the shop and spends R300, we found out that they spend an average <strong>of</strong> a<br />
home shopper spends at about R12 a day on the online shop which is<br />
basically on items needed for about a month and then do the rest <strong>of</strong> the<br />
shopping at the convenient time. The reason is because the delivery fee is<br />
R45 which means that the same amount is paid for the small goods and the<br />
big ones too.<br />
Q: IS YOUR STATISTICS NOT MADE UP OF OLD AGE PEOPLE?<br />
A: We do have but they are very few in number. We try to market to old age<br />
homes but it is not very successful.<br />
Q: HOW DOES THE COMPANY HANDLE THE ISSUE OF SATISFYING<br />
CUSTOMER VARIETY OF NEEDS THROUGH E·RETAllING?<br />
A: Because <strong>of</strong> our business model, our customers purchase from our physical<br />
stores and because <strong>of</strong> this, the whole business is organised around<br />
providing variety for our customers. So we do say to customers that<br />
whatever is in the stores is what they can buy. We can't say to them that you<br />
can only have A1gold instead <strong>of</strong> proViding them with Koo. Therefore we<br />
would say that we <strong>of</strong>fer fuff range.<br />
We need to integrate some services, such as general merchandise, and<br />
entertainment sections, Go banking. We need to integrate some services<br />
that run across. So that all our Go Banking customers can shop online and<br />
pay their fines bills etc. .<br />
Q: LOOKING AT YOUR FINANCIAL REPORT OF 2004, THE TRADING<br />
PROFIT INCREASED BY ABOUT 15.9%, WHAT PERCENTAGE OF THE<br />
PROFIT IS GENERATED FROM YOUR E-RETAlL BUSINESS?<br />
A: It is very small, about 0.21%. Ifs millions butvery small.<br />
Q: IS ANYTHING BEING DONE TO IMPROVE THIS PROFIT?<br />
A: Yes. We are bUSy now with the process. The site online went live in March<br />
2001 was our 1sl retail store online, which is four years now and it was still<br />
have the same site and service. We are going through the process that<br />
would improve it a liWe bit in entirely to attract more customers. The steps<br />
include:<br />
We have got 121,000 registered customers on the net. That is fantastic but<br />
only about half <strong>of</strong> these people actually shop on the Internet, so people just
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