Sunday 8 June 2008

Don't Be Mediocre, Be A Generalist

Here's a problem. Most e-commerce websites suck. They're average, sub-optimal.

They suck. If they were high street shops you'd see what I mean. Some would not be signposted. My mother would not be able to find anything she wanted in the store, let alone figure out how to pay. They might not even be found if you called directory enquiries. Lighting would be poor, there would be no space to park and you'd be unsure if you were being served by rip-off merchants or a legitimate business.

Sure, there are some great websites out there. A few. However, because web customers are in many ways "invisible" to the businesses that are trying to serve them, site managers running these sites get away with mediocrity.

Small businesses or large businesses, the problem is the same.

In small businesses you need an all rounder running your web business: he or she needs to be able to do a bit of everything and do it really well to be effective. These all-rounders are few and far between. So - good websites for small businesses are few and far between.

In a large web business, you end up with different "specialists" taking on different roles. You get the design team, the merchandising team, the online marketing team, the tech team, the product planning team, the analytics team, etc. They are all brilliant at what they do. Brilliant.

Just why does the site that you end up with suck if they are brilliant? The really great websites are the ones where the teams do "joined up thinking". The site design team know something about SEO. The analytics team knows something about PPC. The product planning team understand affiliate marketing. If they all understand the basic principles behind all of the main disciplines, you'll do fine. If not you can end up with mediocrity. Division of labour brings pockets of excellence and general mediocrity.

The solution to me is clear: every person involved in delivering the website and running it should be familiar with the basics of how all the main disciplines work.

I will give somple examples of what are these "key disciplines" that are needed to overcome mediocrity and suggest 5 tips on how to acquire those skills. I don't for a moment suggest that anyone can be an "expert" in all of these areas. What I am suggesting is that everyone in an ecommerce business that can affect the business results needs to be a "generalist" and be fluent in the basic principles.

This is true whether you are a one-person site manager doing everything or whether you are a specialist in a big company.

Consider ecommerce websites to be like high street shops. If you are running a traditional "bricks and mortar" business, you need to do three things...

1. Attract customers
2. Persuade them to buy when they come through the door. (And ideally, maximise this so that they
buy more than they would normally have done).
3. Encourage them to come back to shop again and become a regular "repeat customer".

Quite simply, running a website / web service is all about customer acquisition, conversion and retention.

Acquisition

Retail is all about selling the right product to the right person at the right time. So to get this right, there's some preparation needed in terms of customer insight / research, developing a brand, building a proposition, product planning & strategy, business case modelling. Then once you have a product you need a communications plan, (including, but not excluding online PR). On a technical side, you need to understand search engine optimisation (3 core pillars; site structure, content and reputation), search engine marketing (paid search), affiliate marketing, social media optimisation, RSS, blogs, ad serving.

Conversion

Here, the most important discipline is user-centred design, also information architecture, followed closely by merchandising techniques and understanding effective calls to action. Think about good error handling, optimising shopping "funnels", accessibility, compelling copy writing, tactical promotions and you might just have scratched the surface.

Retention

Plenty to learn about here too, from email marketing to direct mail (CRM), use of confirmation emails, special offers, customer database management and that's just scratching the surface.

And more...

Underpinning all of the above is a good understanding of web analytics (for traffic sources, keyword analysis, conversion tracking - and a whole lot more).

And to get stuff done, to make it all happen they also need to understand a little about technical things like technical architecture, software development methodologies, project management techniques, be a great tester.

To add some real flavour to the mix, key principles of many academic disciplines come in useful, economics, sociology and psychology.

And to be effective in business generally, you need to know about HR issues for the countries in which you operate, be a great manager, have good negotiation skills, know a little bit about contract law.

If you find someone who does all of the above well and them let them loose on your website - now you're talking! Also, point them my way, I'd love to meet them!


So - if you're just starting out...

5 tips to become a great E-commerce "generalist"

1. Work with great people

We learn so much from working with other people. Put yourself with the best you can find and learn from them. Soak it up.

2. Apply yourself

This industry is only about 10 years old. Most of the so called experts became experts by just applying themselves and learning from their mistakes. You can too.

3. Attend training

If you can, go on specialist training courses. There are few places such as e-consultancy.com where you can get a kick start

4. Read, read and read

You can never read enough. Some of my favourite books are listed here if you need ideas.

5. Have a go

For me this is the most important advice of all. Have a go! I didn't know anything about setting up RSS feeds until I had to do one for this blog. Figure it out, and just try.


One day, most websites will be great. Until then, if you are a "generalist", go make some money!

"The General"

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