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Ecommerce (2)


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  • 1. E-Commerce:A Revolution in the WayWe Do Business
  • 2. There is no finish line… – Nike Corporate Motto
  • 3. What is electroniccommerce (e-commerce)? Financial business transaction that occurs over an electronic network Sometimes called e-business
  • 4. How are e-commerce transactionsconducted? Primarily through desktop computers Wirelessly using handheld Web-enabled devices M-commerce E-commerce that takes place using mobile devices
  • 5. What is a bricks-and-mortar business? Company with a physical location, such as Wal-Mart or Kmart
  • 6. What is a clicks-and-mortar business? Company with a bricks-and-mortar location as well as an online presence Some companies have online presence without physical locations • E*Trade and
  • 7. What is an electronic storefront? add to cart Web site where e- retailer displays its products Shopping cart allows customer to collect purchases Also called online catalog
  • 8. What is a shopping bot?  Web site that searches for the best price on a specific product  Also called a shopbot
  • 9. What is business-to-consumer(B-to-C or B2C) e-commerce? Sale of products or services from a business to the general public
  • 10. What is consumer-to-consumer(C-to-C or C2C) e-commerce? Individuals using Internet to sell products to other individuals • Online auction, such as eBay
  • 11. What is business-to-business(B-to-B or B2B) e-commerce? Sale and exchange of products and service between businesses Many businesses engage in both B2B and B2C Supply chain creates and distributes products
  • 12. E-Commerce Stats
  • 13. What is business-to-employee(B-to-E or B2E) e-commerce? Sale and exchange of products and service between a business and its employees Usually through an intranet
  • 14. What are some advantages of e-commerce? • Global market 24/7 • Businesses have access to 459 million people with Internet access • Lower operating costs • Customers can conduct price comparisons easily • Feedback can be immediate • Changing information can be available quickly • FAQ (frequently asked questions) pages can provide easy access to customer support • Ability to gather customer information, analyze it, and react • New and traditional approaches to generating revenue • Manufacturers can buy and sell directly, avoiding the cost of the middleman • Distribution costs for information reduced or eliminated • Options to create a paperless environment
  • 15. Revenue Streams  Sales  Subscriptions  Banner ads  Pop ups  Web searches • Paid listings • Paid inclusion • Search engine optimization
  • 16. Building Traffic The 3Cs Approach • Content, community, and commerce Keywords and Search Engines • Choose name and product names that best describe business purpose and features • Select descriptive domain names • Business-related keywords can be listed in the HTML meta tag 16
  • 17. Building Traffic (continued) Marketing • Online advertising methods include banner ads, pop-up ads, and e-mail • Offline advertising methods include magazines, newspapers, radio, and television 17
  • 18. Electronic Payment Systems Electronic cash (e-cash or digital cash) • Provides a private and secure method of transferring funds • PayPal – Best-known e-cash provider E-cash benefits • Privacy - hides account information from vendors • Convenient if seller cannot process a credit card Smartcards • Credit cards with embedded microchips 18
  • 19. Ecommerce Spending Trends At the end of 2008, worldwide e-commerce is expected to exceed $470 brillion. By 2010: - 71% of US consumers will use the Internet to shop - 50% of ALL retail sales will be influenced by the Internet
  • 20. Consumer Concerns A recent poll of Americans Found that • 13% had no fears about E-Commerce • 53% had concerns of privacy and security • 20% cited the inability to inspect products closely over the Internet • 3% do not like to wait for delivery
  • 21. Limitations Bandwidth or data capacity Comfort Factor Security Privacy
  • 22. What factors lead to customer loyalty? Best storefronts are efficient and easy to use Customers who must wait more than eight seconds for a page to download usually will click to another site
  • 23. Fun thought…  People are more violently opposed to fur than leather because its safer to harass rich women than motorcycle gangs.