The Internet as an information channel

For spreading information or one-way communication the Internet offers a new range of possibilities compared to traditional channels like for example television or newspapers for spreading information. Below, the differences are
described as well as some of its implications for business.

Multimedia

The Internet is a unique communication channel as it can present information by text, sound, picture and animations. These can be used and combined freely, but they have their limitations. Especially sound and film take a long time to download and at times require special programs to function properly.

A non-linear way of structuring information

In traditional media, information is stored and presented in a linear way, for example, in books you find the information page by page and on a VHS tape you find it frame by frame. To get from the beginning to the end
one has to pass through all the information in between. When using digital storage of information, it can be retrieved in any order. On the Internet this can be done by using hyperlinks (links) to directly retrieve chosen information. With these links one can jump from document to document. From every document it is possible to make a direct connection to any other document. One can use the metaphor of a city that has a direct road connection to every other city without having to pass through all the cities in between.

By the new structuring of information it is possible to present large amounts in a way that makes it easier to find the information sought after in a shorter time. This enables the possibility of more and better information.

Reach

The Internet is presently used by 151 millions users world-wide (NUA) of whom 2.7 million are Swedish users (Nov. 1998). By posting information on the company site you are able to reach geographically dispersed users on the Internet. The Internet is an effective communication channel for companies with target markets that are frequent users of the Internet, although the traditional channels are still the most important for most companies. Not even half of the Swedish population are using the Internet and it is difficult to get attention from many of these customers.

Speed of transfer and geographical indifference

Since the Internet is an electronic media, information can be spread and retrieved very fast; as soon as information exists on a computer it can be spread within seconds. The speed of information on the Internet is closely related to
its indifference to the geographical area where it is being stored since that is also a consequence of the Internet being an electronic media. No physical transportation is necessary when the information travels through cables.

When information sought can be retrieved almost instantly it makes it very convenient for the information seeker to jump from site to site in a way that would be impossible in a geographical sense.

Because of the speed at which the Internet can spread information it is a remarkable tool for product introduction, updates and other information that needs to be spread fast. Although television and radio also can reach a vast
population in a short time from that it is broadcast until the information arrives to the receiver there is a large time
difference if one include the time from production of the information to the time of broadcast of the same. As soon as the information is produced it can be spread over the Internet and is accessible to millions of people.

Indifference of time

The Internet is built up of stored information and automated processes that makes it independent of constant personal presence, which in turn makes it accessible to several visitors at the same time as accessibility is not limited to the number of employees.

Since customers/visitors are not dealing with a person they will never have to wait for a salesclerk or some other member of the staff to be available which improves the customer service, assuming of course that the Internet service is good. One can also view the same aspect from the opposite point of view, the company does not have to employ extra staff in order to handle customers/visitors and are thereby saving labour costs without loosing the quality of customer service.

For the same reason as above a web site is never closed. Since the opening hours are not effected by any
salary costs one can just as well be open around the clock.

Lifespan

While other media have a limited life span, for example a TV advertisement, the information on the Internet
is at its owners will. That is, the company can change the content and message whenever they choose to. Secondly, the cost of presenting information on the Internet is constant, since it is not related to how many viewers it has, like a TV advertisement.

Possibilities of segmentation

By organising your site the company is able to give large amounts of information to different groups of people. By organising the information by for example products every visitor can choose the product which is of particular
interest to that individual and then directly be transferred to the page with that information.

Regional differences can also be considered by adapting the site to local conditions in the form of language, layout, and context.

Measurability

The Internet gives the administrator an opportunity to follow up and register the actions of a visitor on the site. By studying log files it is possible to record the number of visits to a particular page and you are also able to see how the visitor navigates between different pages within your site. By registering cookies you can also identify returning
visitors.

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