What Is Interactive Media?

Interactive media is a method of communication in which the program's outputs

depend on the user's inputs, and the user's inputs, in turn, affect the program's
outputs. Simply put, it refers to the different ways in which people process and
share information, or how they communicate with one another. Interactive
media allows people to connect with others—whether that's people or
organizations—making them active participants in the media they consume.

KEY TAKEAWAYS
Interactive media refers to the different ways in which people process and share
information.
Interactive media is meant to engage the user and interact with him or her in a
way non-interactive media do not.
Examples of interactive media include social media, video games, and apps.
How Does Interactive Media Work?
The purpose of interactive media is to engage the user and interact with him or
her in a way non-interactive media do not. Traditional forms of media, such as
television and radio, originally required no active participation. These forms of
media made consumers more passive, giving them no real way to navigate
through their experiences—except for the ability to change the channel.

But with the advent of the internet in the 1990s, that began to change. As
technology developed, consumers were given different tools through which
interactive media was presented. Access to the internet went from an expensive
utility once available only through dial-up to a wireless tool accessible by the
touch of a finger. Computers and laptops became a household item and a
necessity in the workplace, and mobile devices began making interacting media
easy and convenient.

Elements of Interactive Media

Unlike traditional media, interactive media is meant to enhance a user's
experience. In order to do so, an interactive medium will require one more of the
following elements:

Moving images and graphics

Animation
Digital Text
Video
Audio
A user can participate by manipulating one or more of these elements during his
or her experience, something traditional media does not offer.

Examples of Interactive Media

In today's digital era, people are surrounded by interactive media. Everywhere
you look, you will find an example of this form of communication.
Social networking websites such as Facebook, Twitter, and Instagram are
examples of interactive media. These sites use graphics and text to allow users to
share photos and information about themselves, chat, and play games.

Video games are another type of interactive media. Players use controllers to
respond to visual and sound cues on the screen that are generated by a computer
program.

If you have a mobile device like a smartphone—and chances are you do—you
use apps or applications. These forms of interactive media can help you figure
out the weather, direct you to the desired location, choose and respond to news
stories in which you are interested, and allow you to shop. The possibilities are
endless.

Another form of interactive media is virtual reality or VR. VR gives users a

completely immersive experience, allowing them to delve into a world that an
almost carbon copy of reality. The only difference is that this world is digital.

The Influences of Interactive Media

Interactive media has a very important role in today's world. Not only does it
make people more active, but also it gives them the power to communicate with
others (people, companies, organizations) with whom they would normally have
no contact. It also allows the free-flow and exchange of ideas and information.

Interactive media also has an educational component, making it a very powerful

learning tool. It allows (and encourages) people—especially students—to
become more active in their learning experience, more collaborative and to be
more in control of what they're learning.

12 TYPES OF INTERACTIVE MEDIA

1. Application Software – software designed as tools for users such as
knowledge management platforms like digital Library, DVD Rom
(encyclopedia) etc.
2. Apps – application software for mobile devices such as weather app.
3. Games – Entertaining and engaging software that may resemble a world.
4. Virtual Reality – Immersive digital experience that make users feel as if
they are exploring a world that is digital construct or digital twin of
physical reality.
5. Pervasive games – games that mix virtual and physical environment.
6. Interactive video – Video and Television with interactive features such as
streaming videos that audience help to create.
7. Publications – such as websites that allow users to navigate, communicate
and participate.
8. Social Media – Digital Communities that allow media to be navigated,
shared and created.
9. Art – interactive art that involves observer.
10. Advertising – Digital , outdoor and instore advertising that features
interactive elements. Such as a digital poster that reacts to the people in
its vicinity.
11. Theme parks – they combine media such as movie and physical elements
such as roller coaster.
12. Cinema – Interactive cinema that allows audience to play a role in film. In
theory movies could be game like.

Ecommerce 101 + The History of Online Shopping

When it comes to ecommerce, a word that first comes to mind is growth.

Ecommerce expert Gary Hoover’s research shows that just in the last 14
years, the growth of ecommerce companies has skyrocketed across the
board.

And some merchandise lines (like clothing and beauty products in

particular) have achieved a remarkable 25% average CGR between 2000-
2014.

This trend isn’t slowing down, either.

In fact, growth projections estimate that by 2022, ecommerce revenues

will exceed $638 billion in the U.S. alone.

Globally, ecommerce growth projections are also on an upward

trajectory:

They show that retail sales may exceed $4.058 trillion by as soon as 2020.

Even more data reinforces the ecommerce growth trend:

There may be as many as 2.14 billion digital buyers worldwide by 2021

(eMarketer)
U.S. ecommerce sales of apparel, footwear, and accessories projected to
exceed $123M by 2022 (Statista)
Shoppers spend 36% of their budget online on average (BigCommerce)
But what’s exciting about this is that there’s still so much opportunity
within the online marketplace.

U.S. Department of Commerce data shows that ecommerce sales currently

average about 9.1% of total retail sales. That means there are still endless
opportunities for brands to launch an ecommerce website and to expand
their reach.

When you factor in the expanded ecommerce selling opportunities

through omnichannel retail (like adding Amazon and eBay storefronts to
your sales approach, for example), it’s easy to see that now is the best
possible time to grow an ecommerce business.
What is Ecommerce?
Essentially, ecommerce (or electronic commerce) is the buying and selling
of goods (or services) on the internet.

From mobile shopping to online payment encryption and beyond,

ecommerce encompasses a wide variety of data, systems, and tools for
both online buyers and sellers.

Most businesses with an ecommerce presence use an ecommerce store

and/or an ecommerce platform to conduct both online marketing and
sales activities and to oversee logistics and fulfillment.

Keep in mind that ecommerce has a few different spelling variations. All
of these are synonymous and correct –– their use is largely preference-
based.

E-Commerce
eCommerce
Ecommerce
e-commerce
e commerce
Types of Ecommerce
Generally, there are six main models of ecommerce that businesses can be
categorized into:

B2C.
B2B.
C2C.
C2B.
B2A.
C2A.
Let’s look at each type of electronic commerce in a bit more detail.

1. Business-to-Consumer (B2C).
B2C ecommerce encompasses transactions made between a business and
a consumer.

This is one of the most widely used sales models in the ecommerce
context. When you buy shoes from an online shoe retailer, it is a business-
to-consumer transaction.

2. Business-to-Business (B2B).
Unlike B2C, B2B ecommerce relates to sales made between businesses,
such as a manufacturer and a wholesaler or retailer.

This type of ecommerce is not consumer-facing and happens only

between business entities.
Most often, business-to-business sales focus on raw materials or products
that are repackaged or combined before being sold to customers.

3. Consumer-to-Consumer (C2C).
One of the earliest forms of ecommerce is the C2C ecommerce business
model.

Customer-to-customer relates to the sale of products or services between,

you guessed it: customers.

This would include customer to customer selling relationships like those

seen on eBay or Amazon, for example.

4. Consumer-to-Business (C2B).
C2B reverses the traditional ecommerce model (and is what we
commonly see in crowdfunding projects).

C2B means Individual consumers make their products or services

available for business buyers.

An example of this would be a business model like iStockPhoto, in which

stock photos are available online for purchase directly from different
photographers.

5. Business-to-Administration (B2A).
This model covers the transactions made between online businesses and
administrations.

An example would be the products and services related to legal

documents, social security, etc.

6. Consumer-to-Administration (C2A).
Same idea here, but with consumers selling online products or services to
an administration.

C2A might include things like online consulting for education, online tax
preparation, etc.

Both B2A and C2A are focused on increased efficiency within the
government via the support of information technology.

History of Ecommerce
The history of ecommerce dates back further than you might think.

It was initially introduced about 40 years ago in its earliest form.

Since then, electronic commerce has helped countless businesses grow
with the help of new technologies, improvements in internet connectivity,
and widespread consumer and business adoption.

One of the first ecommerce transactions was made back in 1982, and
today, it is growing by as much as 23% year-over-year.

Ecommerce Timeline:
Year Major Ecommerce Event
1969 The first major ecommerce company, CompuServe, is founded.
1979 Michael Aldrich invents electronic shopping.
1982 Boston Computer Exchange launches as one of the first ecommerce
platforms.
1992 Book Stacks Unlimited launches as one of the first online
marketplaces for books.
1994 Netscape launches Netscape Navigator, an early web browser,
making it easier for users to browse online.
1995 Amazon and eBay launch.
1998 PayPal launches as an online payment system.
1999 Alibaba.com launches.
2000 Google launches AdWords as an online search advertising tool.
2005 Amazon launches Amazon Prime with expedited, flat-fee shipping
for members.
2005 Esty, an online marketplace for handmade and vintage goods
launches.
2009 BigCommerce launches as an online storefront platform.
2009 Square, Inc. is founded.
2011 Google Wallet launches as an online payment system.
2011 Facebook launches sponsored stories as a form of early
advertising.
2011 Stripe launches.
2014 Apple Pay launches as a form of mobile payment.
2014 Jet.com launches.
2017 Instagram shoppable posts are introduced.
2017 Cyber Monday sales exceed $6.5B.
1969 – CompuServe is founded.
Founded by electrical engineer students Dr. John R. Goltz and Jeffrey
Wilkins in 1969, early CompuServe technology was built utilizing a dial-
up connection.

In the 1980s, CompuServe introduced some of the earliest forms of email

and internet connectivity to the public and went on to dominate the
ecommerce landscape through the mid-1990s.

1979 – Michael Aldrich invents electronic shopping.

English inventor Michael Aldrich introduced electronic shopping in 1979,
which operated by connecting a modified TV to a transaction-processing
computer via telephone line.
This made it possible for closed information systems to be opened and
shared by outside parties for secure data transmission – and the
technology became the foundation upon which modern ecommerce was
built.

1982 – Boston Computer Exchange launches.

When Boston Computer Exchange launched in 1982, it was the world’s
first ecommerce company.

Its primary function was to serve as an online market for people

interested in selling their used computers.

1992 – Book Stacks Unlimited launches as first online book marketplace.

Charles M. Stack introduced Book Stacks Unlimited as an online bookstore
in 1992 – three full years before Jeff Bezos introduced Amazon.

Originally the company used the dial-up bulletin board format, but in
1994 the site switched to the internet and operated from the Books.com
domain.

1994 – Netscape Navigator launches as a web browser.

Marc Andreessen and Jim Clark co-created Netscape Navigator as a web
browsing tool, and formally announced its introduction in October of
1994.

During the 1990s, Netscape Navigator became the primarily used web
browser on the Windows platform before the rise of modern giants like
Google.

1995 – Amazon and eBay launch.

Jeff Bezos introduced Amazon in 1995 primarily as an ecommerce
platform for books.

That same year, Pierre Omidyar introduced AuctionWeb, which would

later become what we know today as eBay.

Since then, both have become massive ecommerce selling platforms that
enable consumers to sell online to audiences around the globe.

1998 – PayPal launches as ecommerce payment system.

Originally introduced as Confinity by founders Max Levhin, Peter Thiel,
Like Nosek and Ken Howery, PayPal made its appearance on the
ecommerce stage in late 1998 as a money transfer tool.

By 2000, it would merge with Elon Musk’s online banking company and
begin its rise to fame and popularity.

1999 – Alibaba launches.

Alibaba Online launched in 1999 as an online marketplace with more than
$25 million in funding.

By 2001 the company was profitable. It went on to turn into a major B2B,
C2C, and B2C platform that’s still widely used today.

2000 – Google introduces Google AdWords as an online advertising tool.

Google Adwords was introduced in 2000 as a way for ecommerce
businesses to advertise to people using the Google search tool.

With the help of short text ad copy and display URLs, online retailers
began using the tool in a pay-per-click (PPC) context.

2005 – Amazon introduces Amazon Prime membership.

Amazon introduced Amazon Prime in 2005 as a way for customers to get
free two-day shipping for a flat annual fee.

The membership also came to include other perks like discounted one-
day shipping and later access to streaming services like Amazon Video
and members-only events like “Prime Day.”

This strategic move helped boost customer loyalty and incentivize repeat
purchases. Today, free shipping and speed of delivery are the most
common requests from online consumers.

2005 – Etsy is launched.

Etsy launches in 2005, allowing crafters and smaller sellers to sell goods
through an online marketplace. This brought the makers community
online –– expanding their reach to a 24/7 buying audience.

2009 – Square launches.

Square was founded in 2009 by Jack Dorsey and Jim McKelvey. The first
Square app and service launched in 2010.

Square allowed offline retailers to accept debit and credit cards in their
brick-and-mortars and absolutely anywhere for the first time ever.

The idea occurred to Dorsey when in 2009 when McKelvey (a St. Louis
friend of Dorsey at the time) was unable to complete a $2,000 sale of his
glass faucets and fittings because he could not accept credit cards.

2009 – BigCommerce launches.

Eddie Machaalani and Mitchell Harper co-founded BigCommerce in 2009
and introduced it that year as a 100% bootstrapped ecommerce
storefront platform.

Since then, more than $8 billion in sales have been processed through the
platform and the company now has headquarters in Austin, San Francisco,
and Sydney.
Other ecommerce technology platform providers launched in the same
era. Shopify (2006) and Magento (2008) are also recognized as market
leaders alongside BigCommerce.

Internet Retailer’s 2018 Guide to the Top Ecommerce Platforms saw all 3
of these platforms on the list –– with BigCommerce annual store growth
and revenue numbers topping out at #1.

2011 – Google Wallet introduced as digital payment method.

Google Wallet was introduced in 2011 as a peer-to-peer payment service
that enabled individuals to send and receive money from a mobile device
or desktop computer.

By linking the digital wallet to a debit card or bank account, users can pay
for products or services via these devices.

Today, Google Wallet has joined with Android Pay for what is now known
as Google Pay.

2011 – Facebook rolls out sponsored stories as a form of early

advertising.
In 2011, Facebook began rolling out early advertising opportunities to
Business Page owners via sponsored stories.

With these paid campaigns, ecommerce businesses could reach specific

audiences using the social network and get in the news feeds of different
target audiences.

2011 – Stripe launches.

Stripe is a payment processing company built originally for developers. It
was founded by John and Patrick Collison.

2014 – Apple Pay introduced as mobile payment method.

As online shoppers began using their mobile devices more frequently,
Apple introduced Apple Pay as a mobile payment and digital wallet tool
that allowed users to pay for products or services with an Apple device.

2014 – Jet.com launches.

Jet.com was founded in 2014 by entrepreneur Marc Lore (who had sold
his previous company, Diapers.com, to Amazon.com) along with Mike
Hanrahan and Nate Faust.

The company competes with Costco and Sam’s Club, catering to folks
looking for the lowest possible pricing for longer shipping times and bulk
ordering.

2017 – Shoppable Instagram is introduced.

Instagram Shopping launched in 2017 first with ecommerce partner
BigCommerce.

Since then, the service has expanded to additional ecommerce platforms

and allows Instagram users to immediately click an item, and go to that
product’s product page for purchase.

2017 – Cyber Monday sales exceed $6.5B.

In 2017, ecommerce growth breaks a new record with online sales
breaking $6.5 billion on Cyber Monday – a 17% increase from the year
before.

Mobile sales also break records with an excess of $2 billion in sales made
via mobile devices.

Advantages of Ecommerce
Ecommerce has many different advantages – from faster buying to the
ability to reach large audiences 24/7.

1. Faster buying for customers.

For customers, ecommerce makes shopping from anywhere and at any
time possible.

That means buyers can get the products they want and need faster
without being constrained by operating hours of a traditional brick-and-
mortar store.

Plus, with shipping upgrades that make rapid delivery available to

customers, even the lag time of order fulfillment can be minimal (think
Amazon Prime Now, for example.)

2. Companies can easily reach new customers.

Ecommerce also makes it easier for companies to reach new customers all
over the globe.
With the added benefit of social media advertising, brands have the
potential to connect with massive relevant audiences who are in a ready-
to-buy mindset.

3. Lower operational costs.

Without a need for a physical storefront (and employees to staff it),
ecommerce retailers can launch stores with minimal operating costs.

As sales increase, brands can easily scale up their operations without

having to make major property investments or having to hire large
workforces.

This means higher margins overall.

4. Personalized experiences.
With the help of automation and rich customer profiles, you can deliver
highly personalized online experiences for your ecommerce customers.

Showcasing relevant products based on past purchase behavior, for

example, can lead to higher AOV and makes the shopper feel like you truly
understand him/her as an individual.

Disadvantages of Ecommerce
Although modern ecommerce is increasingly flexible today, it still has its
own set of disadvantages.

1. Limited interactions with customers.

Without being face-to-face, it can be harder to understand the wants,
needs, and concerns of your ecommerce customers.

There are still ways to gather this data (survey data, customer support
interactions, etc.), but it does take a bit more work than talking with
shoppers in person on a day-to-day basis.

2. Technology breakdowns can impact ability to sell.

If your ecommerce website is slow, broken, or unavailable to customers, it
means you can’t make any sales.

Site crashes and technology failures can damage relationships with

customers and negatively impact your bottom line.

3. No ability to test or try-on.

For shoppers who want to get hands-on with a product (especially in the
realm of physical goods like clothing, shoes, and beauty products) the
ecommerce experience can be limiting.

The Future of Ecommerce

Research predicts that the future of ecommerce is a bright one.

By 2022, ecommerce revenue in the U.S, alone is expected to reach $638

million, with the toys, hobby and DIY vertical seeing the largest growth.

And it’s no passing trend, either.

Many Americans now see online shopping as a must-have: 40% say they
can’t live without it.

Trends to watch for in the future of ecommerce include:

 Robust customer journeys and personalization.

 Artificial intelligence-enabled shopping.
 Digital currencies.