NetConversions Influences Kelley Blue Book
This paper will explore the way that NetConversions (NetC) influenced the Kelly Blue Book (KBB) webpages after first presenting a short history of the Kelly blue book company. The three discussion questions to be answered are:
• Develop the management-research question hierarchy through investigative questions for this project.
• Using the research process model (Exhibit 4– 1), describe and evaluate the research design of this project.
• Describe and evaluate the sampling design for this project.
From Model T’s to Web Sites
Kelly Blue Book (K BB) began ...view middle of the document...
The Kelleys also started their own insurance company and automobile club and bundled the entire package along with the car. After World War II was over the Kelleys offered a “G. I. Credit Plan” with no money down and up to five years to pay off the car. By this time the Kelly Kar Company had also evolved into selling both new cars and used cars and advertised with full-page newspaper ads and later on, become one of the first dealers to use television to advertise their business.
Les Kelley decided to sell his dealerships rather than move them again, because of the rising land prices in Los Angeles. Staples Center and LA Live sits on the old Kelly Kar Company site today. The Kelleys focused on the Blue Book and moved their company first to Long Beach, and then later to Orange County, California (Irvine). The Kelly Blue Book became the standard of the industry for the next 30 years, and was sold as a “trade” publication to automotive industry businesses. Other value guides were soon started as well, including a New Car Price Manual, RV Guide, Motorcycle Guide, and a Manufactured Housing Guide. Because the blue book only covered seven years, it made sense to also publish the Older Car Guide when people began to keep their cars longer.
In 1978 Mike Kelley became the third generation Kelley member to join the company. Mike’s background in computer science help the company to not only develop trade in software for dealers, but also pricing software for both new and used cars. But the innovation did not stop there as K BB developed software for the dealers to print Blue Book window stickers which included all the details on the car, along with the blue book suggested retail value and the dealer’s asking price. It wasn’t until 1993 that the Kelly Blue Book published a consumer addition. With 15 years of used-car values and more than 10,000 miles of cars, it became an instant hit with the public.
In 1995 KBB launched its first website, kbb.com, charging customers $3.95 for a pricing report. The backlash was immediate and pronounced. Customers argued that information on the Internet should be free. K BB gave in after only three weeks and switch to a business model supported by advertising and partners. All of this led, in 2002, to the introduction of the “Fair Purchase Price for New Cars” on the website, and a reevaluation of the website by NetConversions (NetC) to increase its usability for the consumer and profitability for K BB.
Develop the management-research question hierarchy through investigative questions for this project
• Management Dilemma
How to make more money out of the website.
• Management Question
Is the company using the most effective techniques on the website to accomplish the objective?
• Research Questions
1. How do we get site visitors to go where K BB and its partners will make the most money?
2. What is the most profitable section on the site?
3. How do we get the site visitor to access one of our...