E Commerce Explained - A Research Paper

E-CommerceIntroductionAn e-commerce solutionthe magazine of choice to the Internet
for a business is the incorporation of all aspects ofcommunity, has no problem getting Lexus and
the business operation into an electronic format.other high-end marketer's advertising. Even with
Many well-established businesses have been sellingthe addition of the commercial on-line community,
on-line for years. For example, Dell Computersthe demographic will remain high for many years
Corp., has been selling computers directly toto come.10. To Answer Frequently Asked
end-users for years. Currently, Dell is sellingQuestionsWhoever answers the telephones in
excessive of 1 million dollars worth of computersone's organization can tell one that their time is
everyday on the World Wide Web (WWW).Whenusually spent answering the same questions over
a business has incorporated an e-commerceand over again. These are the questions
solution, the business will experience a lowercustomers and potential customers want to know
operation cost while at the same time increasingthe answer to before they deal with one. Post
its profit. The e-commerce solution will allowthem on a WWW page and one will have
businesses to eliminate unnecessary paperwork.removed another barrier to doing business with
All paperwork and data can be transformed intoone and freed up some time for that harried
an electronic format. Thus, it will eliminate valuablephone operator.11. To Stay in Contact with
shelf space and data can searched and accessedSalespeopleOne's employees on the road may
in matter of seconds. E-commerce will alsoneed up-to-the-minute information that will help
automates the sales process. Customers canthem make the sale or pull together the deal. If
"point & click" on the products they wish toone knows what that information is, one can
purchase, fill out the customer information, andkeep it posted in complete privacy on the WWW.
the product will be shipped and received in aA quick local phone call can keep one's staff
matter of few days. The administrationsupplied with the most detailed information,
department does not have to fill out anywithout long distance phone bills and tying up the
paperwork because the customer had done itstaff at the home office.12. To Open International
already. Thus, the efficiency will be greatlyMarketOne may not be able to make sense of
improved. With an e-commerce solution, thethe mail, phone and regulation systems inall the
business will be open 24 hours a day, 7 days apotential international markets, but with a
week. People from anywhere in the world with ane-commerce solution, one can open up a dialogue
Internet access will be able to visit the site at anywith international markets as easily as with the
time. They will not be restricted to the "normal"company across the street. As a matter-of-fact,
business operating hours. A "brick + mortar"before one goes onto the Web, one should decide
business is normally limited to serving thehow one wants to handle the international
customers in its local geographical location. With anbusiness that will come one's way, because one's
e-commerce solution, that business will not bepostings are certain to bring international
limited a geographical restriction, rather it opensopportunities to one's way, whether it is part of
itself to the global on-line market. Essentially, theone's plan or not. Another added benefit; if one's
business' market exposure will be greatlycompany has offices overseas, they can access
increased.In conducting my study, I havethe home offices information for the price of a
researched extensively on the Internet forlocal phone call.13. To Create a 24 Hour ServiceIf
resources. I chose the Internet as my primaryone has ever remembered too late or too early
research medium because e-commerce is still ato call the opposite coast, one knows the hassle.
fairly new technology. Since it is technologyNot all businesses are on the same schedule.
related, the Internet will provide the most recentBusiness is worldwide but one's office hours aren't.
data available. Printed publications will not be ableTrying to reach Asia or Europe is even more
to adapt to changes as fast and efficient asfrustrating. However, Web pages serve the client,
electronic publications. I researched manycustomer and partner 24 hours a day, seven
e-commerce related web sites along with somedays a week. No overtime either. It can
companies that conduct statistical studies. Somecustomize information to match needs and collect
of the e-commerce web sites that I looked intoimportant information that will put one ahead of
are E-Commerce Times, eRetail, and eMarketer.the competition, even before they get into the
The statistical research firms that I researchedoffice.14. To Make Changing Information Available
are Forrester Research and JupiterQuicklySometimes, information changes before it
Communication. Both firms provided valuablegets off the press. Now one has a pile of
statistical data that shows the rise of consumersexpensive, worthless paper. Electronic publishing
shopping on-line and the predicted dollar amountchanges with one's needs. No paper, no ink, no
that will be spent in the coming years.MethodsInprinter's bill. One can even attach one's web page
conducting my study, I completed the followingto a database which customizes the page's output
tasks:- I searched extensively on the Internet forto a database one can change as many times in a
sites that are e-commerce related. Upon visitingday as one needs. No printed piece can match
the sites, I evaluated each sites for the contents,that flexibility.15. To Allow Feedback From
thoroughness, and objectiveness. There areCustomersOne passes out the brochure, the
literally hundreds of sites that are devoted tocatalog, the booklet. But it doesn't work. No sales,
e-commerce. However, after my carefulno calls, no leads. What went wrong? Wrong color,
examination of most of them, I narrowed downwrong price, wrong market? Keep testing, the
to four sites that I will research for this report.- Imarketing books say, and one will eventually find
have also researched many firms that conductsout what went wrong. That's great for the big
statistical researches. The two firms that I will beboys with deep pockets, but who is paying the
utilizing for this report are Forrester Research andbills? One is and one doesn't have the time nor
Jupiter Communication. Both firms are known forthe money to wait for the answer. With a Web
their preciseness, non-objectiveness, andpage, one can ask for feedback and get it
thoroughness. The statistical data I collected frominstantaneously with no extra cost. An instant
these two firms will support my recommendatione-mail response can be built into Web pages and
that every business should have an e-commercecan get the answer while its fresh in one's
solution implemented.ResultsFrom my research, Icustomers mind, without the cost and lack of
have developed twenty reasons why everyresponse of business reply mail.16. To Test
business should incorporate an e-commerceMarket New Services and ProductsTied into the
solution into the business operation. They arereason above, we all know the cost of rolling out
listed below.1. To Establish A PresenceThere area new product. Advertising, advertising,
approximately 70 million people worldwide thatadvertising, press release and advertising.
have access to the World Wide Web (WWW). NoExpensive, expensive, expensive. Once one has
matter what industry or business one is in, onebeen on the Web and know what to expect
can not ignore 70 million people. To be part offrom those who are seeing one's page, they are
that on-line community, one would need to be onthe least expensive market for one to reach.
the WWW for them. Because if one doe not doThey will also let one knows what they think of
it, one's competitor definitely will.2. To NetworkAone's product faster, easier and much less
lot of what passes for business is simply nothingexpensively than any other market one may
more than making connections with other people.reach. For the cost of a page or two of Web
Every smart businessperson knows, it is not whatprogramming, one can have a crystal ball into
one knows, it is whom one knows. Passing outwhere to position one's product or service in the
one's business card is part of every good meetingmarketplace.17. To Reach The MediaEvery kind of
and every businessperson can tell more than onebusiness needs the exposure that the media can
story how a chance meeting turned into the bigbring, as I touched on in reason #5 "To Heighten
deal. Well, what if one could pass out the businessPublic Interest", but what if one's business is
card to thousands, maybe millions of potentialreaching the media, as a newswire, a publicist or a
clients and partners, saying this is what I do and ifpublic policy group. The media is the most wired
you are ever in need of my services, this is howprofession today, since their main product is
you can reach me. One can, 24 hours a day,information and they can get it more quickly,
inexpensively and simply, on the To Makecheaply and easily on-line. On-line press kits are
Business Information AvailableWhat is basicbecoming more and more common, since they
business information? Think of a Yellow Pages ad.work with the digital environment of more and
What are one's business hours? What does onemore pressrooms. Digital images can be put in
do? How can someone contact the business?place without the stripping and shooting of the old
What method of payment does one take? Wherepressrooms and digital text can be edited and
is the business located at? Now think of a Yellowoutputted on tight deadlines. All these can be
Pages ad where one can have instantmade available on an e-commerce solution.18. To
communication. What is today's special? Today'sReach The Education and Youth MarketIf one's
interest rate? Next week's parking lot salemarket is education, consider that most
information? If one could keep one's customeruniversities already offer Internet accesses to
informed of every reason why they should dotheir students and most K-12's will be on the
business with them, doesn't one think one couldInternet within the next few years. Books, athletic
do more business? One can on the To Serve Theshoes, study courses, youth fashion and anything
CustomersMaking business information available iselse that would want to reach these overlapping
one of the most important ways to serve themarkets needs to be on the WWW. Even with
customers. But if one looks at serving thethe coming of the commercial on-line services and
customer, one will find even more ways to usetheir somewhat older populations there will be
WWW technology. How about making formsnothing but growth in the percentage of the
available to pre-qualify for loans, or have one'sunder 25 market that will be on-line.19. To Reach
staff do a search for that classic jazz recordThe Specialized MarketSell fish tanks, art
one's customer is looking for, without tying upreproductions, flying lessons? One may think that
one's staff on the phone to take down thethe Internet is not a good place to be. Well, think
information? Allow the customer to punch in sizesagain. The Internet isn't just for computer science
and check it against a database that tells himstudents anymore. With the 70 million and growing
what color of jacket is available in one's store? Allusers of the WWW, even the most narrowly
this can be done, simply and quickly, on the Todefined interest group will be represented in large
Heighten Public InterestOne won't get Newsweeknumbers. Since the Web has several very good
magazine to write up about one's local storesearch programs, one's interest group will be able
opening, but one might get them to write upto find one's company, or one's competitors.20.
one's Web Page address if it is something newTo Serve One's Local MarketI've talked about the
and interesting. Even if Newsweek would writepower to serve the world with a e-commerce
about one's local store opening, one would notsolution. How about one's neighborhood? If one is
benefit from someone in a distant city readinglocated in San Francisco Bay Area, the Raleigh NC
about it, unless of course, they were coming toarea, Boston or New York, there is probably
one's town sometime soon. With Web pageenough local customers with Internet access to
information, anybody anywhere who can accessmake it worth one's while to consider Web
the internet and hears about one's site is amarketing. A local Palo Alto, CA restaurant even
potential visitor to one's Web site and a potentialtakes lunch orders through the Internet! But no
customer for one's information there.6. Tomatter where one is, if the big client has Internet
Release Time Sensitive MaterialWhat if one'saccess, one should be there too.ConclusionAfter
materials need to be released no earlier thandetailed analyzing and studying of the effects and
midnight? The quarterly earnings statement, thebenefits of incorporating an e-commerce solution
grand prize winner, the press kit for the muchto an existing business, it is clear that an
anticipated film, the merger news? Well, one sente-commerce solution will benefit the business in
out the materials to the press withevery aspect.The implementation of an
"The-do-not-release-before-such-and-such-time"e-commerce solution will generate a brand new
statement and hope for the best. Now therevenue stream, expand the market exposure,
information can be made available at midnight orand decrease the operation cost. Many Fortune
any time one specifies, with all related materials500 companies, such as Dell Computer Corp.,
such as photographs, bios, etc. released at exactlyhave already adapted e-commerce into their
the same time. Imagine the anticipation of "Allbusiness operation. As I have mentioned earlier,
materials will be made available on our Web siteDell Computer Corp. is currently generating over 1
at 12:01 AM". The scoop goes to those that waitmillion dollars in revenues from their web-site.
for the information to be posted, not the oneMany well-known "brick & mortar" businesses are
who releases one's information early.7. To Sellstarting to establish their presence on the web.
ThingsMany people think that this is the numberFor example, Barnes & Noble Booksellers, the top
one thing to do with the World Wide Web.book retailer in North America, has just launched
However, I have made it number seven to maketheir web-site earlier this year following the
it clear that I think one should consider sellingsuccess of Amazon.com, the top book & music
things on the Internet and the World Wide Webseller on the web, has been referred to have one
after one has done all the things above. Why?of the most efficient business operation in the
Well, the answer is complex but the best way toworld today.RecommendationBased on the
put it is, does one consider the telephone the bestconclusion of this study, I recommend the
place to sell things? Probably not. One probablyfollowing:- Every business should implement an
considers the telephone as a tool that allows onee-commerce solution into the business
to communicate with one's customer, which inoperation.Works Cited"E-Commerce Times:
turn helps one sell things. Well, that's how I thinkEverything You Wanted to Know About Doing
one should consider the WWW. The technology isBusiness Online." E-Commerce Times. 1999. (9
different, but before people decide to becomeAugust 1999)."E-Marketer, Where Business Begins
customers, they want to know about one, whatOn-line." E-Marketer. 1999. (9 August
one does and what one can do for them. Which1999)."E-Retail, News and Information for Internet
one can do easily and inexpensively on the WWW.Retailers." E-Retail. 1999. (9 August 1999)."The
Then one might be able to turn them intoElectronic Commerce Guide." Internet.com's
customers.8. To make picture, sound and videoElectronic Commerce Guide. 1999. . (9 August
availableWhat if one's widget is great, but people1999)."Forrester Research: Helping Businesses
would really love it if they could see it in action?Thrive on Technology Change." Forrester
The album is great but with no airplay, nobodyResearch. 1999. (9 August 1999)."Jupiter
knows that it sounds great? A picture is worth aCommunication: Market Research on the
thousand words, but one does not have theConsumer Online Industry." Jupiter Communication.
space for a thousand words? The WWW allows1999. (9 August 1999).Doctor Mike Cooper has
one to add sound, pictures and short movie filesbeen a college level instructor since 1986. He has
to one's company's info if that will serve one'sa Ph.D. in Computer Information Systems and a
potential customers. No brochure will do that.9. ToMaster's Degree in Data Communications. He is a
Reach a Highly Desirable Demographic MarketTheretired Army Officer and a veteran of 33 months
demographic of the WWW user is probably theservice in Vietnam. Dr. Cooper has lived in
highest mass-market demographic available.Thailand, Belgium, Germany and still travels
Usually they are college-educated or being collegeextensively.Doctor Mike Cooper writes research
educated, making a high salary or soon to make apapers for and Many of his papers are
high salary. It is no wonder that Wired magazine,ecommerce related.