Transcript E-Commerce - WordPress.com

E-Commerce
Gerhard Steinke
Analyze types of E-commerce (B2B, B2C, C2C)
Understand payment concerns
Evaluate Website success factors
Web 2.0
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User-centered applications and social
media technologies
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User-generated content and communication
Highly interactive, social communities
Large audiences
Business model?
Examples: Twitter, YouTube, Instagram,
Wikipedia, Tumblr, Uber,…
Web content has grown exponentially
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>60 trillion unique URLs
E-Commerce Relationships
EFT
 B2C –business to consumers
 B2B –between organizations
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Extranet – private between organizations
C2C – sales between consumers
 G2C – government to citizen
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Business-to-Consumer (B2C)
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Advanced website technologies
 one-click ordering, personalization, etc.
 Use of search engines
E-tailer
Community provider (social network)
Content provider
Transaction broker
Market creator
Service provider
B2C Models: E-tailer
Online version of traditional retailer
 Revenue model: Sales
 Variations:
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Virtual merchant
 Bricks-and-clicks
 Catalog merchant
 Manufacturer-direct
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B2C Models: Community Provider
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Online environment (social network)
where people with similar interests can
transact, share content, communicate,…
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Examples: Facebook, LinkedIn, Twitter,
Pinterest
Revenue models:
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Typically hybrid, combining advertising,
subscriptions, sales,..
B2C Models: Content Provider
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Digital content on the Web:
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News, music, video, text, artwork
Revenue models:
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Use variety of models, including advertising,
subscription; sales of digital goods
B2C Models: Transaction Broker
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Process online transactions for
consumers
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Revenue model:
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Primary value proposition—saving time and money
Transaction fees
Industries using this model:
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Financial services
Travel services
Job placement services
B2C Models: Market Creator
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Create digital environment where buyers
and sellers can meet and transact
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Examples: Priceline, eBay
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Revenue model: Transaction fees, fees to merchants
for access
Sharing economy (mesh economy):
platforms that allow people to sell services
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Examples: Uber, Airbnb
B2C Models: Service Provider
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Online services
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Value proposition
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Example: Google—Google Maps, Gmail,
and so on
Valuable, convenient, time-saving, low-cost
alternatives to traditional service providers
Revenue models:
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Sales of services, subscription fees,
advertising, sales of marketing data
Retailing on the Web
Performance and
Service
Personalization
Socialization
Look and Feel
Factors
Affecting
Retailing on
the Web
Incentives
Security and
Reliability
Business-to-Business (B2B)
Businesses buy, sell and trade with
other businesses
 Types of marketplaces
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Sell side
 buy side
 distribution
 procurement
 auction
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Consumer-to-Consumer (C2C)
Consumer to consumer
 Auction-style
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Examples:
www.craigslist.com
 www.ebay.com
 www.amazon.com auctions
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E-Commerce: Benefits
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Cost efficiencies: lower costs
Operational efficiencies: transactions accuracies
Effectiveness: increasing reach, better
communications with customers, suppliers, etc.
Facilitates national/international expansion
Reach a target/niche audience
Avoid brick-and-mortar overhead
Access venture capital (not always easy)
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E-Commerce: Costs
Hardware, software and development
 Staffing and training
 Marketing and transaction costs
 Upgrades, hosting and access costs
 Logistics and security
 Alienating existing customers
 Frustration and failures
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E-commerce Process Components
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Access Control and Security – secure login
Profiling and Personalizing
Search Management
Content Management
Catalog Management
Payment
Workflow management
Event Notification
Collaboration
Electronic Payments
Electronic Funds Transfer (EFT)
 Secure Payments on the Internet
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Credit/debit cards
 CyberCash
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Micropayments
 Digital Wallet
 Paypal
 Applepay 
http://www.apple.com/apple-pay/
Creating Strategic Business Value
Global Dissemination
 Interaction with customers
 Analytics
 Customization
 Collaboration with suppliers
 Integration
 What makes a site successful?
 What makes a site successful globally?
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