Northern product suppliers netting profits online. (E-Commerce: Special Report).

Ever wonder how much of a return businesses get from having a Web site? Both. Party Novelties and McDowell Bros. in Sudbury have sites where one could shop without having to set foot in their stores.

Party Novelties is considered a small business located in Sudbury on the Kingsway. Initially, the shop owner and operator Doug Campbell produced a mail-out catalogue as a way of marketing his products. However, with cost increases and the changing or adding of new products, Campbell found it to be unprofitable.

"It would end up costing $10,000 to $15,000," he says.

Then he decided to try his business on the Net. He hired Website Service. Ca to make a basic Web site for Party Novelties at a cost of $4,000.

"It is an online catalogue," Campbell says.

"It can be easily updated and I can now reach customers who are in the rural areas."

Modifications have been made since the first Web page for Party Novelties was developed.

"We invested more in our software and found a major change in our (online) orders."

When the site first opened, buyers would order from the site and pay either in American or Canadian dollars, through a secure site. Then Campbell would have to place a call back to the buyer and inform the individual of the total amount of the purchase, including shipping costs. Now, the owner has included a link with Canada Post. This gives the buyer a total amount including delivery.

The monthly fee for keeping the Web site online is $60 a month, he says.

"It's not a lot. One or two orders and you have it paid off."

Campbell says he has had orders from Iceland, United States and Canada. These sales would have gone elsewhere had he' not developed a Web page for his business, he says.

Campbell has a few suggestions for individuals considering developing a Web page for their business.

1) Keep Web costs to a minimun until the site starts to generate some business.

2) Start with just a couple of pages then branch out if the business allows it.

3) Keep the monthly fees to a minimum. If, however, a business is selling a unique product, then more wiggle room may be required.

Such is the case with McDowell Bros. This company Sudbury-based company sells and rents equipment to the mining, construction and logging sectors. They also have a parts division.

"We service the heavy equipment industry," Tim McDowell, facilitator and export manager says.

Most of their business is done outside of Canada.

"We have sold equipment to businesses in Russia, in the Himalayan Mountains of Nepal, New Zealand, and Australia,"

"We have rentals in Mexico, the United States and South America,"

They rely on the Web site and Internet to make their business more efficient.

"Our first true sale from our Web page was from an American who lived in Florida," McDowell says.

"He saw we had a crane for sale. He never came up to take a look at it. He just wanted it shipped to Israel. That sale was worth approximately $60,000 American."

McDowell says' there is a lot inquiry from the site.

"We get about 12 inquiries a week."

To the company, that translates into an estimated 10 per cent in revenue through the year.

The first site for the company started in 1993 at a cost of about $700 to $800. Since then they have added new features that would be compatible with Java, so information could quickly be passed through the site.

"The last thing you want is a slow Web page," McDowell says.

He also emphasizes the need to keep the Web site current.

"There has to be a reason for people to keep coming back."

"We have rental machines there for two years." McDowell says.

And keep coming back they do. Most of McDowell's business is done through word of mouth. Clients have recommended others to the business. That was how they obtained a contract with the Braintree Weymouth Tunnels outside of Boston. It is a project to develop a three-mile long tunnel through to the Fore River in Quincy. Eventually the tunnel will be used for water systems in Massachusetts.

"These people are relatively new clients in our business."

Ultimately, McDowell believes the Internet and Web page have assisted in the success of their business.

"Every business must have a Web page," McDowell says. Otherwise, it is like telling clients and customers, "You're not in business."