E-commerce involves the buying and selling of products or services over electronic systems such as the internet and mobile apps. It is driven by technological advances in areas like mobile commerce and online transaction processing. There are three main areas of e-commerce: online retailing, electronic markets, and online auctions. COVID-19 has led to increased online sales but also disruptions to supply chains and staffing. E-commerce companies have responded by focusing on digital initiatives, analytics, safety measures, and contactless delivery.

1. E-Commerce
 E-commerce (electronic commerce) is the
activity of electronically buying or selling of
products on online services or over the Internet.
 Electronic commerce draws on technologies such
as mobile commerce, electronic funds transfer,
supply chain management, Internet marketing,
online transaction processing etc.
 E-commerce is in turn driven by the
technological advances of the semiconductor
industry, and is the largest sector of the
electronics industry.

2. E-Commerce
 Modern electronic commerce typically uses the World Wide Web for at
least one part of the transaction's life cycle although it may also use
other technologies such as e-mail.
 Typical e-commerce transactions include the purchase of online books
and music purchases, and to a less extent, customized/personalized
online liquor store inventory services.
 There are three areas of e-commerce: online retailing, electronic
markets, and online auctions. E-commerce is supported by electronic
business.

3. E-Commerce business may employ: -
1. Online shopping for retail sales direct to consumers via Web sites
and mobile apps.
2. Conversational commerce via live chat.
3. Chat bots, and voice assistants providing or participating in online
marketplaces.
4. It’ll process third-party business-to-consumer (B2C) or consumer-to-
consumer (C2C) sales business-to-business (B2B) buying and
selling.
5. Gathering and using demographic data through web contacts and
social media business-to-business (B2B) electronic data interchange.
6. Marketing to prospective and established customers by e-mail or fax
(for example, with newsletters).

4. M-Commerce
 M-commerce is a type of e-commerce on the rise that features online
sales transactions made via mobile devices, such as smart phones and
tablets.
 M-commerce includes mobile shopping, mobile banking and mobile
payments.
 Some important statistics: -
1. It is expected that by 2040, 95% of all purchases will be via
ecommerce. The world’s fastest-growing ecommerce market is
China with an estimated ecommerce value of $672 billion in
2017.
2. The top reason why people make online purchases is that they can
shop whenever they want, 24/7.
3. Around 43% of ecommerce traffic comes from Google search
(organic).

5. Advantages Of E-Commerce
 Fast buying process - Customers can spend less time shopping for
what they want. They can easily browse through many items at a time
and buy what they like.
 Store and product listing creation - A product listing is what the
customer sees when they search for an item. This is one advantage in
ecommerce meant for the seller.
 Cost reduction - One of the biggest advantages of ecommerce to
business that keep sellers interested in online selling is cost reduction.
Many sellers have to pay lots to maintain their physical store.
 Affordable advertising and marketing - Sellers don’t have to spend a
lot of money to promote their items. The world of ecommerce has
several affordable, quick ways to market online.

6. Disadvantages of E-Commerce
 Security - Online portals have been in the news a lot because of hacks by
cybercriminals and hackers. It is a very serious issue as your account might
be hacked because of negligence and wiped out clean of the existing cash.
 Site crash - E-commerce is fully dependent on internet connection. A
major disadvantage of e-commerce is putting a stop to buying capabilities
because of a site crash.
 No possibility of tried and tested product - One of the major
disadvantages of e-commerce portal is that a customer is unable to try and
test the product for his own satisfaction.
 Late delivery - Late delivery is one of the common disadvantages of e-
commerce platforms. While ordering a product the customer is assured that
it will reach him in maximum seven days or a particular time period.

7. Effects of COVID-19 on e-commerce
 Uncertainty in consumer demand across the globe.
 Growth of online sales due to social distancing.
 Increase in online purchases of essential goods.
 Shortage of staff which makes it difficult for companies to attend to
orders. Disruption in Supply Chain & Logistics.
 Some customers are put off buying online because they are worried
about their packages inadvertently carrying the COVID-19 virus.
 New tax impositions reduced the selling rate.

8. Measures taken by e-commerce business
to overcome COVID-19 situation
 E-commerce businesses have doubled-down on digital initiatives.
 Started monitoring the shopping behavior of new website visitors with
the help of analytics.
 Paying more attention to advertising budgets and conversion rates.
 Working closely with shipping partners and authorities to ensure Fast
and Safe Delivery.
 Emphasis on contactless delivery system.
 Taking safety measures to protect employees and customers.
 Minimised the risk of spreading the virus by reducing face-to-face
interactions and delivering properly sanitized products.

9. Statistics

10. Amazon
 Statistics show that Amazon is the largest
ecommerce seller in the United States with
$280.5 billion net sales made in 2019.
 The ecommerce giant has around 101
million US based Amazon prime members
which on average spend $1,400 a year on
online purchases.
 A company that needs no introduction,
Amazon is one of the biggest online
marketplace in the world.
 It offers customers a wide selection of
products from retailers around the globe
and enables businesses to reach a large
audience.

11. eBay
 eBay has a total number of 1.4 billion live
listings.
 eBay had around 182 million active users in
2019.
 Connecting retailers and customers from all
around the globe, eBay is an online
marketplace that can help small and medium
sized businesses establish an international
customer base.
 eBay is user-friendly, intuitive, and offers a
number of payment options.
 One thing that particularly distinguishes eBay
from other online marketplaces is that it allows
merchants to hold online auctions.

12. Snapdeal
 Snapdeal is one of India’s leading e-commerce
companies with its headquarters located in New
Delhi.
 Snapdeal was launched in 2010, a time when the e-
commerce market in India was at a nascent stage.
 The company was co-founded by Kunal Bahl and
Rohit Bansal.
 Snapdeal currently offers more than 60 million
products across various categories such as mobiles
& tablets, computers, office & gaming, electronics,
home & living, etc.
 The company has more than 3 lakh sellers on its e-
commerce platform that cater to millions of users.