An American Love Story.com...Part II

Last issue, we discussed some of the problems and negative attitudes some retailers have about the Internet. Now letís approach opportunities. The Internetís opportunities are restricted only by imagination. Some examples:
*One of the biggest problems that is faced by the fishing tackle industry, in particular---but shared by many othersóis the growth of single-parent families. Even two-parent families canít find the time for leisurely shopping. Fishing takes a certain amount of expertise. Many customers donít want to appear like complete idiots in the store. If youíre a single mother and your son wants to go fishing, what precise equipment do you buy, where do you fish, are licenses needed? These are some of the questions that can be answered effectively over the Net. The retailer can ask all the right questions from someone who doesnít know exactly what is needed. Will the clerk even know exactly what the questions are? The problem here is that she would have to log on to a local retailer who knew the fishing conditions. Is it so far fetched to conceive of the day when fishing tackle wholesalers will sell over the Net? Regional and national jobbers know the local fishing conditions. Thatís their job.
*Why canít the tackle industryís association post a Web site to help people learn more about fishing? Come to think of it, why canít all the industryís associations set up Web sites to help consumers? Itís impractical to have dealer-locators and such. But why not ìGuide To Your First Ski Tripî? Or ìGuide To Your First Mountain Bike Rideî? Or ìGuide To Air Rifle Safety For Your Childî? This information may be available in print, but many consumers are tired of snail mail. They want the information to go shopping immediately. The Internet is spoiling all of us. Once we had to call a broker for SEC information on a company. Now itís at oneís fingertips. The same with sports.
*Years ago, a genius in the industry that only a few of us remember (John Lennox of Collegiate and Sport Chek), set up a kiosk in his stores in Alberta. The computer in the kiosk asked key questions that should be asked of any customer who wants to buy a pair of skis. The computer asked height and weight info, type of snow to be skied, level of expertise, who much the consumer wanted to spend, etc. It then spit the out a sheet with three skis in stock that precisely fit he customerís criteria. The day will come when someone will offer skis and bindings over the Net. Some e-tailer will offer the skis with custom cosmetics. Sublimation printing can accomplish that at a relatively cheap cost compared to a few years ago. The e-tailer need not be the shipper. A local ski shop can be a partner with hundreds of others around the country. One or more companies can do the graphics and ship the skis to the shops. When the customer gets his skis, there is the opportunity to sell boots, apparel, etc. The thing that differentiates e-tail from retail is the need for partnerships.
*On the subject of partnerships, a huge opportunity exists for buying groups. Their Web sites have a chance to create a brand out of the group of disparate names. Another partnership is with travel. Why not arrange sports vacations over the Net with qualified agents? Why not have your e-tail site link with tennis pros, golf pros, ski instructors, physical therapists? The list is only limited as your imagination.
Another area the Net will revolutionize is business-to-business relations. Buying groups and trade associations with their own Intranet will save thousands of trees. They wonít need to communicate by snail mail or fax, E-mail will replace the printed communications. Everything from votes on issues to orders can be communicated instantly by e-mail. The industryís groups will be looking at their fax bills and finding e-mail a great alternative.
How vendors communicate with their customers is already beginning to change. The day has come for vendors to be communicating about specials and closeouts directly to accounts. First retailer in is the first retailer to get the limited inventory. Already some reps in the field are able to find out inventory levels from their factoriesí warehouses. This will be available to retailers, who will be able to chase product. Think of the implications for the licensed product retailer in need of merchandise for a suddenly hot local pro team. The chase will be done on the Net, not the phone, and the orders will be placed from existing inventory. I suspect this ability will transition the business away from orders booked months in advance.
As we enter the 21st century, we are still doing business much the same way as in theí50s. There has to be more electronic communication between the retailer, vendor and factory. The ability to receive more precise ideas of sell-thrus and sudden demand will force factories and vendors into more automatic replenishment systems. E-mail is the small retailerís answer to the EDI systems of the major chains.
How this transition will affect the independent agent and the house salesperson is another question.