WHAT IS E-COMMERCE?
The buying, selling, marketing, servicing, delivery, and payment of products and services as well as information between an interconnected firm and its prospects, customers, suppliers, and other business partners takes place over the internet, intranets, extranets, and other networks are known as E-commerce.
E-commerce does not require actual currency or products as everything is done on the basis of electronic transfer, be it commodities, money, or even information from one computer to another.
E-commerce is creating huge opportunities for consumers both in urban and rural India. Competitive prices, deals, and efficient delivery coupled with the convenience of avoiding long queues have completely altered the buying experience. According to a report, India’s e-commerce market is forecasted to cross $200 billion by 2030 due to increased analytics, transactions, and internet penetration.
Let’s check out the different scopes of business that e-commerce offers.
6 SCOPES IN E-COMMERCE
1. Exchange of digitised information:
Communication or interactions between two organisations or people, managing the flow of goods and services or transmission of electronic orders are examples of digitised information exchange.
2. Technology oriented:
E-commerce is all about technology-enabled transactions. Web browsers and other interfaces such as Automated Teller Machines or ATMs are the most famous for their technology-enabled customer interactions.
3. Client retention:
With the help of e-commerce, many businesses can categorise and personalise the market data which further benefits ib client retention through quick order fulfilment and effective Customer Relationship Management CRM. An end to end supply chain management allows the total flow of demand and supply in e-commerce, further resulting in profitable client retention.
The integrated database allows financial accounting, treasury management, and asset management in e-commerce. Financial planning and determining the strategy becomes much more convenient in e-commerce.
5. Supplier integration:
Integrated suppliers can implement Just-in-time Inventory Management to reduce the inventory carrying costs and increase the material availability.
6. Support the exchange:
E-commerce includes all intra- and inter-organizational activities which support the trade. All intra- and inter-organizational operations that generally enable marketplace transactions directly or indirectly are based electronically and fall under e-commerce.
What are the other scopes do you think e-commerce offers to the Indian market? Share with us in the comments.
Also, read our article on “5 e-commerce pricing strategies to drive sales“