Information_Systems_Management_AZY

INFORMATION SYSTEMS
MANAGEMENT

Information Systems Management
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Contents
1. Management summary.............................................................................................................................2
2. Introduction ..............................................................................................................................................3
3. Strategic Evaluation ..................................................................................................................................4
3.1 SWOT Analysis.....................................................................................................................................4
3.1.1 Strength........................................................................................................................................4
3.1.2 Weakness .....................................................................................................................................4
3.1.3 Opportunities................................................................................................................................5
3.1.4 Threats..........................................................................................................................................5
3.2 PEST Analysis.......................................................................................................................................5
3.2.1 Political ........................................................................................................................................5
3.2.2 Economical ..................................................................................................................................6
3.2.3 Social............................................................................................................................................6
3.2.4 Technology ..................................................................................................................................7
4. eMarketing Strategy .................................................................................................................................7
4.1 Ecommerce Website eMarketing strategy .........................................................................................7
4.2 Value proposition and differential advantage of eCommerce strategy .............................................8
5. Boots Legal and ethical issues...................................................................................................................9
6. Conclusion...............................................................................................................................................10
7. References ..............................................................................................................................................11
7.1 Website References..........................................................................................................................11

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1. Management summary
Boots is UK based company. The main products of Boots are Cosmetics, Toiletries, many of
Health products, Beauty products, Baby and Gifts products are distributed to retailer and wholesaler and
also prescription and non-proscription medicines. John Boot started in1849 as herbalist shop. Boots target
customer is the woman to sale the beauty product and cosmetics because UK female population is more
than male. Boots launched Advantage Card in 1997. Using that's scheme customer get 4 points in spend
every pound. 1 point is worth 1p. Over a period of time collect for amounts. Customer can be purchased
with worth point of amounts. Boots expected 8 million of customer will be increase in one year by
Advantage Card Scheme. In real world, Boots achieve 2 Millions of customer more than they expected
rate.
Advantage Card Plan of the Boots is customer friendly because their sale growth is increased to
£25 Million when the first year of Advantage Card Plan. And also they are researched that’s plan by two
year and trials period before the launched. Before the launch of Advantage Card Plan, Boots making the 2
year of research program and trial periods of Advantage Card Plan is too long. The Boots Company
contacts with one of the famous IT Company IBM to use the right analysis system. Boots used that’s right
analysis system to support the customer service and their requirement of product. They already contact
IBM when using CDAS. So they don’t have the problem to create the ecommerce website with IBM.
They can be found the ecommerce immediately with IBM. Many other stores are already located in UK
and other region when their branches start opening.
Currently boots is working with the tax of government labor, product, and import. Because of the
UK Government Tax Policy are not burdened for Boots Company. They make the price and promotion
upon the UK people income rate and their buying pattern. Because that’s doing like this will be help
company improvement and the customer satisfy. Promotion Campaign in Boots needs to continue.
Because most of the UK people is interested particularly invited them to come and get the promotion
campaign. Boots need to develop the ecommerce business. Because customer can be buying faster and
easy to find products with 24 hours and also customer can be save their time.
Boots don’t have the ecommerce website in 1997 because they are not focus to sell the products
from ecommerce. Boots can be selling their products from the online but the main product of the boots is
pharmacy so that the pharmacy product is more important to sell the online than the other boots products.
The product price is depend on the stored place, staff, service .The price of online Boots product is
cheaper than the offline product because the online products don’t need product store to show the

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products to the customer directly. The pharmacy products selling rate will be loss in offline place because
the online pharmacy product price is much cheaper than the offline. In Online, customer can be seen
easily the promotion in home page. Don’t need additional pay for advertising the promotion in online. In
Offline additional pay will apply for the advertising the promotion in their local store. So the online
promotion will be adopt the organization. In online, Boots need to make sure that the company’s Web
content policy is consistent with other policies. Their online payment method is requiring best security for
the customer information.
2. Introduction
Boots is UK based company. The main products of Boots are Cosmetics, Toiletries, many of
Health products, Beauty products, Baby and Gifts products are distributed to retailer and wholesaler and
also prescription and non-proscription medicines.
John Boot started in1849 as herbalist shop. Jess Boot, son of John Boot takes the company in
1870. Boots branch stores have more than 1000 in 1930. Boots created National Health Service in 1948.
Boot's products cosmetics 17 items was successfully introduced in 1968. Boots introduced the analgesic
ibuprofen in 1969. Queen's Award for Technological Achievement for the discovery and development of
ibuprofen in 1985. Boots launched Advantage Card in 1997.
Boots target the woman for sale the Beauty Product and Many Cosmetics because UK female
population is more than male. And also Boots target the Baby Mom's for sale the nappy and other baby
products.
Boots launched Advantage Card in 1997. Using that's scheme customer get 4 points in spend
every pound. 1 point is worth 1p. Over a period of time collect for amounts. Customer can be purchased
with worth point of amounts. Another service is the multi-buy promotional schemes. That's scheme is
three for the price of two and two for the price of one. And also they make the promotion and themes by
traditional event. Boots particularly invited the customer to come and get some promotion in event.
Boots launched Advantage Card Scheme is the best way of customer retention. Boots expected 8
million of customer will be increase in one year by Advantage Card Scheme. In real world, Boots achieve
2 Millions of customer more than they expected rate. Boots achieve totally 10 Millions of customer In
December 1998. And also increase the sales growth around £25 Million.

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3. Strategic Evaluation
3.1 SWOT Analysis
3.1.1 Strength
Advantage Card Plan of the Boots is customer friendly because their sale growth is increased to
£25 Million when the first year of Advantage Card Plan. And also they are researched that’s plan by two
year and trials period before the launched. They have teamwork, decision maker, great idea for marketing
plan and many loyalty employee and hard worker. These employees write the history of Boots is
successful between 1997 to current year. The Boots Company contacts with one of the famous IT
Company IBM to use the right analysis system. Boots used that’s right analysis system to support the
customer service and their requirement of product. Boots gaining a greater understanding of how
customer shops product area and stores offers really valuable insights. Because boots built up by
combining data from a number of customer dimension: RFM (Recency, Frequency and Monetary value)
analysis enhanced with profitability.
3.1.2 Weakness
Before the launch of Advantage Card Plan, Boots making the 2 year of research program and trial
periods of Advantage Card Plan is too long. They sale the cosmetics, toiletries, wide range of health and
beauty products, baby products, and gifts, with prescription and non-prescription medicine. But Most of
products are for women. Beauty and health product is more than the other products in Boots. This
company needs the right database structure to keep the customer data. Database size is growing every
time, that’s challenge to system performance. They don’t have the database administrator for maintain the
database. They used 23 of full time analyst to provide insight into the product purchasing repertoires of
different groups of customers. These total analysts are too much in customer insight team. Other store will
start using the ecommerce to sell their products more. Indiamart, Famous ecommerce website is founded
the ecommerce website in 1996 but the Boots still not using the ecommerce in 1997/ 1998.

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3.1.3 Opportunities
They already contact IBM when using CDAS. So they don’t have the problem to create the
ecommerce website with IBM. They can be found the ecommerce immediately with IBM. They can be
built the Customer Service Hotline program to get the customer satisfying. Because of the customer can
be enquiry and give the some service about their products from the landline. Their branches are
successful in UK and other region. So that’s they can be open their branches and they can find the partner
company in other country (Example USA). Their products beauty and health are success in their store. So
that’s they can be sale other products or foods and beverage in their store. And also target to sale for man
(Example clothes).They can be made (Door to Door) the new purchasing plan with phone call purchasing
and deliver. Because their customer are loyalty and trusted their produts and also customer will be save
their time to go to store.
3.1.4 Threats
Many other stores are already located in UK and other region when their branches start opening.
They need to compete with other store and also need analysis the customer requirement by
geographically. Analysis System Modification and System Maintenance of Boots are depending on the
IBM. Because they don’t have about database administrator and their IT Department isn’t expert.
Toiletries of Boots product and over-the-counter pharmacy market are very competitive in UK. So their
prices and quality will match up to any of their competitors. They are difficult to success in ecommerce
business when they start in 1997. Because of the UK internet users rate are 7.39% in 1997. That’s rate can
be disturb to found the ecommerce business. Long time and frequently promotions of the Boots may be
customer confuse. Because of the customer can be doubt about the products. Customer doubt is these
promotion products are expired or low quality or something.
3.2 PEST Analysis
3.2.1 Political
Currently boots is working with the tax of government labor, product, and import. Because of the
UK Government Tax Policy are not burdened for Boots Company. UK law describe about the
prescription only medicine for sale. Because of they sold the prescription and non-prescription medicine.
They are successful with opening their many stores in UK and other region under UK government law.
And also 1997 election and their company tax may be increase because UK government law may be
change about the election.

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3.2.2 Economical
They make the price and promotion upon the UK people income rate and their buying pattern.
Because that’s doing like this will be help company improvement and the customer satisfy. In order to
fulfill the needs of inhabitants of each region, they have to open branches in all of UK region. That can be
cause the company size growing and earn the profit. They also need to focus the men product. Because
they are sale the cosmetics, toiletries, wide range of health and beauty products, baby products, and gifts,
with prescription and non-prescription medicine. But Most of products are for women. And also they are
focus the men like focusing women to fulfill the requirement and company business will be growth. They
need to calculate the unemployment rate in UK for sale their products to more people. Because UK
people can’t be purchase many products when UK unemployment rate is too much than employment.
Company will be slow in business growth when People unemployment is too much in UK. Indiamart
(Online Store in India) founded in 1996. These online store is achieved because they developed the
ecommerce with effectively and great performance. So Boots also need to develop the ecommerce
effectively with IBM to increase the customer.
3.2.3 Social
Promotion Campaign in Boots needs to continue. Because most of the UK people is interested
particularly invited them to come and get the promotion campaign. They needs to observe their company
staff is can be work in other country or not. Because they need the flexible staff for workable with new
environment when their branches opening and they will get the contact with new partner in other country.
And also they need to observe for UK people, these people medicine buying method depend on the
prescription or not. Because of the Boots Company sold the prescription and non-prescription medicine
for health care. If most of the UK people are only buy the medicine with prescription. Their non-
prescription medicine will be difficult to sale. And also depend on media to sale many products. Their
beauty product sale rate can be decrease if media always advertising the disadvantages of beauty product.
So they need to observe about the how many UK people are trusted upon the media advertising.
Population of female is more than male in UK. So Boots needs to target the women product for increase
their sale rate. Their ecommerce business may be difficult to success when they start in 1997. Because of
the UK internet user rate is 7.39% in 1997. That’s rate can be disturb to found the ecommerce business.

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3.2.4 Technology
Boots need to develop the ecommerce business. Because customer can be buying faster and easy
to find products with 24 hours and also customer can be save their time. And can be developed phone call
purchase (Door to Door) for loyalty customer and intended customer can be purchase from their home.
Their loyalty customer and intended customer don’t need to come store for buying when they using this
plan. So that’s also save their time. And also can be developed telephone hot line service to support the
customer enquiry. Customer can be suggest and ask to know about company information by calling to
their telephone hot line. CDAS database needs to change because current database size is keep growing
and need more good performance. Not only they need to employ database administrator but also need
experienced IT Team with database skill and other IT Solution skill. Boots need to provide the
information about promotion and other service by using bulk email marketing. Because it can be direct
contact to consumer and business to business.
4. eMarketing Strategy
4.1 Ecommerce Website eMarketing strategy
Boots don’t have the ecommerce website in 1997 because they are not focus to sell the products
from ecommerce according the case study. They must develop the ecommerce website B2C for
organization adopt because one of the famous ecommerce website eBay founded in 1995. UK internet
users rate is more than the other country (e.g. Germany rate is 6.71%). They can develop the ecommerce
website easily because they already contact the Huge IT Support Company IBM. And also customer rate
will be rise to high when they have using the ecommerce website. The ecommerce website can help with
many advantages for the boots organization adoption. So I advise the ecommerce website eMarketing
strategy for Boots organization adopt.
The main of the boots products is the pharmacy products. They can be inform to the customer
about their pharmacy products is more good quality and cheap price than the other market by using the
ecommerce website with transparently. Other targeted of their products is cosmetics, toiletries, wide range
of health and beauty products, baby products, and gifts, with prescription and non-prescription medicines.
They can sell their main and target products by using the ecommerce website but they need to support the
products shipping when customer buy some of products online because products shipping services is
customer reliable. Customer will be reliable the products on the ecommerce website give the clearly
instruction of product and also support the shipping information clearly for each product because
customer can be seen transparently seen the product and shipping information on the ecommerce.

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Moreover, not only customer can be pay online payment method but also cash on delivery service for
each product. The important of the product information is customer review and answer question part for
each product. Customer can be rate about the product review from the ecommerce. Its review is help to
another product buyer. That’s also will be customer reliable and adapt to boots organization from the
ecommerce website.
4.2 Value proposition and differential advantage of eCommerce strategy
Boots can be selling their products from the online but the main product of the boots is pharmacy
so that the pharmacy product is more important to sell the online than the other boots products. Pharmacy
is applicable with people because every people need the pharmacy when they may be sick or something.
And also pharmacy products are not need to touch for buying and also that have expired date and other.
Boots can be explaining about the pharmacy issue because they have many experienced from the selling
the pharmacy many years ago. And also customer can be seen the instruction and answer question of
each pharmacy products online by supporting from the Boots. Customer can be seen their requirement
Pharmacy item is in stock or not. And also shipping the online product to buyer is great for the customer
because when they sick or they don’t have the leg or something they can buy the pharmacy with online
with boots shipping service. Boots Other targeted of their products is cosmetics, toiletries, wide range of
health and beauty products, baby products, and gifts. Boots wil be sell the other target products by offline
because cosmetics and other products are checking by touching, smelling, testing and some of the way.
Sale staff can be explaining more than online information about the target products because customer is
trust to the sale staff is more than the online information (e.g. cosmetics). So that’s selling the pharmacy
products online will be adopt to boots organization.
The product price is depend on the stored place, staff, service .The price of online Boots product
is cheaper than the offline product because the online products don’t need product store to show the
products to the customer directly. So that the product can be sell cheaper without store place price. And
next is the online products don’t need more staff like offline. Offline need service staff, maintenance staff,
security, sale staff and etc. The online products don’t need like this. The online needs the delivery person
and admin that’s it. So that price of the online product is cheaper than the offline products. Online
discount is more saving than the offline because of the above case. Some of the online payment method
provides the payback 1%, 2% and etc. by using their payment method. If customer using that payment
method they will be save the price again. The offline don’t have any additional payback method. So the
online pharmacy price is cheaper than the offline. That will be adopt to boots organization.

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The pharmacy products selling rate will be loss in offline place because the online pharmacy
product price is much cheaper than the offline. They can save the time to buy the pharmacy. And also
they don’t need to go to the shop and they may be get the many discount and payback from the payment
method with online place. All of that processes are customer reliable than offline pharmacy products but
the online has the many issues. First the security the customer when using the online payment method
they need the pass their account to the website. Some of customer afraid of that’s process. Second the
connection most of the ecommerce website need the fluently connection for purchasing the item. Third is
data collection and content with picture of the items. It is very important for the customer. Customer
impression is down when they have seen the low quality of the item image and inaccurate information
data on the website. They will never back to again that ecommerce website. So the quality of every
website is content. If the boots can be support the ecommerce website with quality of content to the
customer their organization will be adopt soon.
Boots have the great promotion plan in offline and also online can use that promotional plan (e.g.
Advantage Card Plan). All of customer can be buy and seen in online Promotion campaign with all of
promotion and discount product can be seen in one place but in the offline customers who are available
or free came to their campaign promotion area and they have check the item promotion. In Online,
customer can be seen easily the promotion in home page. Don’t need to pay for advertising the
promotion. In Offline additional pay will apply for the advertising the promotion in their local store. So
the online promotion will be adopt the organization.
5. Boots Legal and ethical issues
Boots organization is the popular in the UK. They have many customers information in their
database in their local store. But they have the trouble when they using the internet for ecommerce
website. Customer information data collection is needed in online. First customer will be register is their
ecommerce website they need to explain about Customer Information Privacy. And then next customer
data is need to accurate because the shipping processes is come and go with that information. And also
needs to explain to the customers who own this data and where we are using this information and what
for. Finally is the customer must understand with their information is held in website database. So the
website owner or their admin teams can accessibility to the customer information database. That’s also
need to contain the policy guidelines for customers. They need to take the responsibility about the content
information online. They need to make sure that the company’s Web content policy is consistent with
other policies.

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Moreover they still have the other issues. It is their online customer information database can be
attack from the other Competitor Company or virus. So the data protection is very important for the
online. Firstly they need to buy their ecommerce website domain name. This domain name must easy to
read and remember long time for the customer. The issue is start when they are buying the domain name.
Their requirement domain name is already used or someone buy for the extorting payments from them.
And next is cyberpiracy. It will be customer confused so that metagging is required for the give the right
information to the customer. And next is registering or buying the keyword in search engine. Their online
payment method is requiring best security for the customer information. That will be reliable to customer.
6. Conclusion
Boots is the successful company in UK. They have the best strategy for customer care, managing
the organization and promotion plan according the case study. But they have many requirements and
advantage when analyzing with SWOT and PEST. Firstly, that two of analyzing help the requirement of
their organization. SWOT analyzing help what is their strength, weakness, opportunities, technology.
They will know the what technology need to use and what is need to repair and how to maintain their
success and what they can do in future for the organization. And also the PEST analysis is help like that.
Secondly they will know what the eMarketing strategy is. The ecommerce website is how to help
their company in discussion of eMarketing strategy, value proposition and differential advantage. They
will know eMarketing strategy is how important to extent the organization. And also they will know what
benefits of the eMarkting strategy. And also they will know what the requirement of developing is the
eMarketing strategy.
Finally they will know the issue of the eMarketing strategy in discussion of legal and ethical issue. They
will know what buyer policy is require for the customer. And also data protection is how important in the
eMarketing strategy. And they will know how to responsible for web content and how to set up the Web
content policy for their organization.

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7. References
7.1 Website References
brandrepublic.com, 10 March 08, http://www.brandrepublic.com/article/789502/superbrands-case-
studies---boots (visited time: Sunday, April 24, 2016 11:50 AM)
indiamart.com, about us, https://corporate.indiamart.com/about-us/ (visited time: Sunday, April 24, 2016
11:50 AM)
nhs.uk, 26/11/2015, http://www.nhs.uk/chq/pages/1325.aspx?categoryid=73&subcategoryid=101 (visited
time: Sunday, April 24, 2016 11:50 AM)
data.worldbank.org, 23/04/2016, http://data.worldbank.org/indicator/SP.POP.TOTL.FE.ZS?page=3
(visited time: Sunday, April 24, 2016 11:50 AM)
google.com, 23/04/2016,
https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=it_net_user_p2&idim=country:
GBR:FRA:RUS&hl=en&dl=en#!ctype=l&strail=false&bcs=d&nselm=h&met_y=it_net_user_p2&scale_
y=lin&ind_y=false&rdim=region&idim=country:GBR&ifdim=region&hl=en_US&dl=en&ind=false
(visited time: Sunday, April 24, 2016 11:50 AM)

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