There is a lingering wariness of transacting business over the internet.  Customers need to feel that their sensitive information (e.g., transactions, credit card numbers) is carefully protected.  The following features are imperative in any business commerce system:

… login id with password protection controlling customer access

… login id with password protection controlling staff access

… logging of changes made to the catalog by staff (e.g., prices, customer account information)

… secure server technology for encrypted transmission of sensitive data over the internet

… encrypted storage of sensitive information

… detection of fraud through catalog/ordering HTML page alteration (e.g., changing so-called "hidden" fields used by some cart cgi programs to transmit price information between the shopper and the server).
 

Any system must be easy to use otherwise it won’t be utilized.  If it is too difficult to make changes your catalog will rapidly become outdated and therefor worse than useless.  Look for the following features in an online catalog:

… new products are easily added

… ability to remove discontinued products easily while retaining sales records

… all catalog changes are instantly available to shoppers with historical records kept

… ability to set up sales promotions or seasonal items in the catalog in advance without your customers being able to view them until the time you choose

… ability to designate in advance the date when a product should no longer be displayed to customers
 

The purpose of your catalog is to display the products that you have for sale in a manner convenient for your customers.  The following features should be included in an online catalog:

… a listing of product categories

… a description search facility to enable your customer to rapidly find what they are looking for

… paragraphs of text describing the product and its features

… a link providing interested customers with even more detailed information

… audio-video capability (e.g., sound clips of CD's for sale, video product demonstration)

… small product pictures that download rapidly to the customer

… a link from the small picture providing interested customers a large more detailed picture of the product to view

… the ability to list each product feature (e.g., style, color, size) and the choices available to the customer for each feature

… the ability to show the customer a picture of each choice available for each product feature

… the ability to list prices, fees, and/or shipping and handling charges that depend upon the choice of a feature (e.g., size) selected by the customer
 

For a catalog to be worthwhile customers must order from it.  You will lose sales if you make customers write down product numbers and then force them to go to a separate ordering page and transfer them to a form.  You will lose even more sales if you force the customer to disconnect their internet connection in order to stop and call in their order.  To maximize sales you want the customer to be able to order right on the page where your product is displayed.  Look for the following capabilities in an online ordering system:

… shopping basket

… convenient check-out facility

… ability to ‘browse’ the catalog before supplying credit-card information

… customer selection from among product features (e.g., style, color, size)

… the ability for the shopper to bookmark favorite items

… the ability for the shopper to easily return to items they have shown interest in

… purchase order number recording for business customers

… sales tax calculation as applicable to a customer based upon their tax-free status and merchandise shipping/receipt location

The customer base of some manufacturers require to know if a product is currently in stock.  Other manufacturers either always maintain an inventory level sufficient to meet demand or can produce their products to meet their customer’s schedules.  If your customer will only order from you after confirmation of your capacity to deliver make sure your catalog has real-time inventory capability whereby the customer can check the availability of your products.  Key features are:

… the ability for the customer to see if sufficient inventory exists to meet their order

… the ability for the customer to order even when insufficient stock on-hand exists

… an ability for you to set a stock-out quantity for each product which, when reached, triggers a production alert

… the ability to record the production ‘lead time’ requirement for each product

… notifying the customer as to the expected ‘in stock’ date when inventory levels are less than their intended order

… an ability for you to set the message for each product that is sent to the customer when an out of stock condition exists (this message could indicate an expected delivery date, a permanent out of stock condition at the end of a run, a suggestion of a comparable product, etc.)
 

All customers are not equal.  Your catalog and ordering system has to accommodate the differences in business relationships that exist between you and your customers.  Make sure that your catalog can handle customer-specific:

… shipping & handing charge calculations

… shipping insurance calculations

… order size discounts

… minimum order size requirements for the first order and re-orders

… multiple ship-to addresses

… multiple payment methods

… credit limits

… default payment terms (with override capability by order)
 

Properly structured and implemented, a dynamic catalog can increase sales volume.  Helpful features are:

… cross-selling (display of products related to the product just added to the basket by the shopper)

… display of a product's optional or accessory products on its ordering page

… product-specific quantity purchase discount pricing

… the ability to put products into multiple categories for display

… 'Special Offers' which can be priced based upon order size
 

Your customer list is a valuable business asset.  An ordering system should assist you in targeted marketing, market research, and market testing.  Look for the ability to:

… include your company name and logo on every catalog page presented to the customer

… provide an easy mechanism for the customer to contact you

… classify customers by whatever criteria you choose

… make it easy for shoppers to refer their friends to your site

… broadcast email messages to customers based upon products purchased, order dates, and customer type

… integrate your affiliate payment system with your catalog; particularly as it relates to returns and order adjustments

… support a variety of coupon pricing mechanims and limit coupon redemptions to pre-determined levels and date ranges
 

The role of your online catalog does not end when the customer places an order.  A complete system must include provisions for order acceptance, customer account review, order status checking by the customer, order shipping tracking, and order payment tracking.  Make sure your catalog and ordering system includes:

… the ability to accept or reject each order (to reduce liability for catalog pricing errors)

… tracking each order’s payment all the way through receipt clearing

… provisions for back-ordering and multiple partial order shipments

… the ability to track an order’s payment and shipping statuses independently

… true customer credit limit enforcement based upon receipt clearing

… customer account adjustment for refunds, fees, charges, misc. credits and debits

… customer account transaction history

… the ability for the customer to change their loginid/password and account information

… the ability for the customer to check their orders statuses

… the ability to adjust order quantity purchased to handle out-of-stock conditions

… the ability to alter the payment method to the one actually used when an order payment is received (versus that intended when the order was placed)

… the ability to easily search for customer, order, receipt, deposit, and product records using multiple criteria

… a report of products whose stock-on-hand levels require re-ordering

… a report of tax liability and disbursement to the various taxing authorities on whose behalf you are obligated to collect sales tax
 

… make sure your catalog information is backed up and copied to an off-site location at least daily

… a customer's order information should be available in an easily printed format for use as a receipt and packing slip

… erroneous entries (eg., neglecting to indicate the quantity of an item purchased) should be brought to the shopper's attention in an unambiguous manner.  The best method is to redisplay the form that they have entered with their entry highlighted.  An ineffective method is to show a list of error messages on a separate page thereby forcing the shopper to try to make a connection between their act and the verbage sent back to them

… it is imperative that the tools used to create your catalog and ordering system are flexible enough to cope with the rapidly changing demands placed upon ecommerce.  This means that a powerful relational database and extensible programming language must be at the core of your site.

The following considerations may be pertinent to your specific situation:

… decide whether a customer application must be accepted before they are granted access to the catalog

… be sure the catalog handles all of the payment methods you accept (e.g., credit card, COD, personal and business checks, money order)

… credit card numbers should be check-digit verified before the order is accepted from the shopper

… be sure the catalog has a consistent ‘look and feel’ to reduce the learning effort of both your staff and your customers

… if your product’s price is tied to a commodity (e.g., gold market price, silver market price, sugar market price, labor price) be sure that each product price in your catalog can be rapidly changed to reflect changes in the commodity price

… a minimum of graphical ‘clutter’ in order to focus the customer’s attention on the products which are for sale

… a place for convenient display of policy information (e.g., returns, payment acceptance, shipping methods)

… the ability to specify Sales Order Numbers and/or differentiate them from your other sales channels orders