| Chart of Costs for eCommerce |
One Time |
Yearly |
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Building The Digital Business
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1) ISP Connection
| Connection to the Internet |
Cost |
Speed/100K file |
| 56K Fax/Modem (56kbps) |
$75.00 |
18 seconds |
| ISP fee ISP Fee
$15/month |
| ISDN (Integrated
Services Digital Network) Phone Line (64-128 kbps) |
Phone Line $60
install; $60/month |
14-6 seconds |
| ISP Fee $15/month |
| + per minute
charge at some ISPs |
| DSL (Digital
Subscriber Line) |
Phone Line $195
install; $39/month |
0.06 seconds |
| ISP Fee $6/month |
| Cable Systems (200-2000kbps) |
about
$60.00/month |
4-0.03 seconds |
| Satellite (ISP/Internet
- request info via Internet, sent to you via dish; no satellite
send) |
$700 install;
$150/month |
2 second receive;
send =? |
| ISP Fee $20/month |
| T1 |
$25-35,000/yr |
3.1-.5 seconds |
| T3 |
>$100,000/yr |
0.0002 seconds |
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ISP Connection Totals
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2) Basic Hardware
| Computer (240 MB Ram, 14 Gig HD |
$1,200 |
| 21" Monitor |
$450 |
| 100 MB Zip |
$80 |
| DVD/CD ROM |
$60 |
| Digital Camera |
$250-1,000 |
| Scanner |
$250-1,000 |
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Basic Hardware Totals
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3) Create Digital Audio/Video Assets
(source:
Jim Kiggens, Cerro Coso College)
- Here's a suggestion for the hardware and
software that provide the minimum tools necessary for a
professional quality product:
- (the prices quoted are at educational
discount)
|
| Specification
for Faculty Web Authoring Workstation (PC) |
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| Qty |
Description |
Model |
Unit Cost |
Total Cost |
| 1 |
PIII 800/512/30 G/21" |
Gateway E-4200 |
3682.00 |
3682.00 |
| 1 |
37.5
Ultra ATA (7200rpm) |
IBM Deskstar |
339.90 |
339.90 |
| 1 |
Workstation Furniture Paragon |
Paragon DV Edit |
387.00 |
387.00 |
| 1 |
CPU Rack for Paragon Workstation |
CPU-20 |
38.00 |
38.00 |
| 1 |
Workstation Chairs United |
NSI |
93.00 |
93.00 |
| 1 |
A/V Receiver, JVC |
RX778 |
289.95 |
289.95 |
| 1 |
Mackie Mixer, Sure Mic, cable |
Suite |
699.99 |
699.99 |
| 1 |
Pair, Speakers |
JBL 4206 |
276.00 |
276.00 |
| 1 |
SVHS VCR, JVC |
HRS4600u |
264.95 |
264.95 |
| 1 |
Dual Cassette Deck, JVC |
TDW |
169.95 |
169.95 |
| 1 |
A/V Capture Card w/Premiere |
Pinnacle |
799.00 |
799.00 |
| 1 |
19" Pro Video Edit Monitor |
Sony |
399.00 |
499.00 |
| 1 |
Sony Mavica Digital Camera |
FD 73 |
449.00 |
449.00 |
| 1 |
Portable Lighting Kit |
Arri |
1529.95 |
1529.95 |
| 1 |
Tripod |
Bogen 3001 |
289.00 |
289.00 |
| 1 |
XL1 DV Camcorder |
Canon |
2780.00 |
2780.00 |
| 1 |
DV VTR (miniDV) |
Sony DSR 20 |
2270.00 |
2270.00 |
| 1 |
Adobe Photoshop |
5.5
|
140.00 |
140.00 |
| 1 |
Adobe Illustrator |
9.0 |
200.00 |
200.00 |
| 1 |
Adobe After Effects |
4.1
|
174.00 |
174.00 |
| 1 |
Adobe Premiere |
|
895.00 |
895.00 |
| 1 |
Media Cleaner Pro |
4
|
299.98 |
299.98 |
| 1 |
Office 2000 |
MS |
149.98 |
149.98 |
| 1 |
Inkjet, Tabloid, Color, Epson |
Stylus Color 1520 |
499.95 |
499.95 |
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Total
workstation cost |
$16,915.60 |
Note: There are less expensive solutions
available for most of these items, but in each case the trade-off
is that either important features are missing and/or the output
quality is degraded. |
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Create Digital Audio/ Video Assets
Totals
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4) Software For Site Building
| Dreamweaver/FrontPage/Authoring
Software |
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| Illustrator |
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| Photoshop |
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| Acrobat |
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| Flash |
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| Director |
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| Database tools (Access,
Filemaker Pro |
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| Others |
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Software For Site Building
Totals
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5) Web Site Assets
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Shopping Cart |
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Payment options |
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Auto responding/eMail forwarding |
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Database integration/design/solutions |
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Order Forms |
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| Media Assets Production |
GIF's, JPeg's |
| Audio |
| Video |
| Site Indexer (Site Search Engine) |
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Web Site Assets Totals
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6) Order Fulfillment System
| Inventory |
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| Drop Shipping |
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| Billing/Invoicing System; auto- responding |
Quickbooks/other |
| Employee Cost |
| Integrated (programmed) |
| Packaging/Labeling |
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| Transportation In |
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| Transportation Out |
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| Transportation Interface, i.e. UPS |
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Order Fulfillment System
Totals
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7) Types of "Money & Cash Settlement
| Real time (instant-paid) - This is the Service Merchant,
digital certificate, authentication, cash settlement system. (See
below) |
| Digital Cash - a prepaid, digital equivalent of cash. They
use software that creates digital money on a hard drive or "smart
card." You are said to have a "virtual
wallet." |
| Checks Online - Checks can be accepted by mail, phone,
fax, form, or email. All you need is the information from the check and
authorization from the buyer for you to sign the check or you can put
"signature not required" on the signature line. This essentially
creates a bank draft. Many companies supply
software that will print the checks and the copy for as little as a $99
one-time fee and a per check charge of about $1.50 or a small percentage
of the sale. |
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Types of "Money & Cash Settlement
Totals
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8) Shopping Cart/Catalog Software/Adding Security
| Step |
Cost |
| Set up the shopping cart |
Average $0 to $800; up to $3,000 or more |
| Internet Merchant Service Banking -
Establish a Credit Card Internet Merchant Account, Service & Banking Fees. |
$ fees variable by bank. |
| Obtain Domain Name hosting |
$25 ISP setup fee, $10 monthly; $35 yearly fee |
| Obtain Website hosting (space) |
$20 fee, $10 monthly |
| Obtain secure server hosting |
$10 fee, $10 monthly |
| Internet Access (56K, DSL) |
56K = $15 monthly
DSL = $7 monthly, PacBell fee of $195 setup plus $39 monthly |
| Certification and authentication |
Verisign $400/year per server, $300 per year thereafter
per server |
| Merchant Service (Real Time Cash Settlement) |
CyberCash $40 setup fee, $40 monthly plus 20 cents per
transaction |
| Approximate Total: |
Fees: $390-$1190
Monthly: $110-$134 plus $.20 per transaction |
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Shopping Cart/Catalog Software/Adding Security
Totals
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9) Hosting Decisions
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Your Own Web Server
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$2,000 to $5,000 computer, a very expensive connection to the Internet,
$1,200 to $3,000 a month or more, software cost of $2,000-$10,000, miscellaneous
equipment, the cost of 3 employees to keep it all running 24/7. |
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Your Own Web Server at a "Co-location" Facility
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$1,500 for the computer plus $200 to
$400 a month. |
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At Your ISP’s
Free Personal Web Space
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Each account comes with a certain amount of free disk space. |
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A Free-Page Web Site
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This isn’t really suitable for most
businesses but will cost you nothing. The services that most businesses need won’t be available.
AND you won’t own the URL, either. |
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Cyber Malls
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on average, $395 setup fee, plus $50 a month or 5 percent of your sales each
month; $50 an hour to design and set up your site. |
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A Web Store
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similar to cybermalls above |
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E-commerce Services
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$20-$400 simple cart to $4,000 for
unlimited products fee; plus $12-$50 monthly or more. |
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At a Web Host’s/ISP's
Site in a Subdirectory or Subdomain
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$10-$50 per month; plus shopping
cart software one-time fee of $0-$800. |
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A Web-Hosting/ISP Company as a Virtual
Domain
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$20- $35 per month for a basic virtual Web
host. |
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A Dedicated Web Server
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$295-$500 per month for this service. |
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Hosting Decisions Totals
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10) Customer Order Placing Options
| M.O.T.O. - Snail Mail (Post Office)/Telephone Order (900, toll or 800) |
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| Fax |
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| E-Mail |
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| Web Form |
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| Secure Shopping Cart (Basket) |
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Customer Order Placing Options Totals
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11) Professional Help/Outsource/Consultants
| Costs run from about $25-125/hour or by
project |
| Logo |
| Build Website |
| Create Graphics and Web Assets |
| Programming and Interactivity |
| Database Processing tools |
| Marketing and Other Research |
| Business Consulting |
| Marketing and Search Engine Listings |
| Legal - Trademarks, copyrights, patents, legal
formation of Business, etc. |
| Site maintenance |
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Professional Help/Outsource/Consultants
Totals
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12) Other Costs
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Other Costs Totals
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GRAND TOTAL
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