Friday, October 10, 2008

Noel Gifts International








Background

Noel Gifts International Ltd started its business in 1975 as “Noel Commerce” which provides year-end hamper packaging. A new flower business was set up in 1982 to compliment the existing hamper business. In 1983, the company was restructured and renamed "Noel Hampers and Gifts Pte. Ltd". Since 1993, the company has diversified to become a specialist gift company “Noel Gifts International”, offering an extensive range of hampers, floral arrangements and gifts. Noel is now the industry leader in the hamper and gifts business. The company has also earned a reputation for creativity and innovativeness in setting new trends within the industry.

Noel commands about 40% share of the local festive hamper market. It introduces yearly, new and exciting products and packaging to provide customers with attractive gift options. In the mid-1980s, Noel has capitalised on its expertise in the hamper business to diversify into related gift areas - floral arrangements and gift packages. Noel creates 500 new gift designs and packages throughout the year to cater to the gifting needs of increasingly discerning customers. These floral arrangement and gift packages cater to all seasons and reasons including occasions like weddings, anniversaries, and even those to convey heartfelt condolences. Noel has created many first amongst the industry including the 98-minutes Express floral and gifts delivery service.

Website Purposes

Being a pioneer in the gift-giving industry, Noel believes that a gift-giving experience should be enjoyable and hassle-free. Noel offers the widest range of over 800 creative floral arrangements and qualifies gifts for all occasions such as new borns, weddings, birthdays, etc. The gifts details are available to its customers online on its website 24-hour. Noel guarantees product freshness and quality of their products as well as reliable service and on-time delivery.


Features

Business model: Business to Consumer (B2C) - Gifts for Individual or Corporate Buyer

Noel’s core business is in the hamper, floral arrangements and gift packages. The website serves as a spot where its customers can search, order and pay for the gifts they require. Various features like ‘Giftshop’, ‘contest & promotions’, ‘shopping tools’, etc are available for their customers to choose from. It also provides international deliveries to Mainland China, Hong Kong, Johor Bahru and Kuala Lumpur.

Quick Links and Giftshop
This is the search engine of Noel. The company has created links to 17 occasions and gift categories. At the bottom of the website, a list detailing selections of floral arrangement and gift packages and occasions is also available. Customers can glance through the list and choose the appropriate occasion or category. Customers can also look for a particular product through the ‘gift finder’ under shopping tools based on specific needs e.g. Keywords, Recipient, Occasion, Product Category and Budget. Quick links are available at the top of the website for quick and easy access to the various services like request for catalog, contact us, sitemap, etc.

Noel Rewards

Noel rewards their customers with a selected range of gifts and vouchers for their purchases. For every $1 spent, customers will be awarded with 1 Noel Point. By accumulating the points, they can redeem their favourite gift or shopping voucher by downloading and complete the redemption form or contacting Noel’s customer service officers. Details of gifts and vouchers available for redemption are shown on the same page.

Contest & Promotions
Contest and promotions can be found on this page. Current promotion is applying Citibank Ready Credit or Credit Card from Noel’s website and be rewarded with free $30 Noel gift vouchers.

eliftstyle
eliftstyle comprises of eNewsletter, eCards, eCommunity and ePoll. eNewsletter shows the current newsletter but shows the wrong month. Even if customers cannot view the newsletter, they can use the URL provided to view it. eCards is a linkup with 123greetings.com to enable customers to send free e-cards to complement the gift sent. Noel has partnered up with other merchants from various different industries to provide additional value-added services. With this eCommunity, customers can join this virtual community of a network of businesses to enjoy combined special prices and exclusive promotions. Under ePolls, there is currently no ongoing ePolls.

newsroom
It provides news release by Noel but the content is out-dated as the latest press release is in June 2007.

shopping tools
The Giftologist
Noel has a new and innovative Giftologist service to assist customers in their specific gifting needs. It is a complimentary service to enhance gifting experience. The word “Giftologist” comes from the word, “giftology” – which means “the art and science of matching the perfect gift to a specific personality”. Noel’s in-house Giftologist will recommend appropriate flowers, gifts and hampers from 25 categories and over 800 to match gifting needs. Just send a query to Noel Giftologist, detailing any allergies or special request and expect to receive a recommendation within three working days. It also provides Tip of the Month whose current tip is “How to air-dry your flowers”.

Membership
Customers automatically become a Noel Friend after their 1st purchase. They get to enjoy numerous privileges and benefits for shopping & browsing the website. Customers get to participate in activities, contest or promotions to earn Noel Points and use them to redeem products from the Customer Loyalty Rewards catalogue. Noel will send their customers an informative and concise newsletter featuring special offers, promotions and upcoming events. Being a Noel Friend, they become a privileged group to preview the latest range and selection of hamper, floral arrangements and gift packages. Benefits includes free online address book, previous purchases records, reminder of important dates and occasions, wish list of gifts and automatic entry of billing and delivery information.

Payment Scheme
Orders can be made directly online or through fax. Customers can download the ‘Fax Order Form’, complete it and fax or email over the completed form. Payment can be done either by Cheque, Cash (payment must be made in person at Noel’s Office before the delivery date), Visa, MasterCard, American Express, AXS (indicate the Order reference number in Fax Order) Confirmation of orders will be made via the telephone

When orders are made online, online payment can be done by ENETS or credit card.


This will apply only to Singapore orders. If a customer holds a DBS, UOB or Citibank account, purchases can be made with their bank account.


Payment can also either by Visa or MasterCard. Customers can either pay online through the electronic payment gateway or by phone.


Business model: Business to Business (B2B) - Franchise and Property Division

Noel has franchise operations in Kuala Lumpur, Johor Bahru, Penang, Jakarta and Bangkok. The company provides a step-by-step set-up guide to manage the business. Interested parties, who need more information on the franchise programme, may email them at franchise@noel.com.sg.

Besides having franchises, Noel had venture into the real estate industry in 1987. It has a selected portfolio of investment properties for those interested in leasing or buying them. Interested parties with enquiries and business propositions may contact the Noel Property Division for more details.

Key Characteristics

Noel provides creative, quality products, best value for money and reliable services. It has the widest range of creative floral arrangements and quality gifts. Even if the customers is unsure of what to choose from the wide selection, Noel will help the customer to pick the right gift for the right occasion. The company guarantees freshness and quality of their products as well as reliable service and on-time delivery.

In 1987, Noel ventured into the real estate industry. In 1995, the company acquired a plot of land from JTC for its corporate headquarters, as part of its expansion and diversification plans after being public-listed on the SES in 1993. The plan also earmarked property investment and development as the next new business for Noel. By 1999, Noel expanded into the domestic real estate arena. The company has also venture abroad through franchising in 1991 and has been hailed as a role model for many other companies on the franchise trail.

Design

Noel provides comprehensive details on its floral arrangements and gift packages and business of property and franchises.



Dropdown menu at the giftshop is available for the customers to choose from the 17 occasions and gift categories. Quick links are accessible at the top of the website for quick and easy access. Alternatively, customers can enter the keyword at the Gift Search and it will show the relevant floral arrangements and gift packages.



Strength

Noel has created many first amongst the industry including the 98-minutes Express floral and gifts delivery service. It provides island wide delivery service and there is a waiver of delivery charge if the purchase is above $50. For payment, Noel secures private information entered using a VeriSign SSL Certificate. Information exchanged with any address beginning with https is encrypted using SSL before transmission. The company is accredited under ConsumerTrust, which aims to encourage best business practices by merchants and to assist consumers in identifying merchants that they can trust. Under this accreditation, B2C businesses will receive both the Consumertrust trustmark and the government endorsed TrustSg seal, as it adheres to the Code of Practice set by COMMERCENET SINGAPORE LTD to promote good e-business practices.


Weaknesses

Noel does not accept American Express, Diner's Club and JCB for online orders and eNETS is only valid for Singapore orders only. The company charges a $2 surcharge per delivery from 1 Sept 2008 as there is a recent increase in fuel price, parking charges and the number of ERP gantries on the road. There is also wrong input of month in the enewsletter. When click on the “Live Gift Assistant” it is not available and requires the customer to leave them a message.


Critical Analysis Of The Site

Noel’s website is loaded with many information and pictures of their floral arrangements and gift packages. As such, it may take some time to load all the information. Some of the features like ePolls and LIVE Gift Assistant are not available for use. The enewsletter does not contain new and updated information of the company. Conflicting information is shown on the Order Policy page where it shows that the GST amount is 5% and waiver of delivery charges if the purchase is above $40. The current GST amount of 7% is correctly shown at the top of the main page and the waiver of delivery charges if the purchase is above $50 is shown when products are selected.

Although it is shown on the main page that the company charges a $2 surcharge per delivery from 1 Sept 2008, customers are reminder of this when they check out. Most significantly, this site has security measures like VeriSign SSL Certificate in place to protect the loss, misuse and alteration of the information under their control. By accrediting under ConsumerTrust, shows that Noel wants to become a merchant that customers can trust. On the whole, customers can safely provide information when they order floral arrangements and gift packages from Noel online.

Thursday, October 9, 2008

PayPal

Background

PayPal is part of the eBay company is provides a safer, easier way to pay and get paid online. The service allows anyone to pay without sharing financial information and gives consumers the flexibility to pay in any way they prefer, including through credit cards, bank accounts or account balances. With more than 164 million accounts in 190 markets and 17 currencies around the world, PayPal enables global ecommerce.

History of PayPal

Paypal was founded by Peter Thiel and Max Levchin in 1999 under the name Confinity. The idealistic vision of the company was one of a borderless currency free from governmental controls. However, PayPal's success quickly drew the attention of hackers, scam artists and organized crime groups, who used the service for frauds and money laundering. New security measures stemmed the tide of fraud and customer complaints.

Despite the initial turmoil, PayPal's market share continued to grow. At first PayPal offered new users $10 to join, plus bonuses for referring friends. The service grew so quickly that it soon became the default online payment service. Buyers wanted to use it since so many merchants accepted it, and merchants accepted it because so many buyers were using it. PayPal owes much of its initial growth to eBay users who used the service to pay for items and accept payments for their online auctions. PayPal even beat eBay at the online payment business, trumping eBay's in-house payment system Billpoint so thoroughly that in 2002, eBay bought PayPal. It phased out Billpoint and integrated PayPal into its services. Sellers with PayPal accounts can place icons in their auctions and buyers can simply click on a PayPal logo when they win an auction to make an immediate payment.

eBay spent another $370 million to buy out another PayPal competitor, VeriSign.

Purposes

PayPal is an online payment service that allows individuals and businesses to transfer funds electronically. It uses encryption software to allow people to make financial transfers between computers. PayPal is an online payment service that allows individuals and businesses to transfer funds electronically.

By using Paypal, users can send funds to anyone with an e-mail address, whether or not they have a PayPal account. They'll get a message from PayPal about the funds, and then they just have to sign up for their own account.

Funds transferred via PayPal reside in a PayPal account until the holder of the funds retrieves them or spends them. If the user has entered and verified their bank account information, then the funds can be transferred directly into their account.
Features:

Ebusiness model


PayPal acts a middleman for merchants, banks and credit card companies. Credit and debit card transactions travel on different networks. When a merchant accepts a charge from a card, the merchant pays an interchange, which is a small fee of about ten cents plus approximately 2 percent.

The interchange is made up of a variety of small fees paid to all the different companies that have a part in the transaction -- the merchant's bank, the credit card association and the company that issued the card. If someone pays by check, a different network is used, one that costs the merchant less but moves more slowly.

Both buyer and seller deal with PayPal, having already provided their bank account or credit card information. PayPal, in turn, handles all the transactions with various banks and credit card companies, and pays the interchange. They make this back on the fees they charge for receiving money, as well as the interest they collect on money left in PayPal accounts.

It can be use for:
1. Sending Funds
Pay for online auctions, purchase goods and services, or to make donations.
2. Receiving Funds
Merchants who want to use PayPal to accept payments have a wide range of options available. For basic payments, such as online auctions or simple Web site sales, the merchant can simply provide buyers with their e-mail address, and buyers can make the appropriate payments to the merchant's PayPal account. eBay sellers can place PayPal buttons on their auctions, and the checkout invoice PayPal sends to auction winners will include a link to pay via PayPal.


3. Personal transactions
Transactions do not have to be made on eBay in order to use PayPal. PayPal is also ideal for moving money between strangers, without using credit card or personal information.

PayPal also provides extensive services for online merchants. Without services like PayPal, someone who wanted to accept credit card payments online had to set up a merchant account through a credit card company. Creating a Web interface to use this account could be confusing and difficult. PayPal bypasses this problem. Business or Premier PayPal accounts can set up a Buy Now button, a PayPal shopping cart, or options for ongoing subscriptions and recurring payments.

PayPal also handle transactions for merchants who sell to international users. It can convert funds to whatever currency the merchant wants for 2.5 percent. Currently, PayPal accepts funds in currencies such as; Australian Dollar, Canadian Dollar, Euro, Pound Sterling, U.S. Dollar and Yen.

Strength
Some of Paypal’s strengths include:

1. Accepting Credit Cards without a Merchant Account

Sellers can accept all major credit cards as well as payments from bank accounts. Your customer doesn't have to be a member of PayPal to pay by credit card.

2. Low Cost

There are no initial or monthly fees to join PayPal.

3. Flexible and Easy to Use

PayPal payments can be made in six different currencies for digital or physically shipped products, auctions, services and recurring payments (like subscriptions).

4. Shopping Cart

You can use PayPal's free shopping cart or use other compatible third-party shopping carts.

5. Buyer Network

According to PayPal.com, PayPal has more than 86.6 million accounts in 56 countries and regions. Its large network allows Merchants to reach to these large groups of buyers efficiently and effectively.

6. Merchant and Auction Tools

PayPal has a number of automated tools including financial reporting, shipping calculation, sales tax and value-added tax calculation, and much more. Since PayPal is an eBay company, it is designed to integrate well with eBay auctions.

7. Fraud Detection

PayPal have a Seller Protection Policy is designed to protect the merchant and their Buyer Protection Policy is designed to protect the customer.

Weaknesses

The biggest disadvantage was that your customers also had to register for an account with paypal. However with recent offerings of Website Payments Pro and Paypal Express Checkout much of these disadvantages no longer apply.

For larger value order, customers must also verify themselves by doing a test transaction and then waiting for the first credit card statement to arrive, which will contain the transaction code for the test transaction. Once this code is supplied to paypal, the account is said to be "verified". This rather lengthy process is the main reasons why many people are put off from using paypal.

These disadvantages were serious enough for many businesses to rule out the use of paypal on their ecommerce website.

Critical Analysis Of The Site

Throughout this research, many criticisms were found to be against Paypal. Nevertheless, it provides users with an easy solution to transferring and receiving funds through the internet with its user friendly interface. It can be said to be one of the leading brands online by providing services to users with majority being ebay users. In the long run, Paypal will most likely continue to expand and provide more services to its users and gain a bigger share in the market.