What is E-commerce?
Since from earlier nineties (from 1994) , we are very much familiar with the word “ E Commerce”. What is E Commerce ? All Commercial transactions – those could be a buying & selling of product or services, fund transfers, marketing and even the auctions done electronically is called E commerce. It can be easily referred to each and every commercial activities carried out through the internet!.
Though, E Commerce – the Electronic Commerce refers to all commercial actions done in online business, it is very much popular for buying and selling of physical products or services.
E Commerce is a digital platform that makes all kinds of online business – from a small retailer to corporate companies – to exhibit their products, sell the products, track the delivery and receive the payment online. The scale of such internet business will be very huge – which could not be imagined ,when it is compared to business done by traditional methods.
Electronic Commerce platform allows the rural producers to market and sell their goods very far beyond their native and original distribution area! They will get wider range of market than the traditional method of business gives.
E Commerce is known not only for selling of physical products , but also for marketing , conducting online auction & bids , buying virtual products like insurance plans, licensing for usage of intellectual products of a creator, services like online training courses, counselling ,legal consultations & E ticketing for rails & aviation services. E commerce benefits ultra – convenience and spontaneity to the consumers of internet world, who don’t have much patience, moves fast and always wants new and better products.
By the aggregation of eco systems and the speedy adoption of the internet in business, the E commerce business are booming up every day and every minute!
E commerce is categorized into four major types which covers most of the transactions between a customer and business.
This is a simple model of E Commerce that relates the business to consumer transactions. Selling of products or services by the Business to the consumer- will come under this model. For an example if you buy a cosmetic product in online shop (it may be a local or global) is B2C model.
This model refers the transactions among a business to business. One business sells product or service to another business is B2B model. If a retailer purchases a billing software or website domain for his business from another business, it is said to be B2B model of E Commerce.
C2C model of E Commerce is the trading among the consumers. If a consumer sells his old and used musical instruments like guitar or his antique products through online, to another consumer – the transaction refers the C2C model of E Commerce.
This refers to a business between the consumer and the business. If a consumer sells his hand- made crafts, stitching works or gives permits for using his intellectual properties like his musical tunes or photographs or garment designs to a business is called Customer to Business (C2B) model of E Commerce.
Applications of E Commerce
E Commerce in Retail business:
In the internet generation, there are massive changes can be seen in the shopping behavior of the consumers. It is not an issue of being a middle class or rich, they have strong desires in buying latest launch or new products or services and expect more convenience in shopping and prefer online payment. The following are some business areas, where retail business done in E Commerce platform.
E Commerce in Grocery business:
E Commerce services provide online grocery delivery services for the customers which allows him to order groceries and make online payment from the home, through a mobile app of the supermarket or online shop.
E Commerce in Pharmacy:
A Customer can purchase medicines from home by texting or mailing the prescriptions to the pharmacy and make online payment for the same.
E Commerce in Fashion:
An online retail shop of garments can make its business volume huge by publishing the celebrity news & updates about fashion world, new fashion launch videos and other promotional events. They can announce their new offers and discounts in social media networks and will get more business. They can make the personalized shopping experience to the customer, by collection the information of their needs and expectations by online queries.
E Commerce in Food delivery:
The foods from the famous restaurant can be ordered online by the restaurant’s app or the multi restaurant’s app from anywhere. They can scan the menu items, order from the menu and make the payment by credit/debit cards or even by cash on delivery. The restaurant can inform the customer about the food making, delivery time through the app itself.
E Commerce in Travel:
Most of the global people use the online for their travel plans. With the help of travel websites, they can get digital travel guide, bargain the fares, make coach surfing for low cost housing trip plans and get exclusive offers on travel products for students.
In domestic and local transport such as local Call Taxis are implementing online booking system. In this, a customer can book a taxi and monitor the movement of the vehicle by GPS tracking.
E Commerce in E Banking:
E Banking or internet banking enables the customer to do all financial transactions through online. The website of the banks or any financial institutions offers many features to the customers to view the account balance, get online bank statements, check the last transaction and to make payments for shopping.
E Commerce in Education:
The digital form of a book is called E Book. It is most preferred format of the books by the book lovers/readers, for its lower price, comfort and easy references. With the help of keyword search in digital book’s content through the internet, the reader can find its availability and make purchase. The online training and counselling programs are conducted on paid basis.
E Commerce in Digital products:
The movies, games, music albums and other software products in digital forms are available in the digital market.
E Commerce in Customer Service:
By the call centers, customer care centers and help desks connected in internets improves the customer communication.