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ISP's
on notice from SME market: 22% forecasted churn rate
(October 16th, 2001)
Sydney,
Australia: 22% of Small and medium sized enterprises (SME's) are
currently looking for a better Internet Services Provider (ISP), according
to the latest Australian ISP Services Report, prepared
by APT Strategies as part of their regular Global Mindset Online Survey,
in which 4,752 responses were received from online Australians.
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Answer
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Total
(n = 4752)
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Small
–
0 to 19 employees
(n = 1841)
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Medium
–
20 to 99 employees
(n = 694)
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Yes
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9.0%
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9.3%
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9.4%
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Possibly, I am thinking about
it
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12.9%
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13.4%
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10.2%
|
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Yes. and I have already changed my
ISP at least once
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8.1%
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9.0%
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9.0%
|
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No
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60.1%
|
58.5%
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59.7%
|
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Don’t Know
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3.6%
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3.3%
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5.2%
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"This sentiment presents a powerful message to ISP's, as well
an opportunity", says Marc Phillips, CEO of APT Strategies. "SME's
awareness of the Internet and e-commerce is growing rapidly and
they are demanding greater service levels from their ISP's, not
only in terms of Internet access, but with other e-commerce services".
APT
Strategies has plotted the path of many Australian ISP's
that have diversified into e-commerce services for their SME customers,
such as web hosting, web development and website monitoring. These
services provide the opportunity for deeper relationships, so
long as the ISP performs.
"The
competitive pressure on ISP's for these e-commerce services is about
to escalate rapidly as the SME market becomes more savvy with the
powerful risk and cost reduction benefits of Application Service
Provider (ASP) solutions. These ASP solutions can provide the SME's with high quality e-commerce infrastructure at low monthly
costs with strong support. What makes the competitive environment
even more formidable for the Australian ISP relying e-commerce services
for their 'cream' revenue is that SME's can use ASP solutions from
suppliers in any part of the world to bolt onto their website" says
Marc Phillips.
Websites
involved in the survey included Telstra.com, Channel 7 websites, the Australian
Stock Exchange, SEEK.com.au, Looksmart.com.au, Start.com.au, OzEmail.com.au,
Yellowpages.com.au, Ticketmaster7.com.au, Whitepages.com.au, Wishlist.com.au,
Jobnet.com.au, 96.1FM and many more.
If you would like a copy of the Australian ISP Services Report, please
send an email to info@aptstrategies.com.au
The survey is located at http://www.aptstrategies.com.au/globalmindsetsurvey.2001/default.asp
About APT Strategies Pty. Ltd.
APT Strategies is one of Australia’s
first online research firms established in 1994. APT Strategies provides
clients with next generation online intelligence accelerator services
whereby analysts engage in consultation, deliver best practice research
reports and create business opportunities for clients within our network
of over 10,000 businesses throughout the world. APT Strategies delivers
innovative yet practical business analysis and planning to focus clients
on profiting from current and future technology business models.
Contact:
Marc Phillips, CEO, APT Strategies Pty Ltd., Sydney
Email: marc.phillips@aptstrategies.com.au
Telephone: +61 2 9332 1480
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