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Digital Marketing

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The Survey of Digital Technology and Internet Use measures the adoption and use of various digital technologies, including the Internet.

The use of the Internet and digital technology has become pervasive in today's society. Like electricity, the Internet has become so ingrained in the way that business operates, it can be considered a General Purpose Technology (GPT) because it affects the way the entire economy functions. The use of digital technologies and electronic commerce, while of great potential, also pose numerous challenges to both businesses and policy makers. In order to understand the effects and impacts of these technologies, it is essential to first understand who is using them and how.

The data from this survey are used by businesses and policy makers to monitor the uptake and adoption patterns of Information and Communication Technologies (ICTs) and assess their impact on the economy. Results are also monitored by international organizations such as the Organization for Economic Co-operation and Development (OECD) for benchmarking purposes and to study the development and the influence of the digital economy.
Statistical activity
Science and technology (S&T) and the information society are changing the way we live, learn and work. The concepts are closely intertwined: science generates new understanding of the way the world works, technology applies it to develop innovative products and services and the information society is one of the results of the innovations.

People are looking to Statistics Canada to measure and explain the social and economic impacts of these changes.

The purpose of this Program is to develop useful indicators of S&T activity in Canada based on a framework that ties them together in a coherent picture.
Reference period:
The 12-month calendar year
Collection period:
November of the reference year through March of the next year
Subjects
* Business and government internet use * Information and communications technology
Data sources and methodology
Target population
This survey covers private firms in almost all industrial sectors with the exception of the following NAICS subsectors: 111, 112, 114, 1151, 1152, 238, 55114, 814.

All firms, except for very small firms, were included in the target population. Enterprises that had under $100K or $250K in revenue, depending on the sector, were excluded from the population frame.

The sample unit for the survey is the enterprise which is the organizational unit of a business that directs and controls the resources relating to its domestic organization and for which consolidated financial and balance sheet accounts are maintained. The implication is that the survey collects data on transactions that occur between enterprises, while it specifically excludes intra-firm transactions, i.e. Internet transactions that may occur between two establishments or companies within the same enterprise.

The industrial classification assigned to an enterprise engaged in electronic commerce is the industrial classification of the establishment with the highest value-added within that enterprise. For instance, if an Internet transaction were conducted in a retail establishment within a manufacturing enterprise, that activity would be classified as a sale of the manufacturing sector if that establishment provided more value-added to that enterprise.
Instrument design
The survey data are collected via a multi-mode strategy, using an electronic questionnaire as the primary mode. A paper questionnaire is sent to those businesses for which an e-mail address is not available. Businesses may also request a paper questionnaire rather than an electronic version.

The electronic questionnaire (EQ) was developed at Statistics Canada based on the specifications of the final paper questionnaire although small changes were made to maximize the unique attributes of each collection mode.
Sampling
This is a sample survey with a cross-sectional design.
The survey focuses on the use of information and communications technologies such as personal computers, e-mail and the Internet from a sample of Canadian enterprises in the private sector. This is the target population of the survey.

The frame consists of enterprises on the Business Register (BR) developed by Statistics Canada. The sampling frame is first stratified by North American Industrial Classification System (NAICS) at the level required for estimation (NAICS 2 or 3 level). Within each industrial level, three strata by size are built: large units, which are sampled with certainty, and medium and small units, in which the sampling is conducted using a probability of selection. Size is based on the revenue of the enterprise. There's also a take-none stratum. The enterprises that are under $100K or $250K in revenue, depending on the sector, were excluded from the population frame.

The method used is the Lavallée-Hidirouglou algorithm, which does the stratification and the sample allocation to strata by minimizing the sampling size while attaining the target coefficient of variation (CV) based on the size variable.

A sample of around 17,000 enterprises targets a CV between 2.5% and 5% in the majority of industries. Once the stratification and the allocation are done a minimum sample size of 20 units is set for the small units in some sectors. As well, sample sizes in key sectors are boosted to ensure more accuracy for the small and medium strata. The sample sizes are adjusted for non-response with an expected response rate of 65%.

All units are selected with certainty in the take-all strata while a random sample is selected in the take-some strata.
Data sources
Data collection for this reference period: 2013-09-30 to 2014-03-14
Responding to this survey is mandatory.
Data are collected directly from survey respondents.
Data are collected through two modes, primarily through an electronic questionnaire application and also through a paper questionnaire. Businesses are initially contacted by telephone during a pre-contact phase to ask whether they used the Internet and also to have them provide an appropriate contact and e-mail address within the business. Only those firms that could not be reached or did not provide an e-mail address during pre-contact are mailed a paper questionnaire. Those firms that received an electronic questionnaire could also request a paper questionnaire on an adhoc basis.

Follow-up because of non-response, inconsistent or missing data is done by phone on a priority basis.
View the Questionnaire(s) and reporting guide(s) .
Error detection
At data collection, some edits are applied to each questionnaire such as rules of consistency and validity. During processing additional consistency edits are applied. Outlier detection is done on the variable "Sales over Internet" using Statistics Canada's Generalized System for edit and imputation (BANFF). The outlier detection is done for each industry. Additionally, historical data were used to validate reported "Sales over Internet" values.
Imputation
Imputation is used for partial non-response. Because there was overlap in the sample, and some of the questions on the questionnaire were repeated there are historical data available for some units. Historical data were used to impute for missing data where possible. Historical imputation was done using a few different methods: direct replacement, replacement with a ratio adjustment, and donor imputation where the donor and recipient had the same response in historical data.

Tax data were used to impute the "Sales over Internet" variable in combination with the "percentage of sales conducted over the internet." Imputation using administrative data is used to impute the question referring to the number of employees.

Donor imputation is used in the remaining cases to replace missing or inconsistent values with those of the nearest respondent according to characteristics such as size, industrial classification and key variables from the questionnaire. A procedure in Banff is used to do the nearest neighbour donor imputation. Imputation is conducted within homogeneous groups, the initial imputation group corresponding to the stratum. If there is not a sufficient number or proportion of donors in a group, or if imputation from all available donors would result in questionnaire inconsistencies, we move to a more aggregated imputation group.

Outlier enterprises are excluded from the donor pool. When imputation is done for the sales over the internet, the donor's revenue must be within 75% to 125% of the recipient's revenue. When imputation is over, the initial edit rules are reapplied to assure the consistency of all the questionnaires going into the estimation process.
Estimation
Non-response weight adjustment is used for complete non-response. The weighting is done in two phases because a screening question was asked in pre-contact. Statistics Canada's Generalized Estimation System (GES) is used for estimation. There are three types of estimates produced: in the case of percentage variables (P), a ratio is used to derive an estimate, in the case of categorical variables (C), again a ratio is used and in the case of numerical variables (Y), the usual estimator of the total is used.
Quality evaluation
Survey results are analyzed at both the micro and macro level. At the micro level, checks are performed on the data to verify internal consistency and identify extreme values. At the macro level, the data are subjected to a detailed quality review process, including a comparative analysis to prior year. Material errors are thereby identified and corrected.
Disclosure control
Statistics Canada is prohibited by law from releasing any information it collects which could identify any person, business, or organization, unless consent has been given by the respondent or as permitted by the Statistics Act. Various confidentiality rules are applied to all data that are released or published to prevent the publication or disclosure of any information deemed confidential. If necessary, data are suppressed to prevent direct or residual disclosure of identifiable data.
Revisions and seasonal adjustment
This methodology type does not apply to this survey.
Data accuracy
While considerable effort is made to ensure high standards throughout all stages of collection and processing, the resulting SDTIU estimates are inevitably subject to a certain degree of error. These errors can be broken down into two major types: non-sampling and sampling.

Non-sampling error is not related to sampling and may occur for many reasons. For example, non-response is an important source of non-sampling error. Population coverage, differences in the interpretations of questions and mistakes in recording, coding and processing data are other examples of non-sampling errors.

Coverage error results from inadequate representation of the intended population. This error may occur during selection of the survey population, or during data collection and processing. In order to avoid such errors, a number of sources describing the population of the industry are used and compared.

Response error may be due to many factors, including design of the questionnaire, interviewers' or respondents' misinterpretation of questions, or respondents' faulty reporting. Frequent changes in company personnel may also lead to response error. Several features are in place to help respondents complete the questionnaire, including logic and consistency checks, and a glossary of terms and concepts. Responses are compared from year to year and any significant deviations are queried by analysts to ensure their accuracy. However, even with these checks, the quality of data depends on the respondent's willingness to consult their records.

Non-response error occurs because not all respondents cooperate fully. To alleviate the impact on the survey, respondents are usually asked to provide key variables and the others are estimated.

Sampling error occurs because population estimates are derived from a sample of the population rather than the entire population. Sampling error depends on factors such as sample size, sampling design, and the method of estimation. The sampling error is measured by a quantity known as the standard deviation. The latter indicates the expected variability of the estimate that would be produced if we sampled repeatedly. The actual value of the standard deviation is unknown, but it can be estimated from the sample.

Section A : General Information about Business 1. Name of the Organization: ________________________________ 2. Address and Phone No: ____________________________ 3. e-mail address: ______________________________ 4. Address of the Company: _____________________________
__________________________________________________________________
5. Name of the Respondent: ________________________________ 6. Designation of the Respondent: _______________________________

Section B- Use of ICT SN | | Y | N | 1. | Does your business use the internet or any other Computer Network? | | | 2. | Which of the following information technologies, if any, does your Business has? (Tick all which apply in ‘Y’ Column) | | | | a. Intranet within your business | | | | b. Extranet between your business and other related organizations/business | | | | c. Local area Network(LAN) | | | | d. Wide area Network (WAN) | | | 3. | How your business connect to the internet? (Tick all which apply in ‘Y’ Column) | | | | a. Dial-up via standard phone line (analog modem) | | | | b. ISDN(integrated Services Digital Network) | | | | c. DSL/VDSL etc. | | | | d. Other Broad Band | | | | e. Other like cable modem | | | 4. | What proportion of persons employed in your business routinely used the internet at work? | % | 5. | Does your business have any IT security measures? | | | a. Virus checking or protection software | | | b. Anti spyware software | | | c. Firewall | | | d. Spam filter | | | e. Secured communication between clients and servers | | | f. Authenticated software and hardware for internal users | | | g. Authenticated software and hardware for external users | | | h. Regular back up of data critical to your business operation | | | i. Offsite data | | | j. No IT security measures | |

Section C –Digital Presence of the Company SN | | Y | N | 1. | Does your business place orders (make purchases) for goods or services via the internet? ( via Web sites, specialised Internet market places,extranets, EDI over the Internet, Internet-enabled mobile phones bu excluding e-mail) | | | 2. | Does your business receive orders (make sales) for goods or services via the internet? ( via Web sites, specialised Internet market places,extranets, EDI over the Internet, Internet-enabled mobile phones bu excluding e-mail) | | | 3. | What proportion of your business’ total turnover (excluding VAT) come from internet orders (Sales)? | % | 4. | Please Provide percentage breakdowns of the value of those internet sales by | | | a. Type of Products – i)Physical Products-ordered on line and delivered offline | % | | b. Digital products- downloaded or accessed online | % | | c. Services- ordered on line and delivered offline | % | | Total | =100% | | How orders were Received-via online ordering facility on your website | % | | Through another website (specialized internet market place/agent) | % | | Via EDI over the internet | % | | Via other internet technologies | % | 5. | Type of customers | | | a. Other businesses | % | | b. Individual consumers | % | | c. Government and other non business organizations | % | | Total | =100% | 6. | The location of your customers | | | a. Within Country | % | | b. Outside Country | % | | Total | =100% | 7. | Which of the following benefits, if any, did your business realise through internet selling? | | | | a. Reduced Transaction time | | | | b. Increased quality of customer service | | | | c. Lower business costs | | | | d. Increased sales volume and/or number of customers | | | | e. Keeping pace with competitors | | | | f. Able to better target customers individually | | | | Other----- Please specify | | g. No benefits realised | | | 8. | Which of the following factors, if any, limited or prevented internet selling? | | | | a. Products of your business are not well suited to internet selling | | | | b. Security Concerns | | | | c. Privacy Concerns | | | | d. Prefer to maintain current business model/face to face | | | | e. Customers’ or Suppliers’ computer systems are incompatible with your s | | | | f. Insufficient level of customer demand for purchasing via the internet | | | | g. Uncertainty concerning legal/regulatory framework for internet selling | | | | h. Cost of development and /or maintenance is too high | | | | i. Lack of skilled employees to develop, maintain or use the technology required | | | | j. No limitations to selling over the internet | | | | k. Selling over the internet is currently under development or planned for near future | | | | l. Other-Please specify…………………………………… | | |

Section D-Use of internet in other business processes SN | | Y | N | 1. | Does your business has digital presence other than website(Blog/presence of social media, internet community etc. excluding inclusion in an online directory and advertising on a third party’s site) | | | 2. | Whether your website has any of the following features? (Tick all which apply in ‘Y’ Column) | | | | a. Product catalogues/price lists | | | | b. Customised Web page or information provided for repeat clients | | | | c. Facility for collecting customer information on line | | | | d. Online payment(complete transaction and payment online) | | | | e. A version of the website optimized for mobiles users | | | | f. Integration with social media(eg. Facebook/T)witter | | | | g. Media rich content( eg. Interactivity/ videos) | | | | h. A privacy policy statement | | | | i. A privacy seal or certification | | | 3. | Does your business use the internet for dealing with government organizations? | | | | a. For obtaining information (eg. From web sites/e-mail) | | | | b. For downloading/requesting government form | | | | c. Completing forms on line or sending completed forms | | | | d. For making online payment to government organizations | | | | e. Other dealings with government(please specify) | | | | f. Internet not used for dealing with Government organization | | | 4. | Did your business use the internet in any of the following areas of your business? | | | | a. Finance | | | | b. Employee recruitment | | | | c. Staff Training | | | | d. Sharing or distribution of information within your business | | | | e. Sharing or distribution of information with other organizations | | | | f. Internet not used for any of the above business activity | | | 5. | Use of software in integration of business processes? | | | | a. Industry specific software | | | | b. Customer/Supplier Relationship Management Software | | | | c. Enterprise Resource Planning Software(ERP) | | | | d. Radio Frequency Identification Tag (RFID) | | | | e. None of the Above | | | | Did your systems for placing or receiving order via computer networks link automatically with any other following internal or external systems? | Placing | Receiving | | a. Your supplier’s computer system/s | | | | b. Your different service providers system/s | | | | c. For ordering or inventory controls | | | | d. For accounting functions | | | | e. For production/service operations | | | | f. For Customer’s Computer System/s | | | | g. For delivery of product | | | | h. For Marketing or customer relations Management | | | | i. For providing value added services | | | | Other internal or external computer system/s please specify_______________________________________ | | j. Not linked automatically to any of the above stated systems | | | 6. | What are the main barriers to your business further integrating ICT? | | | | a. Unaware of what technologies exist in the marketplace | | | | b. Lack of technical expertise and skilled personnel in House | | | | c. Not enough evidence of a strong return on investment | | | | d. Employee resistance to introduction of new technology | | | | e. Cost of technology is too high | | | | f. Security and privacy concerns | | | | g. Do no know | | | 7. | Other information | | | | a. Total turnover of your business –Last year | | | | b. Number of employees working | | | | c. Main activity of the business | | |

Definitions and Notes
Section B 1. The Internet refers to Internet Protocol (IP) based networks: WWW, extranets, intranets,
Internet EDI, Internet access by mobile phone and Internet e-mail. Other computer networks include internal networks (e.g. a LAN), proprietary external networks which are not IP-based (for instance, the networks originally set up for EDI), and automated telephone systems. EDI is electronic data exchange with other organisations via the
Internet or other networks. The exchange is in a computer readable specified form based on agreed standards e.g. EDIFACT
A network using the same protocol as the Internet and allowing communication within an organisation. It is typically set up behind a firewall to control access.
A private, secure extension of the intranet running on Internet protocol that allows selected external users to access some parts of an organisation’s intranet.
A network connecting computers and associated devices within a localised area such as a single building, department or site; it may be wireless.
A network that connects computers and associated devices within a wide geographic area, such as a region or country. 2. The Internet is defined in Question 2. Use of the Internet may be on your business premises or elsewhere 3. Ques. 4 refers to all persons employed by the business, not only those working in clerical jobs. It includes working proprietors, partners and employees. The Internet is defined in Question 2 4. Ques 3, An analog modem converts a digital signal into analog for transmission by traditional (copper) telephone lines. It also converts analog transmissions back to digital. * ISDN (Integrated Services Digital Network)- ISDN is a telecommunication service that turns a traditional (copper) telephone line into a higher speed digital link. It should be regarded as narrowband. * Including most mobile phone access (e.g. WAP, i-mode) and other forms of access with * an advertised download speed of less than 256 kbps (kilobits per second). * DSL (ADSL, SDSL, VDSL etc.)- Digital subscriber line; it is a high-bandwidth, local loop technology carrying data at high speeds over traditional (copper) telephone lines. * Cable modem A modem which uses cable TV lines for connection to the Internet. * Other broadband Including optic fibre cable, some mobile phone access (e.g. UMTS, EDGE), powerline, satellite, fixed wireless, with an advertised download speed of greater than or equal to 256 kbps. 5. Question no,5, includes Software which detects and responds to malicious programs such as viruses, Trojan horses and worms. Regular update refers to automatic or manual downloading of virus definitions.

* Software which detects and removes spyware from a computer system (spyware gathers user information through an Internet connection without the user.s knowledge). May be standalone or included in security software packages or operating systems. * Firewall Software or hardware that controls access into and out of a network or computer * Software that diverts incoming spam (junk e-mail). Spam filters trap messages using various criteria such as e-mail addresses or specific words (or word patterns) in the email. * SSL is an encryption protocol which creates a secure connection between a client and a server. SHTTP supports the secure transmission of individual messages over the WWW. * Authentication software or hardware verifies the identity of an internal or external user, user device, or other entity. Forms of credentials include passwords, tokens, PIN codes and digital signatures. * Authentication software or hardware for external users (e.g. customers) * Any system which attempts to detect intrusion into a computer or network by observation of actions, security logs or audit data. * Backup copies of computer files stored at a different site to your main data store. Includes both automated and non-automated backups.
Section C

1. Ques. 1, An order is a commitment by the business to purchase goods or services, where the commitment was made via the Internet. The order may be with or without online payment and excludes orders which were cancelled or not completed.
Purchases include all capital and current purchases (raw materials, components, office items, equipment, maintenance and repair items, services etc.).

2. Ques. 4 , For instance, raw materials, components, stationery, equipment, hardware, books.
Digitised products (downloaded or accessed on line) Products which are delivered over the Internet in digitised form, replacing physical products, e.g. reports, software; and new kinds of Web products which are accessed on line (e.g. online financial and information services).
Services which are ordered on line but delivered offline - These include services which are ordered on line but are delivered, or substantially delivered, offline (e.g. accommodation, air travel).

3. Def. of ‘security concerns’, Includes concerns the business has and the perceived concerns of customers (e.g. on providing credit card details over the Internet). Privacy concerns Includes concerns the business has and the perceived concerns of customers (e.g. about providing personal information over the Internet).
Section D-

1. Ques. 2, May be called privacy guidelines, notice or guarantee. It explains the privacy practices of the business regarding handling and using personal information. A privacy seal or certification6 NC Refers to third party privacy certification. May also be called a trustmark.
An online ordering facility for your business. Products. Ranges from a simple order form which is completed on line to a shopping cart system.
May involve an intermediary, for example, a transaction processor. Products include goods and services. Provision of online after sales support
For example, online queries, customer feedback, customer services organised on line, FAQ facility. Order tracking available on line

A security policy statement explains the business’ practices on security of customer information (transmission and/or storage) or financial transactions.
A security seal or certification, Refers to third party security certification. May also be called a trustmark.

2. An automatic link exists if information captured in one system triggers an update in another system or is available in real time in other systems.

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