IT INDIA '97/COMDEX
|December 5, 1997||
Selling worldwide on the InternetR Vijay Shankar at Hotel Taj Palace
Just before the parallel conference sessions broke for lunch, Padma Chandrashekharan of the Satyam Software Group spoke on sales over the Internet.
Citing that $150 billion have been transacted over the Internet,
'Disintermediaiton' is possible, reducing costs towards distributors and agents where they do not add value, she pointed out. If a third party sets up the back-office information, management and merchants could set up storefronts for selling their ware.
Transaction powering must look at various aspects such as item description, sales tax, delay shipment charges, order system for buyer authentication and multiple languages, she said.
Chandrasekharan said business with a high degree of end-users buying like in travel and airline bookings are most suitable to go on the Internet easily.
Business-to-business market, maintenance and repair markets and products where there is a rapid fulfillment cycle are other areas well suited for business over the Internet.
The benefits of Web sales are in the creation of an alternative channel, even while improving the efficiency of the exiting channels, she said. The Internet, for the business world, truly empowers the customer and opens up new business opportunities.
The key technical issues in Internet business, according to Chandrashekharan, are the policy changes required for reform of the commercial code, security (cryptography), central authority for the payments and law for electronic payments.
Narendra Kumar, managing director, Nashsoft Systems Private Limited emphasized the importance of pricing on the Internet in view of the lower storage costs achieved through larger direct business over the Internet.
By being on the Web, he said, the products acquire a brand and this will be most important for a company wishing to sell products to get itself on the search engine.
Localisation in all languages worldwide, not only in the Indian languages, would be necessary for obtaining volumes in sales, he pointed out.
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