The Internet has created a new economic ecosystem, the eCommerce marketplace, and it has become the virtual main street of the world. Providing a quick and convenient way of exchanging goods and services both regionally and globally, eCommerce has boomed. Today, eCommerce has grown into a huge industry with US online retail generating $53,156B (ref:http://www.census.gov/retail) in revenues in 2012 with consumer-driven (B2C) online transactions impacting industries from travel services to consumer electronics, from books and media distribution to sports & fitness. With more than 70% of Americans using the Internet on a daily basis for private and/or business use and the rest of the world also beginning to catch on, e-commerce's global growth curve is not likely to taper off anytime soon.
The top-performing online product categories were: Digital Content & Subscriptions, Jewelry & Watches, Consumer Electronics, Toys & Hobbies, and Computer Software.
Pros of eCommerce
Product promotion - eCommerce enhances promotion of products and services through direct, information-rich, and interactive contact with customers.
New sales channel - eCommerce creates a new distribution channel for existing products. It facilitates direct reach of customers and the bi-directional nature of communication.
Direct savings - The cost of delivering information to customers over the Internet results in substantial savings to senders when compared with non electronic delivery. Major savings are also realized in delivering digitized products versus physical delivery.
Reduced cycle time - The delivery of digitized products and services can be reduced to seconds. Also, the administrative work related to physical delivery, especially across international borders, can be reduced significantly, cutting the cycle time by more than 90 percent.
Customer service - Customer service can be greatly enhanced by enabling customers to find detailed information online. Also, intelligent agents can answer standard e-mail questions in seconds and human experts' services can be expedited using help-desk software.
Corporate image - On the Web, newcomers can establish corporate images very quickly. Corporate image means trust, which is necessary for direct sales. Traditional companies such as Intel, Disney, Dell, and Cisco use their Web activities to affirm their corporate identity and brand image.
eCommerce has made a profound impact on society. People shop online in the privacy of their own homes without ever having to leave. This can force larger brick and mortar retailers to open an online division.eCommerce has changed the face of retail, services, and other things that make our economy work. Undoubtedly, it will continue to influence how companies sell and market their products, as well as how people choose to make purchases for many years to come.
Price and convenience continue to be the critical value drivers for eCommerce, unless those conditions change expect to see more channel-shifting to online and perhaps , even an acceleration in the current growth trend.
For more details about eCommerce portal development, please feel free to contact Prevaj Consultants at prevaj@prevajconsultants.com or call +91-8144760745.
