Cliptomania Web Store

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The Cliptomania Web Store is an e-business that sells clip-on earrings in different countries. The Santo family, who owns and operates the business, faced several strategic issues during the development and launch of their e-business venture. One of the issues was setting up the web store, which they overcame by contracting with a vendor, Yahoo!. Another issue was marketing, but the Santos found that increased costs of listing the website in search engines resulted in increased sales. They also ventured into search engine advertising, which was based on keywords selected by the company. The Santos encountered issues when they changed web service providers in 2006, which caused confusion in the search engines. However, they made several changes to combat the situation and moved the content back, which alleviated the problem. Overall, the Santos have made reasonable decisions and employed processes that allowed their company to grow and remain profitable. A recommendation would be to employ a consultant to perform an audit and give insight on how they might improve their website advertising and processes to increase profitability.

Table of Content

This text is a study on the strategic challenges faced by The Cliptomania Web Store in the creation and launch of their e-commerce venture. The Santo family, who own and operate Cliptomania, LLC, are in the business of selling clip-on earrings across multiple countries including the United States, Canada, Ireland, Australia, and New Zealand (Brown, DeHayes, Hoffer, Martin, & Perkins, 2012). The Santos have identified a market niche that has been overlooked and transformed it into a successful e-business. The initial obstacle encountered by the Santo family was the establishment of their online store.

The Santos family was lacking the expertise and funds to contract with an internet service provider for computer resources, software packages, and site design. To overcome this challenge, they decided to partner with Yahoo! as their vendor. By doing so, Yahoo! provided the necessary computer resources, integrated software, and a customizable template for the Santos family to personalize their site. Paymentech was also integrated with Yahoo! to validate credit cards and process payments for their online store, Cliptomania. Additionally, marketing proved to be another issue they faced.

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During the dot-com bust in the early 2000s, the Santos noticed that listing their website in search engines became more expensive due to the number of clicks. However, they discovered that this increased cost actually led to higher sales and now view it as a cost of acquiring customers. Cliptomania also started advertising on search engines and paying for searches based on specific keywords chosen by the company. In 2006, when the Santos switched web service providers, they faced problems with their website becoming less visible in major search engines.

The Santos operated the store as They then changed to which caused confusion in search engines. They made some changes to fix the problem but eventually moved the content back to This solved the issue. I agree with the Santos’ decisions in setting up their e-business. They researched and explored options, making reasonable conclusions. They implemented processes for company growth and maintained profitability while maintaining their web presence.

Despite the family’s lack of industry or web-based sales experience, I am confident that the company has achieved success. However, it would be wise to bring in a consultant who can perform an audit to gain valuable insights on how to improve their website, advertising strategies, and operational processes for increased profitability.


The book “Managing Information Technology” was published in 2012 by Prentice Hall in Upper Saddle River, NJ. It is the 7th edition and the authors are Brown, C. V., DeHayes, D. W., Hoffer, J. A., Martin, E. W., & Perkins, W. C.

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Cliptomania Web Store. (2016, Dec 24). Retrieved from

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