- 1997: Volume 6, No. 4 Outsource Your Internet

Businesses seek a key ingredient that will make their Websites a strategic and operational success. There is no magical key that any Internet professional can offer these firms, outside of the seemingly obvious but oft-ignored formula of using the Website in line with other means of marketing, exposure and customer service to make the firm's business processes run more efficiently. There is, however, one key element of a Website strategy that many companies can use to their advantage: outsource the Website production and maintenance to a skilled and trusted Internet partner.

In this day and age, a company's Website constitutes an increasingly integral part of its marketing and customer service efforts. An audience of over 40 million people can ill afford to be ignored by even the smallest of outfits. While outsourcing has become a household word in the computer industry, it is considered a risky endeavor by many. This holds especially true in the shark-infested waters of Cyberspace where the modern-day gold-rushers have all but tarnished the network's image as a great place to pursue one's business goals. An interesting paradox here is that the same forces which make Cyberspace an easy place to get burned-its archaic nomenclature, its decentralized nature and its Wild West mentality-are the same ones that contribute to the current wisdom that outsourcing Website development is a smart move. Below, we will cover the how and why of successfully developing an outsourced Web presence for your company.

Why Outsource?

The Internet represents a new medium with which few people in an existing marketing and customer service operation are extraordinarily comfortable. The medium is unlike any that managers of businesses have seen before and one that requires a unique approach. Given this unfamiliarity, outsourcing Internet efforts constitutes a wise move for a firm. Another key factor contributing to the need for Website outsourcing is that learning the new medium and all of its nuances is not the best use of management's time or energy. Even with full-time devotion to the task, it is unlikely that managers would attain the level of comfort with the medium that is customary among professionals in the field. Even if it were possible, it would probably be an expensive endeavor in the long run, both in terms of time and money.

Partnership with a professional Internet provider also makes sense from an organizational standpoint. In most cases a company's Website and Internet presence cannot be subsumed under one department or area of your company. A professional Internet firm is familiar with successful Internet marketing tactics as well as ways to improve customer care through using the Internet, and can also work with management to develop long-term cost savings plans. An effort directed by one area of your company, even in an extremely small and efficient firm, may lack the objectivity and familiarity needed with the goals and objectives of the other areas. The reality is that each area has its own focus and priorities, and the Internet presence needs to offer a balance between these key areas that in most cases only an impartial consultant can offer.

The final argument for outsourcing a Website is cost. While the rates you pay to a professional Internet company are significantly higher than a comparable salaried position, most firms only require this assistance several times throughout the quarter. The cost of maintaining, training, managing and outfitting a set of full-time employees to manage the Website over one year can easily dwarf the cost of a professionally done Website. Additionally, a bona fide Internet partner brings substantial hardware, software, infrastructure and knowledge to the table that firms can leverage to their advantage with little or no added costs.

Tips for Selecting a Website Design Partner

• Reliable, stable and experienced
• Have a look at their work/talk to clients
• Think about "you get what you pay for"
• Consider that this is a partnership, not just a quick purchase
• Take your time, but do it quickly

How to Outsource Effectively

Once management is sold on the idea of outsourcing a Website, the real fun begins. Choosing an Internet partner is a very important part of joining the of Cyberspace community, and if done improperly can prove to be very costly. A Website off-line for four hours one day that prevents a client from placing an order, a press release that misses its timeliness because its placement on the Web is delayed one week, or a bounced email regarding business about to close, can all cost a company dearly. The tradeoff between choosing a low-cost Internet partner and a high-quality Internet partner has and will continue to become readily apparent to the unsuspecting client.

To help complicate the decision of whom to partner with on your Internet services, there is an abundance of hype and confusion in the marketplace. Definitions and terms are floated for the benefit of the client and acronyms are tossed around like hotcakes, all in an attempt to close business in what has become a fiercely competitive market. The smart consumer of these services takes everything heard and said with a grain of salt and carefully considers his or her options.

The first thing to do when trying to identify an Internet vendor is to find a stable and reputable company, much like when shopping for any other professional service. A face to face meeting, which is recommended before the start of any business relationship, is usually sufficient to make this determination. The next step is to have a look at the work the company has done, both on the Web and elsewhere, and get some feedback from clients in terms of what to expect. While it may be difficult to find, what you're looking for here is a company that truly partners with its clients, guiding them to an effective Internet strategy and making it easy to do business. Shoppers should keep in mind the partnership nature of this association and think about the prospects of working with this vendor for long hours over the long-term.

Going hand in hand with this partnership is the issue of cost. In this industry, the phrase "you get what you pay for" is proven day in and day out. Avoiding cheap and no-frills Internet partners is the biggest favor you can do for your firm. Once all of these factors are considered, it is likely that a sharp shopper will have identified a company that feels right, and it is at this point that the company should move forward with identifying an Internet partner.

A word on infrastructure applies here. The Internet presence can basically be broken down into three main services. Website design is the creation, programming and consulting necessary to build a Website that does what a company needs it to do. Website hosting is "rent," where an Internet firm will provide you with space to house your Website and most likely charge a monthly premium. The other service, Internet access, where the partner provides your firm with the ability to access your Internet site and other sites, is also extremely important but is outside the scope of this argument since there is no choice but to outsource it. In any case, Website design services can be provided by anyone with a PC and a pulse. Website hosting and Internet access services should only be provided by those firms which maintain a significant and redundant infrastructure to house a high-tech operation. There is going to be a large difference in service level between a business-focused Internet service and a mom and pop shop in someone's basement. Again, a meeting to have a look at the firm's facilities will make the answers to these questions painfully obvious. The message here is that qualifying the potential partner and understanding their business model is essential in order for the relationship to get off on the right foot.

One other issue is whether to divide the services between multiple firms or to select one firm to act as a "turn-key" provider of Internet services. What makes the most sense for a firm that wants to minimize headaches is to bundle all three services with one trusted partner. This allows for centralization of billing and customer care, and ensures that there won't be any compatibility issues between the various services offered. It also allows a client to demand more attention from the partner due to the sheer size of the account. All in all, this consolidation of services works to the client's benefit.

Tips for Creating Your Web Presence

• Decide on your target audience
• Select a proper domain name
• Convey your mission
• Ask to see multiple layouts
• Design graphics for the Least Common Denominator

Building an Effective Internet Presence

Many companies that go to great lengths to choose an Internet partner have not fully exploited the relationship to revolutionize the way they communicate with customers and do business. Moving slowly is acceptable in this space as long as the firm moves forward, but having a long-term strategy is essential to the success of the project. It is alright not to

have your client databases and ordering forms online when the Website first goes up, but if a plan is not in place to integrate these services within three years or so, this might be a sign of trouble. The cases in which Websites have truly fallen apart are ones lacking a solid goal or objective relating to improving sales, cost-cutting or customer service, and those lacking client commitment to the project.

The first step in starting an Internet project with your chosen vendor is to establish clear goals and a timeframe. Increasing exposure by publicizing a URL and adding substantial product and ordering information to a Website are solid starting goals, and the progression should be toward conducting all business over the Web. The Internet is expected to play host to many billions of dollars in transactions in 1998 and there are few companies that lack motivation to stake a claim here. The long-term goal in most cases, therefore, should be an integration of sales and other business processes with Internet technologies and the Web. One of the most effective and efficient ways to begin this project is to migrate all existing documentation onto a Website accessible by your clients. This is both a customer service and a cost-cutting measure that has proven itself to be virtually foolproof in the industry. Whatever the objectives, be they sales, service, or savings, the company needs to make that determination ahead of time. The technology is there to provide almost all services in an automated fashion; what the firm needs to supply is the strategic direction required to make the most of the opportunity.

The second step a company has to make is a commitment to the project.

Giving a partner a pile of money and saying "go build me a site" will not work. While the partner knows the Internet medium and how to use it effectively, you know your business and nobody can be expected to figure their way through it without your help and assistance. Successful Webprojects require almost daily interaction between client and vendor. Add to this the concerns of marketing the site and educating your personnel about its objectives, and you've just committed a chunk of someone's time. A certainty that the company can afford the commitment to the Website should be in place well before the decision is made to begin. Once the employee spends the required time with the partner and gives his or her feedback, the real joy of site development and the editing process ensues. The end of this phase culminates in the site launch, where the company celebrates its entrance (or re-entrance in the case of Website upgrades) to the online world.

Tips for Selecting a Website Hosting Partner

• Like a landlord-look for stability and reputation
• Don't get burned by the cheapos-that can be more dangerous here
• Select a corporate-focused provider who can grow with you
• Consider the level of reporting you need-can they provide it?
• Web hosts should own their own equipment, do backups daily, use a high-end server platform like UNIX or Windows NT, have redundant equipment and connections
• Do they support the advanced applications you want to use-databases, secure server, the next big thing?
• Web Hosts should give you a feeling of confidence that they will be in business in a year

A final step that is crucial in the development of a proper site is solid marketing of the Website. The Internet partner will likely spearhead this endeavor, but follow-up from the client is essential as well. Marketing consists of putting the Website address and email address on business cards, marketing materials and other communications, and marketing the site on the Internet itself. The latter is done through registration with the various search engine directories and by exchanging links with related Websites. The first phase of a site can be considered complete when the target audience knows the site exists and has been advised of its value.

Tips for Marketing Your Website

• Register with search engines to let people know you exist
• Advertise the URL on newsletters, business cards, letterhead, on-hold music, print ads, and everywhere else
• Trade links with other Websites
• Work with your provider

Conclusion

Building a Website requires a unique combination of luck, skill and business savvy and is best undertaken in the company of a trusted Internet partner. The process of site-building has many pitfalls and trap doors, but if gone about properly can be a very positive and educational experience for both parties. The Internet partner benefits from learning about the client's business and by doing what they do best yet another time. The client learns a great many things about the Internet and how to use it successfully and with confidence. More importantly, he or she revels in the partnership created and the decision to use the outsourcing model to complete this important project.

Eric Cantor is Executive Vice President of Internet Interstate (www.intr.net), the Washington DC, Maryland and Virginia area's leading Internet firm and a member of the Verio Group of Internet Service Providers (ISPs). He spends his time advising companies on the most efficient ways to build their technical and operational Internet strategies. He can be reached at ecantor@intr.net or on (301) 652-4468.