Category: e-commerce

Treat your customers well, your repeat customers better

An example of really bad customer service…

I had to purchase some hard drives for a server few months ago. Due to the nature of the setup, I needed to get the exact same drive models that were currently being used in the server. I went to one of the companies that I routinely purchase products from and placed my order for 2 hard drives. The next day I received an email from the company stating that they could not ship my order because my Paypal address was unconfirmed. Having moved 1 suite down the hall (about 75 feet) in our office building I explained to them that we were in the next office down, and that I didn’t want the drives to get delivered to the previous suite…

Well, it didn’t matter that we have bought thousands of dollars in server and computer hardware in the past few years, or that the address was 1 suite number down the hall, or that I actually called them. They would only ship to a confirmed address which lost them my order and possibly my future business.

This cost them $10, and they probably lose 20 more orders from me over the next 5 years.

An example of really good customer service.

I own a number of fish tanks, and I purchased some supplies including a very low cost automatic timer from a well know online pet supply retailer around the same time as the hard drives. The timer didn’t work properly, and in the midst of a busy schedule, 9 birthdays, 2 business trips, and 2 vacations I forgot to contact them about getting it replaced. Finally getting around to it, I read their return policy and it understandably said I needed to return the dysfunctional equipment to them. Since the shipping would cost about the same as re-purchasing the item, I gave them a call and asked if I really needed to send it back… Ah, I found out that I was past the refund point by a month and a half…

Even so, they decided to replace it for free and they didn’t require me to send back the broken one. This is what I call above and beyond customer service, and it’s guaranteed that next time I need something for one of my aquariums, they’re the first place I’ll stop.

This cost them $10, and they probably get 20 more orders from me over the next 5 years.

These are polar examples of a very important concept… Your existing customers are not and should not be treated like a your new ones!

It’s a well accepted principal in marketing and business in general, that your existing customer is easier and cheaper to sell to than a new customer. Additionally for ecommerce, selling to your existing customer poses a significantly lesser security and fraud risk than any new customer, especially in a case like this where the customer has placed several orders over several years.

If you want to create a remarkable online business, create the best experience for new customers, and make it even better, easier, and more efficient, for repeat customers.

There’s no reason to assume all customers should be treated the same. The majority of shoppers only place one or two orders with a website (Unless we’re talking about someone like Amazon). For this reason, you should make it as easy as possible for repeat customers to order from you, and you should give first time shoppers reasons to come back. It’s significantly cheaper to entice an existing customer to make another purchase than to go out and find a new customer.

If you think you’re significant enough that most of you shoppers wont go somewhere else if the price or service is much better, think again.

The real reality check…

Sure my business is insignificant in the long run. Ewiz may have only made a few hundred dollars in profit from me over the past few years. However, assuming that this blog gains no popularity or traffic over the next year, somewhere around 150,000 people will have the opportunity to read this article on my insignificant little ecommerce blog. 150,000 people will know that Drsfostersmith has outstanding customer service and ewiz’s customer service absolutely sucks. That’s 150,000 people, possibly current customers that could decide to shop somewhere else, or in Drsfostersmith’s case, 150,000 people that could decide to make their first purchase…

Business seasonality, and search trends for your marketing

Chances are if you are an online retailer your have some seasonality to your business. This mainly depends on the type of products you sell, and the general type of people that purchase your products. As a B2B’ish industry we see major volume decreases near every holiday.

Where does your business fit-in?

The once a year rush…

The every holiday surge…

The B2B…

Or the product launch…

With Google’s and others’ free tools on the internet, a small business owner can get very good insight into business seasonality, and shopping search trends. If you have good relationships with your suppliers and manufacturers, it’s often possible to design pre-release campaigns for upcoming products. Search engines place some weight on the first websites to write about specific products or services. If you’re that website, you can gain considerable traction in natural search rankings, and possibly a huge sales boost once the product is launched. This is just one example of how trends like this can be used, but the possibilities are endless and the data is free.

MySQL 5.1 now supported on Cpanel / WHM

Just found out this morning that MySQL 5.1 is now officially supported on cpanel.

MySQL 5.1 offers some major improvements in some areas to MySQL 5.0. MySQL 5.1 was released over a year ago and it’s been a long wait for those cpanel users needing 5.1 features.

Upgrading is not as easy as the 4.0 – 5.0 upgrade but looks to be a reasonable procedure.

Open Source Firewall Appliance Round 2

A few years ago I blogged about using the Untangle firewall to replace a Sonicwall or similar firewall appliance.

Since then, Untangle has come a long way. I would like to revisit the untangle appliance as it has undergone numerous improvements, and in my opinion is now a fully capable replacement for an off-the-shelf firewall appliance.

Hardware update…

For a solid, and completely silent firewall for a business environment, here’s my current recommendation (Prices are for new components. Refurbished or used could result in a 30% – 50% reduction in price).
Server – ASUS rs100-x5/pi2: ~$300
Processor – Intel Core 2 Duo E7500: ~$105
RAM – 4Gb (2×2GB) DDR2667: ~$90
Hard Drive – WD RE3 or equivalent (200 – 500GB) SATA: ~$100

Total cost is under $600. This would be comparable to a $3000+ Sonicwall or similar appliance and would be significantly more quiet.

If you need more ports, a quality 4 port PCI-E Ethernet card runs about $350. The $1000 tag on this server with 6 Ethernet ports is still a bargain. A quality single port Ethernet card would run around $75. Don’t use a desktop Ethernet card in a server like this and expect good performance, you need a quality 3com, Intel or other enterprise quality card.

This is still a low-end server, but is silent and would work well for a moderate sized office. If you have the budget and usage to require it, you could put this on a dual quad-CPU server and put 32Gb or more ram on it. Additionally for any datacenter usage, you don’t need to worry about sound, so a more robust server could probably be setup for the same cost.

Unlike most human related computer activities, packet inspection and other firewall activities are very processor intensive. The faster the processors, the better a firewall appliance will perform. If you do decide to build a Untangle or other firewall appliance, keep this in mind. Embedded processors like Atoms, or VIA’s are not a good match for a firewall, even through they are designed to fit in compact sized enclosures. They work well for what they’re designed to do, but they are not designed for this.

Current hardware recommendations are as follows:

CPU RAM DISK NIC
Minimum 800 MHz 512 MB 20 GB 2 (inline)
1-50 PCs P4 1 GB 80 GB 2+ NICs
51-150 PCs Dual Core 2 GB 80 GB 2+ NICs
151-500 PCs 2+ Cores 2+ GB 80 GB 2+ NICs
501-1500 PCs Quad Core x64 4 GB 80 GB 2+ NICs
1500+ PCs 4+ Cores x64 4+ GB 80 GB 2+ NICs

VPN

Something I didn’t discus in my last article was the VPN. Untangle comes bundled with openVPN. There is no limit other than that of your hardware for the number of VPN users your appliance can support. It is extremely easy to add, suspend and remove VPN users. VPN users are sent a custom key and connection for them to install on their computer. The VPN also supports site-to-site VPN allowing 2 or more offices to virtually share the same network no matter their distance from each-other.

Open VPN is much simpler than any VPN software I have used on either the client or host side. It makes VPN administration and setup a breeze. If you have used cisco, sonicwall or other VPN services, this will be a breath of fresh air in administration and setup.

Feature Improvements

When we started using Untangle, it was not designed to handle advanced protocols including some VPN services, and multi-protocol traffic like VOIP (Voice over IP) phone services.

I am happy to say that Untangle now fully supports multi-protocol traffic like VOIP or Ipsec. Some types of traffic will require custom configurations, but so far I haven’t found any sort of traffic that Untangle has problems with.

Untangle also now support firewall bypassing for high-availability applications, and supports a form of QOS (Quality of service). The QOS is very configurable, but still not quite a user friendly as other platforms. It is however usable despite some potential complicated setups. QOS is essential for running VOIP and other mission-critical applications. It can also be used to throttle down bandwidth eating services like online video.

OS Upgrades

Untangle is now offered in a 64bit operating system, something to satisfy the larger memory requirements for more robust servers. It is still a small custom Debian-linux build. The total install file size is around 500Mb, which is a fresh breath compared to the 3 – 4Gb sizes of many current Linux distributions.

There is also a Windows version for those who don’t have a dedicated server to run untangle on. In this case, Untangle works as a re-router, controlling the routing and traffic of a network, but on an existing windows XP computer.

Conclusion

Untangle has moved from an aspiring concept, to a true contender to established firewall appliances. At this point, I can’t see any reason why a business would spend the extra money on a Sonicwall or similar appliance. Pair this with OpenDNS, and you have a reliable system that can block websites on a DNS level, and a full featured firewall for spam, intrusion, phishing, viruses, and just about every other threat your users will encounter on the internet.

Untangle resources
Untangle Downloads (32bit, 64bit, and Windows)
Untangle guide (Wiki)
The Untangle Blog

If you don’t want to built an appliance yourself, there are plenty of approved untangle hardware vendors.

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