2. Benefits of E-commerce
Global Marketplace
By having a global presence a business can target a
global audience, compared to the local audience
attracted by a traditional store.
More people will view your website than they would if
you only had a store.
Wide spread advertising.
P2
3. Benefits of E-commerce
24/7 Trading
People are able to visit the site anytime of the day so
business never stops running and keeps generating
money. This like any store on the high street will make
10x more money.
P2
4. Benefits of E-commerce
Low Start -up & Running Costs
You have very low risk of going bankrupt as its cheaper to run
a website than a store as there are no rent costs.
You will have to rent out servers which are cheaper than rent
as your website would generate more money than a high
street store.
P2
5. Benefits of E-commerce
Search Facilities
This is an advantage as you don’t have to look for
a long period of time, all it takes is keywords and
pops straight up onto your page.
The quicker you find something the more likely
the customer is to buy the item if found in a short
space of time.
P2
6. Benefits of E-commerce
Fluid Pricing
This is when prices are increased or decreased
quickly depending on circumstances. An
example is when selling airline flight tickets, as
more are sold and fewer are available, the
tickets could become more expensive as the
demand rises. Alternatively when selling
products like holidays as the time draws closer,
the prices could go down to ensure all the
places are sold.
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7. Weaknesses of E-commerce
& how to address this
Consumer Trust
The consumer find it hard trusting the
website as the are lack of proof when
using the website.
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8. Weaknesses of E-commerce
& how to address this
Lack of Human Contact
Due to a lack of contact between people across the internet
some people don’t like purchasing items because they
might not believe what the site is telling them, there are
ways round this as they do put a contact number on the site.
P2
9. Weaknesses of E-commerce
& how to address this
Product Description Problems
People who visit the site do not if the product in description is
completely legit, they might not receive what has been described.
People may leave feedback of all the products sold reassuring
people that its legit. Customers are also offered a money back
guarantee for up to a certain amount of days.
P2
10. Weaknesses of E-commerce
& how to address this
Security issues
There are many different types of security issues
such as hacking prevention, virus protection and ID
theft, you find information about these listed under
the security tabs further in the presentation.
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11. The Technology
Browsers
Browsers allow you to type a web site or input information
into browsers like Google, explorer, Firefox etc. this may
take you straight to the site or will bring up a suggestion.
Web Authoring Software
The web site is already designed for you without you having
to do it yourself such as blogger, Google etc. this is code that
is already written so when you change something on the site
the code is already pre – written allowing you to change it.
P1
12. The Technology
Database systems
When using amazon after you have signed up for it this
can do a number of things for you such as your wish list
this allows you to put items in it which you may by on a
later date or save your credit card details this is a
database where it saves customer information.
IP addresses
This is an address that is assigned to every device
that is connected to the internet so that when
information is transferred across the net it does go
to the wrong place so your data packet is assigned
your address this is important as private
information is shared through e- commerce.
P1
13. The Technology
Domain Names
The domain name is used in the web address to
direct you to the web site such as
www.facebook.com which is the domain name, if it
easy to spell users may remember these and go on
to it when accessing the net.
Multiple Domain Registration
Many websites may have a few domain names so
that if the user spells it wrong they will be directed
to the correct site, this makes it easier for user as
they won’t have to remember the correct spelling.
P1
14. The Technology
Ports & Protocols
For a computer on a network it has its own port number
allowing the information sent only to that computer which is
connected to the port, also if the protocols do not match
which is like an agreement the information shared between
the site and the computer can not be understood.
Browser & Platform Compatibility
There are many different browser that can be used just as
there are platforms i.e. Google, Firefox, Opera, Explorer.
Platform types, Mac, PC, Mobile phone, I pad.
For the customer to reach the site of every possible
platform the site must be made to match the lowest
possible Spec of hardware so that some customers are not
excluded from the web page.
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15. Promotion
Paying to be prominent in search engine results
When a customer types in their search name a list of
relevant sites come up relating to the search you have
entered meaning any site that has something to do with
that search, sometimes searches come up that are not as
relevant as you may think this is because these sites have
had to pay search engines to be at the top of the rankings
and listings.
These adds are there
depending on the terms of
Google search.
M1
16. Promotion
Newsgroups & Forums
Forms discuss certain topics between many
people in post form, these are called
discussion boards or a more modern way of
having group discussions is on Facebook
where you can create groups.
M1
17. Promotion
Banners & Pop-ups
Banners and pop ups appear when going on
certain sites like YouTube, where when you click on
a video an advertisement will play before you the
video you want to watch plays this also appears as
separate windows. Many anti-virus software come
with pop up blocks so you do not get viruses
through the pop ups.
M1
18. Promotion
Spam
Spam is emails that come in bulk that send as many emails out to every
email possible to reach a wider audience, these emails come through to your
Hotmail and your Hotmail comes with a filter that pushes these emails into
your junk mail, there are a number of ways they can get hold of your email to
spam your account constantly.
As you can see they
have put certain
mail as junk
because it came
through as spam.
M1
19. Promotion
Ensuring An Effective User Interface
Making your site plain and simple will pull
more people in to staying on your site and
coming back but if you make it hard to
navigate and difficult to purchase goods they
may tell others that your site is no good so as
long as your customers can use your site with
ease will attract a wider audience.
Amazon for example is fairly easy
to use, once somebody has found
the item they want it gives you
straight forward steps to purchase
the item.
M1
20. Promotion
Establishing Customer loyalty in a virtual environment
Some sites send you direct emails of offers to keep you
interested in the site also calling you by your name when
they the email suggesting the email is for only you.
Using a point system where if you gain some many you
get a certain amount of your next purchase etc.
Also welcoming you onto the site by your name.
M1
21. Promotion
Site Names
Make a name that will be easy to remember and is very
easy to spell so more people are going to remember your
site first, such as Facebook easy to spell and straight
forward.
M1
22. Promotion
Direct Marketing
This is designed to direct the marketing at certain people such as
the people that sign up to news letters, offers or updates. These
costumers have chosen to be a part of this so they are genuine
costumers so they will receive constant messages about there
site.
Amazon will send out
suggestions to my email
as I am constantly
purchasing items from
that site.
M1
23. Security
Hacking
There are many different types of hacking such
as breaking into the site/ database to take
information that doesn’t belong to the person
hacking the database there a number of ways
they can obtain this information.
Hacking Prevention
You can prevent this by having a
configured firewall or alerts setup that
allow the database/site to make it hard
for the hacker to get in.
P3, M2
24. Security
Viruses
There are different types of viruses that
can acquire information on your
database or simply destroy any files in
its path such as worms which eat the
files away, sooner or later there will be
no files left to operate. This could also
bring your site or database to a halt.
Virus Prevention
There a few types of virus protection
you can take into account such as
AVG, Norton etc. These block any
incoming packets from the internet
that are showing them self's as
original files but are viruses.
P3, M2
25. Security
ID Theft
This is where information about other
people is obtained and used for there
own benefit such as bank details etc.
this info can be obtained by having a
weak password etc.
ID Theft Protection
You can protect yourself against this
by keeping strong passwords
configured firewall also make sure
your password has different types
numbers and letters in it.
P3, M2
26. Security
Strong Passwords
• Ensure your password contains special
characters
• At least over 6 characters long
• Contain numbers in an odd order to make it
more difficult to guess
• Each account used should have a unique
password
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