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Summary - E-Commerce 1 (Econ)
- Instelling
- Hogeschool Tio (Tio)
This summary will help you ace your e-commerce exam! This is for Hogenschool TIO.
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E-Commerce Summary Book and PowerPointsChapter 1 + Week 1 PowerPoint
E-commerce: E-commerce is trading in products or services using computer networks, such
as the Internet.
- Communication perspective: Delivery of info, products, services, payments by
electronic means.
- Business process perspective: application of technology towards automation of
business transaction flows.
- Service perspective: Enabling cost cutting at the same time as increasing speed and
quality of service delivery.
- Online perspective: buying+selling of products and info online.
E-Business: (electronic business) is the conduct of business processes on the Internet. These
e-business processes include buying and selling goods and services, servicing customers,
processing payments, managing production control, collaborating with business partners,
sharing information, running automated employee services, recruiting; and more.
Buy-side e-commerce: E-commerce transactions between a purchasing organization and its
suppliers.
Sell-side e-commerce: e-commerce transactions between a supplier organization and its
customers.
Digital business: How businesses apply digital technology and media to improve
competitiveness of their organization through optimizing internal processes with online and
traditional channels to market and supply.
Digital business transformation: Significant changes to organizational processes, structures
and system implemented to improve organizational performance through increasing the use
of digital media and technology platforms.
Intranet: private network within a single company.
Extranet: Service provided which is an extended intranet which goes beyond a company to
customers, suppliers and collaborators.
Zero momentum of truth (ZMOT): A summary of today’s multichannel consumer decision-
making for product purchase where they search, review ratings, styles, prices, and
comments on social media before visiting a retailer.
Inbound marketing: The consumer is proactive in actively seeking out information for their
needs, and interactions with brands are attracted through content, search and social media
marketing.
Content marketing: the management of text, rich media, audio and video content aimed at
engaging customers and prospects to meet business goals, published through print and
digital media including web and mobile platforms, which is repurposed and syndicated to
different forms of web presence such as publisher sites, blogs, social media and comparison
sites.
Search marketing: companies seek to improve their visibility in search engines for relevant
search terms by increasing their presence in the search engine results pages.
Social media marketing: Monitoring and facilitating customer-customer interactions and
participation throughout the web to encourage positive engagement with a company and its
brands. Interactions may occur on a company site, social networks and other third-party
sites.
,Different social networks:
- Social networking: sharing engaging content of customers.
- Social knowledge: informational social networks. Ex. Yahoo
- Social sharing: social bookmarking sites such as Delicious.
- Social news: ex. Twitter
- Social streaming: streaming media for photos, videos, podcasts.
- Company user-generated content and community: social presence which are
independent of companies who have their own social space. Customer support ex.
Mobile commerce (m-commerce): electronic transactions and communications conducted
using mobile devices such as smartphones and talets, typically with a wireless connection.
Paid media: Bought media where there is a investment to pay for visitors to reach/convert
through search.
Earned media: Through PR invested in targeting influencers to increase awareness about
brand.
Owned media: media owned by brand. Websites, blogs, email lists, apps owned by the
brand.
Digital media channels: online
communications techniques used to
achieve goals of brand awareness,
familiarity, favorability and to
influence purchase intent by
encouraging users of digital media to
visit a website and engage with brand
or products so they ultimately make a
purchase.
Pay-per-click (PPC): when a company
pays for text ads to be displayed on
search engine result pages as a
sponsored link when specific key
phrases are entered. The company
latterly pays per time a customer
clicks on that specific add.
Search engine optimization (SEO):
structured approach used to increase
the position of a company or its
products in search engine natural or organic results for selected keywords or phrases.
Multichannel and omnichannel marketing: Customer communications and product
distribution are supported by a combination of digital and traditional channels at different
points in the buying cycle. Omnichannel references the importance for social media and
mobile-based interactions in informing purchase.
Multichannel marketing strategy: Defines how different marketing channels should
integrate and support each other terms of their proposition development and
communications based on their relative merits for the customer and the company.
, E-Government: the
application of e-commerce
technologies to
government and public
services for citizens and
businesses.
Soft lock-in: customers or
suppliers continue to use
online services because of
the switching costs.
Businesses are concerned about how the benefits of digital business will impact on
profitability or generating value to an organization. Potential for increase revenue arising
from increased reach to a larger customer base and encouraging loyalty and repeat
purchases amongst existing customers. Cost reduction achieved through delivering services
electronically. Reductions include staff costs, transport cost and costs of materials such as
paper.
Two main categories of drivers
Cost/efficiency drivers
- Increasing speed with which supplies can be obtained
- Increasing speed with which goods can be dispatched
- Reduced sales and purchasing costs
- Reduced operating costs
Competitiveness drivers
- Customer demand
- Improving the range and quality of services offered
- Avoiding losing market share to business already using e-commerce
One of the main strategic risks is making the wrong decision about digital business
investments.
Poor online customer experiences include:
- Websites failing due to peak hour traffic
- Hackers penetrating system
- Company emails customers without receiving permission
- Problems with fulfilment of goods ordered online
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