Introducing Collaborative Commerce Networks

<! ------------------ No Frames Version ---------> <BODY BGCOLOR="FFFFFF" LINK="660066" ALINK="0000ff" VLINK="006666"> <CENTER> <TABLE WIDTH="100%" HEIGHT="100%" CELLPADDING="0" CELLSPACING="0" BORDER="0"> <TR> <TD WIDTH="165" ROWSPAN="2" HEIGHT="100%" BGCOLOR="5544aa" VALIGN="top"><IMG SRC="../images/IntroCCN.jpg" WIDTH="165" HEIGHT="180" ALT="people networking = people making money" HSPACE="0"></TD> <TD WIDTH="40" ROWSPAN="2" HEIGHT="100%"> </TD> <TD COLSPAN="2" VALIGN="bottom"><TABLE CELLPADDING="0" CELLSPACING="0" BORDER="0"> <TR><TD WIDTH="270" HEIGHT="80"><FONT FACE="arial, verdana, helvetica, sans serif" SIZE="2"><I>If you are familiar with traditional affiliate programs, let us explain why a Collaborative Commerce Network provides a better way to maximize the value of available space on your website, allowing you to earn even more money!</I></FONT></TD></TR> </TABLE><BR> <P><FONT FACE="Times, Times New Roman" COLOR="006666"><H1>Introducing<BR>Collaborative Commerce Networks</FONT></TD> </TR> <TR> <TD WIDTH="450"><FONT FACE="arial, verdana, helvetica, sans serif" SIZE="2"> <H3> <BR> What is a Collaborative Commerce Network and how does it differ from an Affiliate Program?</H3> A Collaborative Commerce Network is different from an Affiliate Network because it emphasizes a strong partnership between the merchant and the affiliate - hence, affiliates are known as Web Selling Partners (WSP's). WSP's receive content and commerce--rather than banners--from participating merchants, branded for the affiliate. According to merchants interviewed for an October, 1999 Forrester study, click-through rates of 4% (six times higher than average banner click throughs) were achieved by embedding links within the content of the web selling partner site. <P>In current affiliate programs the conversion rate of click-throughs to purchases is 2%, which is no better than the conversion rate of banner ads, in spite of the prequalified interest of the viewer. Two reasons for this are weak context, and content separation. Weak context refers to links or searches that bring up irrelevant content, frustrating the user. Content separation occurs when the customer is kidnapped away from the affiliate site by a link to a merchant and loses sight of the content that led him/her to the merchant in the first place. These aspects of affiliate networks frustrate and confuse the user, disrupting the selling process. <P>In order to solve this problem, a "collaborative e-commerce", or keiretsu, model, must evolve in which the 'one size fits all model' of compartmentalized merchants with their armies of largely non-performing affiliates gives way to <B>keiretsu</B>. Keiretsu, or cooperative partnerships between firms, is the Japanese style of business where companies have many mutually beneficial business agreements. Keiretsu in the context of collaborative e-commerce means the marriage of content and merchandising, with media firms and retail firms contributing their respective specialized skills. <H3>Why are Collaborative Commerce Networks more effective than Affiliate Programs for merchants?</H3> Collaborative Commerce Networks increase the conversion rate of end users into buyers by enabling web merchants to exploit their core competency: merchandising their products. The ability to tailor an offer specific a particular Web Selling Partner segment increases the likelihood that the right message will get to the right end user providing a compelling reason to complete a transaction. <P>According to merchants interviewed for an October, 1999 Forrester study, click-through rates of 4% (six times higher than average banner click throughs) were achieved by embedding links within the content of the affiliate site. <H3>Why are Collaborative Commerce Networks more profitable than Affiliate Programs for Web Selling Partners?</H3> In an Affiliate Network, when an end user at an affiliate's site follows a link to a merchant, the affiliate has effectively lost that end user. The affiliate has no control over the experience their end user will have once they have left the site. <P>In contrast, when an end user clicks on a contextual link in a Web Selling Partner's (WSP's) site, they are not transported to the merchant's site. Instead, the end user is presented with a WSP branded site that contains content that may be contributed by either the WSP or the merchant, and they are presented with the specific product that the WSP has guided them to. For WSPs, this means they retain their traffic. <H3>What is the experience of the end user?</H3> Text links in the Web Selling Partner (WSP) site will direct the end user to a page known as a VirtualSite, which contains the commerce offering from the merchant, along with content from either the merchant or the WSP. The VirtualSite is branded by the WSP, providing the end user with a consistent and comfortable buying experience, in the environment for which they have an affinity. <B><A HREF="example.html">For an example of the viewer experience, follow this link.</A></B> </TD> <TD WIDTH="30%"> </TD> </TR> </TABLE> <P> <P> <BR> <FONT SIZE="1" FACE="helvetica, arial"> Collaborative Networks | <A HREF="beWSP.html">Become a Partner</A> | <A HREF="example.html">Example Site</A> | <A HREF="mercinfo.html">Info for Merchants</A><BR> <A HREF="index.html">COMMERCE NETWORK HOME</A> | <FONT COLOR="660066">Concentric.com</FONT> | <FONT COLOR="660066">SITE MAP</FONT> | <FONT COLOR="660066">SEARCH</FONT> <P><A HREF="../../../AskFirst.html">Copyright</A> © 2000 Rooster Graphics International. All Rights Reserved.<BR> </CENTER> </BODY> <! ------------- End of NOFRAMES Version ----------------------->