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E Com

This document discusses traditional commerce versus e-commerce and some key factors for a successful e-commerce site. Traditional commerce involves multiple steps using different applications, while e-commerce streamlines the process using a single digital application. A table compares the actions involved in traditional versus e-commerce. Some drawbacks of e-commerce are also noted. The document then lists several factors important for a successful e-commerce site, including an easy-to-use search function, simple checkout process, accessibility, traffic/visitors, trustworthiness, search engine optimization, and quality design.

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0% found this document useful (0 votes)
34 views

E Com

This document discusses traditional commerce versus e-commerce and some key factors for a successful e-commerce site. Traditional commerce involves multiple steps using different applications, while e-commerce streamlines the process using a single digital application. A table compares the actions involved in traditional versus e-commerce. Some drawbacks of e-commerce are also noted. The document then lists several factors important for a successful e-commerce site, including an easy-to-use search function, simple checkout process, accessibility, traffic/visitors, trustworthiness, search engine optimization, and quality design.

Uploaded by

Vishnu V Ram
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Definition

Traditional commerce
Traditional commerce means communicating (ordering, paying) with customer and supplier
using different applications in many time-consuming different steps .
E-commerce
E-commerce means processing of information using one digital application (EDI or Internet)
and  only a few quick steps .
Positioning
Positioning is a plan showing the situation and setting priorities of the company towards other
actors of the market.
Interactivity
Interactivity characterises a system when it is in a steady dynamic process of data interchange
between many equal and free access system users at the same time.

ifferences between traditional and e-commerce


In the following table you can see in table form the differences in media used for traditional and
e-commerce. Please notice that as far as e-commerce is concerned everything can be done
through a server:
Action Traditional commerce E-commerce
Acquire product information Magazines, flyers, online Web pages
catalogs
Request item Printed forms, letters E-mail
Check catalogs, prices Catalogs On-line catalogs
Check product availability and confirm Phone, fax E-mail
price  
Generate order Printed form E-mail, web pages
Send /Receive Order Fax, mail E-mail, EDI
Prioritize order On-line database
Check inventory at warehouse phone,fax On-line database, web
pages
Schedule delivery Printed form E-mail, On-line database
Generate invoice Printed form On-line database
Receive product Shipper Shipper (unless it is
electronic)
Confirm receipt Printed form E-mail
Send/Receive Invoice Mail E-mail, EDI
Schedule payment Printed form EDI, On-line database
Send /Receive Payment Mail EDI

Table from: ‘Understanding e-commerce’ – Microsoft press Electronic Commerce or e-


commerce is the trade of products and services by means of the Internet or other computer
networks. E-commerce follows the same basic principles as traditional commerce that is, buyers
and sellers come together to swap commodities for money. But rather than conducting business
in the traditional way in shopping stores or through mail order catalogs and telephone operators
-- in e-commerce buyers and sellers transact business over networked computers.

E-commerce offers buyers maximum convenience. They can visit the web sites of multiple
vendors round the clock a day to compare prices and make purchases, without having to leave
their homes or offices from around the globe. In some cases, consumers can immediately obtain
a product or service, such as an electronic book, a music file, or computer software, by
downloading it over the Internet.

For sellers, e-commerce offers a way to cut costs and expand their markets. They do not need to
build, staff, or maintain a physical store or print and distribute mail order catalogs. Automated
order tracking and billing systems cut additional labor costs, and if the product or service can be
downloaded then e-commerce firms have no distribution costs involved. Because the products
can be sold sell over the global Internet, sellers have the potential to market their products or
services globally and are not limited by the physical location of a store. Internet technologies
also permit sellers to track the interests and preferences of their customers with the customer's
permission and then use this information to build an ongoing relationship with the customer by
customizing products and services to meet the customer's needs.

E-commerce however has some drawbacks. Consumers are hesitant to buy some products online.
Online furniture businesses, for example, have failed for the most part because customers want to
test the comfort of an expensive item such as a sofa before they purchase it. Many people also
consider shopping a social experience. For instance, they may enjoy going to a store or a
shopping mall with friends or family, an experience that they cannot duplicate online.
Consumers also need to be reassured that credit card transactions are secure and that their
privacy is respected.

In the existence of these few disadvantages e-commerce has opened new horizons to versatile the
modern age. It puts away time, energies, labor and money.

In recent years as ecommerce sales have increased in comparison to traditional stores, many businesses
and individuals have turned to online shops in their attempts to run a business online. There are other
ways to make money online, such as affiliate programs and advertising sales, but selling products will
give you more control and the opportunity to make more money.

Site-Wide Search Engine


Visitors can't buy products that they cannot find. Obviously, it's critical that your ecommerce site helps
them to easily find what they want, and a good site search function is critical for this. Visitors should be
able to enter descriptive words or item numbers and get accurate, helpful results.

Simple Checkout
If you want to lose customers to your ecommerce site, one of the best ways to do it is to make the
checkout process long and complicated. The shorter and easier your checkout process is, the less
abandoned carts you will have. Work to streamline the checkout process so it involves as few steps as
possible.

Accessible
It's a simple concept, if someone cannot access a website they will not be able to buy anything from it.
Take the time to test your ecommerce site in all browsers and operating systems and test in a wide
variety of situations. You don't want to lose sales because someone simply can't use your site.

Visited
This is kind of obvious, but in order to make sales your site will need traffic/visitors. You may have a
great design and the coolest products out there, but if no one is seeing them it really doesn't matter.
Make sure that you have a marketing plan or someone who is dedicated to promoting the site because
simply putting it up will not draw enough visitors.

Trustworthy
There are a lot of scammers out there and unfortunately that means that those who are trustworthy
need to be able to prove it. Visitors will be hesitant to make a purchase online until they feel that they
can trust the merchant. A common practice is to include badges for any association, such as the Better
Business Bureau, as well as for payment methods like Verisign or PayPal.

Optimized for Search Engines


Online searches provide some of the highest quality of traffic that you can get to your site. People who
find your site through a search are looking for what you have to offer, so they are pretty likely to buy if
your site does a good job. Many ecommerce sites suffer from poor search engine optimization. This is a
huge topic that cannot be covered here, but if you are not familiar with SEO make sure that you consult
with a professional.

Quality Design
The looks of an ecommerce site are not as important as the functionality and the products that are
offered, but it should help to provide visitors with a pleasant overall experience on the site.

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