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Name: CHEGE DENNIS

ADM: BIT/2021/95245

Project title: SkydeckTech's Digital Horizon: Elevating Electronics Retail Online

CHAPTER ONE: INTRODUCTION


1.1 Background
Skydeck Technologies is a reputable retail and wholesale electronics shop located in Accra Road,
White Angle House, Nairobi County. The company specializes in the sale of computers, networking
devices, security equipment (including CCTV), and computer repair parts. Over the years, Skydeck
Technologies has built a strong customer base, largely depending on daily onsite clients, clients
introduced through middlemen, and small-scale sales via online retail platforms like Jiji. The
company's commitment to providing quality and reliable electronics at affordable prices has been
the cornerstone of its success.

The shop strives to promote a culture of customer satisfaction, by providing reliable, quality and
pocket friendly digital products. This done through various price crashing, products promotion, and
after market services such as hardware upgrades. The shop has maintained a strong relationship
with the clients.

1.2 Problem Statement


Throughout its existence, Skydeck Technologies has relied on basic spreadsheets and point-of-sale
systems for inventory management and customer data storage. While they attempted to broaden
their customer base by joining Jiji, their revenue expectations were not met due to the platform's
pricing policies, past fraud cases on that system, logistics problem and counterfeit products. This
has being a challenge for Skydeck despite their effort to offer better products other fraudulent
vendors have made it difficult to operate business. Furthermore, the shop has been unable to
provide comprehensive product details. These challenges have created the following problems:

Inefficient Inventory Management: The reliance on rudimentary spreadsheet and point-of-sale


systems has hindered efficient inventory tracking and management. This has led to difficulties in
maintaining optimal stock levels and has sometimes resulted in overstocking or stock outs.

Limited Online Presence and trust: The competition on online platforms like Jiji has limited the
shop's online reach and potential customer engagement. This, in turn, has restricted their revenue
growth and market visibility in an increasingly digital retail landscape.

Incomplete Product Information: Failing to provide comprehensive product details online has left
potential customers with insufficient information to make informed purchase decisions. This has
affected customer confidence and, subsequently, online sales.

Revenue Underperformance: The combination of these issues has resulted in revenue


underperformance, with the shop's potential remaining largely untapped. This situation poses a
significant challenge to achieving growth and sustainability.

1.3 Proposed Solution


skydeck want o create they own system to offer better services to their customers.
In order to address the mentioned challenges above, the solution is to develop an online shop
system . The system will manage the inventory for the shop and give real-time levels of the stock,
and automate reorder processes. The system will have a comprehensive electronic shop with
detailed product description, a wide selection of secure payment options. The system will allow
client to create account to allow personalized user shopping experience, product recommendations,
loyalty awards and discounts.
The system also will send advertising email for new arrivals, products on offer based on shopping
history. The system will also implement a dynamic pricing strategies while maintaining profitability
and affordability. The system will also be integrated with social media account to allow customer
purchase product while socializing. The system will also provide a real-time support to clients
inquiries.

Other tasks that will be performed by the system is to keep clients and shop data protected. Through
various access controls such as usernames and passwords to log on to the system. The system will
also notify the clients on their orders processing, and delivery.

1.4 Proposed Project Title


SkydeckTech's Digital Horizon: Elevating Electronics Retail Online

1.5 Objectives
The primary goal of this project is to develop a robust and user friendly online shop system that
offers a range of features and functionalities.

The specific objectives include:


1. Automate inventory management
2. Develop a intuitive online shop product catalog
3. To ensure data is safe from loss and unauthorized access
4. To alert the clients on offers available and new arrivals
5. To ensure that payment transaction, inventory report data and other sale data cannot be
tampered with either in transit or in storage
6. Offer customer education on products available,
7. provide a real-time customer support

1.6 Project scope


The SkydeckTech's Digital Horizon will include several interconnected modules that will work
together to ensure that task are strermlined.
 Inventory Management Module:
Keep track of stock availability and automatically update stock levels
 Product management module.
This module will allow product add, edit, and categorize products. It will include features
like product descriptions, images, pricing and inventory management.
 Shopping cart module.
Will allow user to store items before checkout either to edit quantity and confirm checkout
 wish-list module.
This will allow the user to store items they admire to purchase in future and also share it
with friends.
 User Accounts.
For user registration and login, profile management, and order history
 Checkout and payments:
This module will handle the entire purchase process, including payment gateways, shipping
options and order confirmation
 Search and Filter module:
A robust search module will allow users to quickly find products and filters will help refine
search results
 Marketing and promotion:
module for discounts, coupons and promotions to boost sales;
 Mobile responsiveness:
Optimize the system for mobile phones
 Return and Refund management:
will handle the returns and refund
 Customer support:
FAQS,contact forms and chats for inquiries
 Trade-ins module:
this module will allow customer to dispose their computers based on their return values, and
purchase products on the shopping
 security module:
to protect user data and transactions
 Alert module:
This will notify the user on new arrivals, offers available, new stock of product wanted and
remind him/her wish list. It will also be used to alert on stock levels

1.7 Project justification

The "SkydeckTech's Digital Horizon” project is an imperative step forward, guided by a confluence
of compelling factors. Within the ever-evolving retail landscape, adaptation to digital market
dynamics is paramount. The project emerges as the antidote to a revenue model overly reliant on a
limited client comprising daily onsite customers and intermediaries. This project seeks to diversify
revenue streams through a robust online presence. Notably, the customer experience takes center
stage, with the development of a user-centric e-shop platform and a wide range product catalog.
This endeavor promises an immersive, informative, and convenient shopping environment,
underpinned by the imperative of customer satisfaction and loyalty.

Operational efficiency gains prominence as the initiative endeavors to mitigate inefficiencies in


stock management. The inventory management system is designed to lessen the burden of
stockouts and overstocking, thereby enhancing operational effectiveness. Simultaneously, the
project addresses the challenge of limited client outreach and engagement. An all-encompassing
digital marketing strategy aims to reach a broader audience, tapping into previously unexplored
potential.

1.8 Project Risk Mitigation


Risk: Changes in Requirements
Mitigation: Conduct thorough initial requirements gathering and maintain clear communication
with stakeholders. Implement a change management process to assess the impact of new
requirements, prioritize them, and integrate them in planned phases, preventing scope creep.

Risk: Data Security and Privacy


Mitigation: Protect user data with robust access controls, and regular security audits. Ensure
compliance with data protection regulations such as GDPR. Continuously monitor for security
threats and respond promptly to incidents.

Risk: Project Delays


Mitigation: Create a detailed project plan with realistic timelines and contingency buffers.
Regularly assess progress and adjust the plan as needed to maintain project momentum.

Risk: User Adoption


Mitigation: Launch with a well-defined marketing strategy, including user education campaigns.
Continuously gather user feedback for improvements to ensure a positive user experience
1.9 Project Budget
Description Amount (Ksh)
Hardware (laptop, server, backup flash disk) 35,000
Research 3,000
Content creation (images, articles) 5,000
Software License 20,000
Training 10000
Total 73,000
Table 1: Project Budget

1.10 Project Schedule

Task Duration Expected Start date Expected end date


Problem definition and
2 weeks 18/09/2023 29/09/2023
Analysis
Requirement gathering 2 weeks 02/10/2023 13/10/2023
System Design 4 weeks 16/10/2023 10/11/2023
Development (Coding) 9 weeks 13/11/2023 12/01/2024
Testing and Quality Assur-
3 weeks 15/01/2024 02/02/2024
ance
Deployment and Imple-
3 weeks 5/02/2024 23/02/2024
menting
Documentation 3 weeks 26/02/2024 15/03/2024
Presentation 5 hours

Table 1 : Project Schedule

1.11 Gantt

Week

Task 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2
1 2 3 4 5 6 7 8 9
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6

Problem definition and Analysis


Requirement gathering
System Design
Development (Coding)
Testing and Quality Assurance
Deployment and Implementing
Documentation

Table 2 : Gantt Chart

CHAPTER TWO LITERATURE REVIEW


2.1 Introduction
E-commerce giants Amazon, Jiji, and Jumia have carved a niche in the digital retail landscape, each
with its distinctive key operations. Understanding these operations is vital for shaping the proposed
digital retail project for Skydeck Technologies..

E-commerce, as exemplified by giants like Amazon, Jiji, and Jumia, offers boundless opportunities
but is not without its share of challenges. These include issues related to fraud and scams, logistical
complexities, and counterfeit products. Understanding these challenges and developing strategies to
mitigate them is paramount in the proposed system enhancement for Skydeck Technologies.

2.2 Jiji A Local E-Commerce Success Story

Jiji, a prominent player in the Nigerian online marketplace, stands out as a successful localized e-
commerce platform. Its strategy is deeply rooted in understanding the local market and customer
behaviors. The platform offers a simple interface for users to buy and sell products, aligning with
the preferences of the Nigerian market. Jiji's mobile-first approach and trust-building measures,
such as the "Jiji Pay" feature, have contributed to its popularity. Research indicates that Jiji's
localized and user-friendly approach has yielded impressive user engagement and growth.

Addressing Fraud and Scams:


E-commerce platforms, including Jiji, have grappled with fraudulent activities on their platforms.
Instances of fraudulent listings, scam transactions, and unscrupulous sellers can severely impact
user trust and the platform's reputation. To address this issue:
Key Operations for Mitigation:
Enhanced Security Protocols: Implement robust security measures, including user verification and
secure payment gateways, to deter scammers and protect customers.

User Education: Develop educational resources and awareness campaigns to inform users about
potential scams and how to avoid them.

2.3 Jumia: Embracing Digital Market Diversity

Jumia, often dubbed as the "African Amazon," exemplifies the nuances of e-commerce in diverse
markets. Research on Jumia highlights its efforts to navigate the complexities of the African e-
commerce landscape, characterized by logistical challenges and varying consumer behaviors. The
company employs innovative solutions such as a hybrid online-offline model, which combines
digital retail with local agents for last-mile deliveries. Jumia's adaptation to local market dynamics
underscores the importance of understanding and tailoring services to meet the specific needs of a
diverse customer base.

Mitigating Logistical Challenges:


Jumia's logistical challenges in diverse African markets emphasize the importance of an efficient
and reliable delivery system. Logistical issues can lead to delayed deliveries and customer
dissatisfaction, undermining the success of an e-commerce platform. To tackle this challenge:

Key Operations for Mitigation:

Advanced Delivery and Tracking: Develop tracking systems to provide customers with real-time
information on their orders' status, minimizing delivery delays.

Last-Mile Solutions: Collaborate with local logistics providers to navigate last-mile delivery
challenges effectively.

2.3Amazon: Pioneer of E-Commerce Excellence


Amazon is renowned as a pioneer in e-commerce, setting the gold standard for customer-centric
strategies. Extensive research has underlined Amazon's focus on the customer experience. The
company's customer-centric approach involves personalized product recommendations, expedited
shipping, and a seamless checkout process . Furthermore, Amazon has invested heavily in advanced
inventory management and logistics systems to maintain an extensive product catalog and deliver
products with remarkable efficiency. This dedication to the customer journey has translated into
consistent revenue growth and global market dominance.

Countering Counterfeit Products:

Amazon has faced scrutiny over counterfeit products on its platform, highlighting the need for a
robust counterfeit product detection and prevention strategy. Counterfeit products damage customer
trust and pose legal risks. To combat this issue:

Key Operations for Mitigation:

Verification and Authentication: Implement a system to verify the authenticity of products before
they are listed on the platform.

Implications for SkydeckTech's Digital Horizon: Elevating Electronics Retail Online:

The proposed system for Skydeck Technologies can draw valuable insights from these challenges
and mitigation strategies. Addressing these issues is crucial for ensuring the trust, reliability, and
success of the platform:

Anti-Fraud Measures: By implementing stringent security protocols and educating users, Skydeck
can instill confidence in its platform and protect customers from fraudulent activities.

Logistical Excellence: Coupled with local last-mile solutions, can ensure efficient and on-time
deliveries, enhancing the customer experience.

Counterfeit Product Prevention: By verifying and authenticating products and encouraging user
reporting, Skydeck can provide customers with assurance regarding product quality and safety.

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