OBSERVATIONS
The development of e-commerce is still maturing.
A friend writes: "We have contacted a hotel that needs
a deposit to hold a reservation, but they nly accept a giro
telegrafico! It is too difficult, costly and cumbersome for
us to do ourselves."
I google the hotel's name and while they do not have a website
of their own, they are mentioned on another site that says staying
there "will give you a sense of what the town was like
in years past." Indeed!
I wonder if they take Western
Union?
Another colleague who directs seminars for travel agents asks
if operators are working to ease the sale. Does the site have
online booking?
SHORTFALLS
Most transactions focus on an all-or-nothing approach. If you
click from Planeta to Amazon.com via a recommended book title,
we receive a commission. But if you consult our site and then
stroll to Amazon more than one click later, then there's no
transaction.
Likewise, many travel companies keep track of the direct links
from Planeta to their sites. By and large, the traffic is good.
But again, if you return to the site later to make a purchase
or if you recommend a business you saw online Planeta to a friend,
that "click" is not counted in the virtual realm.
Another shortfall of e-commerce is that is blind to the gift
economy. E-commerce does not recognize anything except a financial
transaction.
Be aware that the one-time big ad is more likely to fail than
a consistent small ad.
Says Bill Christensen, webhost of Sustainable
Sources: "It's a well known maxim in advertising that consistent
advertising does yield sales. So, though the advertiser
may not get a click through immediately (or ever), the fact
is that the message is being seen. The more it's seen, the more
likely the person who has need of the product or service offered
will think of that advertiser when the time comes to purchase."
DIRECT AND INDIRECT SALES
Sales can either be made directly (purchasing online) or indirectly
(purchasing offline), thanks to information on the Web.
PRACTICALITIES
Online banking remains complicated in developing economies.
Many small businesses do not have accounts online PayPal
or other electronic payment services. The potential of doing
business at the most basic levels remains untapped.
At a global level, we are still at a loss when it comes to
buying or selling airline tickets.
In 2001 Canada's dominant carrier, Air
Canada, registered only about 3 percent of its bookings
come through its portal "well under expectations." What did
the top execs suggest? Drive more business to its website.
While this measure may sound reasonable, it was an invitation
for failure. The Web should not be an end to itself, particularly
for those interested in travel.
The most effective travel operations combine Web and old-fashioned
telephone communication. Says one operator:
Many travelers call us with questions, when they
are on our site. I encourage potential clients to speak with
a "live specialist." Many still prefer calling a toll free number
answered by informative salespersons instead of sending an email
because it is more immediate. Some of us talk more than we write!"
If a travel website provides contact information, then it is
doing its job. If it does not -- -- and many websites in the
march toward e-commerce fail in this regard -- it stands to
lose clients. Travel operators and national tourism boards need
to provide the information travelers are seeking, or many travelers
opt for the easiest solution -- staying home.
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