1377.0 - Measures of a Knowledge-based Economy and Society, Australia, 2003  
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Contents >> Information and Communications Technology Indicators >> Business perceptions of the benefits of receiving orders via the Internet or web

CHARACTERISTIC: PREVALENCE OF ELECTRONIC COMMERCE

INDICATOR: Business perceptions of the benefits of receiving orders via the Internet or web

For businesses receiving orders via the Internet or web in 2002–03, being able to achieve faster business processes and improved quality of customer service were the two most commonly reported benefits, at 53% and 51% respectively. Approximately 13% of businesses receiving orders via the Internet or web indicated they did not achieve any benefits.


BUSINESS PERCEPTIONS OF THE BENEFITS OF RECEIVING ORDERS VIA THE INTERNET OR WEB, 2002–03(a)(b)
Impact
2000–01
Total
2002–03
Total
Improved quality of customer service
%
56
51
Lower transaction costs
%
26
28
Increased sales
%
na
33
Increasd number of customers
%
na
28
Faster business processes
%
57
53
Keeping pace with competitors
%
55
36
Any benefits achieved(c)
%
86
87
No benefits achieved
%
na
^13
Businesses receiving orders via Internet or web
'000
61
91
^ estimate has a relative standard error of 10% to less than 25% and should be used with caution
na not available (data published differently for 2000-01)
(a) Proportions are of in-scope businesses earning income via the Internet or web
(b) Businesses could identify more than one benefit
(c) Includes 'other' category which is not listed separately
Source: ABS Business Use of Information Technology, Australia, 2000–01 and 2002–03 (cat. no. 8129.0).


For 2003–03, for the first time the survey collected reasons why businesses did not receive orders via the Internet or web. Reasons were collected from businesses which used the Internet or had a web presence, with the most common being that goods or services sold by the business were not suitable (63%), followed by a preference to maintain the current business model (39%) and a lack of customer demand (24%). This ranking was consistent across businesses with different employment sizes.


BUSINESS PERCEPTIONS OF THE BARRIERS TO RECEIVING ORDERS VIA THE INTERNET OR WEB, 2002–03(a)(b)
Barrier
2002-03
Total
Goods or services not suitable
%
63
No customer demand
%
24
Security concerns
%
8
Costs to develop and maintain technology too high
%
14
Lack of skilled employees to develop, maintain and use the technology
%
13
Timing, e.g. technology currently under development or in future work program
%
6
Prefer to maintain current business model
%
39
Businesses with Internet use or web presence not receiving orders
'000
398
(a) Proportions are of businesses with Internet use or web presence, but are not receiving orders via the Internet or web, in each employment size category.
(b) Businesses could identify more than one barrier.
Source: ABS Business Use of Information Technology, Australia, 2002–03 (cat. no. 8129.0).


STATISTICAL NOTES

Data are from the ABS annual Business Use of Information Technology Survey. Please see the Explanatory Notes of cat. no. 8129.0 for further information on the survey including scope, methodology, data quality, concepts and definitions.

Receiving orders via the Internet or web
Receiving orders for goods and services via the Internet or web, with or without associated online payments. This includes email or Extranet orders, but excludes orders over proprietary networks not using the Internet.

Internet
A world-wide collection of computers which are linked together to form a repository of stored information and to provide a range of communication services. These services include, but are not limited to, the World Wide Web (WWW), email and extranet.

Web/World Wide Web (WWW)
A system of Internet servers that support specially formatted documents. The documents are formatted in a script called HTML (HyperText Markup Language) that supports links to other documents, as well as graphics, audio, and video files. Source: http://www.webopedia.com/.



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