A well known researcher Nielsen, has announced a statistical report on the online shopping trends, this statistical report shows that over 875 million customers have successfully done their shopping online. In just two years there has been a rise of forty percent of internet shoppers. From this trend we can easily conclude that the online buying market will get bigger in the next four to five years.
Benefits of eCommerce
The idea of E-commerce has very quickly become beneficial for both the consumer and vendor. ECommerce has become a very important option for many businesses, this happens because organizations have become more and more appealing to their operations online. E-commerce shows many benefits and advantages which are missing in the conventional mortar and brick location, this explains clearly why many people are opting for eCommerce. ECommerce endeavors many benefits like the option of spreading into a wider and a global market without paying a huge amount of money. We know that the internet is an expense persuasive medium of delivery, the expense efficiency is one of the important benefits of online eCommerce.
?ECommerce lowers the expense of processing, distributing, creating of information and products which are paper based. The cost of mailing and printing are in many cases eliminated. In many cases the buyer only pays the shipping charges. Another advantage of eCommerce is that it lowers the expense of promotional materials.
ECommerce also helps to the increase sales; an increase in sales means an increase in profit. ECommerce allows the flexibility to aim market segmentation. This flexibility helps organizations to put the center of attraction on a specific group of consumers, in this way organizations can easily satisfy almost every consumer by fulfilling their unique requirements.ECommerce also helps to remove the global trading bar because internet is a zero expense delivery approach, and so, many services and products are now delivered as data which were generally delivered as a physical object in the past. ECommerce eliminates barriers like time, distance and expense. It allows for the interchange of data and real time communications. ECommerce makes the supply chain faster and more productive. ECommerce also helps information to run easily and freely between collaborating businesses. This helps companies to share important information easily. ECommerce also gives consumers an unlimited amount of choices.
Drawbacks of eCommerce
Before starting a business online one should be aware of the drawbacks which come with eCommerce. Though eCommerce gives you a global market, but also it gives a huge amount of worldwide competitors. A product which is not worth of competition in your local market could be worth of a big competition in the global market. It also depends on the third party firms like Google. If Google lowers your ranking then your business could get hampered. Customers can leave easily in the online market.
Source: http://ecommerce.ezinemark.com/benefits-and-drawbacks-of-e-commerce-7d379bb68813.html
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