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. Our goal is to provide our clients and colleagues with useful information, so if you have any feedback and/or suggestions please let us know.
In this edition, M7 Current focuses on the value of e-commerce. Our Client story, "New Revenue Realized With Wine Online," spotlights Summerwood Winery & Inn and the affect of their new Web site design and e-commerce capabilities.
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Design, develop and implement a new Web site including an e-commerce application, an online wine club membership application and content development.
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New revenue realized with online wine sales e-commerce application. Successfully developed a Web site that reflects Summerwood Winery & Inn’s high-end image with enhanced messaging and more intuitive navigation.
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Project Management
E-commerce Development
Development
Design
Content Development
Located on a picturesque 46-acre estate in Paso Robles, California, the Summerwood Winery and Inn produces premium wines and provides a gracious and comfortable haven to enjoy the fruits of the harvest and the breathtaking surroundings.
Quality and availability are two important factors in choosing premium wines. Summerwood produces some of the highest quality, handcrafted wines in the Paso Robles. As the Winery and Inn became more recognized and visited, Summerwood wanted to reach a greater audience and give customers the opportunity to purchase wine online.
For several years, Summerwood offered customers two ways to purchase wine — by visiting the Winery itself or by calling the Winery directly. “We recognized the need to not only make it easier and more convenient for our customers to purchase wine, but to also explore the Winery and Inn with a distinctive online experience,” explained Mark Uhalley, Vice President and General Manager at Summerwood. “Because of our twofold objective, we sought a Web firm that was equally proficient in both application development and design,” continued Uhalley.
Summerwood’s Web site goal was very simple — to equal their high class wines, Winery and AAA Four Diamond Inn. The site needed to be an easy-to-use, rich resource, motivating customers to not only purchase wines, but to visit the Winery and Inn in person. “We chose Marker Seven to redesign our site and to develop an e-commerce application for a couple different reasons. In part due to their accessible office location, but more importantly, Marker Seven’s references and experience in developing e-commerce sites,” explained Uhalley.
The redesigned site represents Summerwood’s brand, as well as showcases their premium wines. The focus was always on the customer — from easy and intuitive navigation to improved content. “It’s amazing how different the site looks and reads with the new colors, font sizes, contrast, and content. Overall, the usability is greatly enhanced and we are enjoying increased site traffic,” explained Uhalley.
The cornerstone of Summerwood’s new Web site is the “Our Wines” section, an e-commerce application that allows customers to shop and purchase wine online. Although the online wine sales process is very simple and easy-to-use for the customer, behind the scenes the development was more complicated.
Summerwood’s complex requirements had to be met with many customizations. Marker Seven had to consider all the discounts Summerwood offers on their wines. Summerwood has two sets of item prices, depending on whether the customer is a Seasons Club member, and multiple levels of volume discounts, also different for Seasons Club members. The automatically calculated shipping costs to various states had to track Summerwood's actual costs as closely as possible. In addition, Summerwood wanted the ability to hold temporary sales, using discount coupon codes, on individual wines.
“We wanted the purchasing process to be streamlined for our customers, minimizing the questions and clicks between the decision to purchase and the completion of the order,” explained Uhalley. “Marker Seven developed the application so our customers are asked only once if they are a Seasons Club member. The answer is retained for the duration of their session. Also, the coupon-code system is handled within the same processing step as the wine club, eliminating the need to add one more click,” continued Uhalley.
In addition, Marker Seven developed an application allowing customers to join Summerwood’s Seasons Club online. Both the e-commerce and the club signup application protect customer credit-card data with the highest level of security, using a VeriSign certificate and 128-bit encryption.
“The e-commerce initiative was more involved than originally anticipated. Marker Seven was very responsive in making the desired changes and we are pleased with the outcome. Most importantly, the e-commerce application made wine sales more convenient for our customers and we are realizing new revenues because of it,” explained Uhalley.
With Marker Seven’s support, Summerwood is accomplishing their online strategy. The Web site now portrays Summerwood’s ‘high quality’ image, is user friendly, and allows customers to purchase wine and become a Seasons Club member online.
“We are happy with the new site and the e-commerce application. Marker Seven was instrumental in helping us realize our vision and online strategy,” said Mark Uhalley. “We now have a Web site that meets our business needs and improves service to our customers,” concluded Uhalley.
E-commerce and the Internet are now everyday terms, not only in business but also in households as well. The 200 million Americans who now have web access are likely to spend more than $120 billion online this year. And this number only represents the actual online transactions. The Internet and e-commerce greatly influences customer behavior offline as well.
E-commerce has expanded rapidly over the past five years and the growth is expected to double over the next four years. According to a new report from Forrester Research, Inc., “while offline retail sales continue to struggle, online retail will grow at a steady 19 percent year-over-year growth rate, from $95.7 billion in 2003 to $229.9 billion in 2008. According to some estimates, online business-to-business services account for $1 trillion dollars a year. So, e-commerce is already very big, and it is going to get much bigger.
Consumers love to shop online. Why wouldn’t we? Web sites are becoming increasingly easier-to-use and services levels are surpassing that of offline retailers. Everything is at our fingertips. Comparison-shopping is simple with the touch of the mouse. We can make educated decisions because all the product information is available online. It’s so convenient - we don’t have to leave our home or office, nor do we feel any pressure to make a purchase.
In addition, internet shopping has shaped consumer’s offline buying behavior. Consumers use the Internet to shape their decision on how to spend money offline. For instance, in buying a car, most customers have already researched the make, model, color and options prior to entering the showroom. And most customers know what they should expect and want to pay and are armed with that information. So, internet shopping makes customers much more confident in what they want to buy, as well as where they want to buy.
Broadband internet connection has had a deep effect on the growth of new businesses. The Internet reduced the cost of going into business and has made it ‘doable’ for many small firms to enter the market. To become an entrepreneur and reach a worldwide audience, all you need is a computer, a fast connection and a first-class Web site.
The Web site is key – even for the companies that don’t sell online. It is a direct reflection of the company, brand, products and services. The more useful the Web site, the more useful the product/service is perceived. Remember, the competition is only a click away.
If developed and implemented correctly, an e-commerce site can provide a win-win for both the customer and the company. From the customer’s standpoint, e-commerce offers convenience, efficiency, cost savings and comfort. From the company’s perspective, e-commerce provides a way to connect to a much greater audience, instantly satisfy demand for products, services, and information and increase revenues. With e-commerce, companies can now reach markets once considered outside the traditional boundaries of the business.
The sky is the limit. As long as companies keep delivering products/services quickly, economically and securely on the Internet, e-commerce will continue to grow and shape customer's buying behavior.
by Felice McDonnell, Marketing Writer, Marker Seven
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