E-everything……..

Electronic Commerce
 Buying and Selling over a network
 Business Strategy
 Relies
 Global Communications Infrastructure
 Secure Payment System
 Multimedia Publishing Infrastructure
 Social Acceptance
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Electronic Commerce
 Business to Consumer (B-to-C,B2C)
 Home Shopping, Banking
 Business to Business (B-to-B,B2B)
 Information gathering, financial information,
supply chain
 Consumer to Consumer (C-toC, C2C)
 Auction
 Business to Employee (B-to-E, B2E)
 Intranet
E-business terms
Clicks and Mortar

Bricks and
Mortar
 How are E-commerce transactions conducted?

 Primarily through desktop

computers
 Wirelessly using handheld Web-
enabled devices

M-commerce
Mobile commerce
E-commerce that
takes place using
mobile devices
Business Models
B2C (Business to Consumer)
 Sale of goods & services
to the general public
 Disintermediation
 Personalize offerings to
a consumer’s profile
 Target Advertising
Business Models
C2C (Consumer to Consumer)
 Consists of individuals using
the Internet to sell products
and services directly to other
individuals

 An online auction is similar to

negotiating, in which one
consumer auctions goods to
other consumers

 eBay is a popular online

auction
 Business Models
B2B (Business to Business)
 Most common & major form
of e-commerce
 Businesses selling to
businesses
 Relaying info across the
supply chain
 Direct integration of data into
back office systems
 4 types - Vendor (E-
procurement sites),
brokerage, service,
infomediary
 Business Models
B-2-E (Business to Employee)
 The use of intranet
technology to handle
intranet
activities that take place
within a business An internal
network that uses
 Also called intrabusiness Internet
e-commerce technologies
 Increases profits by reducing
expenses within a company
 Business Models
P2P (Peer to Peer)
 A form of e-commerce that
enables users with the same
networking software to
connect to each other’s hard
disks and exchange files
directly
 A consumer can pay another
consumer to copy
a file
 Music Sharing
 Advantages of doing business
on the Internet
 Global market – 24 hours a day
 Access to multiple suppliers and prices
 Information available immediately – short
turnaround time
 Reduce Middleman Costs, direct buying / selling
 Distribution costs are reduced
 Can places orders from anywhere
 Easier to comparison shop
 Immediate feedback
 FAQ
 E-Commerce Revenue
Streams
software
direct sales of rentals
 The method a a product or
business uses to service
generate income
advertising
 A single Web site electronic
software
may use more
distribution
than one method
of generating Web hosting
revenue subscriptions

online
storage Internet access
services
 What is a secure server?

 Prevents access to the system by unauthorized users

 Often used for transaction services where credit card information is
entered
 Data is encrypted over network Securesites
siteshave
have
Secure
URLsthat
URLs thatbegin
begin
withhttps://
with https://
insteadof
instead ofhttp://
http://
Consumer Concerns
 A recent poll of Americans Found that
 13% had no fears about E-Commerce
 53% had concerns of privacy and security
 20% cited the inability to inspect products
closely over the Internet
 3% do not like to wait for delivery
 What is great design?
 Company, product or service and the customer
 Understanding “why they have come” (target
audience)
 Usability (user friendly experience)
 Effective, efficient
 Knowing how to place content, links in their
proper location
 Common Questions
 What do I need to do to start an E-Commerce Site
 Product/Service

 Website

 Can I do it myself?
 Depends on scope

 Enterprise computing, Virtual Hosting, Simplified E-Commerce

(yahoo, veriostores
 How do I accept payments by credit card
 Secure collection
 Process transactions
 Merchant Account
 What will it cost
 Cost of running the site
 Processing Payments
 Must I accept Credit Cards
 Generally “YES”
 Low volume sites have other options
 How do I attract customers?
 That’s tough
 Search engines, banner ads, various
advertising
 Case Study – IBM
Not minding its own e-
business
 10 week Re-design Effort
 Reviewed 1 million web pages
 100 employees
 Cost in the millions
 Use of Help feature decreased 84%
 Sales increased 400 %
 Information Architecture
 Graphic Design
 Word design and photographs for
each page
IBMs Experience
 Cohesion
 PC section, Software section, catalog site
 Differences in information architecture,
inconsistent search results
 Team: Programming, Information
Technology, Marketing
 Developed a standard design interface
 Usability
Common Customer Complaints
 Shoddy search engines
 Odd navigation schemes
 Long pages to download
 Top Design Mistakes
 Annoying animation introductions
 Distracting pages
 No Price Information
 Inflexible Search Engines
 Horizontal Scrolling
 Blocks of boring text
 Infrequent questions in FAQ
 Collecting E-mail addresses without a privacy statement
 URLs over 75 characters
 Mail to links in unexpected locations
 E-Commerce Sites
 Establish the organization as an expert
 Evaluate your on-line competition

 Differentiate yourself from the competition

 Usable Site (easy to navigate)

 Site should convey the brand

 Provide comprehensive product and service

Information
Limitations of the WWW
 Bandwidth or data capacity
 Comfort Factor
 Security
 Privacy
 SSL (Secure Socket Layer)
 RSA (Ron Rivest, Adi Shamir and Leonard
Adelman)
 Digital Cerficate