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Group 6

Electronic
Retailing
Amat, Cristy Mara T.
Cauilan, Ericka
Codog, Maria Fe
Diaz, Michaela Shaen D.
Defining E-Tailing & E-Commerce
E-TAILING E-COMMERCE
the activity of selling of referred to commercial
retail goods on the transactions conducted
Internet. by electronic means on
the Internet.
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E-Tailing Vs. E-Commerce
the activity of selling of commercial transactions
retail goods on the conducted by electronic
Internet. means on the Internet.

Broad concept
Narrow concept in which e-
tailing is part of

UNITED STATES: CHINA:


biggest market for e- biggest market for e-
tailing in the world at commerce at
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present present
4P 1
IC W
S O
R
D
T E P A U N
G N R L S E
4P 1
IC W
S O
R
N A T U R E D
E P N
G L S
NAT U R E
of E-Tailing
E-tailing
 play on the word, retailing
 seems an almost inevitable addition to
email, e-business and e-commerce, etc.
 a subset of e- commerce by nature

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History
 As early as 1997- work for some major
corporations and smaller entrepreneurs
which resulted in the development of retail
ware.
 Electronic Data Interchanges and teleshopping in the
1970s paved the way for the modern day e-tailing store.
o Michael Aldrich- English inventor, innovator and
entrepreneur
 closely intertwined with the history of the internet
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 Online shopping only became
possible when the internet was
opened to the public in 1991.
 Amazon.com – one of the first e-
commerce sites (US) to sell products
online
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Characteristics

:
Interactivity
 Limited facilities for
product inspection
 Convenience  There are a few
 Prices different types of sites
 No limited shelf space aimed at supporting
e-tailing
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Types of sites supporting E-
tailing:
1) shopping portals
2) shopping robots
3) business rating sites
4) trust verification sites
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HOW ELECTRONIC RETAILING (E-TAILING) WORKS
o Successful e-tailing requires:
 Strong branding
o There are similarities  Websites must be engaging,
between most e-tailing easily navigable, and regularly
companies that include: updated to meet consumers'
 Engaging website changing demands
 Online marketing strategy  Products and services need to
 Efficient distribution of stand out from competitors'
products or services offerings and add value to
 Customer data analytics. consumers' lives
 A company's offerings must be
competitively priced
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o E-Tailers need:
 strong distribution networks that are prompt and
efficient
 Transparency in business practices

o Ways companies can earn revenue online:


1) Through the sales of their product to consumers
or businesses.
2) Through online advertising
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Business-to-business
Types: (B2B)
include consultants, software
Business-to-consumer developers, freelancers, and
(B2C) wholesalers
includes companies selling
finished goods or products
to consumers online
directly through their
websites
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Scope
The scope of e-tailing platform is huge
and has a strong growth rate given the
fact there has been considerable
increase in data usage plus more shift or
preference of people towards online
means of purchasing since that offers
them the ease and convenience.

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Advantages
and Disad-
vantages
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Advantages
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1.
Easy access to
market/Flexible
time/Convenience
 Online
Quick response
marketplaces
and on time
allow anyone placed order
to set up a
Available 24/7
simple online
Customer can
shop & sell
order from any
products
place, at any
within time of the day
minutes.

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Selling through online market places
ONLINE MARKETPLACE
website or app where you can
sell goods in return for a fee or
commission.
2 of the biggest: Growing:
AMAZON ETSY
eBAY FOLKSY
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2.
Reduced
overheads
Selling online can
remove the need for
expensive retail
premises and
customer-facing staff,
allowing you to invest
in better marketing
and customer
experience on your
e-commerce site

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3.
POTENTIAL
FOR RAPID
GROWTH
SELLING ON THE INTERNET
-traditional constraints to retail growth.
WITH
Good digital marketing strategy & a
plan a scale up order fulfilment systems
YOU
can respond and boost growing sales

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4.
WIDEN YOUR
MARKET/
EXPORT
ONE MAJOR
ADVANTAGE May discover a strong demand for your
OVER
PREMISES- products in other countries which:
BASED o you can respond to by targeted marketing
RETAILERS
o offering your website in a different
the ability to
expand your language,
market beyond o or perhaps partnering with an overseas
local customers
very quickly company

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4.
CUSTOMER
INTELLIGENC
E
ONLINE MARKETING TACTICS:
Websites Ability to use online
Emails marketing tools to target
Pay-per-click
new customers and website
advertising
Social media tools to gain insight
analysis
Mobile advertising
into your customer's needs.
Affiliate marketing

Measuring your online


marketing

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Disadvantages
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1.
Website Cost
Planning, designing,
creating, hosting,
securing and
maintaining a
professional e-
commerce website
isn’t cheap, especially
if you expect large and
growing sales
volumes.

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2.
INFRASTRUCTU
RE COSTS
COST OF PHYSICAL
SPACE FOR:
Ware- dealing with
order returns and
fulfillment
housing staffing for
goods these tasks

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3.
SECURITY
AND FRAUD
The growth of online retail market
has attracted the attention of
sophisticated criminal elements. The
reputation of your business could be
fatally damaged if you don’t invest
in the latest security systems to
protect your website and transaction
processes.
While shopping through the online media, consumers are confronted with
a lot of security issues. Customers are sceptical about giving any
PERSONAL INFORMATION: personal and private information to online retailers as they fear a
possible misuse. 
 Hackers gaining access to
privileged information.
 Loss of customer confidence
 Denial-of-service attacks
 No contingency measures
in place
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TECHNICAL ISSUES
o Security and confidentiality of
information
o Speed of access
o Disconnection during transaction
o Mass penetration
o Lack of navigation standards 
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Another major limiting factor:

Limited
access to
Internet
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4.
Legal issue
Need to be
aware of, and
plan to cope
with the If you are selling online, there are a
additional number of pieces of legislation you
customer right
which are need to be familiar with.
attached to
online sales

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Data Protection Act 2018
Regulates how we use and protect personal
information held about living people, e.g. in
customer records. The Act affects information
that you have on computer as well as any paper-
based records. To comply with the rules you
need to comply with the entirety of the Act and in
particular with the following six data protection
principles.  
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5.
ADVERTISIN
G COSTS
While online marketing can be a
very efficient way of getting the
right customers to your products, it
demands a generous budget. this is
especially true if you are competing
in a crowded sector or for popular
keywords.

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PAID SEARCH MARKETING

type of PAY-PER-CLICK (PPC)


ADVERTISING

you pay a fee every time your


online ad is clicked
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6.
CUSTOMER’
S TRUST
Data Breaches
 compromised
consumers’
It can be difficult to establish a trusted
personal and brand name, especially without a physical
financial
information
business with a track record and face-to-
 relates to face interaction between customers and
protection of
payment
sales staff.
information

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7.
LIMITED
CUSTOMER
SERVICE
Limited Customer Service
If you're shopping online for a
computer, you cannot simply ask
an employee to demonstrate a
particular's model's features in
person.
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8.
LACK OF
INSTANT
GRATIFICATION
Lack of Instant Gratification
When you buy an item online,
you must wait for it to be
shipped to your home or office.

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8.
INABILITY TO
TOUCH PRODUCTS
Inability to touch
products
Online images don't necessarily convey the
whole story about an item. and so e-commerce
purchases can be dissatisfying when the
products received don't match consumer
expectation. 54
Bapna, P. & Desai, R. K. et. al, Scope of online retailing in India. Retrieved July 7, 2019, from
https://www.slideshare.net/rahulkalyani/role-of-online-retailing
https://www.investopedia.com/terms/e/electronic-retailing-e-tailing.asp
Botha, J. & C. et.al, (2008) Managing E Commerce Business. Retrieved July 7, 2019, from
https://books.google.com.ph/books?id=nCXOKPG841gC&pg=PA28 2&lpg=PA282&dq=characteristic
%20of%20e%20tailing&source=bl&ots=UmxNn6Z wK1&sig=ACfU3U3-ca1Z59iAKIlPfQ-
SMe5BrKhr6A&hl=fil&sa=X&ved=2ahUKE
wjBzLbwvaDjAhVJFogKHVr1BTUQ6AEwCXoECAYQAQ&fbclid=IwAR3vMaK
N5faqzCIVpZ4hfqxGJ6FXDW5VHR4bnqYhiHljO1zTtYiroibhLuw#v=onepage&q= characteristic
%20of%20e%20tailing&f=false
Grow your Retail Business, Retrieved July 6, 2019,
from https://www.nibusinessinfo.co.u k/content/advantages-and-disadvantages-online-retailing
Miva, 2011, The History Of Ecommerce: How Did It All Begin? Retrieved July 7, 2019, from
https://www.miva.com/blog/the-history-of-ecommerce-how-did-it-all-begin/

Pirikatheeswari, P., Introduction to Electronic Retailing. Retrieved July 7, 2019, from


https://www.fibre2fashion.com/industry-article/5037/introducti on-to-electronic-retailing
Rouse, M. (2005, April), E-Tailing (Electronic Retailing). Retrieved July 6, 2019, from
https://searchcio.techtarget.com/definition/e-tailing

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References
THANK
YOU!

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