ETD: 679 Internet E-Mail Stamp; Lillian Vernon interview; International calling; Internet Sales Tax update; The Architecture War

E-Tailer's Digest etd_post@gapent.com
Tue, 22 Apr 2003 07:23:27 -0400


  E-Tailer's Digest --- Everything for the  Retailer
  Issue #0679		         April 22, 2003
  George Matyjewicz, Moderator         mailto:georgem@gapent.com
  Published by:  GAP Enterprises, Ltd.  http://www.etailersdigest.com
===================================================================

   CONTENTS

  [1]  Greetings
  [2]  Internet E-Mail Stamp
  [3]  Lillian Vernon interview
----- ---- --- -- -> Important Offer <- -- --- ---- ---- --
  [4]  International calling
  [5]  Internet Sales Tax update
  [6]  The Architecture War

===================================================================
  [1]  Greetings.
===================================================================
Hi All:

We have some very interesting posts from list members today, in particular 
the Internet Mail Stamp and Sales Tax.  Let's hear from you.  What do you 
think?

The New York International Auto Show is on now until April 27.  If you have 
an opportunity to visit you should do so.  I get the distinct impression 
that auto manufacturers are thumbing their noses at the oil producers as 
they produce (or show concepts of) the monster cars - like Cadillac's 
Sixteen with 1,000 horsepower.  Now I love fast cars, but that one scares 
me.  The show itself seems to have more convertibles than any time in the 
past (or maybe it's because I'm looking for a convertible ;-).  The most 
unique new "car" is the Dodge Tomahawk concept car, a  500-horsepower Viper 
V-10 engine powering the dual rear wheels gives this radical vehicle a 
potential top speed of 420 miles per hour - for anyone who wants to test 
it.  It looks like a four wheel motorcycle (see links at end of digest).

How was business this Easter?  How's it look for the coming months?

Now, let's get to everything for the retailer.


Sincerely


Dr. George Matyjewicz
Chief Global Strategist, GAP Enterprises, Ltd.
mailto:georgem@gapent.com
http://www.etailersdigest.com


===================================================================
  [2]  Internet E-Mail Stamp
===================================================================
I would have thought with the extreme amount of traffic of viral and 
affiliate generated email and the fact that a lot of recipients are now 
getting fed up with the volume of unwanted traffic (especially when they 
pay on high speed connections by traffic volume) that it was time to 
introduce an email stamp taking the cost of email from the recipient to the 
sender.

I would have thought this charge alone would fund the Internet and reduce 
traffic to a manageable amount. Also it could replace sales tax so that the 
Internet channel distributes the cost of doing business appropriately.

I guess this would not be viewed well by many on-line companies but 
consumers are bearing the cost and deleting an unopened email is of no 
value to the sender and it cost the recipient to download it.

Many reputable companies have moved to permission based lists but as an 
example about a quarter of my mail this year has been affiliate mail trying 
to sell either growth hormones, or the Norton Firewall email (I am not sure 
if it actually is even a Norton affiliate as you have to pay US$29.99 
before you get the programme)

Kind Regards


Michael Campbell
Director
Selling Innovation
http://www.sellinginnovation.co.nz

+++ [Moderator's Comments] +++
Sometimes it's the simple things that work - like a "stamp."   The issue is 
who enforces it and how?  Mass mailers have their own ISP, so how will fees 
be collected?  There is no central fee collecting organization.  It could 
be something the US Postal Service could do, and distribute the money to 
the various countries postal services for distribution.  But, we all know 
what happens when governments get involved.  Perhaps it could be collected 
when you register your ISP.

The firewalls work, as do spam killers.  However, they don't reduce 
traffic, merely redirect it.  And they need a lot of fine tuning to work well.

BTW, those Norton specials are not real per Symantec.  They claim they are 
rip offs of products, and you shouldn't fall victim to them.  I received 
many and sent my "Boulder Pledge" to abuse@symantec.com along with the 
offers.  They replied and asked me to send any that I got.  In two days I 
have 30+, and gave up.

List members, what do you think about a stamp?  At first blush it sounds 
like consumers would pay, but not necessarily so.  How can it be controlled?

George

===================================================================
  [3]  Lillian Vernon interview
===================================================================
If anyone would like more information about how Lillian Vernon started the 
company or tips from Lillian for business startups today, we have an 
interview  with her on our site.
http://www.businessknowhow.com/homeoffice/lillian_interview.htm


--Janet Attard
Author, The Home Office and Small Business Answer Book
Business Know-How® - small business, career and self-employment resources
http://www.businessknowhow.com/newsletter/current.htm

+++ [Moderator's Comments] +++
Nice interview Janet.  We can learn a lot from Lillian.

Thanks

George

===================================================================
  [4]  International calling
===================================================================
In the latest issue of E-Tailer's Digest, Patty Sachs talked about using 
calling cards to make International calls and you commented "The downside 
is you need to dial those 30 numbers to connect."

I am experimenting this year with calling cards to see if they help reduce 
our overall long distance bills and possibly save me from the incredible 
hassle of choosing a new long distance carrier.

I found a shorter and much faster solution to punching in the card numbers 
each time.  I have programmed two of the phone number programmable keys on 
my phone - the first is the toll free number you are need to call and the 
second is the PIN code assigned to you on the card.  This process takes lot 
of the aggravation out of using a calling card (at least for me it does).

Regards,

Ron Coble
Coble International - International Marketing Services
http://www.ImportExportHelp.com

+++ [Moderator's Comments] +++
Great idea Ron.  Many phones now have programmable keys.  I know a number 
of small companies that are using this method.

Our long distance carrier charges 3 cents a minute plus great international 
rates.  For the past year that we have used them, we haven't had any 
problems.

George

==================================================================
  [5]  Internet Sales Tax update
==================================================================
The trend I've seen is that consumers look at shipping and handling charges 
for on-line purchases. Ebay and Amazon both come to mind as businesses 
where I've watched consumers check out shipping and handling charges as one 
of the determining factors in making purchases on-line instead of 
locally.  As long as the shipping and handling charges roughly equaled the 
amount of sales tax that would be spent if the consumer had to travel to a 
physical retail store, then the purchase was acceptable.  After all, you 
get to save the time and gas of physically going to a store.  However, with 
many larger retailers bumping up the handling charge for on-line orders, if 
sales tax is added to this total, then when the consumer begins adding up 
the totals, it might not be so convenient to shop on-line 
anymore.  Remember that a large percentage of on-line shopping carts are 
abandoned prior to the consumer completing the purchase.  I believe this 
often has to do with sticker shock over the shipping and handling charges, 
which are usually not revealed until the last stages of checkout.

Since Internet sales are a growing market, many consumers are just now 
beginning to trust the Internet to make purchases on-line.  I believe that 
the continued growth of Internet sales isn't going to be a true indicator 
of whether or not a sales tax is hampering on-line retail. After all, a 
continued increase in people venturing on-line should increase the volume 
of sales, even in a tough market. Perhaps a better indicator is the 
percentage of on-line shopping carts that are abandoned prior to completion 
of the transaction.  If this percentage increases, then obviously some 
other factor-- such as sales tax being collected for on-line purchases-- is 
the cause.

It will be interesting to see how collecting an Internet sales tax affects 
the shipping/handling charges that are charged by the large e-tailers.

L. Martin
Decorate Now
Patterns and Supplies for the Custom Drapery Workroom

+++ [Moderator's Comments] +++
Sounds like the mail order issues that have been bantered about for 
years.  Perhaps some of our mail order gurus can give us their perspective?

What do you think?

George

===================================================================
  [6]  The Architecture War
===================================================================
First it was the hardware wars (which IBM won); then the operating system 
wars (which Microsoft won); then the database wars (which IBM had with 
Lotus Notes, then lost).  Now we have the architecture wars - Microsoft's 
proprietary .NET on one side and the open system
Java 2 Enterprise Edition (J2EE) on the other side, supported by IBM and 
others.  What's a company to do?  Do we follow the Microsoft proprietary 
trail, or go the open system route?

Open system was the hot topic in the 1980's, when the mini computer 
industry faded away, and the manufacturers were trying to regroup.  So they 
touted open systems, which said their proprietary systems are no longer 
proprietary, or they wrote code to allow their proprietary systems to link 
with other companies.  I was involved in that melee and negotiated business 
partnerships with NCR, HP and IBM, who were all former competitors of MAI 
(where I was North American Marketing Manager).  Unix was big, as it 
allowed more flexibility with various manufacturers.  Open systems was 
wonderful for retailers.  Now you could have a Fujitsu Point of Sale 
system, with an NCR in-store processor, tied into an IBM back end system.

Microsoft ingenious ploys to have their operating systems installed on all 
PCs virtually ended the wars.  Of course, those mini manufacturers never 
believed the PC would ever become as powerful as they are today.

Now we are in another war.  Who will win?  Will the .NET architecture be 
the platform of the future or will open systems really have merit?

IBM lost the database war with Lotus Notes, which is now a stale system and 
folks are jumping ship fast.  Will they be able to regain market share or 
will Microsoft take over once again?  How will it help or hurt retailers?

What do you think?

George

===================================================================
  Links to follow
===================================================================

GAP Enterprises, Ltd.   		http://www.gapent.com/
Global Pay Systems LLC		http://globalpaysystems.net
E-Tailer's Digest			http://www.etailersdigest.com
ETD Archives: 				http://topica.com/lists/etailer/read
Prior to 29 Dec 1999 			http://etailersdigest.com/archives/index.htm
Marketing Your Web 			http://www.gapent.com/myweb/
Automated Press Releases 		http://www.automatedpr.com

Dodge Tomahawk
http://www.tiscali.co.uk/motoring/firstimp/2003/01/13/story_1.html

New York International Auto Show
http://www.autoshowny.com/