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Dublin City University MSc. in Electronic Commerce
Dublin City University MSc. in Electronic Commerce Business School & School of Computing Practicum Report for Crowding UP July 30th 2010 Authors: Eoin Corry Andrew Fitzpatrick Emmet McNally Gillian Reynolds 55352134 59211148 59211419 55501091 Declaration “We hereby certify that this material, which we submit for assessment on the programme of study leading to the award of M.Sc. in Electronic Commerce is entirely our own work and has not been taken from the work of others save and to the extent that such work has been cited and acknowledged within the text of our work” Signed:_______________________ Eoin Corry Signed:_______________________ Andrew Fitzpatrick Signed:_______________________ Emmet McNally Signed:_______________________ Gillian Reynolds 2|Page CONTENTS Executive Summary: ......................................................................................................................... 6 Chapter 1: Business Purpose .............................................................................................................. 8 1.1 Crowding UP Description: ....................................................................................................... 8 1.2 Outline of Services: ................................................................................................................. 9 1.3 Value Proposition: ................................................................................................................. 11 1.4 Advantages of Crowding UP: ................................................................................................. 12 Value chain for Crowding UP: ..................................................................................................... 14 Chapter 2: Business Model .............................................................................................................. 15 2.1 The structure of Business Model ............................................................................................ 15 2.2 Revenue Model:..................................................................................................................... 17 2.3 Facilitators ............................................................................................................................. 19 2.4 Growth Strategy..................................................................................................................... 19 2.5 Key Milestones: ..................................................................................................................... 21 Chapter 3: Market Research ............................................................................................................. 27 3.1 Market Analysis:.................................................................................................................... 27 3.2 Current & Future Trends: ....................................................................................................... 27 3.3 Growth drivers: Social media ................................................................................................. 31 3.4 Risk for Crowding UP: .......................................................................................................... 32 3.5Market Segmenation: .............................................................................................................. 39 3.6 Buyer Behaviour: ................................................................................................................... 44 3.7 Promotion: ............................................................................................................................. 45 3.8 Pricing: .................................................................................................................................. 48 3.9 SWOT Analysis: .................................................................................................................... 49 3.10 Pestel Analysis:.................................................................................................................... 50 3.11 Market Research Analysis: ................................................................................................... 53 Chapter 4: Competitive Review ....................................................................................................... 58 4.1 Porter‟s 5 Forces: ................................................................................................................... 58 4.2 Competitors: Competiton & Reward Websites ....................................................................... 60 4.3Social Media Marketing Companies:....................................................................................... 65 Chapter 5: Technology .................................................................................................................... 69 5.1 Web design Spec: .................................................................................................................. 69 5.2 Architecture for an Enterprise Web Application ..................................................................... 75 3|Page 5.3 System Security ..................................................................................................................... 76 5.4 User Characteristics ............................................................................................................... 77 5.5 System Functional Requirement: ............................................................................................ 78 Chapter 6 - Technical Solution ......................................................................................................... 82 6.1 Prototype: .............................................................................................................................. 82 6.2 Technologies Used: ................................................................................................................ 82 Chapter 7: Financial Plan ................................................................................................................. 89 Appendices: .................................................................................................................................... 93 Appendix 1 .................................................................................................................................. 93 Appendix 2 .................................................................................................................................. 96 Appendix 3 Client meeting .......................................................................................................... 99 Appendix 4 Focus Group Q&A.................................................................................................. 104 Appendix 5: Letter to Company with Social Media Presence ..................................................... 108 Appendix 6: Letter to Company Without Social Media Presence ................................................ 109 Appendix 7: Template for crowdingUP folders .......................................................................... 111 Appendix 8: Usability and website evaluation ............................................................................ 112 Appendix 9.1: Profit and loss forecast 2010 - 2011 .................................................................... 135 Appendix 9.2: Profit and loss forecast 2011 - 2012 .................................................................... 136 Appendix 9.3: Profit and loss forecast 2012 - 2013 .................................................................... 137 Appendix 9.4: Cash flow forecast .............................................................................................. 138 APPENDIX 9.5: Balance Sheet Forecast ................................................................................... 139 Minutes................................................................................................................................................140 References..................................................................................................................................... 151 4|Page Acknowledgements We would like to thank the following people for their help and support through the practicum: Our supervisors, Mr Patrick Mulcahy (DCU Business School) and Dr Markus Helfert (DCU School of Computing) who provided us with guidance and help. Dr. Cathal Gurrin (DCU School of Computing) for his advice and direction. The participants of our market research survey, for their time and feedback. 5|Page EXECUT IVE SUMMARY: The objective of this practicum report is to develop a business plan based on our concept of an online social media marketing company called Crowding UP. Crowding UP offers companies the opportunity to rapidly develop their online social media presence in a cost effective manner by offering a range of packages which can be tailored to a company‟s specific needs. We will create buzz or newsworthy events, videos, tweets, or blog entries that attract attention, and become viral in nature for client organisations. This will be achieved through competitions, online races, surveys and crowd sourcing. The main attraction of this website will be the prizes. These prizes will come from the client companies. Chapter 1: Business Purpose This chapter will outline in detail the various services that Crowding UP will provide to our clients. The chapter will also highlight the numerous benefits that our company can offer. Our value proposition and value chain will also be included in this section. Chapter 2: Business Model This chapter will detail both the business and revenue model. Within this chapter, we will also outline the phases that will affect the company during the initial three years of operation as well as the key milestones that the business will encounter. 6|Page Chapter 3: Market Research Within this chapter we will identify the current and future trends related to social media marketing and also highlight our target market. We carried out a SWOT and PESTEL analysis in order to understand the micro and macro factors that determine the attractiveness of the market in which Crowding UP will be operating in. Chapter 4: Competitive Review In this chapter, we established the key competitive players within the industry and we also carried out a Porter‟s Five Forces analysis in order to determine the attractiveness of the industry. Chapter 5: Technology This section will detail the website design spec. The chapter will also feature the architecture involved in this web application and also the system‟s functional requirements. Chapter 6: Technical Solution This chapter outlines the various technologies utilized in effectively creating the website. Chapter 7: Financial Statements Within this chapter, we will focus on important financial information. A cash flow statement and a profit and loss account will cover a three year period and will provide a detailed analysis of our income, expenditure etc. 7|Page CHAPTER 1: BUSINESS PURPOSE For the purpose of this document a “User” shall be considered to be a non business, non paying individual who enters the competitions on our site. A “Client” is a business organisation that can use our services to grow their businesses social media profile. 1.1 CROWDING UP DESCRIPTION: Crowding UP is a company that will be set up as an online social media marketing company. Crowding UP will create buzz or newsworthy events, videos, tweets, or blog entries that attract attention, and become viral in nature for client organisations. This will be achieved through competitions, online races, surveys and crowd sourcing. We provide a service to our business customers where we grow their social media presence by promoting their products or services on our website. Crowding UP will provide social network users the ability to win prizes and make money from interacting with our client businesses. This will in turn grow the social media fan bases of our client companies. Our mission statement: “To offer organisations the opportunity to rapidly grow their social network and build strong communication channels with their customers and provide them with long term social media fans that have an interest in their products and/or services. We aim to help our clients with all aspects of their social media campaign and by doing so, gain recognition and widespread acceptance as a viable and profitable marketing alternative for businesses. Our organisation aims to offer a high quality service and go above and beyond to offer paying clients any help we can provide. 8|Page We believe that developing and maintaining an effective social network does not need to be overly complex and that once an organisation is set on the right track, the sky is the limit.” 1.2 OUTLINE OF SERVICES: Most organisations know that they need to join the online social networking scene. Often they lack the tools and capabilities to develop a professional-grade network. Crowding UP offers organisations the opportunity to rapidly grow their social network. There are four main services that are provided by Crowding UP for client businesses. 1. The first service provides our clients with social media consultation and advice. We will sit with them through an informal meeting and discuss what is and what is not possible for them to achieve and identify what stage they are currently at in developing their social media network. We also use this as an opportunity to explain what our other services are that we provide. If we are unable to physically meet with the client then we will communicate through Skype as this system has many advantageous features that allow for virtual meetings. 2. Depending on the development stage of the client companies social network we will offer to create a unique Facebook and Twitter pages and a YouTube video for a product of their choice. The YouTube video will then be used for our third service. 3. The third service makes use of our online website. We will recommend once of our four contests for the client company to engage in i. A Competition 9|Page Users enter into the contest by fulfilling objectives such as becoming a fan of the company. The winner is then picked randomly at the end of the contest. ii. A Race Similar to a basic contest except it is the first person that achieves the objectives that wins. For example the first person to complete some task such as completing a riddle or developing a YouTube video of the client company and getting over 1000 views would win the prize. iii. Survey By completing a survey the user will be entered into a competition for the prize. Optionally clients can opt to pay users for completing their survey for increased entries. The winner is then picked randomly at the end of the contest. iv. Springboard. Organisations can crowd source projects and choose the winner. Example projects could include redesigning a logo or product or even writing a catchy song or poem. It is up to the client company to recommend a prize(s) that they would like to offer but a minimum prize value of €50 will be enforced to maintain a reasonable overall quality for the contestants. When a randomly selected winner is required we will record the draw on YouTube and publish it to our own Facebook and Twitter accounts. 4. The final service we then provide is ongoing helpful suggestions and support to client companies for three months and we also deliver the prize to the winner. Crowding UP also provides a service to its non-paying end users. We offer users a simple and straightforward system that allows users to enter into contests to win rewards. We have provided the simplest system possible where entering into a 10 | P a g e competition can take less than a few seconds or more than an hour depending on what the user would like to do. Creating an account is only necessary when a user wishes to claim a prize or upload content and the information required is kept to a strict minimum. 1.3 VALUE PROPOSITION: Our four services package is currently unique to the Irish and UK market. We recognize the fact that our business clients need fans that are of value to them. These fans need to be interested in the client company‟s product or service. Our contests ensure that contestants are interested in the product or service and it also provides the necessary incentive to get users to open communications with the client company. Companies can often spend thousands to millions on developing a social network. Small and medium sized companies can often not afford this. We offer a package that is under €1000. This package includes the necessary help and support to get a social media campaign off the ground and off to a good start so that our clients can then take on their growing social media campaign in-house. 11 | P a g e 1.4 ADVANTAGES OF CROWDING UP: Crowding UP has many benefits for both the website‟s end users and for the client businesses: Website End Users Convenience & Ease of use: Customers will be able to pick what type of contests they like and they can also search for particular products or services. Entry into these contests is as simple as is possible. We found from our focus group and from our usability tests that users are more likely to enter into a contest if they feel it is going to be quick and easy. Security: All user information will be kept securely on only one server. SSL encryption will also be integrated into the website in phase two of the websites development. Any use of the user‟s data for analysis will be kept strictly anonymous. Only when a user permits us to use their details will we publish any material on the site with their details. Business Clients: Increased Exposure: Businesses without a social media presence will have one created for them and businesses that already have a social media presence will have it fine tuned. Social Media is a valuable tool for generating awareness for a company‟s brand or product and also provides many opportunities for networking. With the support of Crowding UP our client companies will create much more effective social media campaigns. Our website is specifically designed to inform our users who are 12 | P a g e interested in a company‟s product/service about that product/service. When our site end users create comments about a client companies product or when they join their page as a fan it acts as great PR and avoids appearing as spam. Improved Customer Service: A Forrester report in 2006 found that "cost per action in customer support averages $12 via the contact center versus $0.25 via self-service options." (Forrester 2006, ReadWriteWeb). With our help client companies can develop an effective social media presence, improving communication with customers and thus improving customer support. This is a clear opportunity for client organisations to cut costs. Affiliate sales: We offer our end users of our site the opportunity to purchase any prizes directly from the client company if they have either failed to win a contest or they don‟t want to wait until the contest. This is an added medium for extra sales. Savings/Increased revenue: Crowding UP will be competitively priced. We aim to be cheaper than other social media consultants. Our survey and crowd sourcing (springboard) options ensure that client businesses are provided with new and insightful ideas from our users. These ideas can then be used to improve products or the company brand. “William Baker, a professor of marketing at San Diego State University, surveyed 1,600 executives and found that firms that rely heavily on external social networks scored 24 percent higher on a measure of radical innovation than companies that don't (Swearingen, 2008) .” 13 | P a g e VALUE CHAIN FOR CROWDING UP: Crowding UP will be based entirely online; the value chain below has been developed and tailored to our Company. Firm Infrastructure: Management of Information Systems Technology Development: Innovation - R&D, Security Enhancements Human Resource Management: Recruitment, Training, Payroll Procurement: Stock from Clients, website associated services/ equipment Inbound Logistics: Products from supplier clients Operations: Web design Transaction processing Database management Outbound logistics: Delivery of sponsored products to the end user Marketing and Sales: Promotions mix On-line and off-line advertising Service: Continued client support Online brand reputation management 14 | P a g e CHAPTER 2: BUSINESS MODEL Much like the most successful online companies Crowding UP pursues several related but different models concurrently. Crowding UP is not easy to classify because we have had to diversify our revenue streams, becoming a hybrid and thus ensuring we are cost effective. At the heart of Crowding UP we are a mixture of the traditional online advertising model and the social networking model. Our main goal is to sell advertising space on our site and then gather people together to talk to each other (for free) about the advertised product or service. Supporting companies and helping them develop a social media campaign is a secondary service meant to encourage them to advertise on our site and create revenue for our organisation. We are a high growth services organisation. 2.1 THE STRUCTURE OF BUSINESS MODEL Crowding UP‟s business model is based around the demand from businesses for new ways to attract users to their social media sites. There are many reasons why businesses want to attract fans such as increasing brand awareness, understanding their customers better and communicating directly with their customers. The Crowding UP contests are designed to cater for these business needs. The basic competition is a simple design meant to advertise a company‟s product/service. Users enter into these competitions by joining the advertising company site on Facebook or Twitter. This creates a reward system for fans that join their social network. The race is a more complex version of the basic competition. A challenge is issued to complete a certain goal such as bet the first to find and post a message on all the advertising companies‟ social networks. This creates interest in the 15 | P a g e company‟s social network. The Springboard is a crowd sourcing contest. This allows for a high level of collaboration between businesses and consumers, creating a mutually beneficial relationship. The survey offers companies direct access to their potential customer‟s interests and concerns. Creating these contests for client companies is where the main source of income will come from for the business. Supporting activities such as video creation, consulting and social media page development exist to entice and enable customers to purchase a contest on the site. For the initial six months all services will be free to help build up the number of client companies and the number of prizes for end users. A key component to the success of this business model is the involvement of the individual social media users. We have performed a focus group with potential end users and we have identified some important aspects that we have built into our model. Entering into contests will be kept as simple as possible ensuring that the sites end users only have to enter in the fewest clicks needed. It is also important to keep the prizes at a high level of quality and to ensure that the amount of prizes available to win is high enough to give every customer a realistic chance of winning. 16 | P a g e 2.2 REVENUE MODEL: Crowding UP‟s main source of income will come from the revenue generated from the four contests on the website. In the first six months of the sites launch no fees will be charged for contests. In the first three months the consulting and social media development services will be free. The consulting and social media development services bring in a slightly higher income then the contests at first but as the site grows and the consulting and development services are streamlined and the number of client business grow the contests will bring in the majority of revenue. In year one the consulting and development services will not be compulsory to maintain a reasonable turnover. Profit based on 100 contests in the year (Months 7 - 18) Contests* Survey (€30 each) €440 Springboard (€150 each) €2,190 Competition (€80 each) €1,160 Race (€100 each) €1,460 Advertising On Site Adverts Affiliate Linking** Consulting and Development Facebook, YouTube and Twitter pages including all images and videos. (€99 each) Paid Surveys*** €1,100 €1,065 €8,250 €2,616 GROSS PROFIT TOTAL €18,281 *Based on an equal division of each contest ** Based in a pessimistic price of €50 per product and 10% commission *** Based on 25 surveys in the year with 100 entrants in each survey 17 | P a g e Profit based on 270 contests in the year (Months 19 - 30) Contests* Survey (€30 each) €1,495 Springboard (€150 each) €7,470 Competition (€80 each) €3,985 Race (€100 each) €4,980 Advertising On Site Adverts Affiliate Linking** Consulting and Development Facebook, YouTube and Twitter pages including all images and videos. (€99 each) Paid Surveys*** €2,000 €3,200 €9,900 €5,520 GROSS PROFIT TOTAL €38,550 *Based on an equal division of each contest ** Based in a pessimistic price of €50 per product and 10% commission *** Based on 68 surveys in the year with 100 entrants in each survey Profit based on 330 contests in the year (Month’s 31 – 36) Contests* Survey (€30 each) €1,160 Springboard (€150 each) €5,815 Competition (€80 each) €3,100 Race (€100 each) €3,875 Advertising On Site Adverts Affiliate Linking** Consulting and Development Facebook, YouTube and Twitter pages including all images and videos. (€99 each) Paid Surveys*** €4,200 €2,310 €4,950 €3,865 GROSS PROFIT TOTAL €29,275 *Based on an equal division of each contest ** Based in a pessimistic price of €50 per product and 10% commission *** Based on 82 surveys in the year with 100 entrants in each survey 18 | P a g e 2.3 FACILITATORS Facebook, Twitter and YouTube Crowding UP aims to open communication channels and form strategic partnerships with Facebook, Twitter and YouTube. It will be necessary to at least have open dialogue with these three organisations as they are a key to the success of Crowding UP. A similar site in the US called AnyLuckyDay ran into difficulty when their Facebook account was deleted. The reason why is still unknown but it took the organisation three months to open dialogue with Facebook to begin discussing recovering their old Facebook account. Web Developers The long term plan of Crowding UP includes many difficult improvements on the site. Techno Systems in India has been sourced to help with the more difficult aspects that have occurred while developing the current site. It will be important to ensure that support form a reliable Web Development company is maintained. 2.4 GROWTH STRATEGY (B2C). The foundation of any business plan is to identify your share of the market. The growth strategy of Crowding up over the next three years has three phases. Phase 1 This phase begins with the development of the website with the least possible features in March 2010. To fund this initial development a loan of €10,000 will be taken out from the bank (AIB 5 year loan, €215 monthly repayment). Once the website is developed it will be launched in Ireland. This phase includes the development of the marketing and advertising strategy as well as the presentation folders and development of the social media fan pages. The Crowding Up brand will be created and nurtured and this phase will also the early development of the crowding up community. The business name will be registered and registered for tax. A business bank account will be created and the Paypal payment system will be used for the second six months of this phase. SSL encryption will be set on the website. The target number of client businesses is 100 SME businesses and the number of site users is aimed at over 3,000. There will be a high level of consulting and development with client businesses at this early stage in the business. Phase 2 At the beginning of this phase, the website will be reprogrammed in Joomla or Wordpress. The features on the website will be reassessed and any unsuccessful features on the site will be removed. Once the redesign is completed the website will be launched in the UK. Businesses will be able to develop their own contests on the crowding up website instead of having the contest being designed by Crowding Up staff. A payment service provider will be selected and integrated with the website The target number of client businesses is 250 SME‟s and 20 large businesses. The target number of site users is over 40,000. This is year 2. Business consulting services will be reduced to just virtual meetings. Social media development for clients will become optional with a maximum capacity of 100. Maximum capacity is expected to be reached. Masters in E-Commerce 2010 – Dublin City University Page | 20 Phase 3 Phase three will begin in the third year with the development of a new sub-domain for client businesses. Here they will be able to log into and review their own progress with their campaigns, user feedback and analysis. A community will be created here in the form of a blog and businesses will be able to discuss social media strategies and their success with their contests. The Crowding Up site will be redeveloped to focus more on the end users. Previous links for advertising and for client businesses will be removed and a single link to the new sub-domain will be created. The Crowding Up name and logo will be trademarked in the EU. The target for this phase is 300 SME‟s and 30 large businesses. The number of site users is expected to grow by 50% to over 75,000. Maximum capacity for the development of social media networks for client businesses is expected to be reached. 2.5 KEY MILESTONES: MILESTONES START DATE Phase 1 Begins END DATE 01/02/201 01/08/2011 01/03/201 01/08/2010 0 Website Development 0 Business Name Registration 01/03/201 N/A 01/03/201 N/A 01/03/201 N/A 0 Tax Registration 0 Business Bank Account 0 Masters in E-Commerce 2010 – Dublin City University Page | 21 Start-up Financial Investment Raised 01/05/201 01/08/2010 30/05/201 31/07/2010 0 Business Plan Completed 0 SSL Encryption 20/08/201 N/A 20/08/201 N/A 01/01/201 N/A 01/02/201 N/A 20/02/201 N/A 0 Website Launch in Ireland 0 Radio Advertisements 1 Dialogue with Facebook, Twitter and YouTube 1 Free 6 Month Period ends 1 100 SME's Achieved 01/08/2011 N/A 3,000 End Users 01/08/2011 N/A Phase 2 Begins 01/08/201 01/08/2012 01/08/201 01/01/2012 1 Phase 2 Website Development 1 Partnership Created 01/08/201 N/A 01/08/201 N/A 1 Name and Logo Trademarked in EU 1 Payment Service Provider 01/08/2011 N/A Consulting Services go Virtual 01/08/2011 N/A Website launch in UK 01/01/201 N/A 2 40,000 End Users 01/08/2012 N/A 250 SME's Achieved 01/08/2012 N/A Masters in E-Commerce 2010 – Dublin City University Page | 22 20 Large Client Businesses Achieved 01/08/2012 N/A Phase 3 Begins 01/08/201 01/08/2013 01/08/201 01/11/2012 2 Phase 3 Website and Sub-domain 2 75,000 End Users 01/08/2013 N/A 300 SME's Achieved 01/08/2013 N/A 30 Large Client Businesses Achieved 01/08/2013 N/A The following is how we have worked out our targets for both business clients and the websites end-users. Business Clients (Ireland) The most reliable source for statistics on business in Ireland is the Central Statistics Office Ireland. Not every enterprise in Ireland is applicable for social networking, for example farm enterprises and the construction industry. We have focused on industrial enterprises and the services sector as these are the most likely to engage in social media technologies and they are also the most likely to be able to provide a prize for contests on the Crowding Up website. The most recent count on the number of businesses in Ireland is from 2005. There are 3,879 small industrial enterprises and 995 medium and large industrial enterprises. There are 82,100 small services enterprises and 1,888 medium and large services enterprises (CSO, 2008). According to the latest Bank of Ireland statistics the number of enterprises in Ireland has continued to grow year on year even with the recent recession so these numbers can be taken as a conservative count (Bank of Ireland, 2009). Masters in E-Commerce 2010 – Dublin City University Page | 23 Small businesses (less than 50 employees) are easier to contact and are also easier to engage in business. According to the most recent Regus survey on business social media small companies are more likely to use social networking (SiliconRepublic, 2010). As a result of this we aim to engage with small businesses in phase 1. We have consulted with Focus Ireland and Fitzpatrick‟s Shoes on social networking and we have helped develop their social network profiles. For the first three years Crowding Up will employ only two people (parttime for the first year). We have found that the maximum number of companies that you can consult with is two a week due to the initial large workload required in the first week. The workload in the following weeks is minimal. Considering this we have decided to only consult a maximum of two businesses a week. “40% of businesses in Ireland use social networks to win new business, according to a new global survey commissioned by Regus. The survey also stated that 41% of companies in Ireland plan to devote a proportion of their marketing budget to social-networking activities by the end of 2010. 26% of these businesses have already allocated a part of their marketing budget specifically for social-networking. 44% of small companies have gained new customers through social networking, compared to 36% of medium companies and 28% of large businesses. The survey also found that the retail, media, ICT, marketing and consultancy were the sectors making the most use of social networking (InsideIreland, 2010).” With 41% of businesses planning to devote a proportion of their marketing budget we can estimate that potentially 35,000 small businesses intend on financing social media. This is the size of our market sector. With our limit on the number of businesses we can consult at 100 per year (104 excluding holidays) we feel that attractive 0.0028% of the market available will be very achievable year on year. Masters in E-Commerce 2010 – Dublin City University Page | 24 Business Clients (UK) In comparison to the number of Irish small businesses the UK is a much larger market. The UK online marketing sector is estimated to be worth £650m (SiliconRepublic, 2005). There are around 4.5 million business enterprises in the UK in 2006. 99.3% of these businesses were small (National Statistics, 2007). There are around 1.4 million small businesses around London. To keep currier expenses down initially we will target small businesses in and around London. We estimate that when we are consulting virtually with companies in the UK we will be able to maintain an additional 150 small businesses (on top of 100 Irish companies) and 20 large businesses. With such a large market available 170 clients in the UK is highly achievable for Phase 2. We aim to increase small businesses in the UK to 200 in Phase 3 and increase the number of large businesses by 50% as our reputation grows in the UK. 330 client businesses is the target for both Ireland and the UK in Phase 3. With any increase in this number of clients additional staff will be needed. Website End-users The end-users will be the key to success for crowding up. The more end-users we have the more companies will want to advertise with us. We have estimated that we will have at least 3,000 end-users by the end of Phase 1. On June 16th we set up a Twitter account and described our services. We have received over 40 messages of interest between then and the 1st of August. This was achieved with little effort on our part (16 tweets) and is an example of the interest that exists for our service. We currently have access to a network of over 500 Facebook users. Combined with Google Adwords and Facebook ads and Radio advertisements we believe that the goal of 3,000 users will be highly achievable in Phase 1. Phase 2 has a target of 40,000 end-users. This will be broken down to at least 8,000 users in Ireland and 32,000 in the UK. This will be achieved through the standard Google and Masters in E-Commerce 2010 – Dublin City University Page | 25 Facebook ads combined with the growth of our online profile and through press releases and through blogging. We have a target of over 75,000 end-users in Phase 3. Our closest comparison in Ireland is www.pigsback.com. Pigsback.com has been on Facebook for over 30 months and the Pigsback.com website takes in more than 30pc of all Irish online marketing spend (SiliconRepublic, 2005). It has over 11,000 Irish fans. It is our goal to match this number in Ireland in Phase 3. We also aim to double our UK End-Users to 64,000. Masters in E-Commerce 2010 – Dublin City University Page | 26 CHAPTER 3: MARKET RESEARCH 3.1 MARKET ANALYSIS: Over the last five years, social media marketing has grown exponentially and has become an integral part of many companies marketing strategies. It is considered a powerful tool as, if implemented and utilized correctly, it can prove to be a highly effective means of engaging, communicating and developing sustainable relationships with customers. Research has indicated that users who actively engage in social media are inclined to feel more valued by the company and in control of the relationship they have with that company. Statistics revealed that 33% of social media users believe that “companies are genuinely interested in them”. When social media marketing was compared with traditional marketing methods, it was made clear that consumers have developed a significant degree of cynicism towards traditional techniques, with only 9 % trusting companies to “act in their best interests” (Alterian, 2010). 3.2 CURRENT & FUTURE TRENDS: Masters in E-Commerce 2010 – Dublin City University Page | 27 We felt that it was important to understand the current trends that exist in relation to social media marketing as this will help us to be capable of offering our customers the most up-todate social media marketing tools. In a recent survey, it was highlighted that 88% of marketers use social media to market their business. However, many of the companies involved have only begun to use this method of marketing in the last few months. It was indicated that the reason for this is related to the time commitment involved, with an average of 20 hours a week required for an effective social media marketing campaign (Stelzner, 2009). Future Trends in Social Media: 2009 saw the growth of social media across the globe, websites like Twitter have grown to a size which was previously regarded as impossible, changes and advances in social media are happening faster than any other area online. A single year in the area of social media will see dramatic changes. Many companies have become acutely aware of social media and many companies are beginning to see a potentially high opportunity to profit from it. The major trends for 2010 appear to support the mobility of our favourite social networks, meaning that people are never far from their next social media fix. There has been a significant rise in the sale of smart phones, which is the main contributing factor in the mobility trend currently taking hold. Masters in E-Commerce 2010 – Dublin City University Page | 28 Twitter has become the most commonly used platform for companies to communicate with their customers, with two thirds of the Fortune 100 using at least one Twitter account. Twitter has recently announced that more than 2 billion “tweets” are posted each month (www.pingdom.com 2010) this reiterates the significance of this particular platform. (Burson-Marsteller, 2010) It is also expected that social media will soon become a more exclusive experience and will allow people to seek value from their chosen social networks, while filtering out the clutter on their Facebook and Twitter accounts (Armano, 2009). Foursquare is becoming a major social media platform its popularity in the US is on par with the number of active Bebo users in the EU. Foursquare is the next step in locational social media, users log in to locations and if they are very active in certain areas they can become a foursquare mayor, this has introduced an incentivized approach to social media. Crowding UP has foreseen this trend and therefore our business model will be based around this incentivized approach. Our competitions and crowd sourcing utilize this approach in the most effective way. Masters in E-Commerce 2010 – Dublin City University Page | 29 By following the current trends in social media marketing and analyzing the multiple success areas, Crowding UP will be in a position to take advantage of the future trends of social media marketing. A number of recent studies into social media marketing suggest that by 2011 organizations will have a specific social media marketing budget. Crowding UP sees this as a genuine opportunity to get a large number of companies onto our client list. The idea of in-house social media marketing is fading. For companies who seek to outsource their social media marketing Crowding UP will offer a wide variety of tailored social media marketing packages, and therefore taking advantage of future opportunities. Crowding UP‟s website is designed to be future proof. We can quickly and easily adjust settings and options to best reflect current trends i.e. our website will be constantly updated with interesting competitions and promotions. This will help us to maintain our active users, customer retention is particularly challenging online as users can easily change websites if they are not satisfied. Crowding UP is acutely aware of this and will work closely with our clients to be suit their needs. Masters in E-Commerce 2010 – Dublin City University Page | 30 3.3 GROWTH DRIVERS: SOCIAL MEDIA Forrester research has developed the above graph with forecasts for interactive marketing. Since 2008, expenditure on social media marketing has increased significantly compared to other forms of interactive marketing. This is one of the key growth factors of the popularity of social media marketing. The attitude of “you cannot afford not to be involved” is the best approach to social media for companies. The opportunity for companies to interact directly with their target markets is seen as a major change in how organizations communicate with the external environment. This has further fuelled the growth of social media marketing. The market is always watching, some companies have learnt the hard way you cannot simply ignore customer problems as a single person now has the power to communicate with the vast community i.e. bad news will spread faster than ever before. Many companies have acknowledged this reality and have developed an online social media presence, however many of these organizations are unsure as how Masters in E-Commerce 2010 – Dublin City University Page | 31 to maximize this, Crowding UP can work with these organizations and help maximize opportunities and advantages. Facebook has recently announced that it has over 500 million members. This has received a large amount of media coverage; the company is seen as one of the most influential social media companies ever. This has attracted numerous new companies to Facebook, the company is now seen as one of the best way to communicate with target markets. 3.4 RISK FOR CROWDING UP: As crowding up is based entirely online the company may be susceptible to a number of online risks, online fraud is now one of the largest areas for criminal activity. According to Dr. Akif Khan, Head of Client and Technical Services at Cyber Source Ltd and co-author of the Fraud Report, “online fraud represents significant revenue loss for merchants”. “It’s not just the cost of fraudulent orders that needs to be considered, but also the additional costs of rejecting valid orders, administration of fraud claims and paying for the maintenance of internal system” (IMRG, 2010). Other detrimental effects include the loss of customer trust and also the reputation of the firm being tarnished. While the likelihood of a malware attack is considerably high, we have found that Crowding UP will have sufficient controls in place to alleviate these risks. Crowding UP will attempt to mitigate risks by installing Norton on all their systems which provides comprehensive protection - blocking identified threats and helping guard PC‟s against all kinds of cyberthreats. In addition, Norton automatically updates itself to maintain protection and expand and refine its list of known threats. Masters in E-Commerce 2010 – Dublin City University Page | 32 Data Loss: History has proven that computers do eventually fail. However, we cannot be sure when this will occur. At a certain point in time, every company or individual will be faced with a nonfunctioning computer. The threat in this instance is the loss or corruption of data (Mailat, 2007). More than 40% of small businesses rank automated data backup and recovery as their primary IT need (Boodoosingh, 2009). The general rule for protecting data is if the loss of that data will impede with doing business, back it up. Software programmes can be easily reinstalled but recovering the details of correspondences, sales transactions and customer history is not viable if those files are damaged or lost (Centric Technologies, 2010). When data loss or corruption occurs, the only alternative is to restore data from a backup system (Mailat, 2007). Until a few years ago, the terms “data protection” and “disaster recovery” were typically associated with enormous budgets and an array of IT personnel to supervise the process. However, the current business environment of relatively inexpensive disks, robust software and hard drives allow businesses of all sizes to guard themselves from loss of data (Centric Technologies, 2010). There are two critical systems that have been identifies as the most important to Crowding UP. These are: Website Database The Website is identified as one of the critical systems because if the site is down then we cannot function. If the website is down for long periods of time then the customers will simply not return and take their business elsewhere. The website is hosted by a web-hosting Masters in E-Commerce 2010 – Dublin City University Page | 33 Company who needs to put the backup systems in place and redirects the customers to backup server in case the main server is down and website cannot be accessed. One of the most critical systems to Crowding UP is the database. The database hosts all the customer data: we need this data to do our analysis from. Loss of this data can be of a devastating nature to the company therefore the database has been identified as the most important system that needs to be backed up. It is also important to determine as to how long the systems can be down before the failure starts to cause serious damage to the company. As mentioned above the website is hosted by a third-party. Regardless, if the site goes down the customers cannot access it and will eventually leave the site (after a couple of tries most customers leave the page). As a result the maximum allowed time that the system can be down is only a few hours before it will seriously start to impact the company. The same applies to databases, should they go offline (in complete database failure all the data is lost and the company is left in a situation from which it is very hard to recover). As databases are the most central storage spaces for the customer data then in the case they are down the customer data will become impossible to store. Masters in E-Commerce 2010 – Dublin City University Page | 34 To prevent against malware and viruses Crowding Up will install Norton anti-virus on the computers within the company. o Global Virus McAfee (2010) Norton Provides: Antivirus Download Protection Antispyware Network Monitoring Bot Protection Root kit Protection Identity Protection PC Tune-up Norton™ Safe Web Norton Browser Protection Smart Firewall Pulse Updates Masters in E-Commerce 2010 – Dublin City University Page | 35 Exposure Probability of Loss Range Occurrence 1-5 Data Loss Low 4 Power Failure Low 3 Hackers Low 4 Malware High 3 User Error High 2 Lack of Training Medium 2 Below is a list of best practices for online security: (Symantec Global Internet, Security Threat Report Volume XIV, Published April 2009, Page 93) Crowding Up aims to follow these best practices to ensure the safe and efficient running of the business. Employ defence-in-depth strategies, which emphasize multiple, overlapping, and mutually supportive defensive systems to guard against single-point failures in any specific technology or protection method. This should include the deployment of regularly updated antivirus, firewalls, intrusion detection, and intrusion protection systems on client systems. Turn off and remove services that are not needed. If malicious code or some other threat exploits one or more network services, disable or block access to those services until a patch is applied. Always keep patch levels up to date, especially on computers that host public services and are accessible through the firewall, such as HTTP, FTP, email, and DNS services. Masters in E-Commerce 2010 – Dublin City University Page | 36 Consider implementing network compliance solutions that will help keep infected mobile users out of the network (and disinfect them before rejoining the network). Enforce an effective password policy. Configure mail servers to block or remove email that contains file attachments that are commonly used to spread viruses, such as .VBS, .BAT, .EXE, .PIF, and .SCR files. Isolate infected computers quickly to prevent the risk of further infection within the organization. Perform a forensic analysis and restore the computers using trusted media. Train employees to not open attachments unless they are expected and come from a known and trusted source, and to not execute software that is downloaded from the Internet unless it has been scanned for viruses. Ensure that emergency response procedures are in place. This includes having a backup-and-restore solution in place in order to restore lost or compromised data in the event of successful attack or catastrophic data loss. Educate management on security budgeting needs. Test security to ensure that adequate controls are in place. Be aware that security risks may be automatically installed on computers with the installation of file sharing programs, free downloads, and freeware and shareware versions of software. Clicking on links and/or attachments in email messages (or IM messages) may also expose computers to unnecessary risks. Ensure that only applications approved by the organization are deployed on desktop computers. Masters in E-Commerce 2010 – Dublin City University Page | 37 No Income Risk Range Duration Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Month 13 Month 14 Month 15 Month 16 Month 17 Month 18 Month 19 - 24 Month 25 - 30 Month 31 - 36 Year Starting From Year 1 Year 2 Year 3 No business Interruptions Major Business Interruptions Business Failure Masters in E-Commerce 2010 – Dublin City University Page | 38 3.5MARKET SEGMENATION: We are conscious of the importance of correctly identifying our target market. We are fully aware that by doing this accurately it will allow us to recognise and exploit opportunities and focus wholly on the interested segments of the market. In order to establish who are target market is; we found it useful to ask ourselves some pertinent questions including some of the following: What value can we offer to both companies and customers? What do we do differently and better than other social media advertising companies currently in operation? What do we have to offer that people would be willing to pay for? (Berry, 2008) By considering the above questions, it enabled the team to become fully aware as to what we believe are our strongest features and also determine the various benefits that we can offer our potential customers. Target Companies: Identifying the correct market segment to target our services at will be crucial to the success of Crowding UP. Recognising and focusing on our specific customer needs and requirements will enable us to build and maintain strong relationships and should lead to a successful business relationship for both parties concerned. During some of the initial market research that we conducted into how companies are currently employing social media advertising, we discovered that many small to medium sized Irish companies are either not using this method at all in partnership with traditional marketing means or they are not exploiting it to its full potential and therefore not reaping the Masters in E-Commerce 2010 – Dublin City University Page | 39 full rewards that can be gained by applying social media advertising to their marketing portfolio. We believe many companies are struggling to understand where to locate themselves in the new forms of digital communication channels. We feel that by targeting the companies with minimal social media marketing usage levels and explicitly highlighting the benefits of working with Crowding UP by advertising on our website, these companies will, in a relatively short space of time, garner a greater amount of brand awareness and as a direct result of this, an increase in the number of customers and sales. It is important to emphasise the importance of connecting companies with their customers and also how easy it will be to reach out to new customers and maintain these relationships by taking advantage of the viral nature of social media and working with Crowding UP. However, we will also target our services to a certain degree at companies that already have a social media presence. While conducting our primary research, we found that companies who already have an online and social media presence are more likely to show an interest and have a greater understanding of our business concept and are therefore more likely to engage with our services. Charities will also be a key component in our targeting campaign. From our research, we discovered that the majority of Irish charities such as Bubblegum Club and The Irish Red Cross have a poor or non-existent social media presence. Following an interview with Focus Ireland (see appendix 3), we plan to work with them on their marketing campaigns such as their “Key to a Home” campaign and provide them with a means of gaining a greater level awareness of the work that they are involved. Working with such a charity will also be beneficial to Crowding UP, as it should allow us to create a positive public image and gain exposure through working with a high profile charity. Masters in E-Commerce 2010 – Dublin City University Page | 40 We also plan to target businesses that will enable us to tailor prizes around specific events and festivals. Our aim is to work with companies who can provide prizes that would appeal to the event or festival clientele, for example, contact businesses that sell camping equipment in anticipation of the Electric Picnic or Oxegen music festivals or hotels and restaurants in the lead up to the Galway Races. We have set an objective of targeting one per quarter during out first year and progressive increasing this over the three year period. Target Users: We are also aware that we need to target the correct customers who will be willing to take part in the various competitions and other features that Crowding UP has to offer. We found that the largest segment of the population using social media networks lie in the 15-29 age group, closely followed by the 30-44 year olds. We would, therefore, be eager to target the 15-29 age group as this segment of social media users are more familiar with the numerous social media tools. Generation Z = 13-14 year olds Generation Y = 15-29 year olds Generation X = 30-44 year olds Baby Boomers = 45-65 year olds WWII Generation = 65+ (eMarketer, 2009) Masters in E-Commerce 2010 – Dublin City University Page | 41 In order to thoroughly endorse these statistics, we conducted our own survey in order to establish the type of user profile that would be interested in our in becoming active members on our website. Following our analysis of the replies we found that our core target users lie within the 18-24 (71.6% of respondents), followed by the 25-36 age group (24.3% of respondents). Furthermore, the majority of respondents were female (60.6%). Universities: There are a large number of universities and institutes of further education throughout Ireland. Each year these institutions set aside an advertising budget aimed at attracting future students. Our company will be able to provide a number of services to these institutions as social media is one of the most useful channels of communication for people aged between 15-29. Universities annually target students at the leaving cert CAO level, we will be able to help universities contact and interact with these students directly. Universities will be able to carry out surveys on these potential students, this will help universities to gauge demand for college courses and also determine the popularity of certain courses amongst the leaving cert Masters in E-Commerce 2010 – Dublin City University Page | 42 level students. Crowding UP can help universities to create a positive image amongst students at leaving cert level and also mature students returning to university, Crowding UP can help universities to use a more personalised approach towards promoting the university rather than the current mass media approach of radio advertisements. Market Share: In order to determine the size of our target user market we examined articles provided by the Irish Internet Association (Aileen O‟Toole, 2010). We discovered that there are approximately 1.58 million (see figure 3.1) Facebook users in Ireland as of May 2010, with most users visiting their profiles on average 2.6 times per day. With most users having an average of 124 friends, we would hope that the viral nature of our website will spread throughout Irish Facebook users. We believe that Crowding UP could potentially have a user base in Ireland of approximately 2000 by the end of first quarter in 2011. Figure 3.1 Masters in E-Commerce 2010 – Dublin City University Page | 43 3.6 BUYER BEHAVIOUR: Seasonality: If your product is seasonal, what else do they do during that season? Do they make their purchase during that season or in advance? Purpose: How will the product be used? Is it to be a gift for someone else? Will it be used by many people or just one? Frequency: How often do they purchase your product/service? How much of it do they buy at a time? Location preferences: Where do your consumers buy your product? At one particular store? Wherever they can find it? Through the mail? Online? Time preferences: When do your consumers buy your product? What time of day? What day of the week? What time of the month? What time of the year? Shopping preferences: Do your consumers shop around for the best quality, price, etc.? Do they buy it on impulse? Do they buy a lot of it at once or only buy it when needed? Brand preferences: Are your consumers loyal to a particular brand? What makes that brand their favourite? Does brand image play an important role? Purchase roles: There are several parties that affect the purchasing process: Influencers: Those that submit information, opinions, etc. to influence the purchase decision Decision makers: The person(s) who make the decision to purchase or not and which brand/company to use Masters in E-Commerce 2010 – Dublin City University Page | 44 Purchaser: The person who actually places the order or buys the product from the store, catalogue, etc. User: The person(s) who use the product once it has been purchased 3.7 PROMOTION: The promotional and marketing aspect of Crowding UP is another pivotal component to the success of the company in the long term. We plan to promote our company in a variety of ways, exploiting both traditional and online marketing techniques. Letters to Companies: We chose a traditional kind of marketing initially in the form of letters (see appendix 5 & 6) to gage the level of interest that we could potentially receive from clients. We created a general template and tailored them to suit each company. The letter outlined the benefits of social media marketing, followed by the features of our service. Although the letters were not as effective as we would have liked, we did receive some degree of interest from companies. Over a two week period we distributed 50 letters and received six emails from businesses who wished to obtain more information concerning what Crowding UP could offer them. Radio Advertisements: We have set aside a budget of €3000 in year one which will be used to promote the company through a series of radio advertisement on Spin 103.8. We chose this particular radio station as they target a similar age demographic as Crowding UP (15-34) (Spin 103.8, 2010). We contacted the company‟s direct sales manager, Garrett Gunnigle and we were informed that a starting point for a 15 second advertisement would cost €30. This would mean that over a two month period, Crowding UP‟s advertisement could potentially be replayed on the station up to 100 times, generating a high degree of exposure for the company, particular in the Dublin area. Masters in E-Commerce 2010 – Dublin City University Page | 45 Press Releases: We feel that working with charities such as Focus Ireland, will help us to develop a positive public image. We plan to issue press releases with the aim of attracting favourable media attention directed at both Crowding UP and the charity that we are working with at the time. We hope that the press release will form the basis of a positive news story and generate exposure for the company. Link Building: Link building will be an essential ongoing feature of website optimization which is needed on a monthly basis. We can increase the number of hits to our website if we can boost the amount of links that we have going to our site. This will be done vigorously on blogs, forums and websites that mention Crowding UP and the services that we provide and also the advertising campaign that we will ensue. Community: A website that appears to have good content and is of a high standard should reflect positively on the company. This is important as people search social bookmarks, blogs, message boards, and other sites that create a good reference to you. We aspire to have a high standard of news content within our blog, with daily updates. Google Analytics/ Google AdWords: Google Analytics now makes the features that experts demand easy to use for everyone. This program will enable Crowding UP to gain rich insights into its website traffic with Advanced Segmentation, Custom Reporting, Motion Charts and Google Analytics. These features can improve our website‟s online results and enable us to learn more about where our visitors come from and how they interact with our website. Google Analytics will assist us in finding out what keywords attract the most favourable results, what advertising copy Masters in E-Commerce 2010 – Dublin City University Page | 46 generates the most replies and what landing pages and content are most profitable for our company. Google Analytics has all the features you would expect from a high-end analytics offering. It also provides tightly integrated AdWords support, so you can view AdWords ROI metrics without having to import cost data or add keyword-tracking. By registering for an AdWords account, it is possible to use Google Analytics directly from the AdWords interface. Google Analytics also calculates ROI metrics from automatically imported cost and keywordtracking data. Google Analytics tracks all online campaigns, from emails to keywords, regardless of search engine or referral source. We plan on having an aggressive ongoing AdWords campaign to ensure, along with our SEO campaign, that we rank high with our keywords and our site is optimised both organically and paid search. This along with Google‟s Website Optimiser will enable us to find out which page designs, headlines and graphics convert the most visitors. It will also let us create custom reports for every aspect of the site and to see which pages are more popular than others (Bash Bosh, 2010). Online PR: We will invest a significant amount of time connecting with people who are interested in what we are doing. As we roll out new features it is important that both users and clients are made aware beforehand via optimised press releases and email campaigns. Online newsletter/ email campaign: This will enable us to bring our marketing strategy to a new level. Through Mail Chimp, we can monitor the progress of every email campaign, enabling us to find out what content our customers are reading and what users find appealing etc. Email campaigns are a great way to maintain the relationship with customers and connecting with them every month. Masters in E-Commerce 2010 – Dublin City University Page | 47 3.8 PRICING: During Crowding UP‟s first phase, we plan to charge a compulsory consultancy fee of €99 to each company. This consultancy service will be provided for three months, however a limited amount of help will be provided thereafter should the client experience any difficulties. We felt that this was an appropriate figure to charge clients, as our nearest Irish competitor, TravelShake, have a similar pricing structure. We feel that our low pricing structure will be an attractive aspect when promoting Crowding UP to potential clients. We will also be charging clients €1.20 per survey, with an initial set up fee of €30 for this service. Users will be paid €1.00 per survey completed, leaving us with the remaining €0.20. As the Springboard component of the business is relying on other people‟s skills and expertise to a large degree, we feel that it is fitting to charge €150 to each company for this particular service. The pricing thereafter will be charged as follows We will be charging clients €80 for the competition element of our services. The Race component will be charged at a price of €100. Advertising will be charged at a fee of €50 per spot. In phase one, there will be two spots available for companies to advertise their products and services, the second phase w Masters in E-Commerce 2010 – Dublin City University Page | 48 3.9 SWOT ANALYSIS: Internal Factors Internal Factors Strengths: Weaknesses: Crowding UP allows for direct contact with amount of effort required to marketing tools such as Facebook. complete competition tasks, i.e. Crowding UP can offer discussions and computer users, expert vs. feedback sessions on products and services beginner. Rate of return (ROR) could Our services will allow community initially be quite low as the members to become actively involved in company will have to generate a marketing campaigns and contests, for market presence and customer example, by creating a YouTube video, base. therefore helping to develop strong brand Level of expertise will affect the our audience by utilizing social media online. Companies are very protective awareness. about their brand image and Our services are highly cost effective and therefore may be reluctant to easy to tailor to client requirements when hand over their marketing compared to traditional marketing. management to a third party. We will offer our services free of charge Technical concept that may initially to our clients. prove difficult for clients to Crowding UP offers a range of services that understand. can help with the development of strong Website will have to be business relationships at a faster pace when manually managed until compared to businesses who do not embrace processes can become social media. Business relationships will be automated. stronger as problems can be addressed immediately. Our service will provide companies with an effective means of collecting important data Masters in E-Commerce 2010 – Dublin City University concerning their customers or potential customers by conducting online surveys Page | 49 External Factors External Factors Opportunities: Threats: Help companies with no social media experience to tap into the market businesses at the outset of the effectively. venture. Social media is currently one of the biggest online trends and is set to continue growing rapidly. Crowding UP will be well Slow uptake of users and Existing or start-up companies with a similar business model The concept is easily exposed to positioned to take advantage of this in competitors once campaigns are future. launched on our website. Our flexible business model will be easily The viral nature of social media adapted to other countries when we decide could allow for widespread to expand. negative comments to be easily The potential to reach out to certain market spread online, effecting both our segments where traditional media does not reputation and that of our allow you to. clients. 3.10 PESTEL ANALYSIS: Political: The Irish government has helped promote foreign direct investment in Ireland (FDI), many of these multinational companies have specialized in the high tech sector, because of this the Irish government has invested significantly in IT infrastructure, there are numerous grants available for start up businesses, these grants are seen as a key part to the creation of future jobs in our economy. This can be seen as a very positive environment to operate in, there are also high levels of knowledge overflows from universities into surrounding high tech businesses all of these factors are very positive for our business. Ireland does not face any Masters in E-Commerce 2010 – Dublin City University Page | 50 political unrest when compared to countries like Taiwan therefore Ireland can be viewed as a stable environment in which to operate. Ireland‟s Government has significant laws in place for the protection of intellectual property (IP), many countries do not offer this protection and some ideas may fall fowl to copyright infringements e.g. China which does not prioritize the protection of IP and this is a major cause for concern for foreign companies operating within China. Overall the Irish political environment is positive for our business. Economical: The current economic downturn has seen a large decrease of expenditure both individual and at company level this decrease has effected numerous businesses trying to operate, our business is able to offer our services free of charge for the first two months, following on from this we aim to offer a competitively priced services to our clients. Our aim is for businesses to see our services as an aid to their overall success; the product will be priced competitively to make buy in attractive. Currently in the Irish market there is no product which rival our business, this will allow us to be the market leader in this niche market. After the product has been a proven success in the Irish market it can be rolled out to other European markets. Social: The social factors include cultural aspects e.g. attitudes towards online activities etc, given the current economic conditions some individuals will have more time to spend on social media related activities. Research by the Irish Internet Association has shown that Facebook users are continually growing, social media usage is growing exponentially and other platforms such as YouTube and Twitter are also experiencing this large growth. Crowding UP will be in a strong position to tap into this large online community (Aileen O‟Toole, 2010). Masters in E-Commerce 2010 – Dublin City University Page | 51 Technological: Ireland has become a more computerized nation as has a strong computer literacy to overall population rate. The government has invested largely in IT infrastructure and also third level courses that promote IT. Experienced computer users will be at an advantage when using our services. However Ireland still lags behind other EU counter parts in relation to broadband, this may prove problematic to our business and the product relies on an Internet connection and access to e-mail. Some parts of the country have more access to the Internet than others e.g. West coast vs. East coast; this can be seen as a potential barrier to entry. However a large percentage of the Irish population will be able to access our services this should allow for a seamless website launch. Environmental: Our product should not be effect by environmental factors as it is a SAAS product, one factor which may pose a potential problem would be and internet outages, The Distribution System Operator (DSO) in Ireland, in compliance with the Commission for Energy Regulation, calculated that customers lost on average 132 minutes of electricity supply in 2008 (ESB, 2008). In their 2004 paper on International Reliability Analysis in Distribution Networks, Sumper et al estimated that Ireland ranked the highest in Western Europe for the number of minutes of electricity supply interruption at 235 minutes per annum. Complete power failures are not the only threat to computer systems. Transient power fluctuations, known as brownouts, can also lead to system crashes and these incidents account for 87% of all power disturbances according to Bell Labs (Sunday Business Post, 2003). These outages could potentially affect the consistency and communication between ourselves and our clients. There is a general shift towards environmentally friendly business and social media marketing reduces the need for paper based forms of marketing media thus reducing the Masters in E-Commerce 2010 – Dublin City University Page | 52 impact on the environment. Legal: Ireland has strong laws protecting intellectual property this is a significant advantage to our business in addition to IP laws Ireland has strong laws to protect consumers and businesses against any potential legal issues arising. Copyright infringement in Ireland is investigated and prosecutions occur when a guilty party if found. Therefore Ireland offers a safe legal environment in which to operate. The Irish patents office has a number of reports in relation to the copyright and IP. The website www.patentsoffice.ie details 3.11 MARKET RESEARCH ANALYSIS: In order to measure both user and business attitudes towards social media as well as establish our target market, we conducted a survey among random respondents. We distributed 300 user surveys (see appendix 3.1) and received 170 replies, by issuing 100 via email to a varied demographic and collected the remainder of responses from shoppers on Grafton Street, in the Dundrum Shopping Centre and Shop Street in Galway. We also issued a separate survey to various companies around Dublin. We carried this out by visiting numerous businesses around the city centre area and also by emailing the survey to several companies. We received 30 responses, which gave the group a positive insight into the current professional attitude towards social media. Survey Results: As already stated in section 3.3, by conducting the target market (user) survey we established that our target user base will reside in the 18-24 age group. We discovered that the majority of respondents would definitely or positively consider becoming active members on our website and enter competitions in order to be rewarded with suitable prizes (see figure 3.2). Masters in E-Commerce 2010 – Dublin City University Page | 53 The survey revealed that among the most frequent online activity is that of social networking, with almost 76% of respondents claiming to visit their Facebook or Twitter page (see figure 3.3). This encouraging statistic should provide us with an opportunity to exploit the viral nature of social media by advertising through social networks and targeting this age demographic. The survey generated a positive result overall, with most respondents reacting positively to our concept. Figure 3.2 Would you be interested in a website that rewards users with a sponsored product after completing a series of social networking and online tasks? 70 76 Yes No Maybe 24 Masters in E-Commerce 2010 – Dublin City University Page | 54 Figure 3.3 If you use the Internet, which 3 main activities do you conduct most often? 90 80 70 60 50 40 30 20 10 0 Email Social Networking Sites Search Engine The survey which we distributed to a variety of companies (see appendix 2) also produced positive and informative feedback. 70% of the companies that we surveyed have an online presence; with just 25% of these not availing of the benefits of having a company Facebook or Twitter profile. This would suggest that the vast majority of companies are beginning to understand the positive impact that social media can have on their business. We received a positive reaction from the companies surveyed with regard to how effective they find social media marketing in creating new business, with 46.7% selecting the above average option (see figure 3.4). For the companies who are yet to adopt social media marketing, we discovered that their main reasoning for this is due to a lack of knowledge and expertise, closely followed by many companies being unsure of the potential benefits (see figure 3.5). We would hope that we can target these companies and highlight the benefits that can be gained by adopting this new form of marketing. Masters in E-Commerce 2010 – Dublin City University Page | 55 Figure 3.4 How effective has social media marketing been in creating new business? 14.3 4.8 Excellent 9.5 Above Average Average 47.6 Below Average Very Poor 23.8 Figure 3.5 What are the main reasons/barriers for not adopting social media marketing for professional purposes? Please tick all appropriate. 60 50 40 30 20 10 0 Masters in E-Commerce 2010 – Dublin City University Page | 56 Focus Group: We conducted the focus group (see appendix 3) in order to gain a further insight into people‟s attitudes towards social media. We slowly introduced them to our business concept and garnered some valuable information such as their opinions on competition websites and filling out surveys online. We concluded that the quality of the prizes awarded to users could have a lasting effect on the brand and create brand awareness for the company for a significant period of time. It was also brought to our attention that the quantity of time spent by a user in completing social media tasks should be reflected in the quality of the sponsored prizes. We also discovered that cash rewards do not appeal to everyone and are sometimes not believable. One of our participants commented that “the novelty of entering into a competition is that you could win something that you wouldn’t buy yourself”, therefore a cash prize is not always desirable. Finally, we established that in order to entice people to complete surveys online, it must be made clear to them how long the entire survey process will take and what monetary benefit exists upon completion. Masters in E-Commerce 2010 – Dublin City University Page | 57 CHAPTER 4: COMPET ITI VE REVIEW 4.1 PORTER’S 5 FORCES: Bargaining Power of Customers: High As Crowding UP is primarily a B2B company the initial bargaining power of customers will be high. As our company grows its customer base the bargaining power for customers will begin to decrease. The more users we attract to our site the greater the level of brand awareness which can potentially increase demand for our customers‟ products and services. Switching costs for customers are very low, this could leave our company in a precarious situation as there is not obligation for customers to keep using our services. If the customers have the necessary resources they could replicate our service offerings, which would immediately remove the need to use our services. Bargaining power of suppliers: High Software suppliers such as web development companies will potentially have quite high bargaining powers, as Crowding UP may be dependent on the development of website components i.e. a delay in updating the websites add ons could cause the company to lose out on potential clients, thus having a negative impact on our business. Switching suppliers in the IT industry can be difficult and costly as our portfolio of services can be complex and can be extremely time consuming to change to an alternative supplier. Masters in E-Commerce 2010 – Dublin City University Page | 58 Threat of New Market Entrants: High Initial investment is quite low and there are no fixed costs these factors make it an attractive market thus leading to a high threat of new entrants. Our business idea has the potential to be reproduced and altered making it possible a large amount of similar companies. Threat of Substitutes: High There are many similar reward based websites such as pigsback.ie, and anyluckyday.com. Brand loyalty for these types of companies tend to be low as users have not switching costs, it can take less than 5 minutes to become a registered user on another website. This would lead us to believe that there is a high threat of substitutes within this industry. However, we would hope that with the now stagnant number of people using pigsback.com, we could entice this demographic with our new idea. Competitive Rivalry between Existing Players: Low-Medium There are currently a number of social media websites in the UK and Ireland which are similar to our business. However we feel we will be in a position to offer a number of new and appealing services such as the crowd-sourcing element of our business. A company that has a positive experience with us will be more likely to recommend us to other companies and likewise with users that have a positive experience, this viral marketing is more likely to happen in Ireland as the number of companies is lower than in mainland Europe. Masters in E-Commerce 2010 – Dublin City University Page | 59 4.2 COMPETITORS: COMPETITON & REWARD WEBSITES Pigsback.com is a rewards based consumer website that was launched in July 2000 by Michael Dwyer. In 2004, the company‟s turnover was €2.6 million, with a profit of €500,000 and claimed to have 185,000 active users in Ireland within four years of operation. In 2008, it was reported that Pigsback accounted for over 20% of the online display advertising market. By June 2005, Pigsback entered the UK market and experienced a considerable amount of success, with 670,000 registered by the end of 2008 (Mortimer, 2008). Its core demographic is represented by 23-35 year old females. When a user registers on the site, they receive 50 piggy points, which translates to 50 cent. The user can then build upon gaining more points by entering competitions and potentially winning up to 1000 piggy points. Subsequently, the user can enjoy exclusive offers, competitions and rewards. The rewards are generally in the form of vouchers, which can be spent in various retail companies such as A-wear, Xtra Vision and restaurants such as Dante Pizza and Gourmet Burger. Being a member of pigsback.com allows users to select an area of interest and enjoy benefits from offers and rewards based on them, shop online while also earning piggy points. It also gives users the opportunity to submit reviews and participate in forums, thus allowing them to become part of a community. Masters in E-Commerce 2010 – Dublin City University Page | 60 Strengths: As Pigsback is now a well established means of online advertising for companies, the website includes impressive rewards and prizes provided by successful and appealing companies. It is relatively straight forward to sign up and only general information is required from the user when creating a new account. Weaknesses: A poor level of customer service has been reported on numerous forums, with users having to repeatedly send emails in order to receive constructive feedback or assistance (Dooyoo, 2007). The website‟s usability is quite poor. For first time users, it is difficult to establish how the system operates and the site can look cluttered with a large amount of information and images presented to the user. The longer a user is a member of the site, the more difficult it becomes to gain points and at times, users have to contact customer services in order to remind them to continue to accumulate the user‟s points (Ciao, 2006). Masters in E-Commerce 2010 – Dublin City University Page | 61 This company claims to be the first competition portal in the UK. The website was launched February 1998. Loquax considers itself to be a singular access point to the thousands of competitions available on the Internet. It offers users an opportunity to become members of an active community, whereby they can enter competitions in order to win prizes. The company also provides users with a chance to shop online along with bingo and gambling sections. Similar to Any Lucky Day, the registration process is very straightforward requiring the user to enter basic information. There is a wide variety of competitions available and these are updated every day. The competitions are divided into numerous categories, according to the type of prize on offer, for example, fashion or sports prizes. Strengths: The main advantage of this site is that it is a one stop centre for thousands of competitions. The quality of prizes appears quite high, with many satisfied winners. There is no subscription fee, which encourages users to register and enter competitions. Weaknesses: The site is not well designed and a complicated layout exists. It appears quite basic and is not aesthetically pleasing. It has been reported that occasionally invalid links occur as well as subsequent junk mail once a user has registered with the site. Masters in E-Commerce 2010 – Dublin City University Page | 62 UK Competitions was launched in November 2001. It is a directory of UK based, free to enter competitions. The competitions are listed from a variety of sources and are updated daily. The website offers companies an opportunity to advertise their brand, product or service to UK Competitions registered members. Companies can advertise across the site and also in a weekly newsletter which is sent to members. It is also possible for members to sponsor a section of the website for a specified period of time. The competitions are categorized into various groups, including health, lifestyle and arts and crafts. Strengths: This website advertises an impressive amount of competitions and prizes. A large variety of categories are available to users, suggesting that there is something of interest for all members. Weaknesses: The website‟s usability is quite poor and could be improved immensely. The homepage is presented in cramped and cluttered manner, which may deter visitors from returning to the site. This website does not directly work with the companies who provide the prizes; it simply provides a link to the company‟s website. Therefore, it does not establish and maintain relationships between both the website user and the company involved. Masters in E-Commerce 2010 – Dublin City University Page | 63 Freebieholics is a UK based website launched in 2001 that shows visitors to the website where they can find free products and services. It is said to have over 35,000 active members. The free products and services range from vouchers and beauty products to CDs and movie tickets. Competitions are also listed for members to enter into in order to win prizes. It also presents members with the option of earning money by reading companies advertisements through emails and commenting on them. Strengths: The site offers a substantial amount of options for each member including “Freebies”, “Discounts”, “Competitions” and “Webmasters”. Weaknesses: The websites usability is quite poor, with a considerable amount of information displayed on the homepage and on other areas of the website. This makes navigation a more difficult and time consuming process. The registration process is a long winded process, which can prove off putting for first time users. Users are also expected to continuously sign in again when entering back into the member‟s area. Masters in E-Commerce 2010 – Dublin City University Page | 64 4.3SOCIAL MEDIA MARKETING COMPANIES: TravelShake Social Media is a relatively new, Irish owned company established with the assistance of the Irish travel and tourism industry. The company owners believe that social media will soon be a crucial component of marketing strategies for all travel businesses. TravelShake‟s main objective is to help companies gain a competitive advantage over their competitors by creating and maintaining accounts on the most prominent social media website. According to the company‟s website they aim to: Manage updates and fans on the clients chosen social media websites. Produce digital travel and accommodation videos. Develop social media strategies and campaigns (TravelShake Social Media, 2010). The company has a starter pack which sees clients being charged a rate of €99. This provides the client with some of the following features: Unique Facebook, Twitter and YouTube accounts for the client. TravelShake helps to create a high impact immediate professional pitch to suit the client TravelShake will optimise your Professional Photos/Logo TravelShake will tag the client‟s profile with keywords relevant to the business. TravelShake will provide clear and expert training and usage guidelines (TravelShake Social Media, 2010). Masters in E-Commerce 2010 – Dublin City University Page | 65 Strengths: The company‟s website is very well laid out and organised. Users can quickly establish the purpose of the website as the company‟s objectives are clearly expressed. TravelShake are charging quite a modest amount of €99 for a substantial number of services. It will be important that Crowding UP can at least match the number and quality of services on offer by this company. Weaknesses: TravelShake are specialising within the travel and tourism industry only, which significantly narrows their prospective number of clients. We feel that as Crowding Up is not restricted or tailored to one particular industry, we have the potential to reach out to a larger audience and gain greater exposure through the viral nature of social media. Masters in E-Commerce 2010 – Dublin City University Page | 66 Channel-ship social media is web agency based is Dublin the companies‟ customers are based in Ireland, UK and USA, the company has three main services, and they are; Web Design and development: Channel-ship focuses on usability and professional website design. Internet marketing: Channel-ship offers tailored Search engine optimisation services and pay per click advertising. Social media training and strategy for business: The Company offers social media training to companies; they work closely with the clients to develop a social media strategy. Strengths: Channel ship social media is developing a strong online presence by offering webinars and offer some free advice through the use of YouTube and also their own website. By offering social media courses the clients remain in control of their social media campaigns and can use their newly developed knowledge in whatever way they like. Weaknesses: Channel ship social media could be potentially reducing its revenue flow by offering courses instead of an ongoing consultancy service. The consultancy service would ensure a continued revenue flow as clients would be under contract for a specified length of time, rather than just paying a once off fee. Masters in E-Commerce 2010 – Dublin City University Page | 67 Jump start marketing is an Irish based web marketing and web Design Company with its central office is in Nenagh, Co. Tipperary. It offers a full suite of Internet marketing services. Jumpstart Marketing aims to provide low cost / results driven web marketing solutions for their clients. The company also has offices in Naas, which allows it to focus resources on the Dublin region. The company offers a range of services which include; Search engine optimisation Pay per click advertising Web design Strengths: The company offer a wide range of products and services and therefore clients can use a single company for their multiple online needs. Weaknesses: The company does not tend to focus strongly on social media marketing instead it works in a number of areas which have been in existence for quite some time. Crowding UP offers many more social services. Masters in E-Commerce 2010 – Dublin City University Page | 68 CHAPTER 5: TECHNOLOG Y 5.1 WEB DESIGN SPEC: While conducting research on our business idea we developed a detailed spec of what we wanted on our website and our views of what our users required. On examining other similar websites features we proposed to include the following features on our website. Home Page Registration/Login (Stay logged in feature) Sign up (Username, password, social networking sites that they are on, age etc.) Featured Competition/race/crowd sourcing project/survey How it works (Moving Image and Link to How it works page) Site Comments (Comment are to look similar to twitter comments) We have since used the disqus commenting system for this as it enables customers to uses openID, Twitter and Facebook to login. Search View competitions/races/crowd sourcing projects/surveys Prizes and Points Contact us Contact us now for business clients o Email, phone and comments box. Search By Category o Competition o Crowd Sourcing Masters in E-Commerce 2010 – Dublin City University Page | 69 o Race o Survey By product Registration Name Age Address (Optional) Username & Password Email Address Use information for marketing purposes checkbox Competition Page Company Details (Web Address, name etc.) Prize Product Name Description Rating Points Video (Self loaded or Youtube option for admin) Pictures Comments o Disqus Number of entrants Changed to manual entry for the points but will be automatic in the future Entry Requirements Enter now Masters in E-Commerce 2010 – Dublin City University Page | 70 Duration View similar competitions Back to previous page Logo Link to Social networks they are a part of Admin option to pick winner Search Crowd Sourcing Page Company (Web Address, name etc.) Prize Product Name Description Spec Rating Video (Self loaded or YouTube option for admin) Pictures Comments/Questions for company client Number of entrants Entry Requirements Enter now Upload multiple Images/Documents/videos etc. Preview Images/Documents See what other entrants have uploaded Rate other entrants work Duration View similar competitions Masters in E-Commerce 2010 – Dublin City University Page | 71 Search Back to previous page Logo Link to Social networks they are a part of Admin Option to pick Winner Race Page Company Details (Web Address, name etc.) Prize Product Name Description Rating Points Video (Self loaded or YouTube option for admin) Pictures Comments – Admin Notification Number of entrants Entry Requirements Enter now Duration View similar races Back to previous page Logo Link to Social networks they are a part of Admin option to pick winner Who are the top 5/10/20 closest to winning the race Search Masters in E-Commerce 2010 – Dublin City University Page | 72 Survey Page Company Details (Web Address, name etc.) Prize Product Name Description Rating Points Video (Self loaded or YouTube option for admin) Pictures Comments – Admin Notification Number of entrants Enter now Duration View similar Surveys Search Admin option to pick winner Back to previous page Logo Link to Social networks that the customer is a part of o Results of survey will be sent to admin to compile o Admin will then send results to client My Account Page Points balance Picture Social networking links Contact Us Page Masters in E-Commerce 2010 – Dublin City University Page | 73 Site improvements section Name address comment etc. Email phone etc. Links to our social networking site pages How it Works Page 1,2,3 Steps Benefits Why we are free Site security Images Videos Business Client how it works page Customer Client how it works page Links to different parts of the site Step by step guide Points Page Show the clients points if logged in Show prizes available for points Prize Rating (5 stars) Prize Ranking Admin Options Turn on/off Competition category types across the website Add in new pages with images links etc. (All the basics) Create competitions (Competition, Crowd Sourcing, Race, Survey) Monitor and edit/delete all comments posted Masters in E-Commerce 2010 – Dublin City University Page | 74 Turn on/off advertising throughout the site Ability to change graphics Extras Google Analytics Good Search Engine Optimisation Clean coding o This is the initial design of the site (Phase 1). Pending on its success other phases will follow. 5.2 ARCHITECTURE FOR AN ENTERPRISE WEB APPLICATION A modern web-based enterprise application has four layers, as shown in: A Client Layer which renders web pages A Presentation Layer which generates web pages, including their dynamic content. It interprets web pages submitted from the client. A Business Logic Layer which enforces validations and which handles interaction with the database A Data layer which stores data between transactions Figure-5.2.1 Masters in E-Commerce 2010 – Dublin City University Page | 75 The proposed application will be made in PHP and MySQL. It uses an open source web application called code ignite. 5.3 SYSTEM SECURITY Security is becoming increasingly important as more networks are connected together. Organization‟s assets must be protected, particularly its databases, which contain your project‟s valuable information. Security is one of the critical features of a database engine, protecting the enterprise against myriad threats. The three essential components of this initiative are: Secure by design: Software requires a secure design as a foundation for repelling attackers and protecting data. Masters in E-Commerce 2010 – Dublin City University Page | 76 Secure by default: System administrators should not have to work to make a fresh installation secure; it should be that way by default. Secure in deployment: Software should help to keep itself updated with the latest security patches and assist in maintenance. 5.4 USER CHARACTERISTICS There will be two types of users in the system. Administrator: This user will be the owner of the system. He/She will have entire control over the operations of different areas of Projects. User: There will only be one user type. In the long term there will be business and user. Specific Functional Requirements Administrator: Administrator can manage featured content on the home page. Administrator can manage the competitions. They can alter videos, testimonials and competitive ratings. Administrator can manage the race competitions and testimonials associated. Administrator can manage the Springboard competitions, testimonials and entries. Administrator can manage the surveys and add, delete and alter surveys Administrator can manage the points system on the site. Administrator can manage the prizes on the site. Administrator can control the competition, race, springboard and survey categories. Administrator can control the static contents through the CMS. Masters in E-Commerce 2010 – Dublin City University Page | 77 User: Users can register at the site. Users can search the website. Users will be able to login their user name & password. Registered Users can create & edit their profile & can also upload a profile image. Registered Users can also upload images, videos and documents in the crowd sourcing section of the website. Registered Users can rate competitions. Registered Users can ask for rewards provided they have the specified number of points accumulated. Users do not need to be registered to enter the contests. They just need to comment and say that they re-Tweeted and/or joined the Facebook fan page to enter the competition. 5.5 SYSTEM FUNCTIONAL REQUIREMENT: User Panel (Front End) Home At the top of the home page we will have two boxers. The left box will have a featured contest box which can be changed by the admin to display different competitions we want to feature. The right side box will have a how it works sections for that relevant competition. Underneath this we have the categories section and the blog posts. Masters in E-Commerce 2010 – Dublin City University Page | 78 On the right hand column we have a box for users to login to the site, advertise on the site, a prize and points section and a Facebook like module. A module box for email updates is also available. Registration Users can register on the site. Details required are included below: First name Last name User name Email address Password Retype Password How did you hear about us?(Optional) Features common to all Registered and Non-registered user Search & View competitions Contact Us The users can search the website with the quick search The „Contact Us‟ section will allow the tool by the following options. user an opportunity to post their queries. By category By product By the number of entrants By the amount of points All the information will automatically reach the administrator‟s mail ID. About FAQ This will contain details on what the website does. All the FAQ related to the site will be displayed here. Privacy Press Masters in E-Commerce 2010 – Dublin City University Page | 79 Privacy details will be displayed here. Information and press releases about CrowdingUP will be displayed in this Section. Sponsors Terms & conditions This will display a detailed section of all the sponsors The terms & conditions of the site will that we have had on the website. Be displayed here. Company information and advertising The information of all the advertising companies will be displayed here. Features common to registered users Login My Profile Registered users will be able to login with their Registered users will be able to view & edit their profile information. They can also upload their profile image and social media accounts. username & password. The login section will be on the home. The „Forgot Username/ Password‟ link too will be there. Springboard uploads Competition Rating Registered Users can also upload images, videos and Registered Users can rate competitions. documents in the crowdsourcing section of the website. Masters in E-Commerce 2010 – Dublin City University Page | 80 Prizes Categories Registered Users can ask for rewards provided The categories can be managed from here. Administrator is able to add and they have the specified number of points accumulated. edit the categories. The administrator also has the option to set a particular category as inactive. Manage competitions CMS Admin will be able to manage all the competitions The static content of the site such as FAQs, from the admin section. About us, Help, Terms & Conditions can be controlled from here. Masters in E-Commerce 2010 – Dublin City University Page | 81 CHAPTER 6 - TECHNICAL SOLUTION In this section we will describe in detail the prototype we have developed and the future design aspects of it. 6.1 PROTOTYPE: We considered designing the site in wordpress and later Joomla but picked an open source web application framework called code igniter. This enabled us to develop a custom content management system for the website. The initial design for the home page was too cluttered and after doing some usability research (in appendix) it was altered based on feedback. The structure of the website is split into different areas. The main body of the site features our competition(s) while on the right hand column access to login, advertising information, and social media plugins are located. This layout is common throughout the competition pages. The layout of the static cms pages (faq, about us, terms and conditions etc.) is relatively simple as they need to be clear and concise. 6.2 TECHNOLOGIES USED: The project will consist of. On the Client side we will use the following HTML CSS Masters in E-Commerce 2010 – Dublin City University Page | 82 PHP MY SQL Server Processing Apache SQL MySQL Databases 6.3 Testing: We used the following guidelines to test the website to ensure it was functioning properly in all areas. 1. Functionality: 1.1 Links Objective is to check for all the links in the website. 1.1.1 All Internal Links 1.1.2 All External Links 1.1.3 All mail to links 1.1.4 Check for orphan Pages 1.1.5 Check for Broken Links 1.2 Forms: Test for the integrity of submission of all forms. 1.2.1 All Field Level Checks Masters in E-Commerce 2010 – Dublin City University Page | 83 1.2.2 All Field Level Validations. 1.2.3 Functionality of Create, Modify, Delete & View. 1.2.4 Handling of Wrong inputs (Both client & Server) 1.2.5 Default Values if any 1.2.6 Optional versus Mandatory fields. 1.3 Cookies: Check for the cookies that has to be enabled and how it has to be expired. 1.4 Web Indexing: Depending on how the site is designed using Meta tags, frames, HTML syntax, dynamically created pages, passwords or different languages, our site will be searchable in different ways. 1.4.1 Meta Tags 1.4.2 Frames 1.4.3 HTML syntax. 1.5 Database: Two types of errors that may occur in Web applications: A. Data Integrity: Missing or wrong data in table. B. Output Error: Errors in writing, editing or reading operations in the tables. Masters in E-Commerce 2010 – Dublin City University Page | 84 The issue is to test the functionality of the database, not the content and the focus here is therefore on output errors. Verify that queries, writing, retrieving or editing in the database is performed in a correct way. 2. Usability: 2.1 Navigation Navigation describes the way users navigate within a page, between different user interface controls (buttons, boxes, lists, windows etc.), or between pages via e.g. links. See Appendix 8. 2.2 Content: Correctness is whether the information is truthful or contains misinformation. The accuracy of the information is whether it is without grammatical or spelling errors. Remove irrelevant information from your site. This may otherwise cause misunderstandings or confusion. 2.2.1 Spellings and Grammars 2.2.2 Updated information 2.3 General Appearance: 2.3.1 Page appearance 2.3.2 Colour, font and size 2.3.3 Frames 2.3.4 Consistent design 3. Server Side Interfaces: 3.1 Server Interface Masters in E-Commerce 2010 – Dublin City University Page | 85 3.1.1 Verify that communication is done correctly, Web server-application server, application server-database server and vice versa. 3.1.2 Compatibility of server software, hardware, network connections. 3.1.3 Database compatibility (SQL, Oracle etc.) 3.2 External Interface (if any) 4. Client Side Compatibility: 4.1 Platform Check for the compatibility of : Windows (95, 98, 2000, NT, XP, windows 7) b. Unix (different sets) c. Macintosh (If applicable) d. Linux 4.2 Browsers Check for the various combinations: Internet Explorer (latest acceptable versions) Safari Google Chrome Firefox Browser settings (security settings, graphics, Java etc.) Frames and Cascade Style sheets Applets, ActiveX controls, DHTML, client side scripting HTML specifications. Masters in E-Commerce 2010 – Dublin City University Page | 86 Graphics: Loading of images, graphics, etc., 4.3 Printing Despite the paperless society the web was to introduce, printing is done more than ever. Verify that pages are printable with considerations on: Text and image alignment Colours of text, foreground and background Scalability to fit paper size Tables and borders 5. Performance: 5.1 Connection speed Tested with slow and fast dsl. Time-out 5.2 Load Check/Measure the following: What is the estimated number of users per time period and how will it be divided over the period? Will there be peak loads and how will the system react? Can your site handle a large amount of users requesting a certain page? Large amount of data from users. 5.3 Stress Masters in E-Commerce 2010 – Dublin City University Page | 87 Stress testing is done in order to actually break a site or a certain feature to determine how the system reacts. Stress tests are designed to push and test system limitations and determine whether the system recovers gracefully from crashes. Hackers often stress systems by providing loads of wrong in-data until it crash and then gain access to it during start-up. Typical areas to test are forms, logins or other information transaction components. Performance of memory, CPU, file handling etc. Error in software, hardware, memory errors (leakage, overwrite or pointers) 5.4 Continuous Use Is the application or certain features going to be used only during certain periods of time or will it be used continuously 24 hours a day 7 days a week? Will downtime be allowed or is that out of the question? Verify that the application is able to meet the requirements and does not run out of memory or disk space. 6. Security: 6.1 Valid and Invalid Login 6.2 Limit defined for the number of tries. 6.3 Can it be bypassed by typing URL to a page inside directly in the browser? 6.4 Verify Log files are maintained to store the information for traceability. 6.5 Verify encryption is done correctly if SSL is used (If applicable) 6.6 No access to edit scripts on the server without authorization Masters in E-Commerce 2010 – Dublin City University Page | 88 CHAPTER 7: FINANCIAL PLAN Financial Assumptions Masters in E-Commerce 2010 – Dublin City University Page | 89 Assumptions Area Description All statistics are based on our target goal for 100 business clients and 2000 end users at the end of Number of Users Phase 1, 270 business clients and 40,000 end users at the end of Phase two and 75,000 end users and 330 client businesses at the end of Phase 3. Pricing Profit On site advertising Contest Affiliate linking Consulting and development Paid Surveys There will be two advertising spots available in Each advetising spot will cost €50 each Phase 1. In Phase 2 there will be two sites (UK & IRL) per month and gives the customer a so there will be four slots available. Phase 3 will featured contest for two weeks and an include full page featured advertisments. ad space for the following two weeks. Assuming the target number of businesses are met! Based on a 10% comission on an Available through the "BUY NOW" button on the average prize value of €50 and three website. sales for every contest. 10% is the standard comission online Maximum number of businesses is 100 in a year due to limitations on staff. This number is calculated by assuming 25% of We will charge businesses €1.20 for contests on the website will be surveys. survey each. Other prices online from other entry on top of the €30 setup fee. Irish companies range from €1-€5. Loss Survey Payment Custom website improvements Paypal/SagePay payment We will pay survey entrants €1 for every survey Included in this arer redesigns and outsourced modules that are too difficult to develop in-house This includes monthly fee and per transaction fee based on the target number of businesses. Banking One off merchant account set up fee. Points We will need to buy some prizes for points if we run low and we will also have a cash for points system in Radio One off radio advert test Rent Tax €190 set up fee and 2.75% on every transaction 75 adverts for €2,000 on Spin 103.8 Office is available with all utilities on Westmorland Street in Dublin VAT is based at the 21% rate. Irish tax is paid on exports to UK up to €100,000 Profit and Loss Statement As on online business Crowding Up requires initial software in order to operate. The major start-up cost will be the elements of the website development that need to be outsourced and the other major cost will be marketing. Initial start-up is estimated to be at €15,000 and these Masters in E-Commerce 2010 – Dublin City University Page | 90 costs include rent, wages, operating expenses, marketing, loans and online expenses. Regular monthly expenses are estimated at €1,300 in the first year, €2,000 in the second year and €3,000 in the third year. Start-up costs are covered by a loan of €10,000 from AIB. Crowding Up will make an initial loss of €9,400 in its first year of operation. This will be covered by the AIB loan. Based on the assumptions contained in this plan, we estimate that our gross profit will double year on year and we will break-even in the third year of operations, with a net profit of €7,500 that will be reinvested in year 4. Further information can be seen in Appendix 9.1, 9.2 and 9.3. Cash Flow Statement As the owner of Crowding Up, Robert will invest a €10,000 loan from AIB into Crowding Up. This money will be used to cover initial operating costs. Operational costs such as office space which is in Dublin City Centre and includes all utilities, and administrative expenses are included in this statement in Appendix 9.4. As continued positive cash flows permits after year 1, the load that has been invested will be repaid by year 5. Balance Sheet As our company supplies services to our clients and not products having a large inventory is not a concern. As can be seen from the balance sheet in Appendix 9.5, Crowding Up will be in a solid financial position. We do not anticipate problems in the collection of accounts Masters in E-Commerce 2010 – Dublin City University Page | 91 receivable as our main online service requires payment in advance and our consulting service which is invoiced after the service will shrink in importance to the overall income each year. Grants We are currently applying for a priming grant of up to 50% of investment from Fingal County Enterprise Board. Priming grants from this Enterprise Board are specifically designed for small growth businesses employing up to 10 employees. We fulfil all requirements to receive this grant so we are optimistic that we may receive up to €10,000 in year 1 or year 2 depending on how much money Fingal County Enterprise Board has available to them. If we received this grant we could further grow our website with an improved blog and also use it to advertise our launch in the UK. Masters in E-Commerce 2010 – Dublin City University Page | 92 APPENDICES: APPENDIX 1 Target Market Survey (User) What is your gender? Male Female What is your age? 18-24 25-36 37-45 46-55 56+ Where do you live? City Suburban Rural What is your marital status? Single Married What is the highest level of education you have completed? Primary level Secondary level Third level (undergraduate degree) Fourth Level (postgraduate degree) Other (please specify) Masters in E-Commerce 2010 – Dublin City University Page | 93 Do you have access to the Internet? Yes No If you used the internet, which three main activities did you conduct most often? Email Search engine Social networking site Reading blogs Play games online/gambling Watching videos (YouTube or other) Purchasing online Job searching If you are a member of a rewards system, please specify. Tesco Clubcard Superquinn Reward Card SuperValue Real Rewards Dunnes Stores Value ClubCard Marks & Spencers Premium Club Topaz Fuel Cards Texaco Fuel Cards Pigback.com Other Masters in E-Commerce 2010 – Dublin City University Page | 94 Would you be interested in a website that rewards users with a sponsored product after completing a series of social networking and online tasks? Yes No Maybe If you received a reward from a company, for example a meal for two at a restaurant and you enjoyed the experience, would you pay another visit? Yes No Masters in E-Commerce 2010 – Dublin City University Page | 95 APPENDIX 2 Survey for businesses: 1. Company Name: ______________ 2. Does your company have an online presence? (YES/NO) o Yes o No 3. Have you heard of “Social Media Marketing” and its positive impact on businesses? o Yes o No 4. How much do you spend on marketing annually? o Below €1000 o Between €1000- €5000 o €5000- €10,000 o Over €10,000 5. How much of the marketing budget approximately is assigned to online marketing? (only if company is online) A.________________ 6. How is your marketing currently managed i.e. In-house Vs Outsourced Masters in E-Commerce 2010 – Dublin City University Page | 96 o In-house o Outsourced 7. Does your company have an online social media presence? I.e. Facebook, Twitter. If NO-go to question 12. o Yes o No 8. What is your primary reason for using social networks for professional purposes? o Professional Networking o Keeping in touch with former colleagues/contacts o Sharing knowledge and information o Socialising with colleagues o Finding sales/business leads o Recruitment o Other 9. How often do you use social networks for professional purposes? o Daily o 1-3 times a week o 1-3 times a month o Less than once a month o Never 10. How effective has social media marketing been in creating new business? Masters in E-Commerce 2010 – Dublin City University Page | 97 o Excellent o Above average o Average o Below average o Very Poor 11. How effective has social media marketing been in generating brand loyalty? E.g. (twitter followers buying products) o Excellent o Above average o Average o Below average o Very Poor 12. Which marketing medium do you believe is more effective? Traditional marketing (newspaper/ radio) or online marketing? (Please tick appropriate) o Traditional marketing o Online marketing 13. What are the main reasons/barriers for not adopting social media marketing for professional purposes? Please tick all appropriate. o Costly. o Time consuming. o Lack of knowledge. o Unsure of benefits. o Security. o Company‟s reputation may be effected. o Other (Please state) Masters in E-Commerce 2010 – Dublin City University Page | 98 14. How satisfied are you with the response rate that your company receives from using traditional advertising means? o Very Satisfied o Somewhat Satisfied o Somewhat Dissatisfied o Very Dissatisfied o Don‟t Know 15. Our social media marketing company has many services to help you build your business and get your company noticed by new consumers. Some of these include o Online brand loyalty programs. o Online viral video promotional campaigns. o Blog commenting campaigns. o Many other Customized services tailored to your business. o Online reputation management. Would you be interested in trying our services free of charge for a limited time to further develop your social media presence or help to start and grow your social media presence? o Yes o No APPENDIX 3 CLIENT MEETING Masters in E-Commerce 2010 – Dublin City University Page | 99 Summary of Meeting with Focus Ireland 21/07/10 Attending Emmet McNally (Crowding Up Managing Director), Sinéad Price (Events Fundraiser) and Lucinda McNally (Communications Executive) Sinead: To start off what we are looking for is to develop a social media plan. We are going to be launching “A Key to a Home” campaign in November and we will need a social media page for fundraising and to gather volunteers. We have some basic ideas but we have no experience with social media and we don‟t really have a clue where to start. Emmet: My experience is based around what I have learned from my company Crowding Up and from my masters in eCommerce. I would be glad to help you in any way and I hope I can show you what my company can do for your organisation. We would of course only be too happy to volunteer our services. Sinead: We have very limited social media experience. We have no budget and limited resources. Lucinda: We need you to help us determine what can be achievable in a social media plan and help us to prioritise the possibilities according to our resources. Sinead: One of our ideas on how our campaign would work are supporters would upload their answers either text or pics on our wall or on twitter. Emmet: You have many options here. You can use Twitpic for Twitter and Facebook fan page for photo uploads. You can use our sites upload feature as well if you wish to make it into a contest. You should also consider videos. Look up “Old Spices” social media strategy when you get a chance. An interesting case to say the least. Or even look at the Lynx or Axe social media campaigns. You should also think about usine Flickr for users photo‟s and groups. Lucinda: We will look into those campaigns. Sinead: Another idea is we would encourage supporters to change their status to the one thing they would miss most and link to our Facebook page. Emmet: Good idea, with a clear post and reward system in place this can be very successful. Consideration of what your reward is very important. It needs to reflect what you do and your brand and its value to the user. This is actually quite similar to what we do at crowding up. Lucinda: Interesting. We would publicise some of the celebs responses and link in with their facebook/twitter pages as well possibly. Emmet: Would it be possible for you get celebs to comment on the photos that are uploaded? Sinead: What about if we have a reward scheme where there will be a new “face of the campaign” on our page every day. Masters in E-Commerce 2010 – Dublin City University Page | 100 Emmet: Every week would be better. Daily is too often and a few days means people will check back in to see updates. It also gives the competition a chance to start off. You could be in a position where you only have 2 uploads when picking a winner. That would not be ideal. Sinead: We currently have a link to our webpage and volunteer recruitment page which will be dedicated to “Key to a Home campaign” on Facebook. Emmet: Consider an open volunteer application page or message board. If not a focus Ireland message board you could create a post on www.boards.ie. Create an online volunteer community and update with what volunteers are currently doing and what they will do. Lucinda: What do you think of a link to our virtual keyring which can be purchased online for the campaign. Emmet: It only has value if a large audience is aware of these “keyrings”. Sinead: How can we provide continuous updates on the progress of the campaign? Emmet: Easily done through Facebook and Twitter but one mistake or badly referenced comment can undo months of work. Social networking is unforgiving so for every 10 words you type take 10 minutes to consider what you‟re saying. I would advise you to take on somebody who has a very strong grasp of social networking. Using people who do not understand how it works will guarantee serious mistakes. Continuous communication is a 100% must have if you want to be a success and in order to do this you need at least 1 dedicated person who‟s responsible for it. Having multiple people placing comments is a road to disaster. Alternatively if you cannot hire anybody we can help you for a short period on you campaign. Sinead: We are going to look into Facebook advertising and banner ads to drive traffic. What expertise is required and what do you think about the costs? Emmet: Costs of Facebook can be considerably better then Google ads. A very rough estimate for what you will be doing would be 25 euro for 100 fans. Lucinda: We are in favour of keeping everything simple as this is what makes the theme work Emmet: Simple is good - unique is better. Having something that nobody else does or has will create a viral effect – the holy grail of social media marketing. Sinead: While the campaign ends in November, we want to retain the followers we build for future fundraising events and campaigns. Emmet: This is possible but you need to be innovative and interesting. What are the limits of your budget and resources? Sinead: as always a limited budget, we are a charity after all. Masters in E-Commerce 2010 – Dublin City University Page | 101 Emmet: Social media needs to be considered as a whole new department like accounting dept or communications dept. When it is done the right way the rewards are worth the investment. Lucinda: We will have a project manager who will be solely responsible for all the fundraising management of this campaign so will be tied up with that. I‟m responsible for raising the profile of the campaign but this is just one project among many for me so I am hoping to get some support from an intern. There is debate about how much we can achieve on the social media side within the current resources. Emmet: If you cannot provide a person to constantly monitor and improve your social network then there is little point in trying. It is not something you can pick up and put down. Social media is a long term strategy – think 5-10 years. If you begin to use it then you‟re in for the long haul. Social media is very flexible so it can be used for many campaigns and in this day in age it should be. Thinking short term in social media will damage your brand. It does not turn on and off. Think of it like your friends. You cannot turn them on and off when you need them. Lucinda: Which brings us back to our limited social media expertise. Emmet: Get somebody in with good expertise. There is no such thing as a GURU, Social media is relatively new. The top people in this field are the people who use it every day. You need to be trained if you intend on using social media successfully. Alternatively a cheaper option could be to get a consultant who you can get ideas and bounce ideas off – doing this will limit your exposure to error. We would only be too glad to help for free. Sinead: Will you help us determine what can be achievable in the social media plan and help us to prioritise the possibilities according to our resources as we go along? Emmet: No problem. Sinead: Can you help us determine, if we had to choose, should we go with a Twitter or Facebook campaign? Emmet: Definitely both. Have Facebook as the main and Twitter as backup. Don‟t forget also – YouTube is good too. You could also use Flickr. Twitter is less popular in Ireland and more business focused. Few Irish people who have a Twitter page are not doing it for business. Lucinda: We will need you to advise us on development of a Facebook and/or twitter account. We currently have Focus Ireland Facebook and Twitter accounts but we don‟t know whether we should be tying Key to a Home into these or whether we should be creating entirely new Focus Ireland‟s Key to a Home pages. We need advise on this, taking into consideration the limitations that one option would have over another and our ideas we have already spoken about. Masters in E-Commerce 2010 – Dublin City University Page | 102 Emmet: Keep it to the one fan page. It ensures that fans are constantly kept interested with new events/campaigns etc. Instead of your current Facebook page however consider having a Key to a Home page set as the “home” page for a short period and once the wall posts build up then have it landing on the wall where there will be a nice back and forth conversation flowing between focus Ireland and the fans. The support page that you currently have is not entirely a good idea. It directs people away from Facebook and the community. The reason businesses create landing pages like that is because they are too scared to have an open forum on what people think of their products/services because it is inevitable that they will get a disgruntled customer. Focus Ireland is a charity. It is incredibly easy to create a community here that governs itself and will defend the focus Ireland name for you. This is a far better method and great PR. What you have does not add value to developing a community. There‟s a lot online about not having a wall as your landing page. This attitude does not create a community. When you take the good with the bad in an online community you will build loyal followers. People like to see honest mistakes. It gives a personal and human side to a campaign. Don‟t be afraid to let people land on your wall. Sinead: Can you advise us on how regular and how much work realistically needs to go into the social media project. Emmet: A lot. The big expense with social media is time. You need a dedicated person. All successful social media pages have a dedicated person in charge of it, even when they go home after work. Social media is not a 9 to 5 job. Sinead: Can you share your ideas on how we can drive traffic to our Facebook and Twitter pages. Emmet: Be different and a little quirky. Videos are an important ingredient. You have access to celebs, can you use this? Ask them to place a comment in your community. Sinead: How we can engage the users. Emmet: Only have one social media campaign at a time. A clear concise and single message at a time is important. Lucinda: Can you advise us on costs and required expertise for Facebook advertising and banner ads? Emmet: Not too expensive. Twitter will have adverts soon. Google is also another alternative. My team has in-depth experience with Google Adwords so if you need advise on this then just ask. Maintaining an online advertising campaign will requires around 2 hrs a day. It is not a simple task and requires constant perfection but it is extremely cost effective. The cost all depends on how many users you want. What‟s your target? Be realistic. Sinead: OK, that a lot of information for now. This was brilliant. We will discuss this with Mic (Director) and get back to you. We really appreciate your time. Masters in E-Commerce 2010 – Dublin City University Page | 103 Emmet: Not a problem. I look forward to building a campaign together. Lucinda: Yes, it will be interesting. Thanks APPENDIX 4 FOCUS GROUP Q&A Focus Group Question 1: Andrew Fitzpatrick (AF): Our practicum is based on social media. So, when you think about competition websites such as Pigsback.com, what would make you actually use them or go back to them? Fergus Scott (FS): The quality of the offers AF: Have you heard of Pigsback.com Zara Walsh (ZW): No Michael Hill (MH): It‟s been years since I‟ve been on that website. AF: It‟s basically a competition website where you can win a prize by entering competitions. Has anyone used it before? FS: I‟ve used it before, they‟d send me an email with an offer and I might use it but I wouldn‟t regularly check it. Alan O’Neill (AO’N): I‟ve used anoffer.ie. I use it because they put the competitions up on Facebook. They show “Enter Competition Here” and I‟d click on it. AF: And does that come up on your on your Facebook profile? AO’N: It does yeah. Conor Skinnader (CS): The only thing I‟d use is the Heineken page because they‟ve offers for tickets and stuff, but actual competition sites I‟d never use. Question 2: AF: Why do you think people stay on these specific websites and remain active on them? FS: The discounts and the chance of winning a prize. Brendan Davis (BD): A lot of the time, some of the stuff you might not be interested in, but maybe you‟re hoping something will come along that you‟ll be interested in. AF: And would there be anything else external that you can think of, like the way Pigsback have the piggy points, that would make you want to use it at all or is it just the chance of winning a prize? CS: How do the piggy points work? AF: You get a certain number of points by entering into competitions and then you can buy cinema tickets and phone credit and stuff like that. FS: Can your friends get points for referrals? AF: Yeah they can FS: Yeah because I‟ve gotten emails off people and that a reason why I might consider joining a particular website…if someone needed you to join so they could get the points. Question 3: AF: Have you ever created a video for Youtube and if so, why did you create it? MH: It was part of our course. BD: I had to make one for my course but apart from that I wouldn‟t make one. Masters in E-Commerce 2010 – Dublin City University Page | 104 AF: If you had to make one to win a prize for a competition would that entice you to do it at all? ZW: No MH: No CS: I‟ve seen competitions like that before but as good as some of the prizes were I just thought that I wouldn‟t really have the time. AF: It wouldn‟t even have to be a Youtube video, it could be a photo or design or something CF: O2 had that photo competition. ZW: As in, a photo of yourself? AF: No, I mean things like logo creations or “whoever takes the best photo, wins a prize”. FS: I think photo competitions might work because a lot of people are passionate about that kind of thing. I know my father would enter into something like that because it‟s his hobby and it‟s a chance to see other people‟s work against your own. Question 4: AF: If you received a sponsored product for free, would this affect your opinion of the brand in the long term? MH: It depends on what you got. If it was a good product, I‟d have a positive opinion of the brand but if the product wasn‟t good I‟d probably have a negative opinion. AF: Would it affect your opinion of that brand if the product was given away for free? AON: It would make you more aware of the product, usually you send away for some of these competitions and hope you might win something usually you never hear back from it, your left wondering was the competition legitimate or was it just a waste of my time? Question AF: Do you think the brand would stick in your head more the fact that you have applied for the competition? AON: I‟d say so yea, BD: Depending on the effort involved the brand will stick in your head. CS: Guinness sent me out a poker set and a glass years ago and I still have it and still use it. (Comment, this would suggest some sponsored prizes and rewards can last for a number of years and still hold onto the brand awareness) Question 5: AF: Have you ever joined a Facebook fan page or added a business on Twitter? AF Q: Are you all on Facebook or Twitter Group response: Yes CS: I‟ve joined Facebook fan pages and added businesses on Twitter. AF Q: What made you do that? CS: Generally for Twitter I would join businesses if they would be discussing something interesting, if I am interested in bands or music I would join them as well. For Facebook I would only really join (become a fan) if I was going to get something in return. (MH) I think with that as well ones that send numerous updates it becomes very annoying, however once a day is fine. (ZW) If someone updates more than twice a day I get rid of the page. Question 6: AF: Would consider joining a business on Facebook to be in with a chance of winning a contest? Masters in E-Commerce 2010 – Dublin City University Page | 105 FS: Yes if it was quick, if its just one or two clicks to be in with a chance of winning something. CS: Some site direct you to the back of the page where you have to fill out lots of details, this is a pain. AF Q: So if was just a like or follow click? Group response: yes ZW: Spin 103 and FM104 you just click like and then you are added into the competition BD: Some of them are sneaky as you think you just have to fill 2 lines of information, when you click on that you are then required to fill out a whole page of details, when this happens I couldn‟t be bothered filling it out. CS: There was a successful campaign run by Dublin bus called cheating on your car, this was very popular and people had to write a poem about cheating on your car. Question 7: AF: What would convince you to fill out a survey online? FS: Well the one‟s we do now are because we know people (Comment More likely to fill surveys out as a favor or for people you know) AF: have you ever filled them out for companies in general? Group response: Not really FS: RTE are running a survey at the moment where you could win a €50 Amazon voucher it was short so I filled it out. MH: On the very rare occasion I might fill out a survey if I was bothered. Question 8: AF: If you were offered money or something you really wanted, would this entice you to fill out a survey? FS: If there was a prize I would CS: I was asked at a concert to fill out a survey to be in with a chance of winning concert ticket to the next year then so I filled it out. There was a huge incentive to for me to fill it out. AF Q: Would the length of the survey affect your attitude? FS: Yes. ZW: Kind of yes. CS: Definitely. AF Q: One page vs. 5 page FS: Anything over a page is too long CS: Anything longer than 5 minutes I wouldn‟t even consider doing. Question 9: AF : Have you ever heard the term crowd sourcing? CS: Yes AF: You may have this year WIKIPEDIA definition ……….. AF: Well it will be on our website. The Facebook and Twitter link is already built in so when they click on that they are sent to that specific competition. Emmet McNally (EM): Each page has its own competition on the site so you would know that it was only the one competition that you were entering into. ZW: Oh, so you wouldn‟t have a main Facebook site for the company. Masters in E-Commerce 2010 – Dublin City University Page | 106 EM: No. It will be an external webpage. It‟s just so you can browse all the competitions that are available. You can just click “Like” and then go onto the next competition and click “Like”. AF: You can actually click like on the website and it will say you have entered into this competition and you will see how many other people have entered into that same competition. We were just wondering if there were any limitations or negative aspects. MH: Say if he asked you to make up something. If you make up an idea, do you then head to him with the idea before it goes live or does it just go live? AF: He would come to us and we would do a race or a competition. MH: Yeah, but would you would make all the clips online, the advertisements. Does he head to you or do you make up everything and he has to choose if it is alright or not. AF: No well we would get in contact with him about a brief and we would say give us the information even if it was on t-shirts or whatever. And we would wear them in a video and talk about the product and it‟s basically to promote them on Facebook as well. EM: And they let us know as we consult back and forth on what we can offer, and they would say “well we would like A,B,C” and then we would have different types of contests for different things. Some people might want crowd sourcing or if they wanted a normal competition where it is a straight up raffle where a person is picked and wins or even if there was a survey or something like that. Question 10: EM: Just as another question, would you rather cash prizes or play stations and that sort of thing. FS: Cash. AON: Well I don‟t think they exist in my eyes. When I see a cash prize I just think that‟s some sort of lie. ZW: Yeah I wouldn‟t believe in a cash prize. CS: It just doesn‟t seem tangible. ZW: The novelty of entering into a competition is that you could win something that you wouldn‟t buy yourself sometimes as well. CS: Yes that‟s a good point. ZW: You‟re obviously not spending the money so it‟s more of a luxury item but if its cash you always have some just there. Question 11: EM: If you were paid to do a survey, just say you were paid one or two euro, would you be more likely to go on surveys thinking oh if I fill out 5 surveys then I will have 10 euro would that make you more likely to want to go to our website and fill out a survey? CS: That depend how long it took. EM: Say if it took only 5 minutes. ZW: For a euro, I wouldn‟t do that. CS: I would do it because you would make ten euro for ten minutes, sorry every 50 minutes. AOH: Is there a cash limit? I was on those sites before where they don‟t give out cash until you reach a limit. AF: It‟s not exactly. EM: We are thinking of using a points system where we would give you out say one hundred points where each point would be would be worth one cent, every time you enter into a competition and every time you reach a thousand points you can cash out for ten euro. FS: Would you just transfer the money then. Masters in E-Commerce 2010 – Dublin City University Page | 107 AF: If we had extra products and services from our clients we would put that up in our points system and users can build it up to win that. But it‟s just something we are trying. FS: It‟s just something you are considering. AF: Like survey is just this extra thing if a company just wants to market with us as well. We just wanted another way we could use points to retain people on the site. We were just looking for things that might work. CS: It might work for some people, I mean if you were really stuck for cash. ZW: I think students probably more would do stuff like that. AF: Yeah we were even considering doing things for colleges like DCU. Focus Ireland as well. Thanks all for your time. EM: We really appreciate it! ZW: No problem APPENDIX 5: LETTER TO COMPANY WITH SOCIAL MEDIA PRESENCE ****NAME**** ****Business Name**** ****Street Address**** ****Town**** ****County**** ****DATE**** Dear ****NAME**** I am writing to introduce you to Crowding Up, a new online company that aims to provide your organisation with the opportunity to develop your social network. We are a new online company that is set to launch on the 1st of July 2010. We would like to offer you the opportunity to use our services free of charge with no obligations. Having visited your ****“Social Network”**** page we have noticed that you currently have **** fans. Communicating with new and current customers through social media portals such as “Facebook”, “Youtube” and “Twitter” is something that your business can clearly benefit from. Social media is not another expense. It can save you time and money through cheaper marketing that communicates to a much larger audience much more effectively than traditional methods. Most businesses however need a helping hand to transform their social media page from being a small unproductive experiment to a key profitable section of their organisation. Traditional online advertising such as advertising on “Facebook”, “Twitter” etc, can be very expensive. We would like to help you further develop and maintain your social media presence online. Using our services and support you can establish a major social media presence online. An example of how “Crowding Up” works is: 1. You provide us with a prize based around your products. For example, *****. 2. We create a competition and users will sign up to your social network to enter. 3. We then get contestants to join your social network who are interested in your ****P/S***. Masters in E-Commerce 2010 – Dublin City University Page | 108 Crowding Up offers many different packages that are tailored to your business needs. We hold “design contests”, where thousands of members can compete to create a design you love. We hold “races” where members will rush to win your prize. We also host “surveys” and other competitions. We can advise you on what package can best fit your organisation. If you are interested in our services please call us on 01 4433 423 or alternatively you can email us at [email protected]. We'll be happy to assist you in any way we can. Yours sincerely Robert McNally Client Services Manager P.S. Don’t forget, for this short period this is all free! APPENDIX 6: LETTER TO COMPANY WITHOUT SOCIAL MEDIA PRESENCE ****NAME**** ****Business Name**** ****Street Address**** ****Town**** ****County**** ****DATE**** Dear ****NAME**** I am writing to introduce you to Crowding Up, a new online company that aims to provide your organisation with the opportunity to develop your social network. We are a new online company that is set to launch on the 1st of July 2010. We would like to offer you the opportunity to use our services free of charge with no obligations. Don‟t look at social media as another expense. Social media has a better ROI than other forms of promotion. It saves money and increases revenue through cheaper marketing that communicates to a much larger audience much more effectively than traditional methods. Having visited your website we have noticed that you do not advertise a social media presence. The prospect of communicating with new and current customers through social media portals such as “Facebook”, “Youtube” and “Twitter” is something that a business such as yours can benefit from. Masters in E-Commerce 2010 – Dublin City University Page | 109 Our team can guide you through the stages of developing and maintaining your social media presence online. Just imagine being able to update all of your customers instantly on your ****NEW PRODUCT/Service**** or even being able to develop your brand further by setting yourself up as the place to go for information on ******. By using our services and support you can establish a strong social media presence for your organisation online. An example of how “Crowding Up” works is: 1. You provide us with a prize based around your products. For example, ******. 2. We create a competition and users will sign up to your social network to enter. 3. We then get our members to join your social network who are interested in your ****P/S**. Crowding Up offers many different packages that are tailored to your business needs. We hold “design contests”, where thousands of members can compete to create a design you love. We hold “races” where members will rush to win your prize. We also host “surveys” and other competitions. We can advise you on what package can best fit your organisation. If you are interested in our services please call us on 01 4433 423 or alternatively you can email us at [email protected]. We'll be happy to assist you in any way we can. Yours sincerely Robert McNally Client Services Manager Masters in E-Commerce 2010 – Dublin City University Page | 110 APPENDIX 7: TEMPLATE FOR CROWDINGUP FOLDERS Masters in E-Commerce 2010 – Dublin City University Page | 111 APPENDIX 8: USABILITY AND WEBSITE EVALUATION CrowdingUP website evaluation. We will evaluate the website crowdingup.ie using a number of evaluation techniques. These techniques will be evaluated at different stages and will need different numbers of users. The finds and evaluation techniques have helped us with designing the website. The Evaluation techniques we will use will be Heuristic Evaluation Thinking Aloud Questionnaire Method We held our study in DCU‟s Computer Lab. We had 5 Participants take part in our study. Our approach was to take groups of 5. We based this on the common belief that the best ratio of problems found to people used was 85% of problems with 5 people 18. Nielsen J, Landauer TK. Why You Only Need to Test With 5 Users [all alertbox columns page on the Internet]. Fremont (CA): useit.com: held our first group just before development was finished and final testing began on the website. We were then able to act on the results and hold a second group to reassess the website after the improvements were implemented. We made it clear to participants that any positive or negative feedback was useful. Participants were first of all given a quick survey to compete to identify their experience online. They were then given a talk on what the test was about and what was expected of them. After answering any questions Masters in E-Commerce 2010 – Dublin City University Page | 112 we then asked participants asked to „think aloud‟ during the usability test. We asked them to describe their reactions to the new pages as well as their thoughts while completing the requested tasks. This information would help us determine what users were thinking when they clicked on a particular link or what information might be confusing to them. (University of Washington, usability testing report) Participant 1 2 3 4 5 Usability Test Participants Age Sex Computer Literacy Is On a Social Network 30 M Expert Yes 19 F Advanced Yes 26 M Novice Yes 28 M Advanced Yes 22 F Novice Yes We decided to test our intermediary and advanced users in our first group as the website was still unfinished and they could have the greatest input here. While the participants were performing their given tasks they were directed to think aloud. This gave us real insight into the tasks and also allowed us to measure how long it took to do each individual task. “This method is also beneficial as it occurs simultaneously while the user interacts with the website and does not rely on selfreport measures, which can lead to incorrect or incomplete accounts of users‟ actions.” A “fake” Facebook and Twitter account was set up and the account details were handed out in the packs to the participants. This enabled us to test the full range of features on the site. After all of the tasks were finished the participants completed a questionnaire on their experience of the website on a series of five-point Likert scale questions. Items were scored on the five-point scale where 1 equals strongly agree and 5 equals strongly disagree. We found this to be the typical technique employed when performing a usability test on a website. The first method used is an Heuristic Evaluation. This is done well by an experienced web evaluator which looks at your interface and comes up with an opinion about what is good and bad about the interface. The number of evaluators is one at this stage (Ross Lundy) due to cost benefit. Ross has been a website designer for 13 years and would be referred to as an expert user in usability terms. Ross has evaluated the interface numerous times and compared it with a list of recognised usability principles. Masters in E-Commerce 2010 – Dublin City University Page | 113 Home Page The featured contest enter now button needs to link to a specific competition, race, springboard or survey, not just the first contest in each section. The facebook share button needs to be a unique to each competition when I tested it, it the share value was linked to all the facebook share buttons in the other competitions. The third box down on the right hand side on the contest pages is not currently working and it becomes deformed when you click on springboard. The “Enter Now” and “Find out more buttons need to be level with each other. What is the purpose of the whats new box? It does not do anything? Number of entries do not tally up when I enter a competition, is this manual? Masters in E-Commerce 2010 – Dublin City University Page | 114 There are multiple font and font colour issues across the site these need to be resolved to ensure consistency. I am unsure how the points system work and cannot check how many I have. The URL for enter now button on the home page is http://crowdingup.ie/main/competitions/ however the url for the competition is http://crowdingup.ie/main/competition/ Race Page The rank for users needs titles – “Place”, “User” and “Amount”. Survey Page Why is there a buy now button? I do not see its purpose or functionality? Springboard page If I am not signed in it says You rated this competition ! Points page Masters in E-Commerce 2010 – Dublin City University Page | 115 What‟s stopping people clicking on the rewards all the time? How do they know how many points they are on? Advertise Your site has an advertise option but there is no advertising box visible on the site, Is this a functional module box that can appear? Search Page Only the race produces results the search currently does not function properly. Can you also produce the results in boxes scrolling down rather than show 1 result and having to click a small 1,2,3… button. Masters in E-Commerce 2010 – Dublin City University Page | 116 Thinking out loud Protocol. Masters in E-Commerce 2010 – Dublin City University Page | 117 Here I assessed three users and recorded their responses to a set number of questions. This enables us to see at first hand the process of task completion. Questions asked. To enter a competition on CrowdingUP To register as a member at crowdingup.ie Find out how to personal your profile page. Navigate through a race. For this evaluation I have asked three people to do the following tasks below on the website. I specifically got people that fitted into different user classifications. Note: The dialogue transcript has not been altered from what the user said and is not rewritten. The classifications I used were: Expert User User 1 John Age: 30 Computer literate User 2 Lauren Age: 19 Novice User User 3 David Age 26 Advanced User Masters in E-Commerce 2010 – Dublin City University Page | 118 User4 Adam Age 28 Novice User User 5 Jessica Age 22 For testing purposes we created random competitions for this usability study. Task 1: Entering the I Phone 4 competition. Goal/output: To enter a competition on Crowding UP. User 1 John. Ok well it‟s here on the home page as iPhone 4 and if I click here it brings me to the competition page to win an iPhone 4. It says to enter the competition I need to press the retweet button and facebook like button of the Crowding UP and comment below that I have done so. It is quite simple to enter the competition, but I can see how it may be confusing to some people though. User 2 Lauren Competition, here ok. It says I need twitter to join but I don‟t have twitter, does that mean I can‟t enter the competition? User 3 David Masters in E-Commerce 2010 – Dublin City University Page | 119 To win this iPhone I need to enter a contest, I have done one or two of these before. I like the fact it explains what I have to do and has a video of the product. I don‟t have twitter but I have facebook. I click this link and it updated my facebook. I now have to comment that I have done this. That was easy enough and simple. I like the structure. User 4 Adam If I click on the competitions tab it brings me to the iphone4 competition. From here there are clear instructions on how to enter this competition. I clicked the like and retweet buttons and have added a comment to the comment box to enter the competition. User 5 Jessica I can see the competition in the features competitions box so it is easy to find. It says I have to like it on facebook and twitter; I have clicked on the buttons so I should be entered according to the specification written here. Task 2: You are interested in joining Crowding Up and becoming a member. Please see if you can register as a member. Masters in E-Commerce 2010 – Dublin City University Page | 120 Goal/output: To register as a member at crowdingup.ie Register User John Ok so register is over here at the right hand corner. If I click on the link it brings me to the Crowding UP registration page. I am going to fill out the standard fields and clicks submit. Ok done it tells me that I have an email and I need to click on the link to register myself. I have done that now and am registered. It is a standard web registration found on most sites. User Lauren Register, register oh it‟s here in the corner. Can I put anything in the how did you hear about us box? Ok I am now registered, its wants me to activate my account by email. I have now done so. User David Ok I can input my details in the box here, and it does not work. „you need to register before you can login‟ Ok, sorry I see it here. I am entering the details, what is this verification do I need to use caps? I don‟t like that part. Its working now, I need to check my mail to vertify. Ok done. User 3 Adam I can register for the site by pressing the register button in the corner. The details seem standard and should have me registered in a simple manner. I like the way you have included a capcha button as it is good security. I have registered and can now access my account. User 5 Jessica Masters in E-Commerce 2010 – Dublin City University Page | 121 I see the register button here In the corner. I am filling out the details and it seems straight forward. I am know registered on CrowdingUP. It asks me to check my email and there is an email from the site there that logs me in. Task 3: Personalise your profile Goal/output: Find out how to personal your profile page. You are a fully registered member of Crowding Up. You want to personalise it however. See if you can add in your Facebook page to your profile and upload a photo for your profile photo User John Ok when I am logged it I can click on the picture here and add one. I will add a random picture for this test. I can update my facebook profile here as well. I do not see the point of the social media entries really unless they are just for your databases? User Lauren When I am logged in I can see the update facebook option, I need to just check my facebook. Ok I have my facebook url and am uploading it. That was easy. Profile should be here, so I am just going back to facebook to get a picture. Ok I am uploading this one now and it worked. User David I can login to the site now that I have a user name and password. Here is the login box, it worked. Ok I see a blank picture and a option to change it so I‟ll do that. Ok I am there now, facebook is here so I put my facebook page here? Is it the one from my profile? Ok I have that and have put it in. Masters in E-Commerce 2010 – Dublin City University Page | 122 User 3 Adam As I can now login to the site I can access my account. Here I see the avatar and the option to upload a new pic. I have now changed this. The facebook link is here and I have added my facebook page. User 5 Jessica I have entered my login details on the site and am logged in. Is my facebook page the details at the top of facebook? I have entered that and changed the picture as well. Navigate through a race. Task 4: Race details 1. Goal/output: You are interested in viewing a race. Navigate through a race and visit the sponsor of one of the races. The race is for fictional Gyms You must visit our facebook fan page and add a picture and a caption of why you should win a 3 month pass to a fictional gym of your choosing. The picture with the most likes wins. User John Ok so I go to their page and add a picture and get people to like it. Seems straight forward. It is easier that you have added a link to the facebook upload page. I signed into facebook and uploaded a test picture. User Lauren I like this competition. I need to join a gym. So from reading the spec I have to create a picture on their page and drive people to that picture to win the prize, sounds grand. I can just upload a picture of me here? Ok I have done that, now to win! User David Masters in E-Commerce 2010 – Dublin City University Page | 123 Right I am on facebook so I can do this competition. I go there and upload a picture. I clicked on your link and I can see the option here on facebook. I have uploaded it now, and commented on CrowdingUP website. User 3 Adam I have gone to the fictional gyms facebook fanpage as stated and liked fictional gyms. Now I have uploaded a picture of myself with a caption and sent it too friends to comment on. I have gone back to CrowdingUP and gave a link to my picture. User 5 Jessica Ok so the link to the facebook page is here and it tells me to go to the page and add a photo. I don‟t have access to that until I like the page, you need to add that to the specification. I can upload now hopefully. Yes I have uploaded a picture and liked it so people will see it. (I deleted the like as it is made up) Masters in E-Commerce 2010 – Dublin City University Page | 124 QUESTIONNAIRES QUESTIONNAIRES ARE USEFUL TOOLS IN EVALUATING WEBSITES AS THE USERS GIVE FEEDBACK ABOUT THE WEBSITE WHETHER POSITIVE OR NEGATIVE. QUESTIONNAIRES ARE THE BEST METHOD FOR GETTING A LARGER NUMBER OF USERS TO TEST THE SYSTEM. THEY ENABLE THEY ENSURE THE POSSIBILITY FOR DISCOVERING BETWEEN VARIOUS GROUPS OF USERS. 19 PEOPLE IN TOTAL COMPLETED THE SURVEY. RESPONSE SUMMARY Total Started Survey: 19 Total Completed Survey: 8 (42.1% 1. What age group do you fall into? 57.9% OF PEOPLE ARE 18-24 42.1% OF PEOPLE ARE 25-30 Masters in E-Commerce 2010 – Dublin City University Page | 125 FULL RESPONSE ALSO ACHIEVED 4. GENERAL APPEARANCE EXCELLENT 37.5% (3) ABOVE AVERAGE 25% (2) AVERAGE 37.5% (3) THIS SHOWS THAT THE MAJORITY OF PEOPLE LIKE THE GENERAL APPEARANCE OF THE CROWDINGUP.IE WEBSITE. 5. EASE OF USE EXCELLENT 50% (5) ABOVE AVERAGE 25% (2) AVERAGE 25% (2) Masters in E-Commerce 2010 – Dublin City University Page | 126 GREAT FEEDBACK ON THE EASE OF USE/APPEARANCE OF THE WEBSITE. 50% SELECTED EXCELLENT. 6. RELEVANCE OF INFORMATION EXCELLENT 50% (5) ABOVE AVERAGE 37.5% (3) AVERAGE 12.5% (1) RELEVANCE OF INFORMATION ON THE WEBSITE AS THE MAJORITY OF PEOPLE WHO VOTED RATED IS AS EXCELLENT AND ABOVE AVERAGE. 7. CLARITY OF INFORMATION EXCELLENT 25% (2) ABOVE AVERAGE 50.5% (4) AVERAGE 12.5% (1) BELOW AVERAGE 12.5% (1) Masters in E-Commerce 2010 – Dublin City University Page | 127 THIS IS SOMETHING WE WILL HAVE TO LOOK INTO. ALTHOUGH A GOOD SCORE IT IS LOWER THAN THE OTHER TEST RESULTS. 8. OVERALL SATISFACTION EXCELLENT 37.5% (3) ABOVE AVERAGE 37.5% (3) AVERAGE 12.5% (3) BELOW AVERAGE 12.5% (1) THE OVERALL SATISFACTION OF THE SITE IS QUITE HIGH. THE SCORES RANGE FROM AVERAGE TO EXCELLENT. JUDGING FROM THE OVERALL RESULTS THE WEBSITE IS EXCELLENT IN ITS EASE OF USE/APPEARANCE AND ITS RELATIVE INFORMATION. GENERAL APPEARANCE SCORES QUITE HIGH ALTHOUGH THE CLARITY OF INFORMATION WOULD BE THE MAIN POINT I WOULD ADDRESS FROM THIS SURVEY. CONCLUSIONS AND RECO MMENDATIONS AS YOU CAN SEE FROM THE RESULTS THAT WE HAVE OBTAINED THERE ARE NUMEROUS THINGS THAT USIT CAN CHANGE BASED ON OUR FINDINGS. Masters in E-Commerce 2010 – Dublin City University Page | 128 A detailed list of usability problems with the product under study. • An overall expert opinion (based on data) about the usability of the product or website. • Recommendations for short-term, relatively inexpensive user interface improvements that will noticeably improve usability. These typically deal with language, prompts, dialogs, some aspects of navigation, the functional options provided, keyboard interaction techniques, screen layout, use of colour, audio feedback, visual feedback, the use of user interface controls, and the addition or clarification of help information, FAQs, “tool tips,” and other forms of on-line assistance. • Recommendations for longer-term, more comprehensive improvements that would significantly differentiate the usability of the website from others. These typically deal with deep and pervasive changes to the information architecture which may be required to make the website correspond more closely with the user‟s mental model of the information space; this correspondence will in turn dramatically simplify and improve navigation. 1. Homepage We have made the following changes in different drafts based on user comments. Facebook share and tweet need to be unique. Font colour is changed to match the colour scheme we have chosen. The points system is changed. Masters in E-Commerce 2010 – Dublin City University Page | 129 The featured contest was changed to show what the admin wants. A scroller has been introduced to showcase competitions. 2. Competitions. Overall people found it easy to understand how to do the competitions. Any confusions that we have had we have either changed it or made it more clearer. The race information and steps will be updated to reflect information and comments given. Survey buy now button has been removed. The rank for users has changed. 3. Points page The Points system have been changed and can be edited in the admin panel. The points and prizes modules have been updated. Points will be assigned automatically for Survey and Springboard contests as was mentioned before. Points for the other contests will be assigned by the admin. Masters in E-Commerce 2010 – Dublin City University Page | 130 Site designs The site has gone through many redesigns since we started the initial design plans based on user input and our own choices. First design of the site was done in paint and was just done for layout purposes. Masters in E-Commerce 2010 – Dublin City University Page | 131 The next design was something we were happy with as most of the design has remained to this day. Masters in E-Commerce 2010 – Dublin City University Page | 132 Original competition page design Masters in E-Commerce 2010 – Dublin City University Page | 133 Final home page design. Masters in E-Commerce 2010 – Dublin City University Page | 134 APPENDIX 9.1: PROFIT AND LOSS FORECAST 2010 - 2011 Profit and Loss from March 1st 2010 - Feb 31st 2011 Month March, 2010 April, 2010 May, 2010 June, 2010 July, 2010 August, 2010 September, 2010 October, 2010 November, 2010 December, 2010 January, 2011 February, 2011 Totals Income Sales On site advertising Contest Affiliate linking Consulting and development Paid surveys Gross Income €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €5.00 €0.00 €60.00 €65.00 €100.00 €0.00 €10.00 €0.00 €120.00 €230.00 €100.00 €0.00 €20.00 €825.00 €180.00 €1,125.00 €100.00 €0.00 €40.00 €825.00 €240.00 €1,205.00 €100.00 €0.00 €80.00 €825.00 €252.00 €1,257.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €500.00 €750.00 €285.00 €3,300.00 €1,104.00 €5,939.00 Domain registration Hosting Survey Payments Custom website improvements Skype Survey monkey SSL encription PayPal Points Folders Total General & Administrative €0.00 €0.00 €0.00 €0.00 €0.00 €20.00 €0.00 €0.00 €0.00 €0.00 €20.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €50.00 €186.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €236.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €45.00 €0.00 €0.00 €0.00 €0.00 €0.00 €45.00 €0.00 €0.00 €0.00 €2,000.00 €5.00 €0.00 €150.00 €0.00 €15.00 €230.00 €2,400.00 €0.00 €0.00 €50.00 €0.00 €5.00 €0.00 €0.00 €2.56 €15.00 €0.00 €72.56 €0.00 €0.00 €100.00 €0.00 €5.00 €0.00 €0.00 €8.52 €15.00 €0.00 €128.52 €0.00 €0.00 €150.00 €0.00 €5.00 €0.00 €0.00 €41.15 €15.00 €0.00 €211.15 €0.00 €0.00 €200.00 €0.00 €5.00 €0.00 €0.00 €43.87 €15.00 €0.00 €263.87 €0.00 €0.00 €210.00 €250.00 €5.00 €0.00 €0.00 €45.64 €15.00 €0.00 €525.64 €0.00 €0.00 €210.00 €0.00 €5.00 €0.00 €0.00 €72.84 €15.00 €230.00 €532.84 €50.00 €186.00 €920.00 €2,250.00 €80.00 €20.00 €150.00 €214.58 €105.00 €460.00 €4,435.58 Google Adwords Facebook advertising Radio e-mail campaign Business cards Total Marketing & Promotional €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €50.00 €50.00 €0.00 €0.00 €0.00 €30.00 €0.00 €30.00 €200.00 €100.00 €0.00 €30.00 €0.00 €330.00 €200.00 €100.00 €0.00 €30.00 €0.00 €330.00 €200.00 €100.00 €0.00 €30.00 €0.00 €330.00 €200.00 €100.00 €0.00 €30.00 €0.00 €330.00 €200.00 €100.00 €2,000.00 €30.00 €0.00 €2,330.00 €200.00 €100.00 €1,000.00 €30.00 €0.00 €1,330.00 €1,200.00 €600.00 €3,000.00 €210.00 €50.00 €5,060.00 Postage Travel Sundries Video Camera Total Operating Expenses €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €20.00 €100.00 €120.00 €0.00 €0.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €50.00 €150.00 €20.00 €220.00 €220.00 €220.00 €220.00 €220.00 €220.00 €200.00 €350.00 €1,050.00 €160.00 €100.00 €1,660.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €2,580.00 €2,580.00 Permanent Total Employment Expenses €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 Rent Total Occupancy Costs €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 Expenses General & Online Expenses Marketing & Promotional Operating Expenses Loan AIB Bank Loan 10k Total Loan Repayments Salary & Wages €0.00 €0.00 Occupancy Costs (inclusive of utilities) Total Expenses Net Profit / (Loss) €235.00 -€235.00 €215.00 -€215.00 €451.00 -€451.00 €335.00 -€335.00 €330.00 -€330.00 €3,090.00 -€3,090.00 €1,062.56 -€997.56 €1,118.52 -€888.52 €1,201.15 -€76.15 €1,253.87 -€48.87 €3,515.64 -€2,258.64 €2,502.84 -€445.84 €1,575.00 €1,575.00 €15,310.58 -€9,371.58 APPENDIX 9.2: PROFIT AND LOSS FORECAST 2011 - 2012 Profit and Loss from March 1st 2011 - Feb 31st 2012 Month March, 2011 April, 2011 May, 2011 June, 2011 July, 2011 August, 2011 September, 2011 October, 2011 November, 2011 December, 2011 January, 2012 February, 2012 Totals Income Sales On site advertising Contest Affiliate linking Consulting and development Paid surveys Gross Income €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €100.00 €750.00 €130.00 €825.00 €252.00 €2,057.00 €200.00 €750.00 €335.00 €825.00 €564.00 €2,674.00 €200.00 €1,400.00 €2,025.00 €10,275.00 €335.00 €1,970.00 €825.00 €9,900.00 €564.00 €3,648.00 €3,949.00 €27,193.00 Domain registration Survey Payment Hosting Custom website improvements Skype SSL encription SagePay/Paypal payment Banking Points Folders Total General & Administrative €0.00 €210.00 €0.00 €0.00 €5.00 €0.00 €72.84 €0.00 €15.00 €0.00 €302.84 €0.00 €210.00 €0.00 €0.00 €5.00 €0.00 €72.84 €0.00 €15.00 €0.00 €302.84 €50.00 €210.00 €0.00 €0.00 €5.00 €0.00 €72.84 €0.00 €15.00 €230.00 €582.84 €0.00 €210.00 €0.00 €0.00 €5.00 €0.00 €72.84 €0.00 €15.00 €0.00 €302.84 €0.00 €210.00 €186.00 €0.00 €45.00 €0.00 €72.84 €0.00 €15.00 €0.00 €528.84 €0.00 €210.00 €0.00 €0.00 €5.00 €120.00 €65.50 €246.57 €15.00 €230.00 €892.07 €0.00 €210.00 €0.00 €0.00 €45.00 €0.00 €65.50 €56.57 €15.00 €0.00 €392.07 €0.00 €210.00 €0.00 €0.00 €5.00 €0.00 €65.50 €56.57 €15.00 €0.00 €352.07 €0.00 €210.00 €0.00 €1,250.00 €5.00 €0.00 €65.50 €56.57 €15.00 €230.00 €1,832.07 €0.00 €210.00 €0.00 €0.00 €5.00 €0.00 €65.50 €56.57 €15.00 €0.00 €352.07 €0.00 €470.00 €0.00 €0.00 €5.00 €0.00 €65.50 €73.54 €100.00 €0.00 €714.04 €0.00 €470.00 €0.00 €250.00 €5.00 €0.00 €74.50 €108.60 €100.00 €230.00 €1,238.10 €50.00 €3,040.00 €186.00 €1,500.00 €140.00 €120.00 €831.69 €654.97 €350.00 €920.00 €7,792.66 Google Adwords Facebook advertising Radio e-mail campaign Business cards Total Marketing & Promotional €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €50.00 €400.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €0.00 €50.00 €50.00 €400.00 €200.00 €100.00 €0.00 €50.00 €0.00 €350.00 €200.00 €100.00 €1,000.00 €50.00 €0.00 €1,350.00 €2,400.00 €1,200.00 €1,000.00 €600.00 €100.00 €5,300.00 Postage Travel Sundries Video Camera Total Operating Expenses €50.00 €150.00 €20.00 €100.00 €320.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €50.00 €150.00 €20.00 €0.00 €220.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €1,040.00 €1,800.00 €240.00 €100.00 €3,180.00 AIB Bank Loan 10k Total Loan Repayments €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €2,580.00 €2,580.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €0.00 €865.00 €865.00 €865.00 €865.00 €1,730.00 €1,730.00 Rent Total Occupancy Costs €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €2,700.00 €2,700.00 VAT (21%) €135.27 €156.27 €97.47 €145.77 €108.81 €32.54 €137.54 €145.94 -€164.86 €135.44 -€28.36 -€80.66 €821.17 Expenses General & Online Expenses Marketing & Promotional Operating Expenses Loan Salary & Wages Permanent Total Employment Expenses Occupancy Costs (inclusive of utilities) Taxes Total Expenses Net Profit / (Loss) €1,548.11 €508.89 €1,469.11 €587.89 €1,690.31 €366.69 €1,508.61 €548.39 €1,647.65 €409.35 €1,934.60 €122.40 €1,539.60 €517.40 €1,508.00 €549.00 €2,677.20 -€620.20 €1,547.50 €509.50 €2,780.68 -€106.68 €4,252.44 -€303.44 €24,103.83 €3,089.17 Masters in E-Commerce 2010 – Dublin City University Page | 136 APPENDIX 9.3: PROFIT AND LOSS FORECAST 2012 - 2013 Profit and Loss from March 1st 2011 - Feb 31st 2012 Month March, 2012 April, 2012 May, 2012 June, 2012 July, 2012 August, 2012 September, 2012 October, 2012 November, 2012 December, 2012 January, 2013 February, 2013 Totals Income Sales On site advertising Contest Affiliate linking Consulting and development Paid surveys Gross Income €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,025.00 €335.00 €825.00 €564.00 €3,949.00 €200.00 €2,475.00 €410.00 €825.00 €684.00 €4,594.00 €1,200.00 €2,475.00 €410.00 €825.00 €684.00 €5,594.00 €1,200.00 €2,475.00 €410.00 €825.00 €684.00 €5,594.00 €1,200.00 €2,475.00 €410.00 €825.00 €684.00 €5,594.00 €5,400.00 €26,100.00 €4,320.00 €9,900.00 €7,248.00 €52,968.00 Domain registration Hosting Survey Payment Custom website improvements Skype SSL encription Realex payment Banking Points Folders Total General & Administrative €0.00 €0.00 €470.00 €0.00 €5.00 €0.00 €74.50 €49.00 €108.60 €0.00 €707.10 €0.00 €0.00 €470.00 €0.00 €5.00 €0.00 €74.50 €49.00 €108.60 €0.00 €707.10 €50.00 €0.00 €470.00 €250.00 €5.00 €0.00 €74.50 €49.00 €108.60 €230.00 €1,237.10 €0.00 €0.00 €470.00 €0.00 €5.00 €0.00 €74.50 €49.00 €108.60 €0.00 €707.10 €0.00 €186.00 €470.00 €0.00 €45.00 €0.00 €74.50 €49.00 €108.60 €0.00 €933.10 €0.00 €0.00 €470.00 €250.00 €5.00 €120.00 €74.50 €49.00 €108.60 €230.00 €1,307.10 €0.00 €0.00 €470.00 €0.00 €45.00 €0.00 €74.50 €49.00 €108.60 €0.00 €747.10 €0.00 €0.00 €470.00 €0.00 €5.00 €0.00 €74.50 €49.00 €108.60 €0.00 €707.10 €0.00 €0.00 €570.00 €2,000.00 €5.00 €0.00 €74.50 €49.00 €126.34 €230.00 €3,054.84 €0.00 €0.00 €570.00 €0.00 €5.00 €0.00 €74.50 €49.00 €153.84 €0.00 €852.34 €0.00 €0.00 €570.00 €250.00 €5.00 €0.00 €74.50 €49.00 €153.84 €0.00 €1,102.34 €0.00 €0.00 €570.00 €0.00 €5.00 €0.00 €74.50 €49.00 €153.84 €230.00 €1,082.34 €50.00 €186.00 €6,040.00 €2,750.00 €140.00 €120.00 €894.00 €588.00 €1,456.62 €920.00 €13,144.62 Google Adwords Facebook advertising Radio e-mail campaign Business cards Total Marketing & Promotional €200.00 €100.00 €0.00 €75.00 €0.00 €375.00 €200.00 €100.00 €0.00 €75.00 €0.00 €375.00 €200.00 €100.00 €0.00 €75.00 €0.00 €375.00 €200.00 €100.00 €0.00 €75.00 €50.00 €425.00 €200.00 €100.00 €0.00 €75.00 €0.00 €375.00 €200.00 €100.00 €0.00 €75.00 €0.00 €375.00 €300.00 €0.00 €0.00 €75.00 €0.00 €375.00 €300.00 €0.00 €0.00 €75.00 €0.00 €375.00 €300.00 €0.00 €0.00 €75.00 €0.00 €375.00 €300.00 €0.00 €0.00 €75.00 €50.00 €425.00 €300.00 €0.00 €0.00 €75.00 €0.00 €375.00 €300.00 €3,000.00 €0.00 €600.00 €1,000.00 €1,000.00 €30.00 €855.00 €0.00 €100.00 €1,330.00 €5,555.00 Postage Travel Sundries Video Camera Total Operating Expenses €270.00 €150.00 €20.00 €100.00 €540.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €270.00 €150.00 €20.00 €0.00 €440.00 €330.00 €150.00 €20.00 €0.00 €500.00 €330.00 €150.00 €20.00 €0.00 €500.00 €330.00 €150.00 €20.00 €0.00 €500.00 €330.00 €3,480.00 €150.00 €1,800.00 €20.00 €240.00 €0.00 €100.00 €500.00 €5,620.00 AIB Bank Loan 10k Total Loan Repayments €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €215.00 €2,580.00 €215.00 €2,580.00 Permanent Total Employment Expenses €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €865.00 €1,730.00 €1,730.00 €1,730.00 €1,730.00 €1,730.00 €1,730.00 €1,730.00 €13,840.00 €1,730.00 €13,840.00 Rent Total Occupancy Costs €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €225.00 €2,700.00 €225.00 €2,700.00 VAT (21%) €214.60 €235.60 €124.30 €225.10 €188.14 €109.60 €227.20 €235.60 -€316.23 €345.80 €303.80 €107.45 €2,000.96 Expenses General & Online Expenses Marketing & Promotional Operating Expenses Loan Salary & Wages Occupancy Costs (inclusive of utilities) Taxes Total Expenses Net Profit / (Loss) €3,141.70 €807.30 €3,062.70 €886.30 €3,481.40 €467.60 €3,102.20 €846.80 €3,241.24 €707.76 €3,536.70 €412.30 €3,094.30 €854.70 €3,062.70 €886.30 €5,783.61 -€1,189.61 €4,293.13 €1,300.87 €4,451.13 €1,142.87 €5,189.78 €404.22 €45,440.58 €7,527.42 Masters in E-Commerce 2010 – Dublin City University Page | 137 APPENDIX 9.4: CASH FLOW FORECAST Cash Flow Forecast For the Year Ending Cash at Beginning of Year 31/02/2011 31/02/2012 31/02/2013 TOTAL 10,000 628 3,718 15,703 Operations Cash receipts from customers Cash paid for 5,939 52,968 86,100 Inventory purchases (770) (1,360) (1,360) (3,490) General operating and administrative expenses (10,386) (15,733) (24,961) (51,080) (13,840) (15,570) Wage expenses Net Cash Flow from Operations 27,193 0 (1,730) Loan (2,580) (2,580) (2,580) (7,740) Rent (1,575) (2,700) (2,700) (6,975) (9,372) 3,090 7,527 1,245 Masters in E-Commerce 2010 – Dublin City University Page | 138 APPENDIX 9.5: BALANCE SHEET FORECAST Balance Sheet Forecast Assets Current Assets Cash Accounts receivable Inventory 2011 2012 2013 Total 10,000.00 628.00 3,718.00 5,939.00 27,193.00 52,968.00 1,424.00 2,010.00 2,010.00 Total current assets Fixed (Long-Term) Assets Long-term investments Property, plant, and equipment (Less accumulated depreciation) Total fixed assets Other Assets Deferred income tax Other Total Other Assets 17,363.00 29,831.00 58,696.00 14,346.00 86,100.00 5,444.00 105,890.00 2,250.00 1,690.00 100.00 100.00 790.00 2,270.00 1,560.00 480.00 2,750.00 100.00 790.00 2,060.00 6,690.00 300.00 3,850.00 3,140.00 - - - Total Assets 18,923.00 29,351.00 60,756.00 109,030.00 11,156.00 17,914.00 821.00 1,730 20,465.00 28,322.00 2,001.00 13,840 44,163.00 57,392.00 2,822.00 15,570.00 75,784.00 Liabilities and Owner's Equity Current Liabilities Accounts payable Income taxes payable Accrued salaries and wages Total current liabilities Long-Term Liabilities Long-term debt Total long-term liabilities Owner's Equity Bank Loan Retained earnings Owners Savings Total owner's equity Total Liabilities and Owner's Equity Common Financial Ratios Debt Ratio (Total Liabilities / Total Assets) Current Ratio (Current Assets / Current Liabilities) Working Capital (Current Assets - Current Liabilities) Assets-to-Equity Ratio (Total Assets / Owner's Equity) Debt-to-Equity Ratio (Total Liabilities / Owner's Equity) 11,156.00 12,900.00 12,900.00 - - 10,000.00 2,000.00 12,000.00 36,056.00 1.27 1.56 6,207 1.58 2.00 12,900.00 12,900.00 628.00 2,000.00 2,628.00 3,718.00 2,000.00 5,718.00 10,000.00 4,346.00 6,000.00 20,346.00 23,093.00 [42] 49,881.00 [42] 109,030.00 [42] 0.70 1.46 9,366 11.17 7.79 0.73 1.33 14,533 10.63 7.72 0.81 1.40 30,106 5.36 4.36 MINUTES TEAM SIGNATORY CODE FOR THE DCU MASTERS IN ELECTRONIC COMMERCE PRACTICUM To ensure the best possible outcome from our group work we developed a group signatory code to address and highlight some of the issues which could potentially effect how our group would operate. All group members contributed to the signatory code and all members signed the document. Below you can see the signatory code and also a number of our meeting minutes. Meeting minutes proved to be very useful when recalling tasks, At the end of the group meetings an e-mail was sent to each member with a to do list of tasks, by delegating the workload our group managed to cover a large amount of work while also undertaking a significant amount of research. Overall we feel that we had very positive group dynamics, after a number of meetings it became clear that some individuals were stronger in certain areas, this further added to the overall efficiency of the group. Any group member who struggled with an area or task had no problem asking for advice from other members. Subject Company: “Crowding Up” Legal Structure: Sole Trader Team Leader / Director: Robert Emmet McNally Team Members: Andrew Fitzpatrick Gillian Reynolds Eoin Corry Practicum Duration: 01 June 2010 – 28 August 2010 Masters in E-Commerce 2010 – Dublin City University Page | 140 Attendance Group meetings shall be held weekly and must be attended by all members. In the case of emergency and you cannot attend a meeting, you must inform the entire group. The reason for absence must be deemed valid by the group. When a member is absent, he/she must stay up on work. If members need to go on holidays they should say so as soon as they know. In terms of fairness small breaks are allowed for each member for up to one week or multiple trips up to a combined total of 8 week days. Timelines must be followed by all members. Workload Have and present work that is delegated to you. Each member must put in the same amount of work; if a member is not then the signature code will be put in place. The practicum is a big part of the college and should be treated the same way. It should take precedence over work. Work delegated to members must be completed in a timely manner and to an excellent standard. Confidentiality Each team member agrees that any and all knowledge or information that may be obtained in the course of this college practicum with respect to the conduct and details of the business and with respect to the secret processes, formulas etc. used by the business in manufacturing its services will be forever held inviolate and be concealed from any competitor and all other persons and that he or she will not engage as employer, employee, principal, agent, or otherwise, directly or indirectly, at any time in a similar business, and that he or she will not impart the knowledge acquired to anybody and that should he or she at any time leave the practicum team, he or she agrees not to enter into the employ or service or otherwise act in aid of the business of any rival company or concern or individual engaged in the same or in similar lines of business. If he or she does so in violation the organisation, “Crowing Up” shall be entitled to an injunction by any competent court of equity enjoining and restraining him [her] and each and every other person concerned from continuance of employment, services or other acts in aid of the business of the rival company or concern. Financing Payment for posters, printing or anything that is considered “group work” is to be paid equally by all team members. Any other expenses such as software/web development will be paid by the sole trader. Voting A majority vote is considered final. The sole trader will have the deciding vote in a tie situation. Masters in E-Commerce 2010 – Dublin City University Page | 141 Signatory Breach The breach of any section of this document will result in the exclusion from the practicum group. Signed Title: Robert Emmet McNally Title: Andrew Fitzpatrick Signed: ___________________ Signed: ___________________ Date: _01_/06/10 Date: 01__/06/10 Title: Gillian Reynolds Title: Eoin Corry Signed: ___________________ Signed: ___________________ Date: Date: _01_/06/10 01__/06/10 Masters in E-Commerce 2010 – Dublin City University Page | 142 Crowding Up meeting 09/06/2010 DCU Business School QG27 @ 12.30pm. Present Andrew Fitzpatrick Emmet McNally Gillian Reynolds Agenda Discuss sources of income and other financial components. Set up Skype phone line. Discuss milestones for company i.e. 5000 customers in Ireland by the end of the year. Discuss petty cash required for letters, interlocking folders etc. Check web development companies for more B2C companies. Andrew Fitzpatrick Set up Crowding Up email address. Work on business plan section. Emmet McNally Set up Skype phone line Work on financial component Work on part of Business plan. Gillian Reynolds Letter to companies Check web development companies for more B2C companies in order to target. Review client list. Tentative agenda for the next meeting Masters in E-Commerce 2010 – Dublin City University Page | 143 Have letters ready to send out to potential clients and contact details set up. Work on given tasks, most important being the business plan. Actions Meeting with Cathal Gurran Friday 11th at 12. Masters in E-Commerce 2010 – Dublin City University Page | 144 Crowding Up meeting 14/06/2010 DCU Business School Q220 @ 2pm. Present Emmet McNally Eoin Corry Gillian Reynolds Agenda Overview of what has been going so far. Look into receiving financial assistance. Look at Cro.ie in order to finish and personalise letters. Research into the social media tools currently being used by colleges and universities. Start blogging. Discuss design for interlocking folders. Contact print companies for prices. Set up meeting with Marcus Helfert. Andrew Fitzpatrick Blogging Contact Marcus Helfert to set up meeting. Emmet McNally Apply for financial assistance, contact Fingal County Council and Dublin City Council. Design second page to be included with letter. Eoin Corry Review college/university list. Tailor letters to specific colleges. Masters in E-Commerce 2010 – Dublin City University Page | 145 Finish Market Analysis section of business plan Gillian Reynolds Review college/university list. Start marketing component of business plan Contact printing companies. Tentative agenda for the next meeting Discuss business plan and review work completed so far. Actions Send letters to companies and finalise design of folders. Masters in E-Commerce 2010 – Dublin City University Page | 146 CrowdingUP meeting 03/06/2010 Library mentor room. Present Andrew Fitzpatrick Emmet McNally Eoin Corry Gillian Reynolds Agenda Organise meetings with practicum supervisors and Cathal. Organise Business Plan. Team Signatory Code. Andrew Fitzpatrick Email Markus for next week Stick more data into Business Plan Pro so it is easier to follow. Work on engagement for CrowdingUP names and social media tools. Detailed website flow for developers Emmet McNally Elevator Pitch Work on part of Business plan. Detailed website flow for developers Eoin Corry Sort out the meeting with Cathal Masters in E-Commerce 2010 – Dublin City University Page | 147 Gillian Letter to companies Client List All Install business plan pro and read the business plan pdf‟s. Tentative agenda for the next meeting Work on given tasks, most important being the business plan. We should have a better understanding of everything after we meet Cathal and supervisors. Actions Meeting with Cathal Gurran Friday 11th at 12. Meeting with Patrick Wednesday 9 th at 2. Masters in E-Commerce 2010 – Dublin City University Page | 148 Crowding Up meeting 09/06/2010 DCU Business School QG27 @ 12.30pm. Present Andrew Fitzpatrick Emmet McNally Gillian Reynolds Eoin Corry Agenda Discuss quotations from various printing companies. Set up email account using Microsoft Outlook Discuss design for packs (250 interlocking folders) Discuss what should be said in the letters to colleges Begin blog posts Discuss business plan progress Andrew Fitzpatrick Set up Crowding Up email address. Work on business plan section. Blog posts Emmet McNally Work on part of Business plan. Gillian Reynolds Letter to colleges Work on competitors profile Masters in E-Commerce 2010 – Dublin City University Page | 149 Eoin Corry Tentative agenda for the next meeting Have letters ready to send out to potential clients and contact details set up. Work on given tasks, most important being the business plan. Actions Meeting with Cathal Gurrin Friday 11 th at 12. 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Applying usability techniques: (http://www.infosihat.gov.my/artikelHP/bahanrujukan/HEandICT/Applying%20usability%20 testing%20techniques%20to%20health%20promotion%20website.pdf) University of Washington usability report: (http://www.lib.washington.edu/usability/redesign03-04/2ndRoundUsabilityReport04public.pdf) (http://www.infosihat.gov.my/artikelHP/bahanrujukan/HEandICT/Applying%20usability%20 testing%20techniques%20to%20health%20promotion%20website.pdf) Masters in E-Commerce 2010 – Dublin City University Page | 154