
March 2001
You all know the perversity of the publishing
business means that the cover date and the date at which the
words are stuck down can vary by months..? Well, I write this
on new year's eve (but bearing in mind we live in an inclusive
society these days, I dare not say which one - please take
your pick…).
So I've just had the benefit of a few days
"chilling out" after the traditional month or so of
"shelling out". I quickly tired of reading the
inevitable "year end" round ups of the "dot
collapse" etc., especially when written in the same
chip-wrappers that did their best to stoke the madness in the
first place when they all chose to fete the rash of "net
totty" from the likes of Last Minute and Boo, and forget
about us faithful if ugly old bastards that knew what we are
talking about.
Although it's fun to float about in zero
gravity for a while, as any astronaut knows, it's actually
easier to operate within a framework of gravity, since you
know where you stand; literally. So let's all be grateful that
the period when laws of commercial gravity were suspended by
the likes of QXL, Freeserve, Last Minute and the rest is now
over. Let's now remember how to resume the "old
ways" in which all readers can again exploit technology
for the benefit of their personal and business efficiency -
but by all means buy a lottery ticket if you feel that you are
missing out on the dotcom froth, since that's presently the
nearest any of us are going to get to instant riches in the
next year, I fear.
The most startling thing that occurred to me
in the past month is that the cost of living hasn't risen
visibly in the past year. At least, not in the estimation of
one who lived through the inflationary times of the seventies
and eighties. The obligation to have my annual retail
experience turned out to be a fascinating insight. I bought
pairs of perfectly good shoes for £15, shirts for £4 and so
on.
If one can resist the temptation to buy
"prepared" and packaged foods and stick to the raw
ingredients, then with baked beans at 15p a can and Tesco's
"distressed sale" loaves for 20p , it seems possible
to exist remarkably well in the UK on less than £20 a week,
and a tent. No wonder Dover is besieged by "accidental
tourists".
So why is it that prices really have stopped
moving up inexorably year on year..? In the year that Marks
and Spencer were held up to close examination by eTailers as
the perfect evidence that the New Economy was trashing the old
high street dinosaurs, the leading star of 2000 was the
discount sales operator Matalan. Have you looked at
www.Matalan.co.uk
..?
Here's an
operation with plenty of bricks and mortar presence, and a web
site that's every bit as convincing as the once almighty
Freeserve (now a French-owned affair of all things). So what's changed
over the past 20 years to bring once rampant inflation to such
a grinding halt? The politicians haven't got any smarter;
businessmen and bankers haven't got any less greedy. Even
where the raw materials have increased in price, the products
gets cheaper - for example, the price of fuel and aircraft has
gone up, but the cost of air travel has come down. What
gives..? The answer is the
customers have got better informed and organised, something
generally referred to as "transparency", meaning
that there are few hiding places left, and technology is
responsible for all this. The ability to communicate just
about any information on anything means that there is no
hiding place, and that products can be selected on the basis
of the lowest price. Now, part of my
recent retail experience reminded me that there is still lot
of meatspace action going on, and that few bricks and mortar
businesses are quaking in their boots at the prospect of
imminent e-nhilation.
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