46% B-to-B Websites Online 3+ Yrs are Profitable.Business/Technology Editors PETERBOROUGH Peterborough, city, Canada Peterborough, city (1991 pop. 68,371), SE Ont., Canada, NE of Toronto. It is at the falls of the Otonabee River, which connects, through the Trent Canal, with lakes Ontario and Huron. Settled early in the 19th cent. , N.H.--(BUSINESS WIRE)--MARCH 20, 2001 ActivMedia Research (www.ActivMediaResearch.com) - Experience plays a pivotal role in online profitability for B-to-B See B2B. websites. Data presented in the "Online Success Strategies in B2B (Business to Business) Refers to one business communicating with or selling to another. See B2B e-commerce, B2C and B2G. B2B - business to business Markets" study ($495) shows that 46% of B-to-B businesses that have been online for 3 or more years are profitable today. This compares to only 32% across all B-to-B websites regardless of the number of years online. Few B-to-B businesses (18%) sell directly at the website. However given that 43% of online businesses today have experienced a downturn Downturn The transition point between a rising, expanding economy to a falling, contracting one. downturn A decline in security prices or economic activity following a period of rising or stable prices or activity. in business since the advent of the 'Net, many more B-to-B businesses will start selling online over the next 24 months. Many B-to-B marketers are being forced to do business online as a matter of survival. B-to-B firms that are online veterans are less likely to have seen a decrease in business, probably because they came online early in the e-business (Electronic-BUSINESS) Doing business online. The term is often used synonymously with e-commerce, but e-business is more of an umbrella term for having a presence on the Web. cycle. Notably, B-to-B e-businesses are much larger firms than those in other sectors. This may be a contributing factor to their relatively slow adaptation to the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the . In contrast to the B-to-C See B2C. sector, most B-to-B firms do not expect their online business to ever exceed offline. Again, the most recent arrivals to the Internet are the most likely to believe this. They may feel that they were forced to establish a website and may not be ready to see that they can be successful online. Older firms, however, have established an online presence and have seen what the Internet can do for them. "Half of all B-to-B firms that do business both online and offline indicate that their online order size is smaller than offline orders," comments ActivMedia Research's VP of Market Research, Harry Wolhandler. "Another third find that the order size is the same. This provides little incentive for some B-to-B firms to develop their online business. Instead, cutting costs by conducting business functions such as purchasing online is another way to affect profitability margins. Whether a website is increasing revenue or cutting costs, the Internet opens doors to increased profitability." INFORMATION: http://www.activmediaresearch.com/online_success_strategies_seri.html ActivMedia's "Online Success Strategies" series of four reports can be purchased individually for $495 or as a complete set for $1,500. ACTIVMEDIA RESEARCH, LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control - The eBusiness Information Source Since 1994 |
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