How to Assess How to Assess Internet Internet

OpportunitiesOpportunitiesMarc KramerMarc Kramer

Wharton School of BusinessWharton School of Business

marc@kramercommunications.comarc@kramercommunications.comm

Instructor’s BackgroundInstructor’s Background Marc Kramer, author of “Web Sites Built to Marc Kramer, author of “Web Sites Built to

Last” published by Adams Media and Last” published by Adams Media and “Financing & Building an E-Commerce “Financing & Building an E-Commerce Business” published by Prentice Hall Press, Business” published by Prentice Hall Press, has been president/CEO of five e-commerce has been president/CEO of five e-commerce businesses and has written the business plan businesses and has written the business plan for 30 e-commerce businesses. Marc has a for 30 e-commerce businesses. Marc has a marketing consultancy, marketing consultancy, www.kramercommunications.comwww.kramercommunications.com, and serves , and serves as project faculty at the Wharton School of as project faculty at the Wharton School of Business. Marc has a master’s in Business. Marc has a master’s in management from Penn State University and management from Penn State University and an undergraduate degree in journalism from an undergraduate degree in journalism from West Virginia University.West Virginia University.

““Starting & Re-Establishing Starting & Re-Establishing an E-Commerce Businessan E-Commerce Business

Assessing OpportunitiesAssessing OpportunitiesDeveloping a Business PlanDeveloping a Business PlanDeveloping a Marketing PlanDeveloping a Marketing Plan

Global Market Global Market OpportunitiesOpportunities

According to the Computer Industry According to the Computer Industry Almanac there are 934 million Almanac there are 934 million Internet users world wife.Internet users world wife.

Spanish Speaking Spanish Speaking OpportunitiesOpportunities

There are 25 million Spanish There are 25 million Spanish speaking Internet users outside the speaking Internet users outside the United States.United States.

Spanish Speaking Spanish Speaking Opportunities by CountryOpportunities by Country

Country

Population Internet Users

(CIA's World (CIA's World

Factbook) Factbook)

Argentina 38.74 million

4.65 million

(Computer Industry Almanac)

Bolivia 8.58 million 78,000

Brazil 182.03 million

22.32 million

(Computer Industry Almanac)

Chile 15.66 million

5.04 million

(Computer Industry Almanac)

Colombia 41.66 million

1.87 million

(Computer Industry Almanac)

Costa Rica 3.89 million 384,000

Cuba 11.26 million 120,000

Dominican Republic 8.71 million 186,000

Ecuador 13.71 million 328,000

Spanish Speaking Spanish Speaking Opportunities by CountryOpportunities by Country

El Salvador 6.47 million 40,000

Guatemala 13.90 million 200,000

Mexico 104.90 million

13.88 million

13.8 million

Nicaragua 5.12 million 20,000

Panama 2.96 million 45,000

Paraguay 6.03 million 20,000

Peru 28.40 million

4.57 million

(Computer Industry Almanac)

Puerto Rico 3.88 million 600,000

Spain 40.21 million

13.44 million

(Computer Industry Almanac)

Venezuela 24.65 million

2.31 million

(Computer Industry Almanac)

12 Ways to Assess 12 Ways to Assess OpportunitiesOpportunities

1.1. Google and Yahoo search for similar companiesGoogle and Yahoo search for similar companies2.2. Contacting department of commerce Contacting department of commerce

(http://www.peru.gob.pe/)(http://www.peru.gob.pe/)3.3. Contacting the World Bank (www.worldbank.com)Contacting the World Bank (www.worldbank.com)4.4. Contacting the chamber of commerce Contacting the chamber of commerce 5.5. Contacting trade associations (www.asaenet.org)Contacting trade associations (www.asaenet.org)6.6. Conducting an online survey (Conducting an online survey (www.surveymonkey.comwww.surveymonkey.com))7.7. Contacting investment banksContacting investment banks8.8. Contacting commercial banksContacting commercial banks9.9. Buying research reports (www.buyusa.com)Buying research reports (www.buyusa.com)10.10. Contacting potential customersContacting potential customers11.11. Contact mediaContact media12.12. Contact venture capitalistContact venture capitalist

Google and Yahoo Search for Google and Yahoo Search for Similar CompaniesSimilar Companies

Develop a spread sheet with key Develop a spread sheet with key wordswords

Run a key word search Run a key word search Make a list of the companies that fitMake a list of the companies that fitNarrow the list downNarrow the list down

Contacting Department of Commerce Contacting Department of Commerce (http://www.peru.gob.pe/)(http://www.peru.gob.pe/)

Contact the office of economic Contact the office of economic developmentdevelopment

Contact office of foreign tradeContact office of foreign tradeContact the American Embassy and Contact the American Embassy and

ask for the Commerce Liaison Officerask for the Commerce Liaison Officer

Contacting the World Bank Contacting the World Bank (www.worldbank.com(www.worldbank.com))

Contact the research departmentContact the research departmentContact the Latin American economic Contact the Latin American economic

development deskdevelopment desk

Contacting the Chamber of Commerce Contacting the Chamber of Commerce (www.chamberfind.com)(www.chamberfind.com)

Look at the web site for the Look at the web site for the American-Peru Chamber of American-Peru Chamber of CommerceCommerce

Contact Executive DirectorContact Executive DirectorContact membership directorContact membership director

Contacting Trade Contacting Trade Associations Associations

(www.asaenet.org)(www.asaenet.org)Look at web site and do key words Look at web site and do key words

searchsearchContact membership directorContact membership director

Conducting an Online Survey Conducting an Online Survey (www.surveymonkey.com)(www.surveymonkey.com)

Ask friends and business colleagues Ask friends and business colleagues what they think of the ideawhat they think of the idea

Ask friends and business colleagues Ask friends and business colleagues if they are familiar with similar if they are familiar with similar business conceptsbusiness concepts

Contacting Investment Banks Contacting Investment Banks (http://ezinfofind.com/2004/download.asp)(http://ezinfofind.com/2004/download.asp)

Contact investment banks and ask Contact investment banks and ask for bankers in the industry you are for bankers in the industry you are researchingresearching

Contact stock analystContact stock analyst

Contacting Commercial Contacting Commercial BanksBanks

Contact branch managersContact branch managersContact commercial loan Contact commercial loan

departmentsdepartments

Buying Research Reports Buying Research Reports (www.buyusa.com)(www.buyusa.com)

Research reports typically cover all Research reports typically cover all of the major players and some of the of the major players and some of the minor playersminor players

Contact the researchers who wrote Contact the researchers who wrote the reports for names of businesses the reports for names of businesses they left out and for their insights they left out and for their insights into the industryinto the industry

Contacting Potential Contacting Potential CustomersCustomers

Speak to potential customers to find Speak to potential customers to find out who they buy fromout who they buy from

Speak to potential customers to ask Speak to potential customers to ask them what they think of competitorsthem what they think of competitors

Contacting the mediaContacting the media

Contact business editors who receive Contact business editors who receive press releases dailypress releases daily

Contact reporters who speak to Contact reporters who speak to companiescompanies

Contact free lance writers Contact free lance writers

Web Sites to Find Demographic, Geographic Web Sites to Find Demographic, Geographic and Business Climate Informationand Business Climate Information

Buy USA-http://www.buyusa.gov/peru/en/82.htmlBuy USA-http://www.buyusa.gov/peru/en/82.html Cyber Atlas-www.cyberatlas.comCyber Atlas-www.cyberatlas.com United States Census Bureau-www.census.govUnited States Census Bureau-www.census.gov Central Intelligence Agencey-www.cia.govCentral Intelligence Agencey-www.cia.gov Peru Peru

Opportunities-http://www.denperu.com/denexe/oportuOpportunities-http://www.denperu.com/denexe/oportuni-e.aspni-e.asp

Trade Trade Mission-http://www.osec.doc.gov/latinamericatrademiMission-http://www.osec.doc.gov/latinamericatrademission/ssion/

Economic Economic Development-http://www.amarillas.com/default.asp?Development-http://www.amarillas.com/default.asp?country=2country=2

Government Web Government Web Sites-http://www.psr.keele.ac.uk/official.htm#P Sites-http://www.psr.keele.ac.uk/official.htm#P

Surveying Potential Surveying Potential BuyersBuyers

A minimum of 100 surveys (Conjoint A minimum of 100 surveys (Conjoint Survey Survey http://www.questionpro.com/conjoint/) will http://www.questionpro.com/conjoint/) will provide enough feedback to determine if provide enough feedback to determine if test market should be done. test market should be done.

The survey should be short so respondents The survey should be short so respondents will take the time to answer. will take the time to answer.

One paragraph description of the project.One paragraph description of the project. Five to 10 questions-preferably five.Five to 10 questions-preferably five. Source for buyers to survey Source for buyers to survey

(www.greenfieldonline.com)(www.greenfieldonline.com)

Sample Survey QuestionsSample Survey Questions

1.1. Do you buy products and services through the Do you buy products and services through the Internet?Internet?

2.2. How much money do you send a year through the How much money do you send a year through the Internet?Internet?

3.3. Would you buy this product or service over the Would you buy this product or service over the Internet?Internet?

4.4. Who do you buy from currently?Who do you buy from currently?5.5. What online service do you admire the most?What online service do you admire the most?6.6. What is the best way to market to someone like What is the best way to market to someone like

you?you?7.7. What would cause you not to buy from us?What would cause you not to buy from us?8.8. Do you rely on anyone for advice when Do you rely on anyone for advice when

purchasing?purchasing?

Developing a Business Developing a Business PlanPlan

Executive SummaryExecutive Summary Description of Product or ServiceDescription of Product or Service Marketing DescriptionMarketing Description Marketing StrategyMarketing Strategy Sales StrategySales Strategy Revenue StreamsRevenue Streams Client Retention StrategyClient Retention Strategy Competition and Competitive AdvantageCompetition and Competitive Advantage Management BiosManagement Bios Operations PlanOperations Plan Five-Year FinancialsFive-Year Financials 24-Month Cash Flow24-Month Cash Flow