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WHY E-COMMERCE? P2 Jaimie Walsh
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Page 1: Unit8 a1 jaimie walsh

WHY E

-COM

MER

CE?

P2

Jaimie Walsh

Page 2: Unit8 a1 jaimie walsh

BENEFITS OF E-COMMERCE

Global Marketplace

• The global market place is where we sell products to other countries overseas, e.g. Australia, USA. Therefore we gain a bigger income of money, because we are not just selling our products in one place we are selling them in other places too.

P2

Jaimie Walsh

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BENEFITS OF E-COMMERCE

24/7 Trading

P2

• There are no staff used online to sell products, therefore we are able to sell our products at any times, day or night, in different time zones around the world.

Jaimie Walsh

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BENEFITS OF E-COMMERCE

Low Start -up & Running Costs

P2

• Setting up a website online to sell products is relatively cheaper than starting up and running a shop on the street. This means it has a low start up cost and has running costs.

Jaimie Walsh

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BENEFITS OF E-COMMERCE

Search Facilities

P2

Most sites where products are sold have a search facility at the top of the page, this makes it much more easier to find the product you want to buy.

Jaimie Walsh

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BENEFITS OF E-COMMERCE

Fluid Pricing

P2

• It is where prices of products are increased or decreased due to the circumstances. Alternatively when selling products like holidays as the time draws closer, the prices could go down to ensure all the places are sold.

Jaimie Walsh

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WEAKNESSES OF E-COMMERCE & HOW TO ADDRESS THIS

Consumer Trust

P2

Jaimie Walsh

• Sometimes e-commerce do not trust their buyers when they are buying something online.

• They sometimes think that they will try and do something to their orders or they will try and mess up their website.

• They also think that their buyers will try and buy products for prices that are lower than the usual price. This is because the people who work on the websites are not reliable so they cannot trust the consumers.

• They could also jeopardise the other sales of other products to other customers.• It could give them a bad reputation which would .make sales go down creating a

lower income of money.

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WEAKNESSES OF E-COMMERCE& HOW TO ADDRESS THIS

Lack of Human Contact

P2

Jaimie Walsh

• When consumers go to buy something on the website they do not tend to leave many contact details.

• This creates a really big problem because if they want to contact them because they have an issue with the product they have sold. they wont be able to.

• This could lead to a customer complaining because their product has not been delivered this could create a bad reputation and cause less people to shop at the website.

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WEAKNESSES OF E-COMMERCE& HOW TO ADDRESS THIS

Product Description Problems

P2

• There could be faulty descriptions on one of the products the company are selling on the website.

• This could be a spelling mistake or the seller has put the wrong description on the wrong product.

• This could cause confusion to the buyer because they would think they are purchasing the wrong product when they are realty not.

• This is because people don't take enough care when they are writing their descriptions.

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WEAKNESSES OF E-COMMERCE& HOW TO ADDRESS THIS

Security issues

P2

• This occurs when you are typing in your passwords for the website and things on the website.

• For example when you type in your credit card password and you know you are typing it right, there may be a problem where it says you are typing it wrong when you really are not.

• This could also cause confusion for the customer because they will not know what is happening.

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THE TECHNOLOGYBrowsers

Web Authoring Software

P1

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THE TECHNOLOGY

Database systems

IP addresses

P1

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THE TECHNOLOGY

Domain Names

Multiple Domain Registration

P1

Jaimie Walsh

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THE TECHNOLOGY

Ports & Protocols

Browser & Platform Compatibility

P1

Jaimie Walsh

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PROMOTION

Paying to be prominent in search engine results

M1

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PROMOTION

Newsgroups & Forums

M1

Jaimie Walsh

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PROMOTION

Banners & Pop-ups

M1

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PROMOTION

Spam

M1

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PROMOTION

Ensuring An Effective User Interface

M1

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PROMOTION

Establishing Customer loyalty in a virtual environment

M1

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PROMOTION

Site Names

M1

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PROMOTION

Direct Marketing

M1

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SECURITY

Hacking

Hacking Prevention

P3, M2

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SECURITY

Viruses

Virus Prevention

P3, M2

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SECURITY

ID Theft

ID Theft Protection

P3, M2

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SECURITY

Strong Passwords

P3

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EVALUATE EXISTING E-COMMERCE

D1

Business Summary

Discuss: What business sells, Why they would have moved into e-commerce, Structure of website, Layout of products, Website security, Ease of use, Delivery options

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EVALUATE EXISTING E-COMMERCE

D1

Strengths

Weaknesses

Strengths- think about the benefits for this company when moving into e-commerce. Strengths of current site. Weaknesses- think about problems that may have had to overcome. Weaknesses of current site.