Introduction - Online value proposition Contrast this with the approach many companies have taken which is simply to transfer their existing proposition to the online environment. The worst manifestation of this is the simple ‘brochureware’ sites which offer little more than an introduction to “who we are, what we do and where to find us” or sometimes simply “these are our products – take them or leave them”. This approach fails to take advantage of the unique properties of the online media such as its immediacy, interactivity and depth of content that is only limited by imagination and resource. Once an OVP has been defined, then e-marketers then need to work hard to clearly communicate this proposition online and offline. Furthermore, as for any proposition, they need to evaluate how well it resonates with its audiences and revise it accordingly. So, part of proposition development is identification of powerful messages to convey the proposition. Using both offline and offline communications to build usage of online channels will be ineffectual if the messaging is the all-too-common “Visit our web site @ www.company.com” or “Sign-up for our e-newsletter”! This article starts with current thinking on developing customer value propositions for brands and then describes the characteristics of a strong online value proposition and explores approaches to define and refine the OVP. Note: In WNIM Issue 29, we introduced my top ten corporate issues of e-marketing ( http://www.wnim.com/archive/issue2804/emarketing.htm). In this e-newsletter and subsequent e-newsletters, we will explore some of these issues in more detail. What is a customer value proposition? Development of a clear customer value proposition is now an integral part of customer-centric marketing, customer-relationship management and branding. A conventional view of the value proposition is provided by Knox et al. (2003) in their review of approaches to customer relationship management. They say a value proposition is: “an offer defined in terms of the target customers, the benefits offered to these customers, and the price charged relative to the competition.” Similarly, Rayport and Jaworski (2004) suggest that construction of a value proposition requires consideration of (1) Target segments, (2) Focal customer benefits, (3) Resources to deliver the benefits package in a superior manner to competitors. However, branding Follow

Everyone wants to optimize. If you’re like most companies, you have a laundry list of things you’d like to do with your site. You know instinctively that all the items on the list are of equal value. You know some might have more impact than others. You also know these items require different amounts of effort and resources. So the obvious question is, “Where do I begin?” You’re likely familiar with Maslow’s Hierarchy of Needs, which states that human beings must first prioritize basic needs, such as food and shelter, before they’re able to seek higher needs, like social interaction and self-actualization needs. What good is owning a Harley-Davidson or finding the perfect outfit for a trip to a club if you’re starving to death? Looking at your site in a similar fashion is extremely helpful. Since I first introduced our concept of the hierarchy of optimization last year, I’ve wanted to dig into it a little deeper: Taking a step back and examining the entire pyramid will help you better assess where to start or assist you in knowing exactly what you’re optimizing now. The hierarchy also gives insight into optimization’s potential impact. Let’s start at the bottom. Remember, the higher you go on the pyramid, the bigger the impact you’ll make on optimization. Also remember that the pyramid doesn’t indicate the level of effort needed to optimize, because this is as different from site to site as we are different from each other. The Hierarchy of Optimization Function is almost below the basics. Does your site have long periods of downtime? Do you deliver hundreds or thousands of 404s? Does your shopping cart constantly freeze up on visitors? Can users log in? Do images load? Is your site heavy on customer-facing errors? As a first order of business, work to make your site as reliable as the sunrise. Another aspect of function is making sure that back-end functions are also in place. We’ve worked with companies that were spending ample on marketing and great site widgets, but the back-end shipping process was broken, causing an embarrassing amount of orders to go unfulfilled. This isn’t sexy marketing; it’s Business 101. Why go through all the hard work to market and sell a $1,000 dress only to have the customer walk up to a dirty checkout lane with a broken cash register circa 1950? Having solid, clean user Follow