Before it should seek to expand its mission, Webvan would be well advised to focus on its original mandate . The company is clearly focused on aggressive growth. To succeed, they will need to shift some attention towards aggressively advertising. On The Twelfth Day Of X-Mas, I Hope To Get My Gift. That's what many Internet shoppers got from vendors who were unable to fulfill all of the orders of the overwhelming among of online holiday shoppers last Christmas.
Companies are unwilling to experience the same losses of last year.
Toys R Us discovered the fulfillment dilemma the hard way when it had to stop taking orders in mid-December of 1999 due to a heavy backlog. It lost more than just the orders, it lost money in issued rainchecks and consolation store credit. Delivery, order status, site speed, billing and back end services are now becoming focus points of e-commerce. They also found that the market can drive demand beyond retailers' thresholds, reflecting the importance of strategic advertising. Also, retailers should set a realistic target date beyond which it cannot guarantee on-time delivery of merchandise.