Importance of E-commerce

 E-commerce, operating efficiency of the business firm will definitely  improve and which in turn strengthen the value and service given to customers and provide a competitive edge over competitors. These improvements may result in more effective performance. The direct benefit accrue to an organization on practicing e-commerce are better quality, greater customer satisfaction, better decision making, low cost, high speed and real time interaction. More specifically e-commerce enables executing of information relating to the transaction between two or more using interconnected networks.From the business perspective with less time spent during each transaction, more transaction can be achieved on the same day. As for the consumer, they will save up more time during their transaction. Because of this, E-commerce steps in and replaced the traditional commerce method where a single transaction can cost both parties a lot of valuable time.

E-commerce is the most cost effective compared to traditional commerce method. This is due to the fact where through e-commerce, the cost for the middleperson to sell their products can be saved and diverted top another aspect of their business. For e-commerce, the total overheads needed to run the business is significantly much less compared to the traditional commerce method. The reason due to that is where most of the cost can be reduced in E- commerce. To both the consumers and business, connectivity plays an important part as it is the key factor determining the whole business. From the business point of view, E-commerce provides better connectivity for its potential customer as their respective website can be accessed virtually from anywhere through the Internet.

This way, more potential customers can get in touch with the company’s business and thus, eliminating the limits of geographical location. From the customer’s standpoint, E-commerce is much more convenient as they can browse through a whole directories of catalogues without any hassle, compare prices between products, buying from another country and on top of that, they can do it while at home or at work, without any necessity to move a single inch from their chair. Besides that for both consumers and business, E-commerce proves to be more convenient as online trading has less red tape compared to traditional commerce method. Ecommerce itself gives a boost to the global market. In short, if without any major obstacles, E-commerce will certainly continue to mature in the global; market and eventually, it will become an essential business plan for a company in order to survive and stay competitive in the ever changing market.

E-commerce business have numerous advantages over off line retail locations and catalog operators consumers browsing online stores can easily search to find exactly what they are looking for while shopping and can easily comparison shop with just a few clicks of the mouse. Even the smallest online retail sites can sell products and turn a profit with a very simple online presence. Web tracking technology allows e-commerce sites to closely track customer preferences and deliver highly individualized marketing to their entire customer base. Some of the benefits of e-commerce are

1.  Expanded geographical reach
2.  Expanded customer base
3.  Increase visibility through Search engine Marketing
4.  Provide customers valuable information about your business
5.  Available 24/7/365 – Never close
6.  Build customer Loyalty
7.  Reduction of Marketing and Advertising costs
8.  Collection of customer Data