Electronic commerce could be worth as much as $380 billion globally
by 2000, according to new figures from IBM and the Wall Street
The estimate on the future worth of the market is 50 per cent up on
projections that the computer giant released only six months ago.
The latest statistics were revealed as part of new research which also
shows that two out of three major European firms are already using the
internet for business.
One in five of those companies has reported higher sales as a result and
although web usage is still young, 37 per cent of those wired firms are
using the net to do e-commerce.
This growth in e-commerce makes it a vital market for IBM, according to
Sanjaya Addanki, general manager of IBM Net-working Solutions for Europe,
the Middle East and Africa.
Banking is a key sector for IBM, which is working with financial
institutions worldwide on home banking, online bill payment and reliable
electronic funds transfer.
In the UK, IBM is working with NatWest to create NatWest Business On-line.
The two are currently running a pilot project to target mid-sized business
customers with services such as credit information online, including
reports on over 20 million UK and European companies, as well as reports
on trading conditions in many countries and industry sectors.
NEW LOGO WILL SET THE TONE FOR IBM’S INTERNET MARKETING
IBM has placed ’e-business’ at the centre of its marketing strategy and
has created a unique logo that apes the universal @ symbol. The logo will
appear on all future IBM internet advertising and marketing.
To back its commitment to e-business made in November, IBM launched a
massive $200 million global ad campaign using TV, press, direct mail and
the web, created out of Ogilvy & Mather Paris and New York.
The campaign will shape all marketing activity in 1998 and beyond, and
will highlight IBM’s e-commerce skills and identify the opportunities and
issues in setting up an online business or transforming a business into an
According to Rachael French, IBM UK advertising manager: ”We want people
who see the logo to think immediately of IBM and what it can offers in the
way of electronic business.”