1 B2B E-Commerce in the Meat and Poultry Industry By Sundar Rajagopalan Karishma Sharma Thiti Wang-Aryattawanich Miyoung Yoo Joseph Yu

2 Major Players in Meat and Poultry Major PlayersType of Organization meatandpoultryonline.comVertical portal Meatpoultry.comVertical portal meatingplace.comVertical portal 4meat.comVertical portal National Meat Assoc. ( Consortium of members (Non profit) Usda.govGovernmental org.

3 A Sample Front Page

4 A Sample Registration Page

5 Basics Provides information for red meat and poultry industries Generates revenues through –classified ads –Suppliers posting their product information –Other industries like regulatory services, university depts.

6 Basics (Cont.) The industry is heavily fragmented, such as packaging, processing, special services, safety, transportation, and rendering. The fragmentation is dependent upon the concentration of the segments in the location Location is also a major constraint to transportation A lot of rules and regulations have been set up by the associations Audience is not computer savvy

7 Who are the Customers The portals are a virtual community for the industry professionals –This encompasses various segments of the ‘Meat and Poultry’ Industry, ranging many job positions –Based on the type of position and the industry segment the membership(NMA) is classified as : Student:Students majoring in Animal/Food/meat science Associate:Person, Firm or Organization engaged in supplying non-meat supplies and equipment Allied:Person,Firm or corporation engaged primarily in buying, selling meat, animal-by-products General:Any Person involved in the industry! International:Any of the above 3 categories from outside the states!

8 Who are the Customers (Cont.) Other types of Membership(MISA) involve –Regular Members:Available to business entities engaged in the sale, lease or rental of products related to meat and poultry –Affiliate Members: People in the same fields as “Regular members”, yet outside the country –Associate members: Other people in the publishing or media activities related to meat and poultry industry Fees in these different forms of Membership involve the amount of turnover of the concerned organization; thus it becomes like a privilege issue in addition to the information

9 How to attract customers Contract with the brand name manufacturers in order to get more suppliers Heighten the credibility of the site –Secure and high quality product –On time service –Security and policy information of the site Convince that the site can provide the same products, same quality with the lower price Promote the web site in Trader Forum or Business Association (Journal, Magazine)

10 How to attract customers (Cont.) Give free membership for a trial period Since the supply chain ties with geographical area, design or customize the website according to the region (e.g. Northwest Region) Provide free stock options for a new member or referral service Provide an easy-to-use interface for the customers who are not computer savvy

11 Value Added for Customers Ideal market place for an organization to advertise their products and also get to know of products of other organizations in the industry Career resources for students and other employees in the field Provision of credibility to the organization to be a part of the portal which encompasses the industry Consulting service of the issues related with laws and patents and other lawsuits with the government

12 Value Added for Customers (Cont.) 1-stop shop to locate various sponsors offering b2b products and information A type of advertisement of organizations by listing them online free Establishment of international contracts Discussion about the business and technical issues with other organizations in the field Information on other registered members, helping them establish contacts

13 How to Increase Value added An auction type of format can be set up which brings buyers and sellers together. This will ensure a critical mass Set a type of premium page set up for the major members which will provide additional benefits and better service Tie up with international partners Get the approval of USDA, which will be a good benchmark for the agency Offer the service at free cost or at very minimum cost to attract organizations

14 How to Increase Value added (Cont.) Form Strategic alliances with universities or other job agencies that will provide students information Furnish education through work shops, seminars, and educational audio and video cassettes Provide management consulting service and advice on the individual business problems Conduct competition or free electronic coupons on the visit to the site

15 How to Increase Value added (Cont.) Provides information on the process involved in various segments of industry Provide free downloads of documented standards(domestic and Intl) Create Forums and Marketplace for a category and its related segments such as Equipment Provider, Processor, Packaging and etc. Mergers and alliances

16 How to Get Repeat Customers reminder, price tracker, or newsletter to maintain relationship Free advertisement or e-coupons if a member satisfies a particular tenure Different levels of customized service based on the period of membership Update on new products information that is offered free to members Tradeshows and conferences to impart education