The IGN Data Hub - May 17, 2000

17 May 2000
Compiled by Vicky Nolan

Older Americans Benefit from the Internet

Senior citizens are benefiting from the Internet in untold ways. A "senior wired" survey conducted by America Online found that older Americans are going online regardless of their age and computer skills and they're finding the Internet to be beneficial. Ninety-two percent of those surveyed feel the Internet has improved their lives overall and another 69 percent say the Internet has brought their families closer together.

As part of the survey, AOL found the ten most "senior wired" cities in America based on the amount of time adults age 55 and over spend online. The cities are Phoenix, Boston, Tampa-St. Petersburg-Sarasota, Los Angeles, Orlando-Daytona Beach-Melbourne, West Palm Beach-Ft. Pierce, Ft. Meyers-Naples, Cleveland, San Francisco-Oakland-San Jose and New York. On average, seniors in these cities spend about 18 hours a week online, and most have been connected from one to three years.

Seniors are hitting the Web for a number of reasons. Ninety-three percent say they use the Internet to keep in touch with family and friends, for email and instant messaging, to send online cards and pictures. They also use the Internet to research information, shopping and play games, such as bingo, trivia and bridge.

Dot Coms' Finances, Cash Volume Studied

PricewaterhouseCoopers found that nearly one in four U.K. Internet companies is likely to run out of cash over the next six months, ZDNet UK reported. PwC's study also showed 25 out of 28 Internet firms are likely to drain their coffers because of spending for high marketing and expansion costs.

ZDNet noted that similar revelations in the U.S. hit hard on companies like Peapod and CDNow, with many companies' stock getting trampled by massive sell-offs.

Internet Users Maintain Their Real-World Social Skills

Refuting the popular image of lonely computer users losing their ability to maintain real world connections, a survey of 548 Internet users instead shows that human interaction is a significant part of their daily lives. The survey, conducted by eNow during the Spring Internet World (which was most likely attended by many computer nerds), showed that 87 percent of the respondents had spoken with a family member within the last week.

Another 60 percent had stayed up late chatting in person or on the phone. Many of the respondents are involved in a group or club, and are busily making new friends. On the other hand, some things, like letter writing, have been virtually obliterated by phone and email's ease and immediacy.

Ed Segal, eNow's founder and CEO explained their survey: "We wanted to ask questions that haven't been asked about people's use of technology and communication habits. For example, do they still write letters? Does spending time with a computer make people less social?"
www.enow.com

Visualize the Web

Just in case you wondered, the Web looks like a bow tie, according to scientists at IBM, Compaq and AltaVista, who were studying how information travels across the Internet. Information from this study is expected to improve methods of searching the Internet, as well as improve e-commerce strategies.

The Internet is divided into four regions, the scientists explained to ZDNet UK, which together look like a giant bow tie. The four regions are disconnected pages, the origination, the termination and the core. Each section is comprised of various similar Web pages linking in different ways to the central core.

"Developing the 'Bow Tie' Theory explained the dynamic behaviour of the Web, and yielded insights into the complex organisation of the Web," the scientists explained.

"These structures will help computer scientists better understand the structure of the Internet, and lead to new technologies and design advances that will speed and simplify e-business."

Call Centers Connect with the Internet

Nearly 40 percent of call centers expect to have a Web-based customer care solution in place within one year, according to a Yankee Group survey.

"Today the Web site complements the call center; in the future the call center may come to complement the Web site, and the most Web-oriented consumer sales operations are already moving in this direction," explained a Yankee analyst.

"In this environment of increasing value and growth, telecommunications service providers and vendors that can offer the right solutions combining appropriate technology with Web hosting capabilities stand to prosper."
www.yankeegroup.com

Small Businesses are Flocking to the Web

The number of small businesses transacting on the Internet increased from 1.8 million in 1998 to 2.8 million in 1999, representing an increase of 55 percent, according to a study by Access Markets International Partners, Inc. Additionally, the study found that American small businesses increased their online spending and transactions by more than 1,000 percent, from $2 billion in 1998 to $25 billion in 1999.

"There's been a spectacular rise in online purchasing," said the AMI-Partners president. "Clearly, the growth in the small business market segment, which represents a significant critical mass, is driving the future of B-2-SB e-commerce. We are projecting that small business online purchases will register $118 billion by 2001, emerging as a critical driver of overall B-2-B e-commerce."
www.ami-partners.com

Survey Lays Out Roadmap to Success for E-Tailers

A new study, "The E-bates.com Dot-Shopper Survey", from Harris Interactive, has identified six distinct shopper types among online shoppers. The survey was conducted among 3,000 respondents, and should provide online e-tailers a glimpse into the varying motivations, mindsets and spending habits of the estimated 120 million current Internet shoppers.

"Companies that really understand who consumers are, how they think, and how they act will target consumer segments differently and maximize their customers' lifetime value," explained an ebates.com spokesman. The survey, he added, "has opened a window into the lives of these online consumers in a new and compelling way, and the implications for successful e-tailing strategies are vast."

The six groups are:

  • "E-bivilant Newbies", representing only five percent of the online shopping population, this group is the newest to the Internet, is somewhat older, and likes shopping online the least.
  • "Time-Sensitive Materialists" represent 17 percent of online shoppers. These individuals are most interested in convenience and saving time, are less likely to read product reviews, compare products or use coupons.
  • "Clicks and Mortars" comprise 23 percent of the group. These individuals tend to shop online but prefer to buy offline. They are more likely to be female homemakers, have privacy and security concerns about buying online, and visit brick-and-mortar shopping malls the most often.
  • "Hooked, Online & Single", which represents 16 percent of online shoppers, are more likely to be young, single males with high incomes, have been on the Internet the longest, play games, download software, bank, invest and shop online the most often.
  • "Hunter-Gatherers" comprise 20 percent of cybershoppers. Members of this group are typically age 30-49 with two children, and most often go to sites that provide analysis and comparison of products and prices.

www.ebates.com