Chapter 4 Enhanced Version Exhibit / Tables Customer Interface Chapter October 23, 2000

CAS-COD-Prez-Date-CTL Confidential 2 Exhibit 4-1: The 7Cs of the Customer Interface Context Site’s layout and design Commerce Site’s capabilities to enable commercial transactions Connection Degree site is linked to other sites Communication The ways sites enable site-to- user communication or two-way communication Customization Site’s ability to self-tailor to different users or to allow users to personalize the site Community The ways sites enable user-to- user communication Content Text, pictures, sound and video that web pages contain

CAS-COD-Prez-Date-CTL Confidential 3 Exhibit 4-2: Fit and Reinforcement of Cs Context Content Community Customization Communication Connection Commerce Business Model Consistent Reinforcement Individually Supporting Fit

CAS-COD-Prez-Date-CTL Confidential 4 Exhibit 4-3: Performance of Lands’ End Site

CAS-COD-Prez-Date-CTL Confidential 5 Exhibit 4-4: Form vs. Function — The Design Context Frontier Integrated Aesthetically Dominant HighLow High Low FUNCTION AESTHETIC/ FORM Functionally- Dominant Frontier is gradually moving outward as technology advances

CAS-COD-Prez-Date-CTL Confidential 6 Exhibit 4-5: Aesthetic Example — KMGI.com

CAS-COD-Prez-Date-CTL Confidential 7 Exhibit 4-6: Functional Dominant — Brint.com

CAS-COD-Prez-Date-CTL Confidential 8 Exhibit 4-7: Integrated Approach Example — Patagonia.com

CAS-COD-Prez-Date-CTL Confidential 9 Supporting Slide 4-A Point -Counterpoint: Form vs. Function

CAS-COD-Prez-Date-CTL Confidential 1010 Exhibit 4-8: A Framework to Understand Offering-Dominating Archetypes Superstore Category Killer Specialty Store NUMBER OF PRODUCT CATEGORIES Multiple Single Narrow Broad DEPTH OF PRODUCT LINE

CAS-COD-Prez-Date-CTL Confidential 1 Exhibit 4-9: Superstore Example — Amazon.com

CAS-COD-Prez-Date-CTL Confidential 1212 Exhibit 4-10: Category Killer Example — Petsmart.com

CAS-COD-Prez-Date-CTL Confidential 1313 Exhibit 4-11: Specialty Store Example — Frontgate.com

CAS-COD-Prez-Date-CTL Confidential 1414 Exhibit 4-12: Information Dominant — Business 2.0 (

CAS-COD-Prez-Date-CTL Confidential 1515 Exhibit 4-13: Market Dominant Example — PlasticsNet.com

CAS-COD-Prez-Date-CTL Confidential 1616 Table 4-1: Drill Down - Content Archetypes vs Offering Types

CAS-COD-Prez-Date-CTL Confidential 1717 Supporting Slide 4-B Point-Counterpoint: Is Content King?

CAS-COD-Prez-Date-CTL Confidential 1818 Exhibit 4-14: Communities — Elements, Types, and Benefits Elements of Community Types of Communities Member Outcomes: Participation and Benefits Cohesion Effectiveness Help Relationships Language Self-regulation Just Friends Friends in Need Enthusiasts Players Traders Need Fulfillment Inclusion Mutual Influence Shared Emotional Experiences Degree of Participation

CAS-COD-Prez-Date-CTL Confidential 1919 Exhibit 4-15: Bazaar Example — Games.Yahoo.com

CAS-COD-Prez-Date-CTL Confidential 2020 Exhibit 4-16: Theme Park Example — VoxCap.com

CAS-COD-Prez-Date-CTL Confidential 2121 Exhibit 4-17: Club Example — Gillette Women’s Cancer Connection

CAS-COD-Prez-Date-CTL Confidential 2 Exhibit 4-18: Shrine Example — The Unofficial Dawson’s Creek Web Site

CAS-COD-Prez-Date-CTL Confidential 2323 Exhibit 4-19: Theater Example — iFilm.com

CAS-COD-Prez-Date-CTL Confidential 2424 Exhibit 4-20: Cafe Example — Bolt.com

CAS-COD-Prez-Date-CTL Confidential 2525 Exhibit 4-21: Drill Down - Focus vs. Interactivity Bazaar Theme Park Mall ShrineTheaterCafe INTERACTIVITY FOCUS Bolt.com VoxCap.com iFilm.com Trace.com Contact Consortium.com Contact Consortium.com Games.yahoo.com Non-equilibrium state: Successfully-managed communities will move toward higher levels of interaction Women’s Cancer Connection Women’s Cancer Connection leonardodicaprio.com

CAS-COD-Prez-Date-CTL Confidential 2626 Exhibit 4-22: Personalization by User Example — mylook.com

CAS-COD-Prez-Date-CTL Confidential 2727 Exhibit 4-23: Tailoring by Site Example - Amazon.com

CAS-COD-Prez-Date-CTL Confidential 2828 Exhibit 4-24: One-to-Many, Non-Responding Example — theStandard.com

CAS-COD-Prez-Date-CTL Confidential 2929 Exhibit 4-25: One-to-Many, Responding User Example — BizRate.com

CAS-COD-Prez-Date-CTL Confidential 3030 Exhibit 4-26: One-to-Many, Live Interaction Example — Accrue 2000 Web Seminar

CAS-COD-Prez-Date-CTL Confidential 3131 Exhibit 4-27: One-to-One, Non-Responding User Example — Hallmark.com

CAS-COD-Prez-Date-CTL Confidential 3232 Exhibit 4-28: One-to-One, Responding User Example — Amazon.com

CAS-COD-Prez-Date-CTL Confidential 3 Exhibit 4-29: One-to-One, Live Interaction Example — LivePerson.com

CAS-COD-Prez-Date-CTL Confidential 3434 Exhibit 4-30: Destination Example — NYTimes.com

CAS-COD-Prez-Date-CTL Confidential 3535 Exhibit 4-31: Hub Example — DrKoop.com

CAS-COD-Prez-Date-CTL Confidential 3636 Exhibit 4-32: Portal Example — Yahoo.com

CAS-COD-Prez-Date-CTL Confidential 3737 Exhibit 4-33: Affiliate Program Example — Onhealth.com and Proflowers.com

CAS-COD-Prez-Date-CTL Confidential 3838 Exhibit 4-34: Outsourced Content Example — Real.com

CAS-COD-Prez-Date-CTL Confidential 3939 Exhibit 4-35: Meta-software Example — RUSure.com

CAS-COD-Prez-Date-CTL Confidential 4040 Table 4-2: Drill Down - Commerce Origination vs Facilitation Commerce Origination Commerce originating at a site. It is achieved through acquisition of new customers and loyalty building among existing customers New Customer Acquisition Tools include: –Online advertising –Banner ads at other sites –URL listing in industry catalogs –Sponsorships of online events or of other site activities –Viral marketing –Marketing with the assistance of existing customers, who pass marketing messages along to friends or colleagues –Examples include marketing footers at the end of user messages, prompts inviting users to send the site URL or the output of their activity on the site to others –Offline advertising –Advertisements on radio, television, movie theaters –Sponsorships of offline events, such as conferences on the New Economy Commerce originating at a site. It is achieved through acquisition of new customers and loyalty building among existing customers New Customer Acquisition Tools include: –Online advertising –Banner ads at other sites –URL listing in industry catalogs –Sponsorships of online events or of other site activities –Viral marketing –Marketing with the assistance of existing customers, who pass marketing messages along to friends or colleagues –Examples include marketing footers at the end of user messages, prompts inviting users to send the site URL or the output of their activity on the site to others –Offline advertising –Advertisements on radio, television, movie theaters –Sponsorships of offline events, such as conferences on the New Economy Commerce Facilitation Commerce facilitated through the intervention of a third party, directing traffic to a site. It can be achieved through affiliations and partnerships Affiliations / Partnerships –How they work –Home site signs up other sites in a partnership/affiliation program –Affiliate sites place a link on their site that directs users to the home site –In some cases, a user gets directed to a site through an affiliate while remaining in the affiliate’s URL space –Participating affiliate sites receive a percentage cut (typically 5-10%) on all sales generated at the home site as a result of clickthroughs from the affiliate sites –Incentives to affiliates –Financial: Affiliate sites receive a percentage of the sales they generate –Brand building: Being an affiliate to a well- known brand increases visibility –Improved capabilities: By linking users to additional sites, affiliates can increase their breadth of offerings Commerce facilitated through the intervention of a third party, directing traffic to a site. It can be achieved through affiliations and partnerships Affiliations / Partnerships –How they work –Home site signs up other sites in a partnership/affiliation program –Affiliate sites place a link on their site that directs users to the home site –In some cases, a user gets directed to a site through an affiliate while remaining in the affiliate’s URL space –Participating affiliate sites receive a percentage cut (typically 5-10%) on all sales generated at the home site as a result of clickthroughs from the affiliate sites –Incentives to affiliates –Financial: Affiliate sites receive a percentage of the sales they generate –Brand building: Being an affiliate to a well- known brand increases visibility –Improved capabilities: By linking users to additional sites, affiliates can increase their breadth of offerings

CAS-COD-Prez-Date-CTL Confidential 4141 Exhibit 4-36: 7Cs of Schwab