The success of Livejasmin.com
Despite the crisis, some sectors of the economy have remained constant in recent years, but e-commerce is a sector that has experienced a persistent growth of 20-30% annually. With this in mind, CEU Business School held a roundtable to discuss the “whys” of this situation. Professor Paul Lecourbe organized the event which brought together the CEOs of the leading e-commerce companies in Europe.
Szabolcs Valner of Digital Factory was the first attendee to speak, whose business focus is helping local startups to be globalized. To illustrate that European companies can succeed internationally, Valner highlighted LogMeIn, Prezi, LiveJasmin and Ustream, stressing that there is a tendency to ignore LiveJasmin.com due to its focus on adult entertainment, which does not mean that it should be overlooked, as it also provides a service through the internet, and has become the most trafficked videochat community on the internet.
Valner added that it is not easy to succeed internationally, and that for every fifty local companies that succeed within its borders, there is only one that makes it worldwide. However, as his examples show, there is no doubt that it is possible. Valner continued saying that the best strategy for entering a market is to identify the task that a Company can do better than its competitors in that niche and focus on winning new customers.
Akos Bognar of Jateknet said that his online toy retail Company has grown by 1,000% in the past five years. He added that 70% of company revenues are produced during November and December in the run up to Christmas.
Bognar spoke of the importance of the logistics system and how Jateknet has worked continuously in accelerating the process of product delivery to the customer, arguing that it is key that they online enterprises are able to make deliveries in just 24 hours, otherwise there will always be customers who prefer to go to a physical store. Bognar also emphasized the importance of building trust with the customers to gain their loyalty. Although this does not apply to companies offering services to in realtime, such as Livejasmin.com.
Zsolt Csapo of FoodPanda spoke of the specific challenges facing his Company, engaged in the business of restaurants placing orders online, or seen another way, people who are hungry and want something to eat. Csapo mentioned the challenges of marketing to this segment, as it is difficult to focus the target audience in the right slots, however, this point is crucial because once their hunger is satisfied, they no longer need the services your company offers.
Csapo added that having a variety of restaurants is not enough. The brand is also important as it ensures a level of quality and the right price to satisfy customers. He concluded that the customer is decisive and that FoodPanda is efficient in resolving any problems that may arise, as a satisfied customer is a repeat customer.
Balazs Benedek of Easyling.com spoke of the need to reach customers in their home language. He cited a study showing that 90% of people go to a website in their own language and that non-English speakers are six times more likely not to use a website in English. He also noted that websites are dynamic and must be constantly changing to adapt to the new needs that arise.
Benedek continued saying that, in addition to languages, the locations of the servers are also important for companies like the classification sites, something very crucial for search engines. What languages are essential to reach optimal market share? With only five languages, you can reach 80% of the “Internet GDP”.
In the final talks, many challenges and opportunities that electronic commerce offers in the future were discussed, and together with the feedback received from the customers, assuring that they are satisfied and trust is generated so that business is recurring. Finally, it was also emphasized that it doesn’t matter if a Company has a great idea if it isn’t able to develop a good business plan to execute it and bring it to fruition.