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E-Commerce
• E-commerce is the process of allowing
Web based technologies to facilitate
commerce or trade.
– E-commerce can be retail, between an ebusiness and an end user, or it can be
used for business-to-business
transactions.
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 1
Where Are My Groceries?
• Thinking Strategically
– Evaluate your grocery shopping habits.
– How often do you, or your family, purchase the
same products?
– Would you trust a grocer to pick out your
meats, fruits, and vegetables without your
looking at them?
– Which aspects of grocery shopping could be
automated?
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 2
Where Are My Groceries?
• visit www.peapod.com
• how does peapod segment its customers at the
beginning of a site visit (in the first two pages)?
• visit www.grocerygateway.com
• what differences do you see in the first page or
two of these sites?
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 3
Where Are My Groceries?
• now visit www.metro.ca
• what is the main difference between this and the
sites on the previous slide?
• how does this site keep customers coming back
and why?
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 4
E-Retailing
• Retail sales are likely to shift between various
alternative sales channels.
– Sales channels are the models that businesses use to
sell to their customers.
These could include
•
•
•
•
•
brick and mortar outlets
catalogs
direct marketing
phone orders
e-commerce
Sales Channels should compliment,
not cannibalize, each other.
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 5
E-Retailing
• E-retailing will not necessarily result in an
increase in overall retail sales; instead, consumers
are shifting purchases by adopting a multichannel
approach and using alternative sales channels.
Multichannel retailers support the commerce
process in a number of ways, including:
•
•
•
•
•
In-store or in-catalog marketing of the online channel
gift certificates purchased online
in-store return of online orders
catalog orders online
and others
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 6
E-Retailing
• look at www.bestbuy.ca
• what are at least three ways that the site
encourages a multichannel sales approach?
• what about www.canadiantire.ca?
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 7
E-Retailing
• A destination site is a Web site that is designed to
have the visitor return over and over.
This requires including extras such as
•
•
•
•
•
games
chats
contents
new information
any other content that the targeted audience may desire
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 8
E-Retailing
• Nike offers a variety of sites that mix sales
with destination.
• Google nike.
• What are some current sites in Nike’s
stable?
• how do these sites localize?
• what content and functionality encourage
users to return?
For use with Strategic Electronic Marketing:
Managing E-Business 2e
Copyright 2003 South-Western College Publishing
Chapter 6 Slide: 9