Steven Rothschild, the founder of bulbs.com, looked out over the world wide web and said, "Let there be light." Well, it didn't exactly happen that way. Actually, the light burned out over his dog's house and...
This is the story of how going to the hardware store to find a halogen double-spade end bulb led to an awful shopping experience -- and taking the light-bulb industry online. Mr Rothschild reckoned there had to be a better way to do things. Talk about a bright idea. Now bulbs.com enables customers -- both consumers and businesses -- to choose from 5,000 different varieties of light bulbs and it's as easy as screwing one in.
As the Washington Post wrote, the site "goes a long way toward explaining why Web natives have such a wide lead over what analysts call 'land-based' stores. Partly it's because the natives -- companies born online that do almost all of their business online -- tend to be long on speed, alacrity and venture capital. Partly it's because they start with a cheaper distribution system, a core advantage they strive to widen with laserlike focus."
Forrester Research projects that consumers will buy 9% of their goods online by 2003 -- and the business-to-business online transactions will account for an even bigger percentage. bulbs.com is built to serve both parts of the light-bulb market -- the $2.5 billion business and commercial market and the $1 billion home and residential market.
Is it dawning yet? This little site is wired to do a huge business. Read why below:
The new theme in business strategy is "clicks-and-mortar." As traditional retailers wake up to the opportunities -- and threat -- of e-commerce, they are incorporating it into their business planning. In fact, some analysts are now arguing that by integrating internet technologies with their physical assets -- production plants, distribution systems and showrooms -- traditional retailers will actually gain a competitive edge. Furthermore, they say e-tailers don't have the structures in place to service consumers.
Mr Rothschild doesn't agree. "Look at the overhead of bricks-and-mortar stores, and compare that to the economics of the web," he says. "We are able to cover the entire nation with a small network of distribution centers. They have expensive stores that only cover a county." He points to the fact that e-merchants offer wider selections, and they aren't limited by shelf space. They also offer lower prices because they don't have to maintain showrooms or pay rent and salespeople.
Arguments aside, the proof is in the "putting." One look at bulbs.com and you know this site will be hard to beat.
First, it's simple.
Ask Dr. Bulb and the Light Bulb University are still under construction, but it doesn't take a genius to navigate through the stock. Incandescent, halogen, fluorescent and the other top categories are filled with sub-categories which lead to a well-illustrated selection of thousands of bulbs.
The bulbs can be searched on the basis of text, category or graphics. It's what the company calls "eSpec." It's actually a searchable database that provides customers with photos, complete specifications and automatic alternative selections on the basis of wattage, price and reflective range/color. In addition, an eSpec datasheet is available for each product, and it provides detailed information for making informed purchase decisions.
After that all customers have to do is decide -- and order.
Second, reordering is even simpler.
Once an order is placed, the patent-pending BulbTrack system tracks the customer's historical light bulb usage, and subsequent reorders can be retrieved by bulb location or type. Multiple ship-to addresses can be stored as well.
Since the site promises to save 20 to 30% on the cost of buying bulbs, tracks past orders and makes reordering as easy as flipping a switch, a lot of businesses may get in the habit of clicking ON bulbs.com.