Showing posts with label eCommerce. Show all posts
Showing posts with label eCommerce. Show all posts

Friday, 29 June 2007

Who’s eCommercing 2007: Online Transactions?

Featured Companies
FoodWorld, OK, DST, eTranzact, PayPal and CABS Online

Zimbabwe eCommerce in 2007
This year has brought in some improvement on the .CO.ZW cyberspace, as a few companies are now offering Online Transactions from their websites. Food World and OK, the chain supermarkets, both have online shopping facilities. eTranzact, PayPal, and CABS Online are strong on the Backbone of Zimbabwean Online Transaction Processing Systems. Despite being over politicized, eCommerce has taken off on a good note this year, because the most popular banks now have eBanking facilities, and the Zimbabwean Consumer now has external funds stored in banks outside our borders.

Food to the Zimbabwean eWorld – www.foodworldzim.com
Food World Chain Supermarkets has two mirrored websites that it uses for eCommerce purposes. They have a local .CO.ZW website and the above .COM website. The .COM website is the one that is connected to PayPal.com, one of the leading Online Payment Systems in the World, which is able to process transactions in any currency except Z$. On the FoodWorldzim.com website, you are able to choose the items you so desire, adding them to your basket, and paying for them with the PayPal facility.

Everything is OK in ZIM Online – www.zimland.com
Zimland.com has made a deal with OK Zimbabwe to provide online grocery shopping for those families in the Diaspora. Families in the UK, US, or AU can visit this .COM and buy goods for family members who are in Zimbabwe, who then collect them from OK Zimbabwe. This facility is processed through PayPal.com, just as the FoodWorld.com website.

Do you want Some Timber for your Building Online – www.dst.co.zw
DST, the hardware and building supplies company has an eCommerce website launched early this year, where families and companies can buy building material through the eTranzact payment system. Shoppers can browse through their website adding items to a shopping cart, which will be processed as and when the shopper requires.

Pay anyone with CABS Online – www.cabsonline.co.zw
eCommerce in cannot be a success without the efforts and brilliance of CABS Online, the first company, and Bank to offer Online Transaction Processing through their website. With a CABS account a consumer is able to signup for the eBanking facility and start to pay “Anyone” or “Any Organisation” using CABS Online’s simple website. I have paid for my rates, done inter bank transfers, and other interesting transactions using this facility. Without a doubt CABS Online has more users than any other payment system in Zimbabwe. They have the largest POS network, and are also Mobile Online.

Zimbabwe Websites Misconceptions

The following are some of the many marketing misconceptions that I would like to address in this book:

Websites are Marketing Expenses. This is false, because a website is an investment. We live in the days of the Google Economy, where you even earn US$ for just reserving a portion of your website for Google AdSense, and in the days of Advertising Synergies.

Not many people use the Internet. This is false, because Zimbabwean urban consumers are very technology oriented. There are more literate consumers in urban centers now, who have equal access to Internet – through Internet Cafes. The Computer Population is Zimbabwe is growing, especially the Laptops, whose owners want Internet access as soon as they buy them.

Websites are for Internet presence only, because we cannot implement eCommerce in Zimbabwe. This is false, because websites are for consumers not your company, hence can be used for more than just your business card. eCommerce in Zimbabwe is transforming, with a few hiccups though. Nonetheless, it is growing – CABS Online, eTranzact, NMB-Direct, and CBZ Online, just to name a few.

Websites are for technical people only. This is false, because websites are nothing close to being technical only. In fact less than 20% of a website is technical. The rest is Marketing and business genes.

Wednesday, 13 June 2007

Information Services in Zimbabwe, 2005

INTRODUCTION
Since the commercial inception of many Information and Communication Technologies and various business methods in Zimbabwe, consumers have been hoping for an ever increasing Quality of Service (QoS) in Information Services. This has not been the case; due to a contribution of various factors influencing the direction of growth of this industry.
There are basically seven types of Information Service Points, which this paper seeks to address the audience, to shed light upon the dealings thereof. These are Websites, Directories, CDROMs, Periodics, Mobile Phones, Kiosks, and Cafes. Closely examining these will help define this industry, and point out a way forward – that’s the aim of this paper.

DEFINITION
Information Services can be defined as any repetitive business concept of publishing data, in any relevant format, to inform an audience, whilst achieving profitability. Please realize that in the 21st century, there are many industries which are springing up because of the dynamics of Information and Communication Technologies, manipulating data. As a nation in a continent deemed 3rd world, I beg to differ with this mindset, and aim to prove our un-extracted wealth in these regards.

INFORMATION SERVICE POINTS

WEBSITES
In 1996, there was an enormous uprise of Internet Services in Zimbabwe, with many Internet Service Providers either opening shop or beginning to penetrate the Zimbabwean Market. Unlike other western or eastern nations, Zimbabwean Cyberspace grew with an unstructured marketing concept. There was no separation between the Internet Service Providers and Web Portals. Web Portals are websites which offer information services to web browsers. This hampered marketing innovation, as most portals were based on western commercial ethics.
By the turn of the century, there had been many start-ups and shutdowns, due to the stiff competition from sites like the .coms and .zas – being American and South African websites. It is now five years into the millennium, and there still have not been any sound and well grounded web portals (Internet Information Service Providers). Many may argue upon my conclusion, but an example would be: “Have you ever wondered why it is easier for a Zimbabwean Web Consumer to source a .com for information than a .zw?” – Relevance is the key, not access speed (bandwidth).

DIRECTORIES
In 1980, Zimpapers was formed by the Mass Media Trust, which then incorporated AC Brabys to form BoldAds. AC Brabys is a South African Directory Publishing company, with a 10% stake in BoldAds. They provided BoldAds with basic principles, which been in use up to date.
The decade of the 1980s also saw the introduction of another publisher called Directory Publishers (DP), based in Bulawayo, and founded by the late Bruce Bill. DP and BoldAds have co-inhabited and equally split the market share for the past decades. Of note, DP has an agreement with the well known Service Mark Yellow PagesSM who is the global leaders in directory information services.

Still with these financially sound and strategically connected local giants, directory information service provision has not changed a bit since their inception. They have gone from paralyzing consumer mindsets, to totally disappointing unto death the whole nation. This is evidenced by the recent wrangle between BoldAds and TelOne, and the “too thick” a directory of DP.
Thumbs up for their dominance, but their QoS is rapidly becoming extinct.

CATALOGUES (PERIODICS)
The concept of cataloguing has never really grown in our nation. This quarter of a century of our nation saw the instant rise and fall of many Catalogue Publishers, which left consumers relying on foreign publications. Consumers have been left believing that Catalogues are only found in South Africa, Botswana, United States of America, and/or the United Kingdom.

KIOSKS
There is virtually no information kiosk in Zimbabwe. A kiosk is an ATM like information point that consumers enquire thereof, for a fee. The City Council used to have on at their Information Centre at the Unity Square Gardens in Harare, called InfoSite™. The Ministry of Information and Publicity has been trying to revive these, but these are better revived by business enterprises, because of capital expenditure and QoS.

MOBILE MARKETING
I have to express my patriotic disappointment with our Network Operators, who have not fully allowed the free entry of third party Mobile Marketers onto their networks. In as much as I am endangering my relationship by these comments, far be it that I allow such grievous activities continue. I regard this as social and economical oppression. Let us discuss more.
One would ask; “What happened to 1-2-1 Cell Money ®?” To those who know, please note that there is a thin line between being a Mobile Market Leader and being a Mobile Titanic Operator. The Titanic sank, with all its brilliance. The innovation of information services never got off the ground because of reasons only known as “the African business mindset”. Thumbs up for SMS, but there is more that can be offered.

CAFES
When this word is mentioned one instantly thinks of Internet Cafes. The years 2003 and 2004 saw the “rapid” expansion of these cafes in Harare. Internet cafes are there for convenience and as socializing points, to web consumers.

Thumbs up to QuickNEasy (QE), who has dominated this part of the industry. My only open question is: “How do they manage to accurately acquire convenient shop space, in these days when office or shop space is extremely difficult to find?” besides this question mark, I believe QE are what the Internet Services segment needed. If QE are to become Internet Service Providers, they will surely steal a huge chunk of the market share from other giants. Their brand is well established amongst the young adults. If we rewind time, you cannot help notice the instant rise and fall of cafes like eTouch, who had sound financial and technical backing. Then the biggest question is: “What went wrong?”


CDROMS
I have vigorously scaled the scopes f our uptown Information Technology consumer markets, and am still to come across a locally produced CD or DVD-based consumer information service. As the Print Media, cataloguing on a commercial basis has never taken flight in our nation, even in the presence of such technologies as we possess.

THE CHALLENGES
Apologies for my aggressive stance; I believe I am one of the few people given the grace to address issues in such a manner. I would like us to move on to the mountains, which have affected these Service Points, in a quest to solve our challenges.

1. PUBLISHING
This is a misunderstood industry, profession, concept, and business. It is and Industry because it covers many commercial areas, namely Software, Websites, Motion Picture and Video, Broadcasting, Commercial Print, Music, and lastly BOOKS. It is a Profession because as it spans these seven surfaces, there is a common value chain structure, which requires a Publisher (the individual) to possess fundamental skills. It is a Concept because there is no entity that can exist without publishing as a method of communication. It is a business because, apart from intellectual goals, profit is the main reason for publishing.
There is more that can be discussed about this subject, but its dynamic behaviour has made many entities ignore its importance, yet graceful beauty once harnessed and innovatively manipulated.

2. GOVERNMENT
Each time something goes wrong in our nation, all eyes and voices are on this word – Hurumende or Government. I will say this; for a child to be born, the mother’s body has to facilitate this process with pangs. This forces the mother to push out the fruit of her womb. Sometimes the mother’s body fails and the child dies, or an operation is conducted. I believe that the Zimbabwean government is like the body of Zimbabwean businesses, which facilitates us with birth pangs. Please finish off this allegory for yourself.

3. PATRIOTISM
There is a lack of patriotism amongst those who can offer sound information services. By this I refer to the ethos of certain individuals and organisations which focus on the personal greed, at the expense of QoS and eventually national economic advancement. The fact that Information Services have not been sound; this means that businesses and consumers have been distanced from one another, resulting in our current economic stagnation. Note that a combination of small things amounts to even greater ones.

4. INNOVATION
There is a lie that the African mind has been told, that creativity is unrealistic and unprofitable; hence the high density of clerical and administrative businesses and professions. In Africa, especially Zimbabwe, Africa’s intellectual capital city, the word Entrepreneur has been extremely abused; limiting to mean anything other than Risk Taking and Experimental business ethos.

5. INTELLECTUAL PROPERTY
A lack of respect, education, and practice of this subject and its subsidiaries, has caused greater disasters in our economic framework. For example, more than 90% of Zimbabwean businesses operate without a registered trademark; yet aim to export their products and services to easterner or westerners, who understand trademark laws and other intellectual property. This subject covers Industrial Property (Patents, Utility Models, Designs, etc), Trademarks and Copyright and Related Rights, and others.

Intellectual Property affects Information Services because Copyright and Trademark issues are the core of this Industry. For more information and education on this subject matter, I refer you to Gift Sibanda, Director General of the African Regional Intellectual Property Organisation; a father of Intellectual Property in Africa, born Zimbabwe.

6. TECHNOLOGY
Zimbabweans are the most literate people in Africa, and most parts of the world; therefore adaptation to new technology is out of the question. What needs to be addressed rather is how technology is presented to consumers. This boils down to QoS. Please tell me that you are fully satisfied with our Information and Communication Technology businesses!

7. VISION
Dear audience let it be known that I see a commercially liberated Africa, and this begins with Information Services. Our oppression begun with information; and we should be restored with information as well. Many Information Service businesses lack a destination, apart from profitability.

It is a well known fact that those who do commerce with a profit mindset achieve frustration, and billions of US-dollars and fame always follow those who do commerce for pride and sheer pleasure.

Overview of Property Websites in Zimbabwe, October 2006

Database Driven
Most of them are database driven, making it difficult for each entry to be found by search engines like google.com. Most use Cold Fusion, a technology not easily accessible by Google scripts. Google uses Perl. The difference is that Perl dumps information on every query (Client Driven), yet Cold Fusion keeps everything on the server on which the query is being requested (Server Driven).

What has influence these web publications
• Mindsets
o People only read from newspaper classifieds only.
o Who would want to invest in a vibrant website?
o It’s Zimbabwe anywhere!
• Lack of understanding of marketing in cyberspace.
• More of a presence issue, for corporate image issue.

The Technologies Used
Most of the websites were developed by WebDev and Design@7. WedDev is strong on Wed Development (the Database side), hence their sites have that orientation. Design@7 is strong with Graphics, hence their sites have that orientation. Some other sites were developed by small companies, which seem not to understand websites or Internet at all.


Opportunities

What is not fully utilised
• Titles – Search Engines maximise on website titles. If you search “real estate in Zimbabwe, or homes, or property” with Google, the results will not immediately produce the above websites.
• Newsletters – Only one website had a newsletter link, where one could sign up for a newsletter. It has been two weeks now, I am still waiting for the newsletter.
• News and Information – Only one website has Newsflashes, but only has one story. Zimbabweans love news. They go on the Internet to look for news of anything, especially Obsessives and Bare Necessities, which are the two target audiences.
• Photography – Each website poorly captivates the properties in question. Their photography is very insufficient

What do consumers want?
I believe that the above websites are not really addressing what the consumers want, and some are underutilising their tools.

• Target consumer groups should be understood. There are only two target groups – Obsessives and Bare Necessities. I am an Obsessive, I just want to be notified or given information in good time, of properties available, preferably earlier than other people. Learn how these tow behave.
• Sufficient information to make a decision.
• Seeing the beauty of the property (or worth), commensurate the price. Consumers want to feel good about each transaction.
• A non-technical website.

Tuesday, 12 June 2007

eCommerce & Internet: Zimbabwean Perspective 2003

Technology-wise, the world has moved into the Internet Era – birthed in 1995. This has seen the birth of Electronic Commerce (eCommerce). In short Internet means ‘network of networks’, in terms of Information and Communication Technologies.
eCommerce, through the Internet and other related technologies, is the bringing of Investors, Employees, Management, Consumers, Customers, Suppliers, Competitors, and Government Departments together in a virtual business environment.
1.1 Globally

The Internet is now the widely viewed as the fastest growing communications phenomenon of all time. The comparative chart below places into context the dramatic pace of growth of the World Wide Web (www), a central feature of the Internet for most users.
ITU, January 1999
At present the Internet user rate is at an estimate of 300 million, and is expected to reach 500 million in 2005. Revenues are currently estimated at US$1.3 trillion, which are expected to rise to about US$3 trillion by 2005.
1.2 Africa

We will view the growth of Information and Communications Technologies from two perspectives – political and Industrially.
Politically – By virtue of international governance, our technological advancement has been determined by bodies, which have been stirring us in their desire directions – deemed to be relevant. In these last two decades, international organisations have created spearheading bodies like the African Information and Communications Initiative (AICI), which is a child of the United Nations – Economic Commission for Africa (UN/ECA). The UN/ECA held a conference for African Ministers in Addis Ababa in May 1995, requested so as to set up a high-level working group on Information and Communications Technologies in Africa, made
Copyright © 2004 by Regai Oscar Manduku Copyright © 2004 by Regai Oscar Manduku
up of African technological experts, to prepare an Action Plan in this field. The group was set up, which is now in operation, spearheaded by the AICI. The vision of the plan is ‘Building Africa’s Information Highway’. The vision of the AICI is to support and accelerate socio-economic development across the region by focussing on priority strategies, programmes and projects.
Industrially – The relentless competition, innovation and massive drops in the price of Information and Communications Technologies, and fundamentally altered the nature of the global economy, mean that Africa has a window of opportunity to use these tools to accelerate its own socio-economic development. With the youngest population in the world, Africa has unique opportunities because youth most easily adopt new ideas and ways of working with information and communication tools.
1.3 Zimbabwe

eCommerce is still at its tender stages. The reasons being lack of knowledge by most economic entities. This has been caused by the slow deregulation of the Communications Industry, which is a major entity in eCommerce. However, the introduction of more players in Communications Industry brings us to a very strategic position in the near future. We are the only country in the continent to have six players – three fixed providers (PowerTel (ZESA), TelOne, and TeleAccess) and three mobile providers (NetOne, Telecel, and Econet). We can successfully compete with any nation for dominance. We have the ability to serve the region in terms of communications, which is the backbone of eCommerce.
However, we have slackened on the Information Technology side. Please read more details from the Competitor Analysis below.

Internet Consumer Analysis: Basics 2003

There are five major aspects affecting consumers, which contribute to the success of eCommerce in Zimbabwe – namely Disposable Income, Literacy, Migration, Economic Instability and Technological Changes.

6.1 Disposable Income
Most people spend their disposable income on commodities than unique experiences. Others have their disposable income locked up in liability promoting expenditures. This poses a challenge to eCommerce players to create more disposable income, and eventually employment, through their inventions.

6.2 Literacy
The 35year and above age demographic group is the most Information and Communications Technologies illiterate; yet the bread winning group. This poses a huge challenge to eCommerce players in educating these income holders.
There is however hope in the younger generation, as they are the most literate and also increasingly attaining employment.

6.3 Migration
People are migrating to other nations with better living conditions. Our nation is losing an estimate of Z$20 billion each month, because of citizens’ migration (±20000 people paying ±$1m on airfare). This shows that money is available, but there have not been any innovative eCommerce players to influence other sector to attract these consumers or investors.
On the other hand, this migration is a positive because we now have a world wide Zimbabwean consumer and investor market – a chance for eCommerce to thrive.

6.4 Economic Instability
The current conditions have left consumer in a panic and impulsive buying of commodities. This has been caused by the runaway inflation rates, and most recently, shortages of commodities, even cash. This is however a very big positive to eCommerce, because it promotes a notes (cash) free society. Other positives are the unpredictable ‘stay – aways’, which hit places like the stock exchange, who will be registering a minimal loss of Z$250 million a week.
6.5 Technological Changes
Information and Communications Technologies have dramatically changed, even in Zimbabwe. We apparently have at least 80% eCommerce enabled Information and Communications Technologies. consider the following facts and figures.
- The new Sony PlayStation II is Internet and DVD enabled. This means families can communicate via their television sets.
- Mobile phones are Internet and Wireless Application Technology enabled. This means that they can be used to tap into any computer system using a protocol called WAP.
- It is cheaper to buy a computer than a TV and/or VCR. A DVD enabled Computer costs approximately Z$3.5m, which can play videos, music, and connect to the Internet.

Monday, 11 June 2007

Free Blind Mice

Because the Internet is not an academic priority in most Marketing Programmes in Zimbabwe, Web Marketing has been a nightmare for many marketers, seen by the inability to thrive online as they do offline. My first business mentor is one of Zimbabwe’s top Marketers, who took me up early 2003, when I quit my comfortable IT position at Zimpapers Natprint. I noticed that he was a student of online marketing ever since then, only to take up online business four years after, with a serious innovation, if I might add.

I know another brilliant Marketer with more than ten world class food brands at her disposable, yet has only one website – a corporate website, that talks more about the company - Corporate Profile, than the products or its consumers.

I will not mention bankers, clothing manufacturers, department stores, bookshops, car dealers, insurance institutes, asset managers, chemists, sports institutes, just to name a few. I love our marketers, but can not stand and watch them be overwhelmed by foreign institutions online. The online competition is stiff, and some websites serve the Zimbabwean web market uncontested. It is as if Zimbabwean marketers become blind as the three blind mice, yet online innovation is free for all. It just takes the same concepts as the offline, to build success on the Internet.

What I have seen to be the problem is how marketers perceive the Internet, especially websites – a business card, company profile, and a notice board. We come from a Mass media oriented marketing background, relying heavily on TV, RADIO, and NEWSPAPER to market products, services, promotions and brands.

Saturday, 09 June 2007

GPRS and 3G in Zimbabwe

Our nation is on a verge of Telecommunications expansion and diversification, as the two major mobile operators Net*One and Econet transform into the GPRS and 3G platforms. Apart from offering more lines to consumers, these technologies have more benefits to be realized as they are platforms for more than just communication. There are four things that Information and Communication Technology, especially telecommunications, addresses in our time, that are vital to the progress of any economy – Media, Entertainment, Commerce, and Communication.

WHAT IS GPRS?

GPRS is a non-voice, value-added service that allows information to be sent and received across a regular GSM network. To understand the speed and versatility of GPRS, imagine having the connectivity of three Dial-up Internet Accounts, above the normal Voice connectivity, with both not suffering congestion. One benefit of GPRS is that it will allow customers to answer voice calls while in the middle of sending e-mails or viewing a WAP enabled website. The data call is halted then picked up after the voice call with no extra charge being incurred. Many industry analysts world over believe that it is not the speed that is the main advantage of GPRS, but rather its 'always on' capability with a tariff that relates purely to the amount of data transferred.

GPRS enables faster, more efficient data transfer than current cellular networks, and therefore broadens the scope for offering mobile access to e-mail and business applications, as well as enabling games, messaging and information services to be enhanced with graphics.

WHAT IS 3G?

Third generation (3G) is the generic term used for the next generation of mobile communications systems. These have been created to support the effective delivery of a range of multimedia services. It is “Enhanced GPRS” in simple words. TV and video on demand, high-speed multimedia data services and mobile Internet access are just a few of the offerings available to users. 3GSM expands the potential for content-rich information and communication services, as well as providing enhanced capacity for traditional voice services.

GPRS is 2G, in that it is does not go beyond the GSM network in terms of telecommunications. It does interact with other technologies, but is mainly GSM. 3G however, interconnects with all telecommunications technologies, from UTMS, GSM, Fibre Optic, to Internet Technologies. 3GSM bridges the gap between the wireless world and the computing/Internet world, creating the possibility of seamless inter-operation between the two.

GPRS & 3G BUSINESS CAPABILITIES

To understand the potential of GPRS or 3G, we need to know what mCommerce and Mobile Entertainment are. Mobile Entertainment refers to entertainment related activities performed by end users over a mobile network and using mobile equipment such as handsets. This can include things like mobile games, media content consumption such as icons, ringtones, music, images or movie clips, chat and information services on relevant entertainment events. Examples of mCommerce in Zimbabwe are eTranzact’s Banking Services, and Kingdom/CABS’ Banking Services.

Mobile data communication services over the mobile network such as mobile games playing, wireless music downloading, mobile phone TV playing, Mobile 2 Phone Novel reading, and so on, these services are impacting the traditional entertainment industry and attracting telecommunication operators’ clients. Mobile Entertainment is bring a new challenge to both telecommunication industry and entertainment industry, that is, in the near future, telecommunication operators must enable themselves to hold more mobile network users and more entertainment customers on a large scale.