Australian Online Population Reaches 40 Percent Penetration, But Ventures Slow To Capture Internet Revenue, Says Jupiter Research.Business Editors SYDNEY, Australia--(BUSINESS WIRE)--Nov. 13, 2000 Survival Requires Online Ventures to Realign re·a·lign tr.v. re·a·ligned, re·a·lign·ing, re·a·ligns 1. To put back into proper order or alignment. 2. To make new groupings of or working arrangements between. Business Models with Unique Value and Limitations of the Medium Jupiter Internet Commerce Forum-Australia-Despite Australia's current 40 percent online penetration rate--one of the highest in the world--revenue opportunities for both advertising and commerce have yet to materialize, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. new findings released today from Jupiter Research, the worldwide authority on Internet commerce. Jupiter analysts believe that the lack of market development, combined with the limited scale of the Australian market, represents a critical challenge for online players. Winners will shift business models to leverage the inherent benefits of the medium: targeted marketing and deeper relationships with consumers. Online Ad Spending Lags Within the Australian market, online access does not equate with revenue opportunities. For example, the online advertising market will reach AU$70 million (US$35 million) in 2000, but will represent only 0.5 percent of total advertising spending. In comparison, Canada, with online penetration of 42 percent, has 1.7 percent of the advertising market online; three times the impact in Australia. Online Commerce Follows Sluggish Trend Online commerce activity faces similar hurdles with only 12 percent of Internet users Internet user n → internauta m/f Internet user Internet n → internaute m/f in Australia expected to buy online in 2000, versus 40 percent in the US and 25 percent in Canada, according to Jupiter Research. The Australian market's lack of attention to online consumers appears to correlate with the relatively low online usage intensity of Internet users in Australia. The average user in Australia spent less than 10 hours online in August, versus US users who spent over 15 hours online, according to Jupiter Media Metrix's new Jx Intelligence report on Australia. "The status of online advertising and commerce is typical of the Australian market, where reluctance on the part of consumers and businesses has dampened the revenue potential that such high online penetration offers," said Guy Cranswick, an analyst for Jupiter Research, Australia. "Combined with the limited scale of the market and the flight of Internet traffic Internet traffic is the flow of data around the Internet. It includes web traffic, which is the amount of that data that is related to the World Wide Web, along with the traffic from other major uses of the Internet, such as electronic mail and peer-to-peer networks. to US sites, online players in Australia face a tremendous barrier to reaching profitability." Ventures Must Act Now to Leverage Value of the Medium With the market at a crossroad, online ventures must act now to adjust their business models to fully embrace the medium. "For publishers, it's not about mirroring US success, but changing the market's perception of what the medium can offer," said Cranswick. "They must refocus Verb 1. refocus - focus once again; The physicist refocused the light beam" focus - cause to converge on or toward a central point; "Focus the light on this image" 2. on business models that sell the value of the medium, including using site research to justify marketing online, selling the quality of audience, and working with advertisers to ensure the most appropriate placement. As for commerce companies, success hinges on broadening the consumer value proposition, by personalizing service and extending the relationship beyond a single transaction." Jupiter Internet Commerce Forum-Australia Jupiter unveiled this research on the Australian market at the company's inaugural Internet Commerce Forum-Australia, which opened today at the Hilton Hotel in Sydney. Featuring Tim Pethick, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , BTLooksmart; and Nigel Dews, CEO, f2, Fairfax Interactive Network; as keynote speakers, the forum will serve as a platform for opinions and insights from other industry leaders to address the region's rapid online advancement and the emerging range of next-generation services. Panels will address a wide range of issues covering Internet commerce, advertising, and programming. Speakers during the forum will include: Tony Faure, general manager, Yahoo! Australia & New Zealand New Zealand (zē`lənd), island country (2005 est. pop. 4,035,000), 104,454 sq mi (270,534 sq km), in the S Pacific Ocean, over 1,000 mi (1,600 km) SE of Australia. The capital is Wellington; the largest city and leading port is Auckland. ; David Spence David Spence VC (1818-17 April 1877) was a Scottish recipient of the Victoria Cross, the highest and most prestigious award for gallantry in the face of the enemy that can be awarded to British and Commonwealth forces. , executive chairman, Access1; Chris Chapman, CEO, Excite @Home Australia; Allison Deans, COO, eCorp; John Butterworth, managing director, Australia and New Zealand, 24/7 Media Technology Solutions; Raphael Chavan de Montero mon·te·ro n. pl. mon·te·ros A hunter's cap with side flaps. [Spanish, hunter, from monte, mountain, from Latin m , CEO, ozbooks.com; and Jason Ward Jason Robert Ward (born 16 January, 1979 in Chapleau, Ontario, Canada) is a Canadian ice hockey right winger who currently plays for the Tampa Bay Lightning of the NHL. Ward was drafted 11th overall by the Montreal Canadiens in the 1997 NHL Entry Draft. , managing director, DoubleClick Media Australia. Sponsors of Jupiter Events' Internet Commerce Forum-Australia include: nxgen wireless and e.piphany. About Jupiter Research Jupiter Research, a Jupiter Media Metrix Company (Nasdaq: JMXI), is the worldwide authority on Internet commerce, providing strategic analysis and insight to give businesses a competitive advantage in the complex and rapidly changing Internet economy The Internet Economy refers to conducting business through markets whose infrastructure is based on the Internet and World-Wide Web. An Internet economy differs from a traditional economy in a number of ways, including: communication, market segmentation, distribution costs, and price. . Jupiter Research provides its business-to-business and business-to-consumer clients with comprehensive views of industry trends, accurate forecasts and today's best practices all backed by proprietary and industry standard data. Jupiter Research services cover broad business issues and industry and region-specific topics, providing written analysis, supportive data and access to expert analysts. Visit us at www.jup.com for more information. About Jupiter Media Metrix Jupiter Media Metrix is the global leader in market intelligence for the new economy. The company delivers innovative and comprehensive Internet measurement, analysis, intelligence and events to provide businesses with unmatched global resources for understanding and profiting from the Internet. Jupiter Media Metrix brings together world-class, innovative and market-leading products, services, research methodologies and people. Jupiter Media Metrix brands include Media Metrix, AdRelevance, Jupiter Research and Jupiter Events. The Company is headquartered in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. and operates worldwide, across the Americas, Asia Pacific, Europe (as Jupiter MMXI MMXI Media Metrix Europe), and the Middle East. Visit us at www.jmm.com for more information. This press release contains statements of a forward-looking nature relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc future events or future financial results of Jupiter Media Metrix. Investors are cautioned that such statements are only predictions and that actual events or results may differ materially. In evaluating such statements, investors should specifically consider various factors, which could cause actual events or results to differ materially from those indicated from such forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. , including the matters set forth in Jupiter Media Metrix reports and documents filed from time to time with the Securities and Exchange Commission. |
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