Product category:
3D CAD software
News Release from: Business Advantage Group
Edited by the Engineeringtalk Editorial
Team on 23 March 2001
Internet buying slow but sure, says
report
Only 15% of CAD/CAM using companies have ever bought CAD/CAM products over the Internet, according to recent research conducted by The Business Advantage Group Plc.
Only 15% of CAD/CAM using companies have ever bought CAD/CAM products over the Internet, according to recent research conducted by The Business Advantage Group Plc However, almost all of these, indeed nine out of ten, say that they will continue to do so to the same or a greater extent in future
This article was originally published on Engineeringtalk on 16 Mar 2001 at 8.00am (UK)
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Attitudes to and experience of purchasing over the Internet were explored during a telephone survey in January 2001 of 301 CAD/CAM user sites in the UK as well as several in France and Germany.
The research also found that: Two thirds of purchases were of software, 15% were of hardware and a further 15% were of peripherals.
While a third of those who have bought via the Internet did so from their usual supplier, nearly 60% found a new supplier through this method.
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Nearly three fifths (57%) of those who have not bought over the web said they were not planning to do so in future.
The most commonly cited reason was that they had never really thought about it or saw no need for change.
Said one German geographic consulting company: "Buying over the Internet may be OK for less expensive items, but we have reservations about buying more costly software such as CAD." Chris Turner, Managing Director of The Business Advantage Group Plc, observes: "The finding that 15% of our sample have purchased CAD/CAM products over the web is no great surprise given the traditionally conservative approach of CAD/CAM using sectors towards adopting new ways of working.
The rate at which this figure increases over time will be the key factor, and we will conduct a similar survey next year to track this." "Many of the responses from companies who are not considering buying over the web indicated low overall levels of awareness about the potential benefits of e-commerce.
The majority of these will not have developed a wider e-business strategy.
We should therefore expect a steady increase in direct Web sales, rather than a rapid uptake.
However the growth rate for actual purchases is sure to be checked by alternative options provided by Internet subscription models, or ASPs." "However, the fact that half of those who have bought over the Web chose a new supplier does send out a strong message that CAD/CAM resellers need a strong presence on the Internet.
CAD vendors have realised that they must have an Internet strategy - channel players must follow suit." The findings came from telephone interviews conducted in January 2001 with 301 UK CAD/CAM user sites (selected to provide a representative sample of the total UK CAD/CAM market).
The sample was taken from Business Advantage's database of 20,000 UK CAD/CAM user sites.
The full report can be read free of charge at http://www.business-advantage.co.uk/spaghetti/cadusersbuying.htm.
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