Thursday, 12 June 2014

The Public Sector and Ecommerce: 3 Council Services that Generate Revenue

3 Ways Councils are Generating Revenue with Ecommerce

Last year, Lincolnshire County Council invoiced nearly £1.2 million by channel shifting a proportion of their public sector services online.

In just 6 months, Buckinghamshire County Council invoiced over £4 million by supplying existing services online through their ecommerce transaction engine.

Public Sector Ecommerce


Their simple,streamlined online ecommerce system encourages citizens and customers to view and buy online, while showing all possible services and products side by side engages the ‘impulse buy’ factor.

So, which public sector services can generate revenue through channel shift? 

1. School Transport

UK councils administer school transport for the children living in their districts. Bus passes are assigned to certain children, depending on how far they live from their school.

Sometimes individual schools organise bus passes for their pupils. Sometimes parents have to apply individually.

Either way, it can represent a frustrating process for school administrators or for parents, and a non-essential phone call for council staff to deal with.


Buckinghamshire County Council channel shifted their school transport bookings to the online portal. In the first year, over 2000 online transactions were completed, with payment of £300,000 taken online.

These 2000 transactions would have meant at least 2000 phone calls. 

As collecting payment is much more difficult on the phone, payment may never have been collected for some of these bus passes.


Expenses per transaction would have been higher, revenue would have been lower, and staff would have been tied up with avoidable contact.

2. Schools Traded Services

Schools buy and pay for a variety of council services. IT services, library services, HR and legal resources, school dinners, exercise books, sports coaching, ground maintenance, training courses – all need to be sourced, selected, and paid for.

For these traded services, the customer is the school itself.

A local council can supply all of these services through ecommerce, with costs, information, ratings, and terms and conditions, plus a convenient shopping basket and simple online payment process.

With services delivered conveniently online on a self-service platform, schools are more likely to select a full package of council-delivered services, instead of picking and choosing from a variety of public and private sector services.

By promoting schools traded services online on an efficient ecommerce platform, Buckinghamshire County Council handled 2200 transactions totalling £115,000 in 4 months. 
Public Sector Channel Shift


Lincolnshire County Council dealt with 1500 schools traded services in a year, invoicing over £121,000.

All available services are easy to see online. Schools can view the options, make assessments on budget, and properly “shop” for their services to find packages that suit them.


Councils can apply costing models, respond to online requests for quotation, apply discounts, manage repeat orders, handle multiple bookings, and deal with orders from multiple authorised users from a single school – conveniently and efficiently, with many processes automated.

3. Community History Books and Resources, and County Genealogical Records

Most county councils hold libraries of historical resources and archive services.

Often, the cost for buying or downloading these resources is minimal. The cost of charging for these items can be higher than the value charged, making enforcing payments uneconomical.

Lincolnshire County Council market their library of books, images and archive records on a dedicated ecommerce website – www.lincstothepast.com. All resources are visible and available to buy and pay for online.


By promoting these resources on a great customer-friendly platform, Lincolnshire Council raised over £372,000 (year to date). 

Previously, most were commercially invisible, due to the cost of contact and transactions.

By providing great customer service through online self-delivery, Lincolnshire and Buckinghamshire County Councils have generated revenue through regular public sector services which are traditionally difficult and time consuming to charge for.

Convenience retail stores increase profits by encouraging impulse buys. 

A central ecommerce platform enables public sector organisations to do the same.
"ZIPI enables us to provide an alternative quick and easy way for customers to acquire goods and services as well as reducing manual administration for staff."

Jacki Dann, ICT & Service Transformation, Buckinghamshire County Council.

How can ZIPPORAH help?

ZIPPORAH’s ecommerce engine ZIPI manages the catalogue, selection, shopping basket, invoice, payment and reporting system which drives revenue for both Buckinghamshire and Lincolnshire County Councils.


For information on how a ZIPPORAH ecommerce transaction platform will enable you to generate revenue, and your citizens to choose, buy and pay for public sector services online, please visit http://www.zipporah.co.uk, email sales@zipporah.co.uk, or phone 02920 647048.