For customers not standing in queues or being placed on hold forever is one f the most popular conveniences of commerce, while lack of personal touch can be a disadvantage. Though there is nothing about commerce that makes it intrinsically oriented to discounts, the way online business has evolved has led to lowered prices online. This is an advantage for the buyer, but a disadvantage for the seller. Easier to compare prices and access to stores located remotely, no need for a physical store as well as lots of choices are further advantages that the firm can gain from BIB e-commerce.
On the other hand, inability to experience the product before purchase and need for n internet access device is two drawbacks of using this technology. Besides that Customers need to be confident and trust the provider of payment method. Customers need secure access all the time. In addition to it, protection to data is also essential. Unless the transaction can provide it, we should refuse for e-commerce. The disadvantages are not impossible to avoid. If we have enough management on risks, we may really get a lot more advantages from e-commerce. The advantages are surely teasing, and we will enjoy such easy transaction these days.
Enjoy more your internet browsing ND enjoy more your e-commerce activities Introduction and Background A review of articles on e-commerce and electronic data interchange (DE) in recent academic and trade journals (1996-2002) yielded many suggested measures of e-commerce success. IS and marketing journals were included in the search for e-commerce success metrics. Most of the articles were conceptual in nature, but some were empirical and, therefore, attempted to operational e-commerce success metrics. Some of the proposed measures are IS measurement staples, whereas others have been newly developed for the e-commerce environment.
For several years the internet has been more and more used as a trade platform for all kind of goods and in general internet shopping becomes increasingly popular. In practice, internet trade differs considerably from conventional trade. It is more virtual and anonymous. Some homepages are visited by persons or network members searching for certain materials and are more or less hidden to other internet users. In many cases the access to websites is restricted to registered customers, making more investigations by monitoring authorities more difficult.
This is a new situation and requires new strategies and methods to heck compliance with materials regulation. Some further aspects of internet trade are: The clientele cannot be considered national or regional; In case of sales via market places (like eBay) the identity of the vendor is not known; In addition to the vendor and customer a third party IS providing the internet platform, being responsible for the basic conditions, but almost not involved in the transactions; Companies and their products mostly cannot be inspected instantly because at first the vendors identity has to be determined.
Thus, taking rapid action is nearly impossible for the authorities; In most cases a spatial distance exists between the vendor and customer. Therefore particular legal requirements are difficult to apply and control, e. G. Verifying the proof of the legal age or the identity of the customer; (Reread L. & ought G. , CLEAN project E-commerce, 2009, p. 2) There is a lot of misinformation out there about what works in BIB marketing much of it spread by highly paid consultants with a new technology or channel to hype and an axe to grind.
With that in mind, here are five of the biggest lies being told about BIB marketing today and the truth about each: The myth: The Web as made print obsolete. The reality: Many people still prefer to read words on paper instead of on a screen, and many marketers are still heavy users of catalogs, brochures, and other print collateral The myth: Social networks are the most important and most widely used BIB marketing tools of our time, and have overtaken Websites in importance. The reality: Millions Of people have embraced social networks and millions of others don’t use them at all.
Yes, social networking – along with mobile marketing and SEE- is clearly one of the “hot” marketing methods, gaining a disproportionate share of media attention. But the truth is that many of your consumers don’t participate in the social sites, and have to be reached through conventional websites and other traditional BIB marketing methods. The myth: Direct mail is dead as a BIB lead generation tool. The reality: Direct mail is still very much alive. Despite the prediction that e-mail would make snail mail obsolete, the Winterer Group reports that spending for direct mail marketing in the U.
S. Was $58. 4 billion in 2007, a five percent increase over the previous year. The myth: E-mail marketing is an old-school online marketing channel and, with SPAM filters and firewalls, doesn’t work anymore. The reality: It does, despite the challenges of e-mail deliberatively. Marketing theorists dismiss e-mail marketing as outmoded push or interruption technology. Their belief is that prospects shun communications sent to them, and instead respond only to communications they initiate and control, like social media, blobs, and online search.
But research shows that people still pay attention and respond to their e-mail. A study at Lighthouse University found that users take action on average in less than two minutes upon being notified that a new e-mail is tatting for them. A good strategy is to build your own opt-in e-list, typically by offering a free e- newsletter subscription or other valuable free content. According to a report by Forrester Research, opt-in lists (such as e-newsletter subscriber lists) retain 49 percent of their subscribers over time more than double the retention rate of compiled or harvested e-lists.
Myth: White papers are old hat a transparent marketing ploy masquerading as real content that today’s sophisticated BIB prospects see right through. Reality: Free content and that includes white papers has never been a more effective marketing LOL than it is today (Linen G. L. & Crewel R. , Handbook of BIB marketing, 201 3, p. 34-38). The main Problem You are the UP of Procurement in a building materials firm and your competitors have commenced to purchase their raw materials at lower cost through using e-commerce (BIB).
This is causing pressure on your profit margins. Your CEO has requested you to provide the board with a report on the current trend of e-commerce and the advantages and disadvantages of using e-commerce to improve your competitiveness. Describe the type of information that would need to be collected to allow a thorough analysis and decision to be made. Clearly explain the issues, the risks, the advantages and disadvantages. The Benefits of Adopting BIB E-Commerce Today’s e-commerce platforms enable companies to improve service, grow the business, and reduce costs.
Although specific industries will benefit in somewhat different ways, most BIB organizations achieve the following benefits from adopting a modern BIB e-commerce platform: Improve operational efficiency and lower costs. Strengthen relationships with existing customers. Grow the business. Deliver the right information to partners, distributors and resellers, and customers. Provide a familiar, BBC-like customer experience. Increase Operational Efficiency and Reduce Costs. BIB e-commerce helps improve efficiency and reduce costs by automating previously manual, labor intensive processes, and providing customer self- service options.
The online channel automates a wide variety of processes that include approving buyer registration, delivering buyer-specific online catalogs, displaying contract-based pricing, and automatically enforcing contractual terms and conditions. By offloading some tasks to customers and eliminating unnecessary or repetitive tasks, sellers gain the option to reduce discounted to lower back-office support costs, grow revenue without adding headcount, or refocus workers to higher-value-added activities.
In addition, the Online channel reduces communications Costs for phone and faxing services, while more automation minimizes errors and rework. Providing an excellent customer experience plays a key role in customer retention. As Manufacturing Insights explains, “Fast communication of products, soaring buyer expectations and weak demand are calling for manufacturers to find ways to provide existing customers with additional value. These trends are increasing the focus on enhancing the customer experience during the purchase process to add value and improve customer retention. Modern BIB e-commerce platforms help BIB companies improve the customer experience by making it easier for customers to do business with them, improving their responsiveness and service, and helping build their brand. BIB e-commerce makes it easier for companies to implement streamlined purchasing, payment, and inventory processes while providing unique product assortment, pricing, and business flows. A BIB e-commerce platform an also dramatically improve and tailor the user experience by allowing vendors to provide rich pages, targeted dynamic contents, and sophisticated search capabilities.
If a customer needs assistance during or after the purchase, e-commerce platforms help companies respond quickly and effectively through self-service, real-time chat, or voice services. Knowledge management capabilities make it easy for customers or agents to quickly find information about active cases so they can manage incidents with utmost efficiency. Organizations can resolve issues quickly, and recognize each customer as an individual to create a stronger, more profitable customer relationship.
By using an online channel to strengthen relationships with customers, BIB companies have the opportunity to directly influence customers and establish a brand preference. Integration between e- commerce and social media such as communities can reinforce the brand and increase influence with end users. BIB companies can also gather information about customers in order to better understand and meet their requirements. Grow the Business. The top goal for many BIB companies has shifted from cutting costs to growing revenue.
Indeed, a recent survey by BIB Online found that 61 percent of respondents listed customer acquisition as their top goal. Yet many organizations find that their ability to reach new customers or enter new markets is limited because of the high costs of maintaining and supporting a direct sales force. BIB e-commerce helps bridge the gap between the desire to grow the business and budget constraints. E-commerce supports business growth by helping companies. E commerce solutions can streamline the product introduction cycle.
For example, companies can publish online product catalogs faster by eliminating he time-consuming process of printing hard copies. Companies can also announce products online, rather than having to travel to multiple cities for a product roll-out. Using e-commerce educes risks and costs of entering new markets. Opening a new sales channel over the internet allows some BIB us pliers to market their products to new geographies or industries at a fraction of the cost of establishing a direct presence in the targeted market. B leverages the existing sales force. Even when customers are serviced directly, account teams are often unable to uncover all of the potential opportunities in the account. E-commerce allows the sales force to offload routine activities so they can focus on building relationships, uncovering new opportunities, and nurturing complex deals that require more personal interaction. By analyzing the information that BIB e-commerce solutions provide, suppliers can more easily determine which products or services are likely to appeal to which customers.
They can then use cross-selling or up- selling techniques, in addition to automated recommendation solutions, to direct buyers to additional products they might want or need. Many customers prefer not to interact with a sales representative. Companies need a multiplicand approach that includes e-commerce and a standard sales force to allow customers to use their preferred channel. Moreover, a good e- commerce site brings in additional customers regardless of whether those customers want to transact solely in the online channel. For example, customers may research a solution online before discussing it with the sales team.
An e-commerce platform enables new business models. For example, manufacturers can employ an e-commerce platform to sell directly to customers, while distributors can add value by providing convenient, rationalized content or other services to the buyer’s desktop (Reinventing the Web Channel to Maximize BIB Sales and Customer Satisfaction, march 201 1, p. 3-6). The most important advantage of applying BIB for procurement Of building materials can be summarized as below: 1 . Cost Effective The entire financial transactions will eventually become electronic, so sooner conversion is going to be lower on cost.
It makes every transaction through e- commerce payment a lot cheaper. 2. Higher Margin E-commerce also enables us to move better with higher margin for more business safety. Higher margin also means business with more control as well as flexibility. You can also save time from the e-commerce. 3. Better Productivity Productivity here means productivity for both companies and customers. People like to find answers online because it is faster and cheaper, and it costs a lot cheaper expense as well for the company. 4.
Quick Comparison E-commerce also enables you to compare price among several providers. In the end, it leads you to smart shopping. People can save more money while they shop. 5. Economy Benefit E-commerce allows us to make transaction without any needs on stores, infrastructure investment, and other common things we find. Companies only need well built website and customer service. The Disadvantages 1 . Security Customers need to be confident and trust the provider of payment method. Sometimes, We can be tricked. Examine on integrity and reputation Of the web stores before you decide to buy. . Scalability of System A company definitely needs well developed website to support numbers of customers at a time. If your web destination is not well enough, you better forget it. 3. Integrity on Data and System Customers need secure access all the time. In addition to it, protection to data s also essential. Unless the transaction can provide it, we should refuse for e commerce. 4. Products People people who prefer and focus on product will not buy online. They will want to feel, try, and sit on their new couch and bed. 5.
Customer Service and Relation Problem They sometimes forget how essential to build loyal relationship with customers. Without loyalty from customers, they will not survive the business. The Internet has dramatically affected the conduct of business. Markets, industries, and businesses are being transformed. The new economy demands the exploitation of new models and paradigms. Information technology (IT) now drives businesses and markets. In the new economy, the Internet has become a powerful and ubiquitous communication mechanism to facilitate the consummation and processing of business transactions.
This has led to substantial changes in traditional industries and companies. Firms are attempting to understand and measure the impact of IT so that they can make intelligent decisions regarding crucial IT investments. The new net benefits construct immediately raises three issues that must be addressed: What qualifies as a “benefit”? For whom? And at what level of analysis? We eave come to prefer “net benefits” because the original term, “impacts,” may be positive or negative, thus possibly leading to confusion as to whether the results are good or bad.
In addition, the inclusion of “net” in “net benefits” is important, because no outcome is wholly positive and without any negative consequences. Thus, “net benefits” is probably the most accurate descriptor of the final success variable. The second issue of concern is benefits for whom?the designer, the sponsor, the user, or others? Different actors or players may have different views of what constitutes a benefit. Thus, it is impossible to define net benefits without first defining the context or frame of reference. Finally, the level of analysis must be addressed.
Are the benefits to be measured from the individual’s perspective, the employer’s, or that of the industry or of the nation? The challenge for the researcher is to clean rely and carefully define the stakeholders and the context in which net benefits are to be measured. The six success dimensions can be applied to the e- commerce environment as follows: 1 . System quality, in the Internet environment, measures the desired characteristics of an e-commerce system. Usability, availability, reliability, adaptability, and response time (e. G. Download time) are examples of qualities that are valued by users of an e- commerce system. 2. Information quality captures the e-commerce content issue. Web content should be personalized, complete, relevant, easy to understand, and secure if prospective buyers or suppliers are to initiate transactions via the Internet and return to a site on a regular basis. 3. Service quality, the overall support delivered by the service provider, applies regardless of whether the support is delivered by the IS department or a new organizational unit or is outsourced to an Internet service provider.
This dimension is more important in an commerce environment than ever before, because the users are now customers rather than employees, and therefore, poor user support will translate into lost customers and lost sales. 4. Usage measures everything from a visit to a Web site and navigation within the site to information retrieval and execution of a transaction. 5. User satisfaction is an important means of measuring customers’ opinions of an e- commerce system and should cover the entire customer experience cycle room information retrieval through purchase, payment, receipt, and service. 6.
Net benefits are the most important SUccess measures, because they capture the balance of the positive and negative impacts of e-commerce on customers, suppliers, employees, organizations, markets, industries, economies, and even society as a whole. (William H. Delano and Ephraim R. McLean, Measuring e-Commerce Success: Applying the Delano & McLean Information Systems Success Model, international journal of electronic commerce, Volvo. 9, issue 1, 2004) Conclusion The multidimensional and interdependent nature Of e-commerce SUCCeSS squires careful attention to the definition and measurement of every aspect of this dependent variable.
It is important to measure the possible interactions among the success dimensions in order to isolate the effects of independent variables on one or more of them. Cause can too easily be confused with effect. Furthermore, despite the multidimensional and contingent nature of e-commerce success, an attempt should be made to significantly reduce the number of different measures used to measure success, so that research results can be compared and findings validated. Finally, e-commerce studies should include net benefits measures and not be intent to collect only surrogate measures, such as Web site hits (I. E. , use).
Such benefits can be measured on at least four levels: individual, group, organizational, and industry.