The Internet is expected to spur different ways of using marketing dollars, now mostly directed to the store level, and a change in the way CPG manufacturers define their customers, who historically were thought of as the retailers, but eventually will be defined as the end user. New products may be introduced by means of bulletins on the shopping list Web page, with trial samples delivered with the weekly order, he said. CPG manufacturers need an Internet strategy as they explore things like how placement strategies are to change, whether pricing will be undercut on-line, and if the Internet can be used for promotions. Regarding delivery, if the product is heavy and low margin, it must wait for on-demand delivery. However, if it's light, the Internet is a good vehicle now.
Complexity is the final hallmark to look at.
If you have a product that benefits from delivering lots of information, then the Internet is important to you. Twin Labs vitamins, which got a 5, and Haagen Dazs ice cream, with a 2. Customers for both have a high Internet usage index. But vitamins can be shipped more easily. They both have predictable replenishment, but diapers can be shipped more profitably.