This document provides an overview of e-commerce, including definitions, types of e-commerce models, key facts and figures about the Indian e-commerce industry, and challenges facing e-commerce companies. It defines e-commerce as the buying and selling of products or services over electronic systems like the internet. The main types of e-commerce discussed are B2B, B2C, C2B, and C2C. Statistics presented include data on India's demographics, increasing smartphone usage, and most common online payment methods. Future growth of mobile e-commerce and its challenges related to logistics, shopping experience, and digital infrastructure are also examined.

1. Kishan Jalan
HPGD/AP15/2972
E-Commerce
Activities, Goals, Technical Aspects
(An overview)
WELINGKAR INSTITUTE OF MANAGEMENT DEVELOPMENT AND RESEARCH
Year of Submission :: January 2017

2. What is Ecommerce
Electronic commerce, commonly known as e-commerce, is a type of industry
where the buying and selling of products or services is conducted over electronic
systems such as the Internet and other computer networks. Electronic commerce
draws on technologies such as mobile commerce, electronic funds transfer,
supply chain management, Internet marketing, online transaction processing,
electronic data interchange (EDI), inventory management systems, and
automated data collection systems. Modern electronic commerce typically uses
the World Wide Web at least at one point in the transaction's life-cycle, although
it may encompass a wider range of technologies such as e-mail, mobile devices
social media, and telephones as well.

3. How do Ecommerce websites work

4. Types of Ecommerce
 B2B (Business-to-Business)
Companies doing business with each other such as manufacturers selling to
distributors and wholesalers selling to retailers. Pricing is based on quantity of
order and is often negotiable.
E.g. Indiamart.com, Indiabizclub.com

5. Types of Ecommerce
 B2C (Business-to-Consumer)
Businesses selling to the general public typically through catalogs utilizing
shopping cart software. By dollar volume, B2B takes the prize, however B2C is
really what the average Joe has in mind with regards to ecommerce as a
whole.
E.g. Flipkart.com, Snapdeal.com

6. Types of Ecommerce
 C2B (Consumer-to-Business)
A consumer posts his project with a set budget online and within hours companies
review the consumer's requirements and bid on the project. The consumer reviews
the bids and selects the company that will complete the project. Upwork
empowers consumers around the world by providing the meeting ground and
platform for such transactions.
E.g. Upwork.com

7. Types of Ecommerce
 C2C (Consumer-to-Consumer)
There are many sites offering free classifieds, auctions, and forums where
individuals can buy and sell thanks to online payment systems like PayPal where
people can send and receive money online with ease. eBay's auction service is a
great example of where person-to-person transactions take place everyday since
1995.
E.g. Olx.com, Quikr.com

8. 2015 Key E-commerce Facts at a Glance
Source – Ecommerce foundation (India e-commerce report)
2015 Key E-commerce Facts at a Glance
View from TOP

9. 2015 Key E-commerce Facts at a Glance
Demographic indicators
Source – Worldfactbook and Wikipedia, 2016)

10. 2015 Key E-commerce Facts at a Glance
Increasing Smartphone usage in India
Source – Google Barometer, 2016

11. 2015 Key E-commerce Facts at a Glance
Online payment method
Source – PwC, 2016 and various other sources

12. Future of ecommerce in India
 Why consumers prefer shopping online?
Simple, easy, quick and limited traveling….

13. Future of ecommerce in India
 Why consumers prefer shopping online?

14. Mobile E-Commerce
The most used platform are hand held devices today….
Asia/Pacific would be expected
to top the list.
 94% of the smartphone users access
internet with phones in India
 87% of the smartphone users compare
prices online in India
 70% smartphone users access online
shopping website in India

15. Mobile E-Commerce
The most used platform are hand held devices today….
Anytime Access
Gives the flexibility of
reaching anywhere by
the user
Browser or App
App allows more closer
reach of the users
Large user base
Mobile user base is
adding up to 9 million
connections a month

16. Challenges for Ecommerce Companies
Logistics
 Companies are not yet
ready to operate from
each city
 Customers are not ready
to wait for days for their
orders – Infrastructure
developments required
Shopping Experience
 Companies are failing to do it
that’s why they have to accept
all the return policy for longer
periods if we find any
alternative it saves big bucks for
the ecommerce industry
 Returns becoming a big
headache for the Ecommerce
companies across the globe as
they have to invest money in
picks and drops
Digital Infrastructure
 Upgradation of digital infrastructure
must for growth of ecommerce and
economy
 Non-availability of internet/ basic
telecom services in villages, gram
panchayats i.e. approx. 600,000
villages where over 800 million
people live are yet to be connected

17. Challenges for Ecommerce Companies
Making Profits …
Ecommerce business takes at least 6 to 8 years to yield profits
Companies are growing only by increasing their market share &
market value but not by returning profits!!

18. Challenges for Ecommerce Companies
Challenges depends on various other factors….
Size of the company
Ex: Small companies
struggle for the funds
Cultural differences of
operating city
Ex: Hyderabadi’s are different to
Mumbaikar’s
The kind of customer we are dealing with
Ex:1) Women are different to men
2) High earning person behaves differently
The product that we are
dealing with
Ex: Food items are different to
tickets