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DIGITAL BUSINESS

UNIT 2
MOBILE COMMERCE, SOCIAL
COMMERCE AND IOT
Prof. Sujeet Subhash Tambe
B.E(Chemical), M.M.S(Operations), UGC-NET(Management), SET(Management), Ph.D (Pursuing)

Navsahyadri Group of Institutes,


Faculty of Management – MBA
Savitribai Phule Pune University
Prof. Sujeet S. Tambe 1
Mobile Commerce
➢Mobile commerce is referred as the branch of e-commerce.
➢In m-commerce, mobile communication devices are used to execute transaction.
➢The main difference between e-commerce and m-commerce is that in e-commerce,
transaction is done with the help of electronic devices like computers or laptops using
Internet but in m-commerce, transaction is done through handheld devices like
mobiles or PDA(Personal Digital Assistant)
➢The use of m-commerce at mobile devices does not indicate that it is only limited to
access information only, but it can provide more complicated services than e-
commerce.

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Attributes/Characteristics of M-Commerce
The M Commerce is not only feasible to individual buyers but is also used for small and
large scale business purpose. Different attributes/ characteristic of M-Commerce are:
➢High processing Speed
➢Reduction in Business cost
➢Requires Less Maintenance

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Infrastructure of M-Commerce

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Benefits of M-Commerce
➢Highly Reachable
➢More convenient
➢Customized Service
➢Faster Communication and Quick Access

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Application of M-Commerce
➢Mobile Ticketing
➢Mobile Coupons, Vouchers, and Loyalty Cards
➢Content Buying and Delivery
➢Location-Based Services
➢Mobile Information Services
➢Mobile Banking
➢Mobile Shopping and Purchasing
➢Mobile Marketing and Advertising

Prof. Sujeet S. Tambe 6


M-Commerce versus E-Commerce
M-Commerce E-Commerce
History From the 1990s From the 1970s

mCommerce, or Mobile Commerce, eCommerce, or Electronic Commerce,


refers to the process of buying and selling refers to the activities of buying and
Definition products and services with the use of selling products and services with the use
internet/cellular data via wireless of electronic systems such as the
handheld devices. internet.

Simply put, both of these definitions


Similarity
refer to online transactions.

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eCommerce
MCommerce
Handheld devices such as smartphones and
Devices used Computers, laptops, …
tablets
Connection-dependency Mandatory (*) Mandatory (*)
With push notifications in place, mobile
Reachability commerce can reach a wider range of users Limited
even when they’re on the go.

High: Users can make transactions everywhere Low: Users can make transactions on their
Mobility
as long as they are connected to the Internet. computers and laptops with limited mobility
User Experience on mobile devices is optimized
Harder to navigate in the desktop websites of
Ease of Use for as little taps-on-screen per transaction as
eCommerce stores.
possible
Platform Web stores and native apps Web stores
Caller’s rate, mobile banking or user’s credit
Payment Gateway Credit Cards
card
Location-tracking capability Yes No
Rely on the web security combined with built-
Security Rely mainly on the web security
in mobile security features
Prof. Sujeet S. Tambe 8
Mobile Marketing: Shopping and Advertising
Mobile Marketing is defined as a way of marketing products and services using a mobile
device. This involves communicating with the customers by sending them simple text
message, enabling them to visit mobile website or familiarising them with new marketing
campaign.
Mobile marketing can be viewed from two perspectives:
Firstly, it is the most common means of marketing a product via mobile phones using SMS
marketing, and
Secondly, it can be defined as marketing of products using movable technologies like
moving billboards or technology based movable road shows.

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Types of Mobile Marketing
➢SMS/MMS/VMS
➢Mobile Application
➢Mobile Games
➢Mobile Banner Advertising
➢Mobile Local Search
➢Mobile Paid Search

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Mobile Shopping
When Smartphone or tablet is used for the online shopping, it results in a convenient
experience.
By using mobile shopping, different types of product can be chosen and bought by the
customers with help of their mobile devices such as tablets, smartphone or laptops. A
number of mobile payment options can be utilized for doing payment for example, SMS
payment.
On the users mobile, the retailers send the discount coupons and other attractive offers
so that it can be redeemed during the buying. In order to inspire the customers to buy
the ticket of the shows, different location based services for example, the information
about the different programs or show to be performed in the nearby location are sent to
the mobile devices.

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Mobile Advertising
The advertising which is performed with the help of mobile (wireless) phones or other
mobile equipment is termed as mobile advertising.
1) Display Advertising
2) Search Advertising
3) Video Advertising
4) Mobile Ad Tools

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Social Commerce
Social commerce is a process that involves buying of product and services directly from
social media sites and platforms. While using social commerce, the buyers do not need
to click on a link on social media platforms to be redirected to third party websites to buy
a specific product or service.

Social Media + E-Commerce = Social Commerce

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Features of Social Commerce
1. As against traditional e-commerce, in the world of Social Commerce, buyers make their decisions to buy
or try a product or service, not based just on seller description, but rather based on social reviews by other
users

2. Buyers of products and services actively participate in providing feedback and recommendations to
friends and others in the community. As such, it becomes very important that the seller closely watches
feedback and correct any flaws rapidly so as to cause a change in any negative feedback

3. Users of a Social Hub actively share what they like (and not like), mostly with just a click of the mouse,
across various social bookmark locations and social networks. These include Twitter, Facebook, Delicious,
Stumble Upon, Delicious etc. Social Commerce is Viral Commerce

4. Increasingly, Social Commerce is also tuned with Mobile Commerce. As such, offers are shared with
Mobile QR codes and RSS or Atom feeds making it a snap to share offers, likes and dislikes.

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Features of Social Commerce
5. The user is presented not just with the offer from one Seller, but often with related offers from
other Sellers, so the potential Buyer can make a conscious choice looking not just at one offer,
but a portfolio of all available offers, complete with reviews, recommendations and ratings.

6. Pictures and Videos are an inherent part of the offer, thus making the process of
showcasing what the offer is, complete not just with text, but with images and videos. Such
images and videos are shared across image networks and video networks, such as YouTube,
thus facilitating additional viral distribution with ease

7. Everything a potential buyer needs to know, i.e. what the offer is, how long the offer will
take to deliver, what exactly is needed from the buyer in case any, what payment methods
are allowed, what will be delivered etc. is all evident within the description. The Buyer typically
need not go anywhere else or click any other links to get a full picture to make a conscious
decision.

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Differences between E-commerce and Social
Commerce
Differences between E-commerce and Social Commerce
E-commerce Social Commerce

Trading scope Global trading scope Limited trading scope

Monitoring Doesn't need daily monitoring Needs daily monitoring

Communication One-way communication Two-way communication

Time More time-consuming Less time-consuming

Customer Less comprehensive customer


More comprehensive customer engagement
Engagement engagement

Trust More trustworthy Less trustworthy

Offered by Amazon, Flipkart, Alibaba, etc. Facebook, Instagram, Pinterest, etc.

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Social Business
Social business was defined by Nobel Peace Prize laureate Professor Muhammad Yunus
and is described in his books.

In these books, Yunus defined a social business as a business:

◦ Created and designed to address a social problem


◦ A non-loss, non-dividend company, i.e.
*It is financially self-sustainable and
*Profits realized by the business are reinvested in the business itself (or used to
start other social businesses), with the aim of increasing social impact, for
example expanding the company’s reach, improving the products or services or
in other ways subsidizing the social mission.

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Social Enterprise
The concept of a social enterprise was developed in the UK in the late 1970s to counter
the traditional commercial enterprise. Social enterprises exist at the intersection of the
private and volunteer sectors. They seek to balance activities that provide financial
benefits with social goals, such as providing housing to low-income families or job
training.
A social enterprise or social business is defined as a business that has specific social
objectives that serve its primary purpose. Social enterprises seek to maximize profits while
maximizing benefits to society and the environment. Their profits are principally used to
fund social programs.

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Social Enterprise
◦ A social enterprise is a business with social objectives that serve its primary purpose.
◦ Maximizing profits is not the primary goal of a social enterprise as is with a traditional
business.
◦ Unlike a charity, social enterprises pursue endeavors that generate revenues, which
fund their social causes.
◦ Regarding employment, preference is given to job-seekers from at-risk communities.

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Social Business Network
A social network is a form of social structure comprised of a set of social actors such as
individuals, organisations and collaboration among social actors. A social network
provides opportunity to an e commerce businessperson to promote business and sell
products using e commerce platform.
Professional business relationship between groups of persons are referred as a business
network. The relationships among professionals and their colleagues, buyers and
suppliers, sellers and buyers all represent a business network.

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Platforms for Social Networking
◦ Snapchat.com
◦ WhatsApp.com
◦ Tranzactive.com
◦ Droid Translator (tiwinnovations.com)
◦ Viber.com, line.me/en, etc
◦ Instagrams.com
◦ Hshtags.com

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Social Media
Social media is basically an interactive Internet-mediated platform. It is mainly used for
creation and sharing of information, ideas and other forms of expression through
networks and virtual communities.
Social media gives users quick and interactive access to different types of content.
◦ Personal information
◦ Documents
◦ Videos
◦ Photos and many more

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Example of Social Media
◦ Facebook
◦ Twitter
◦ Google+
◦ Wikipedia
◦ LinkedIn
◦ Reddit
◦ Pinterest

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Social Media Marketing for
Businesses
Social media marketing, or SMM, is a form of internet marketing that involves creating
and sharing content on social media networks in order to achieve your marketing and
branding goals. Social media marketing includes activities like posting text and image
updates, videos, and and other content that drives audience engagement, as well as
paid social media advertising.

Some questions to ask when defining your social media marketing goals:
◦ What are you hoping to achieve through social media marketing?
◦ Who is your target audience?
◦ Where would your target audience hang out and how would they use social media?
◦ What message do you want to send to your audience with social media marketing?

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Using Facebook for Social Media Marketing
Facebook’s casual, friendly environment requires an active social media marketing
strategy. Start by creating a Facebook Business Fan Page. You will want to pay careful
attention to layout, as the visual component is a key aspect of the Facebook
experience.
Facebook is a place people go to relax and chat with friends, so keep your tone light
and friendly. And remember, organic reach on Facebook can be extremely limited, so
consider a cost-effective Facebook ad strategy, which can have a big impact on your
organic Facebook presence as well!

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Enterprise 2.0
Enterprise 2.0 is the strategic integration of Web 2.0 technologies into an enterprise's
intranet, extranet and business processes. Enterprise 2.0 implementations generally use a
combination of social software and collaborative technologies like blogs, RSS, social
bookmarking, social networking and wikis. Most enterprise 2.0 technologies, whether
homegrown, free or purchased, emphasize employee, partner and consumer
collaboration. Such technologies may be in-house or Web-based. Companies using
YouTube for vlogging or a private Facebook group as a modified intranet, for instance,
are implementing a form of Enterprise 2.0.
The term "Enterprise 2.0" was first coined in March of 2006 by Harvard Business School
Associate Professor Andrew McAfee in an MIT Sloan Management Review article entitled
"Enterprise 2.0: The Dawn of Emergent Collaboration." McAfee offered his first definition
on May 20 of that year, only to revise it seven days later after comments and suggestions
from the blogosphere extended its meaning. McAfee specifically excluded Wikipedia,
YouTube, Flickr, MySpace and similar programs, arguing that those services were
intended for individuals, not companies.

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Entrepreneur Networks
Social organization that offer various resources to start or improve entrepreneurial project
are termed as entrepreneurial networks. There are some business oriented public
networks that focus on entrepreneurial activities.
The 42 social networks for entrepreneurs have been listed by Gottlieb. Some of them
are:-
1) Startup Nation (StartupNation.com)
2) Entrepreneur Connect (econnect.entrepreneur.com)
3) Biznik (biznik.com)
4) Efactor (efactor.com)
5) Inspiration Station (inspiration.entre-preneur.com)

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Enterprise Social Networks
Enterprise social networking focuses on the use of online social networks or social
relations among people who share business interests and/or activities.
Enterprise social networking is often a facility of enterprise social software (regarded as a
primary component of Enterprise 2.0), which is essentially social software used in
"enterprise" (business/commercial) contexts.
It encompasses modifications to corporate intranets (referred to as social intranets) and
other classic software platforms used by large companies to organize their
communication, collaboration and other aspects of their intranets.
Enterprise social networking is also generally thought to include the use of a standard
external social networking service to generate visibility for an enterprise.

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Players in the Ecosystem
In digital business ecosystem, several players are required to co-create, co-convert and
co-capture value. The various players of a digital ecosystem are
◦ customer,
◦ competitors,
◦ complementors and
◦ community.

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Social Collaboration
Social collaboration encompasses social network and social media in a business or an
enterprise for getting work done.
Social Collaboration is the process that support multiple people and group to interact in
order to share information to achieve a common goal.
Social collaboration is supported by:
1) Wikis, blog and micro-blogging application like Twitter
2) Collaborative communities like forums and discussion groups.
3) Web 2.0 vintage technologies
4) Crowd sourcing
5) Integrating with public networks e.g. LinkedIn
6) Other tools like Yammer.

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INTERNET OF THINGS(IOT)
The Internet of Things is mainly a network which is made of different devices, vehicle
home appliances and different other items which are combined with the electronics,
sensors, software, actuators and connectivity which facilitate the connection and
exchange of data, providing various chances fir greater direct integration of the external
world with the computer oriented system and it helps in attaining greater efficiency,
economic advantage and relatively lesser human efforts.

Internet of things is mainly the internet consists of the following three things:
1) People to people
2) People to machine/things
3) Things/ machine to things/ machine, communicating using internet

Prof. Sujeet S. Tambe 31


Application of the Internet of Things
(IoT)
◦ Smart Home and Appliances
◦ Smart Cities
◦ Smart Car
◦ Wearable Computing and Smart Gadgets

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Smart Home and Appliances
Using IoT, one can control or automate the lights, air condition, room heater, ventilation
and security system. The remote monitoring and automatic operation of home
appliance such as washer/dryer, ovens and refrigerators are facilitated by IoT.

Several multinational companies like Philips, Haier and Belkin are also offering smart
home solutions and application to their consumers.

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Smart Cities
Smart City as a concept is fast gaining popularity.
Smart city is a big innovation and a leap forward to make the cities more comfortable for
living.
The traffic issues, noise reduction, controlling crime and air pollution issue can be solved
with the help of IoT.

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Smart Car
The vehicle which are connected to the internet can provide access to the other people
who are moving in the same route or different route to get relevant information and be
safe.
Renowned brands like Google, BMW, Apple, and Tesla are putting in efforts to bring the
new revolution into the automobile industry.

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Wearable Computing and Smart
Gadget
With the help of watches, the people can have more data about their workouts,
schedules appointment and meeting, important days to remember and so on.

Wearables or wearable devices are in high demand across the globe and brands like
Google and Samsung are investing heavily into these devices.

Prof. Sujeet S. Tambe 36


THANK YOU
Prof. Sujeet S. Tambe 37

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