November 09, 2009

PRODUCT VELOCITY

The fourth step in selling products on the internet is to understand the price of the products we sell and the number of products sold within a certain time. The relationship between the two are usually referred to as product velocity. The more products we sell, the greater the velocity of his product. We can make a curve relationship between price and amount sold each week. Usually the greater the desire to sell in large quantities, then we should set a lower price, otherwise the higher price that we set the less the amount of products we can sell. Average Sales Price can also be narrowed by stating in an item contained in the so-called Stock Keeping Unit (SKU) which is a term often used by off-line retailers to demonstrate a unique item in the inventory. For example, Seller A has three red shirts with the XL size is two, and blue with one L size pieces, then SKUnya only two, namely SKU1 is a red shirt (number 2) and SKU2 is a blue shirt (number 1) . Key concepts to be understood without having to work on campaigns or do something special demand in the market or putting the regular SKU, the demand will not change in a period of 30 days to 60 days. Another variable that works is the supply, then we must also control the supply, though supply is also controlled by our competitors. This information is a weapon we can use to make important decisions based on our goal. For example, Seller A sells 10 units of the SKU of each month at a price of $ 150. A seller has a target to increase its profits each month. SKU cost on a volume of 40 units cost $ 100, but if it can increase sales of more than 100 units per month, the cost of SKUs down to $ 85. So this information can be made a variety of scenarios. The first scenario focuses on high margin, we are selling at a price of $ 150 sold 40 units at a cost of $ 100, then its gross margin ($ 150 - $ 100) x 40 = $ 2000. The second scenario focuses on the current margin, we are selling at a price of $ 120 sold 80 units at a cost of $ 100, then its gross margin ($ 120 - $ 100) x 80 = $ 1600. The third scenario focuses on low margins, we are selling at a price of $ 100 sold 160 units at a cost of $ 85, then its gross margin ($ 100 - $ 85) x 160 = $ 2400. By understanding the speed of product / price and a test allows us to get the approximate number of SKUs that we can sell and we expect vulume. By estimating the price and volume of our products will help make the preparation of resources and products are able to predict the margin we earn each month. If the product is not made by us, then we can negotiate the price with the source of our products at a price based on sales volume.

PRODUCT LIFE CYCLE IN THE INTERNET

The third step in selling products on the internet is to understand the product life cycle stages on the internet. Life cycle on the Internet include product introduction stage, the stage of retail products in the season, the final stage of product life and product liquidation phase. Product introduction phase is also known as the product launch phase. This stage occurs when the product was introduced to the market and the product is very new thing for the customer's mind. At this stage the product in warm conditions or product supply exist or can not meet all the demand. Circumstances like this cycle is known as the state of the product life cycle healthy. Usually the time between 1 year to 3 years. Conversely, if the supply of products is greater than the demand indicates unhealthy conditions or product failure, the time between 6 to 12 months or less. For example, when Apple took the iPod Mini, an MP3 player has been sold out for three months at the introductory stage. In contrast, the electronics company that sells kitchen equipment $ 1,000 for 2 months on the Internet have failed and ended with a discount at this stage of its introduction. Phase retail products is a step in season, most companies require retailers to provide product prices in accordance with recommended. Digital cameras, cars, books, television and clothing are the latest and greatest products in the retail season. For example, if you bought a digital camera to Best Buy, Circuit City, Electrinic Boutique, Sears and other stores, will find the same prices, except maybe a package price in the context of specific events, but basically the price at any cost the same otulet. The final stage of product life is usually caused by the introduction of new products in the category of products by companies or competitors. At this stage manufacturers and retailers pulled the old product as soon as possible by replacing the new product is still warm. At this stage the product sold as a cost or a small loss, as customers shifted from older products to newer products. In the old product seller using a high discount rates to attract customers to buy the old product. For example, old products we call P100, the new product that replaces with a new model we call P200. This applies to the automotive, electronics, computers, clothes and so on. Liquidation phase is the phase of the excess inventory of products, produces waste and product updates. This stage is the stage avoided by producers and retailers, as it suffered heavy losses. Usually sold products 10% to 20% of the cost or a loss of 80% to 90%, so that producers and retailers to remove these products. For example, companies want to sell in large numbers for women's leather jacket for winter and autumn. Companies producing in large quantities and menyetok in large numbers in the thousands of shops and the city. It turned out that the estimate is wrong, because only certain cities are in dire need leather jacket. So the only way to sell only to give a big discount to sell the leather jacket and the resulting loss.

TRANSACTION INTERMEDIARY STRATEGY

Transaction Intermediary Strategy is a strategy of using the Internet to the purchase process. This strategy includes the end-to-end from the search, comparison, selection and online games. eBay and Microsoft Expedia is a company that uses this strategy. eBay auction is only used on the internet, but now a variety of products sold. Even some added features, such as PayPal, which allows individuals or companies to pay online. Facility that allows Skype voice and video communication for free between the users who use Skype software. Shopping.com as a facility that allows users to compare prices in the shop. Rent.com is a facility serving the rental apartments in the United States and crossed into another country. Online Clasified designed for people who meet, exchange ideas, do business together at the local level. To carry out this strategy using a ten-step eBay include (1) knowing the critical importance, (2) setting strategic goals, (3) understand the product life cycle on the Internet, (4) understand the price curve of a product bearing speed, (5) using scarcity perception strategy, (6) applying a second chance strategy, (7) to optimize search results, (8) build brands, (9) explored the channel and (10) using a dashboard. The first step, knowing the critical importance include Gross merchandise sales (GMS), Average sales price (ASP), Conversion rate (CR) and Margin. Gross merchandise sales is the amount of sales GMS in a given time period or commonly known as gross sales or revenues or income. eBay uses GMS to report to Wall Street and most sellers on eBay have adopted the same way consistently. If a seller sells an item with the 1000 average price of $ 50 per month, so GMS seller 1000 x $ 50 = $ 50,000 per month. Some sellers adjust to include GMS bidder who do not pay or non-paying bidders (NPBs) when winning the auction, known as the item was paid or unpaid item (UPI). eBay can not produce items if the winning bidder paid for the auction do not pay the transaction and the seller does not receive income. Average sales price (ASP) is the sales price of the average measured from the average price of a product for sale at a certain time period. Average sales price (ASP) is calculated by dividing the GMS at a certain time. If GMS seller is $ 50,000 in a month and 100 items were sold, the amount of ASP $ 50,000: 100 = $ 500. Conversion rate (CR) is a list of items for a certain period of time (1,5,7 or 10 days). At the end of the period, a percentage of this list will generate a list of buyers and not produce anything. The results of percentage of buyers is called Conversion rate (CR). Margin, or profit or gain is the amount of cash generated at a particular time period has calculated the cost. By measuring and monitoring the trends in four important thing is, we will be able to feel the impact on business and strategic decisions of the business, whether it will produce positive or negative impact.

MARKET CREATOR STRATEGY

At this time the world's Internet users has reached 1.2 billion and in Indonesia has reached 25 million. The Internet is a dream market for some circles. Entering the new economy or digital economy, which makes the company a market riddled revolutionary. Various kinds of strategies on the Internet in conducting revolution include market creation strategies (creator market strategy), strategic reconfiguration of the channel (channel reconfiguration), strategic transaction broker (intermediary transaction strategy), strategies of information intermediaries (infomediary strategy), strategy of self-service innovators ( self-service innovator strategy), innovator of supply chain strategy (supply chain innovator strategy) and strategic control of the channel (channel mastery strategy) Creator Market Strategies is a strategy of using the Internet to define a new market by identifying a unique consumer needs. This strategy requires you to enter the market first and keep ahead of competition by innovating continuously. To create a new market, Amazon.com kadangkalan willing to lose in advance in order to achieve a strong market position and profitability in the long run. Amazon.com is a company that uses market strategy creator mengidentifikase way as the database and delivery of this competence and Amazon.com web design speed browsing and order products and combining efficiency, reduced prices and personal service. Amazon.com which was formerly only a small bookstore founded by Jeff Bezos with 7 employees in 1994 which is a company based in Seattle and entered the Internet market in July 1995. Currently Amazon.com, Inc.. Nasdaq-listed with: AMZN and is one of the Fortune 500 companies as well as Earth's Biggest Selection. Amazon.com, Inc.. trying to become the company the biggest customer-centered world, customers can find and discover anything you want to buy online and strive to give customers the possibility of the cheapest prices. Amazon.com is now selling a variety of products, giving millions of unique new products consisting of several categories, such as health and personal care, jewelry and watches, food, sports, books, music, DVDs, toys, electronics and office, toys and children and houses and plantations. Amazon operates several web sites to reach new markets, including www.amazon.com, www.amazon.co.uk, www.amazon.de, www.amazon.co.jp, www.amazon.fr, www.amazon.ca , and the Joyo Amazon websites at www.joyo.cn and www.amazon.cn. In 2007, net sales estimated at $ 14,263 billion with growth increasing 33% compared with 2006. Operating income is estimated to reach $ 675 million with growth reaching 74% compared with 2006.

BEST BUSINESS SCHOOL (3)

Fasting can make students become Annas, ie students who have high emotional intelligence. According to Daniel Goleman, emotional intelligence includes self awareness, self-regulation, motivation, empathy and social skills. Self-awareness of emotional awareness, self assessment and self-confident akuran. To increase awareness of the emotions that must be done is to find out more about yourself and why emotions can occur emotions, aware of the link between feelings with the thought, done and said, knowing how it could affect performance and has a sense of values and personal goals. Fasting can change the emotional outburst becomes soft and change the values and personal goals of greed became sensitive to the value and the target group in harmony and togetherness and pride turn into humility. Someone does not know the pain of being scolded, except those who had scolded. Someone does not understand the difficulties except those who had seized difficulties. Someone not familiar with subordinates well, except once a subordinate. Will not know the sense of disappointment, except for those who never disappointed. No not know failure, but that never fails. Similarly insensitive to poor people, but never become poor. Self-awareness on the use of our senses. Fasting can change the eye used for seeing things forbidden by the religion and see other people with a mocking eye that can see the wonders of God's creation, watching good deeds in order to mencontohkannya and saw the Book of Allah and Sunnah to read and review in order to get advice, warnings, instructions and benefits. Fasting can make a lying tongue, cursing others, libelous, defamatory, stabbing feeling of oral truthful and trustworthy, a good thing to teach, to give pleasure, to reconcile those who disagree and always remembrance of God. Belly full of gluttony and eating forbidden foods, as assumed in the capitalist economic system that had limited human passions melt into the belly up from greed and forbidden foods and reject evil and arrogance with which dituntunkan by God. "Allah SWT boasts to the angels, those who ate little. He said: Behold my servant. I tested it with food and drink in the world, he left for me. Persaksikanlah, O-My the malikat, no food left for him except I changed the degrees in heaven ", the words of the Prophet Shollallohu alayhui wa sallam.