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Gold/Mining/Energy : Net Shepherd Inc. (WEB) on ASE
WEB 27.990.0%Oct 11 5:00 PM EST

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To: Claude Cormier who wrote (669)11/30/1999 6:32:00 PM
From: Crazy Canuck  Read Replies (1) of 1252
 
>>Might find this interesting:
gartner12.gartnerweb.com <<

Thanks Claude, I've seen it. This paper actually came out when I was starting working on my summary on Net Shepherd.

I want to be right up front and say that I believe that reports like this (which use a broad brush approach to explain their theory of what might happen in the future) should be read together with what other research firms are projecting.

Their basic premise seems to be that yes there will be a demand for e businesses, but that many businesses will screw up their their "E" implementation. I also seem to be having a hard time reconciling what this report says as compared to the tremendous projections for growth that a number of the most reputable research firms have published as well. So, the question that comes to mind is "who will be right?"

That said, I also believe that it would be foolish to dismiss the premise this report presents. I read it closely, and came to the conclusion that it is a very strong endorsement for my last statement in my last post to you that . . . " pure and simple . . . businesses who want to succeed in the future will need what NSI can deliver!"

From the article:

However, such failures will occur not because e-transformation is wrong, but because the business model, strategies and implementation will have failed.

Due to yesterday's announcement and the infusion of cash, programming support, and the addition of Mr. Baan's visionary leadership, the threats it refers to have been reduced tremendously. Also, I believe that as more Internet and E-commerce businesses sense increased pressure, there will be a corresponding and greater demand for what NSI's new Business Intelligence company will be able to offer. Making informed, strategic decisions will be much more important in the next few years.

During this phase, enterprises must separate hype from reality and learn from businesses that: 1) understand the need for both brick-and-mortar and "click" strategies; 2) make appropriate strategic marketing and technical decisions; and 3) manage the organizational transition to "e" correctly. Such businesses 'mainly those with a "brick-and-click" mix' will survive to emerge as optimized e-businesses in the "slope of enlightenment" (2004?2006)

Here is a reference from an old post where I described a pilot project that NSI has worked on in the Netherlands. This example clearly shows how NSI can be the bridge for the Brick and Click companies.

There are many other potential applications of NSI's technology that could be utilized here as well, but for now, I offer this as an example . . .

Here is an interesting overview of one project that has world wide ramifications . . .

Mr. Charron (NSI's CFO) explained one of the potential projects that his firm is now working on in Holland. They have submitted an interesting proposal for the Brazilli mall. The Brazilli mall has approximately 35,000 houses in the proximity of the mall who are hooked into the Internet. Net Shepherd's concept is that they would put these houses into an Internet community. This means that these residents would now not only be able to shop at these stores in person, but they would also be able to shop these stores over the Internet. An interesting point he made was that the mall's customers would also be able to provide feedback to the stores with respect to their satisfaction with the store's existing depth and breadth of product selection. These customers would also be able to make requests and thereby influence new product offerings. An example of this may be a wine store who receives a request for a specific type of wine for a customer. Once the wine is located, the customer is notified, and they then can come in and pick it up at the mall.

I see this as an excellent blend where the bricks and mortar retailers (who will always be in demand), will now be able to leverage the value of customer input, while also providing the same service and product features that the on-line companies can. The real kicker is that they can now do this while also helping the neighbourhood and the mall maintain its sense of community and continue to be a meeting place.

Net Shepherd would also provide the mall with an on line town hall where the neighbours can comment or make suggestions on improvements to the mall itself. Discussion topics would cover such things as amenities, temperature, children's services, etc. It could be used as an on going focus group for the mall management. I know mall managers who would kill for this kind of input.

As Mr. Charron mentions, he feels that this service will transform the traditional shopping mall paradigm. Given my background in the retail business, and I have to agree with him. I see this service as providing the traditional retail mall with access to powerful ammunition to head off, and compete with the non traditional on-line companies.
In my opinion, whether or not Brazilli mall proposal is approved, I think it is important to recognize Net Shepherd's potential in this area. Take a moment to think about how many shopping malls there are in the world! Now if only one half of one percent of these malls wanted to do something similar (and in my opinion - they would be foolhardy not too), then the market for this service is staggering in size and scope!


Message 9960816

One more point that I want to make . . . I don't need a report, or research firm to tell me that there will be a huge demand in the very near future for the "real time" Internet based customer service / call center service that Answers.com will be providing.

Once again, every time I look at what NSI is doing, and how they are positioning themselves for the future, I feel better about my investment in them.

Thanks for the report Claude. But, no more reports for now O.K. , I think I have done enough of typing for awhile. <VBG>

Crazy Canuk
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