Construction Trade Professionals Poised for Increased Internet Usage; International Design and Construction Online Research Study Shows 90 Percent Will Increase Usage by 2002.

Business Editors, High Tech Writers

WASHINGTON--(BUSINESS WIRE)--June 7, 2000

Architects, interior designers and contractors are rapidly realizing that making the Internet an integral part of construction projects is a key to increasing industry efficiency.

Recent research conducted among these construction trade professionals (CTPs) indicates that 92 percent will increase their use of the Internet for business over the next two years.

"We think it will happen faster than that," said Joseph A. Boggs, FAIA, founder and president of International Design and Construction Online, who spoke at A/E/C Systems 2000, an industry trade show held here this week. "While the construction industry as a whole has been slow to embrace the Internet, it is clear that industry professionals recognize that Internet access and usage will be a key to their success in the future."

International Design and Construction Online, which operates e-IDC.com, a business-to-business e-commerce Web site for architectural, design and construction products and services, recently conducted research among nearly 400 CTPs with responsibility for product procurement. The purpose of the research was to assess current use of the Internet among members of the construction industry, determine unmet online needs among CTPs and the impact of the Internet on perceived efficiency within the industry. The research also sought to assess current methods of sourcing materials and suppliers, both online and off.

Among the research findings:

-- Currently, CTPs say nearly 17 percent of the equipment,

services and supplies they need to conduct business are

being sourced on the Internet. Architects source more

(21.5 percent) than do interior designers (16.5 percent) or

contractors (14 percent).

-- Companies that do business on a global basis were more

likely to say that Internet usage will increase "a lot" --

59 percent vs. 46 percent for respondents that do business

on a local or statewide level only.

-- Of those surveyed, 38 percent say they go online for

business purposes at least once each day -- interior

designers are the most likely to be online daily

(44.8 percent).

-- The broader the geographical reach of the company, the more

frequently CTPs go online to search for equipment and

supplies: 48.3 percent of companies that do business

globally vs. 32.6 percent for those that do business locally

or statewide.

"It is clear that the Internet offers significant opportunities for global construction-related companies to improve and expand their business," said Boggs. "Conversely, one could surmise that local, regional or national companies will be hard pressed to move to the next level without making effective use of Internet resources."

Finding Information is Key

Most respondents to the survey said a primary use of the Internet is seeking information, and, by far, most sought product information (76 percent). They also mentioned seeking specifications (30 percent), product purchasing (25 percent) and suppliers in a particular city (23 percent). Architects and interior designers are more likely to seek product information than contractors.

When asked which online construction industry-related sites were their favorites, in general, only one site won popularity points by more than 7 percent of respondents, with most sites getting less than 3 percent. "With hundreds of sites catering to various facets of the construction trades, there is no distinct leader yet," said Boggs, noting the high potential for e-IDC.com to achieve leadership status following its launch June 23.

The exception was sweets.com, which was mentioned by 22 percent of respondents, with 36 percent of architects calling it a favorite. The most plausible explanation for the popularity of sweets.com is the high penetration of Sweet's offline catalog. When asked their primary offline sources for information, 56 percent of respondents mentioned the Sweet's catalog. In the case of architects (82 percent) and contractors (60 percent), Sweet's was far and away their primary product information source.

Among interior designers, Sweet's was mentioned by 31 percent of respondents. This group relies on trade magazines (39 percent) and word of mouth (27 percent) as their primary sources.

"These numbers validate the wisdom behind our strategic arrangement with publisher McGraw-Hill to include sweets.com's resources in searchable form on e-IDC.com," Boggs said. "Our user community will be able to simultaneously search both Sweet's and catalogs from manufacturers to find products they need instantaneously.

Benefits of Internet Usage

When asked the primary benefits for using the Internet for business, respondents identified:

-- The ability to locate "hard to find" items and the ease of

downloading product specifications -- noted by 59 percent

and 58 percent of respondents, respectively.

-- More than 40 percent also said that breadth of online

product selection and the ability to find information on

companies in other cities were also important considerations

for Internet usage.

However, among global representatives, nearly 60 percent found that ease, speed and quality of communication with other contractors was a primary benefit of Internet usage. They cited being able to share drawings and plans with the entire project team, reduction in travel and the reliance on delivery services as further ways of improved efficiency.

Addressing those needs, e-IDC.com's services include free e-mail, access to project management software and the ability to use the Internet to revise and arrange same-day delivery of blueprints and engineering drawings anywhere.

"As construction becomes more national and even global, the ease and efficiency of communication will be of even greater importance," said Boggs. "An architect in New York working with an engineering firm in Chicago on a site in Peoria will be able to collaborate at Internet speed. That's the beauty of the Internet and the resources available to members of the construction industry."

International Design and Construction Online, with headquarters in Annapolis, Md., was established with the vision of being the most powerful source of information and e-commerce for the construction and design communities worldwide.

As a business-to-business e-commerce source, e-IDC.com offers: construction materials and contract furnishings; Sweet's comprehensive database of 25,000 product types and 1,600 manufacturers; product specifications and CAD drawings; turnkey RFP and bid processing; interactive access to architects, designers and contractors; searchable classified ads; and links to project management software. The site consolidates a broad spectrum of industry specific information including up-to-date information on construction projects for bid and RFP from F.W. Dodge. To learn more about the company and Web site, visit www.e-IDC.com or call 410-990-0926.