The Internet has evolved to the point where it can (and should) be a critical element of a company’s sales and distribution strategy. But many original manufacturers, developers and publishers mistakenly still think of the web as “one” mammoth sales and distribution channel supported by a series of distinct and separate functions: Facebook for brand building, Google for advertising, Amazon for ecommerce, and etc.  Or worse, they don’t think about it at all, instead relying on their downstream sales and distribution channel to sort it all out.

The reality is that the Internet today is a true multi-channel environment that gives a business multiple ways to engage with customers; there are literally hundreds of thousands of different methods, partners, systems, and sites that give you options for Internet sales.  Splinternet is an appropriate term.

Organizations tend to overfocus on one or more channel (ex FaceBook) without fully understanding how customers actual make purchase decisions.  Worst still, many don't understand that even if the customer doesn't buy online (most B2B and B2C sales are still done via traditional channels) the web has a major role in all purchase.

There is a way to manage this chaos. At Yeoman, we have segmented and organized the web into seven distinct channels, each with its own competitors, search patterns, and set of buyers:

1. E-tailers: Ecommerce systems represent over $200b in revenue and include Amazon along with thousands of specialty sites.
2. B2B and Supply Chain Systems: This segment is responsible for the largest amount of B2B and industrial sales.  It includes Ariba and Alibaba as well as broader RFP and bidding systems.
3. Referral Based: These systems contribute as much as 10-13% of revenue to some sites. They include 20+ engines such as Pronto and Shopzilla as well as specialty systems like ServiceMagic.
4. Content Sites: The web is content driven. This channel includes general content sites as well as 'managed systems' for engineering, technology, and healthcare professionals.
5. Social media: The current 'hot' topic of the day not only includes Facebook and LinkedIn but also covers discussion boards and private online networks and communities.
6. Auctions: Auctions and reverse auctions used to be focused on consumer and general commodity sales, but this is constantly evolving. This group includes systems like eBay and Liquidation.com.
7. Direct Site: Last but not least, the main site needs to support customers, vendors, resellers and partners with best practice organization and accessibility.

You need to understand all seven channels, making sure that you or your partners have the required sales presence in the ones that make sense for your business. True multi-channel sales. This will ultimately increase sales, margins and brand equity, giving you better control over your products and your brand image.

It’s worth looking at every channel. Trust us; U.S. total Internet revenue topped $800 billion last year.

At Yeoman, we help companies figure out where potential customers are and which systems should be leveraged to get the sale. Then we help you do the work to get there. That’s our passion.

Learn more. Our Internet Sales Channel Review white paper is a must-read for any manufacturer or publisher planning on building or expanding online business or introducing a new product. In it, we explore all seven of the different online channels, outlining their key features, typical customers, and execution challenges.

Or you can listen to our archived presentation that explains the different sales channels online.