The Benefits of Ecommerce

Electronic commerce or e-commerce, are business transactions that involves purchasing and selling of products or services that is carried through Internet and other computer networks. When did e-commerce actually started? E-commerce was instituted in the year 1970; where for the electronic data interchange or EDI, and electronic fund transfer were introduced for the very first time. Since then, there was a rapid growth of e-commerce that passes through in every other aspects of business.

Similar to the traditional business, e-commerce is as well characterized by some advantages and inherent drawbacks. Let us take a look of some of the advantages and disadvantages of e-commerce. The furthermost advantage of e-commerce is that permits the businesses to reach the global market. It accommodates the needs of different markets locally or internationally, as business activities are no hindered by geographical boundaries. E-commerce helps a lot of businesses including small enterprise. They can easily access the global market for purchasing and selling products or services. Moreover, the time restriction basically does not exist anymore since you can access the business transactions using
e-commerce anytime you want 24 hours a day.

E-commerce opens opportunity for the customers to take a look at cheaper and quality products. Through e-commerce, consumers can easily find and search for new products that may not be offered from shopping malls and stores. There are times that consumers can find products from the original manufacturers that are way cheaper than those charged by wholesalers. Thus, shopping online is more convenient and time saving than the traditional shopping of products. Moreover, it also can help the consumers to decide on what to buy because of the reviews posted by other customers.

E-commerce significantly cuts down costs associated with marketing and sales, customer care, and inventory management especially for business concerns. It also reduces the time involved for modifying products to meet the demands of the customers. Electronic commerce also minimizes the burden of building infrastructures to conduct business. Moreover, it enables to have a strong relationship with customers for having an efficient customer care services.

Electronic commerce is also characterized by some technological and inherent limitations, which may hamper a number of people from using the system. One of the considered limitations of e-commerce is that there are still a lot of people who were not touched by Internet, either due to lack of knowledge and lack of trust. There are people who prefer not to use Internet for any kind of financial transactions. At times, the legality and authenticity of some e-commerce sites have been questioned.

An additional limitation of e-commerce is that there are items, which are not suitable like perishable items. Most people prefer to shop in a very conventional way especially for purchasing food products. Furthermore, the time that will be spent for delivering a perishable item can be quite significant for e-commerce.

As we go through the evaluation of the pros and cons of e-commerce, we can see that the pros can overweigh the drawbacks of e-commerce. The scenario can be change through a proper strategy for addressing some issues and to build the trust of customers to help the world easily adapt to the changing needs of the world.

10 Benefits of eCommerce Website in Business

Electronic Commerce, or eCommerce which literally means business trading through the internet is a system that allows online movements, buying, selling goods, services, and information. eCommerce sites enable businesses of all sizes to reach their target range of customers without being physically present.

Benefits of eCommerce Website in Business

1. Saves Time:

In the Commercial markets, time plays an important role to both the business and consumers. eCommerce steps in and replaced the traditional commerce method where a single transaction can cost both parties a lot of valuable time. For instance, a banking transaction can be completed through the internet within a few minutes compared to the traditional banking method which may take up to hours.

2. Saves Money:

eCommerce is much more cost effective compared to traditional commerce method. eCommerce saves the cost used for the middle persons to sell their products and diverts to another aspect of their business. One instance is the famous computer enterprise Dell, which practice such a method by running most of their business through internet without involving any third parties.

3. Connects People with Products:

eCommerce provides better connectivity for its potential customer as their respective website can be accessed virtually from anywhere through internet. Thus more potential customers can get in touch with the companies’ business and eliminate the limits of geographical location.

4. Provides Freedom Of Choice

E-Trade offers multiple options for the consumer because the Internet contain endless numbers of different topics and locations, services and users can access throughout the world.

5. Creates a wide range of Opportunities:

The appearance of eCommerce as a pioneer has opened up various windows of opportunities for a variety of other companies and investors. For example, due to the booming of eCommerce, more and more resources are being directed into electronic securities, internet facilities, business plans and new technologies.

6. Provides Comparison Shopping:

eCommerce facilitates comparison shopping. There are several shopping search engines and comparison shopping websites that allow customers to browse multiple eCommerce merchants and find the best prices.

7. Assures 24/7 service even to people:

The customer can do transactions for the product or inquire about any product/services provided by a company any time, any where from any location. eCommerce application provides user more options and quicker delivery of products.

8. Makes life Easier

eCommerce has enabled access to services and products to rural areas as well, which are otherwise not available to them. eCommerce helps government to deliver public services like health care, education, social services at reduced cost and in an improved way.

9. Increases Interaction with Customers:

An online presence provides business with the opportunity to increase communications with customers through interactive elements such as product review’s, email newsletters, customer feedback, discussion forums and blogs. This insightful information can then be used to improve customer relations and fed back into business planning.

10. Helps to keep up with other competitors:

In order to stay competitive and not get left behind-each company needs to keep an eye on what other companies are doing. And because the internet provides transparency, there is no quicker and easier way to keep on top of what competitors are doing than monitoring their websites.

How Much Does It Cost To Have An eCommerce Website?

In order to manage the costs of having your own eCommerce website, it is important to know a few things about the business itself and how it operates. What are the benefits of eCommerce against no eCommerce, and how easily will the system work with your specific industry? You may have a longer list of questions as you work toward building your own business and enhancing your revenue stream. With patience and understanding, your site could be operating with monetary limits that you at one time could not have imagined. The advantage is eCommerce, and what makes it so great is this:

eCommerce keeps things affordable

By paying for eCommerce, you have an affordable way to process credit card transactions and keep the funds in your account safe from hackers. The thieves of today love to use unprotected, non-secure accounts to get to your money. With eCommerce, you can benefit from security extras that will keep the predators at bay and the site performing well among its audience. While eCommerce and merchant accounts cost a little extra than what many individuals are used to paying, the rewards that they offer have value that cannot be nailed down to a specific number.

eCommerce helps you keep track

While services such as PayPal may allow you to run searches to a certain date, few offer the versatility that eCommerce provides. By being able to keep tabs on all your customers and what they are spending at the touch of a button, you can enjoy a number of ancillary benefits. Among these: being able to tailor your marketing efforts toward a specific type of customer; and being able to never again miss another source when it comes to reporting income at tax time. In the event of an audit, the latter holds special value.

eCommerce protects your payment

By requiring stringent refund and protection stipulations, eCommerce actually looks out for the customer and you the business owner. Disputed transactions are more often than not disputed with good reason, and easier for the credit card company to clear up. The process for doing so through PayPal and other specialty payment processing vendors is another story. eCommerce gives you protection no matter which end of the financial block that you live on. If holding on to your integrity is as important or more as holding on to your money, then you will appreciate this attribute.

When the time comes to take your business to a more successful point, you will need the services that eCommerce provide. In order to start today, check with your hosting company and see what options (if any) they allow. If you can’t get the service you need, then look for another company that will deliver.