| There are many different advantages and
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| | your website existed before they used the
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| benefits of having an e-commerce site on
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| | search engine to try and find the
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| the internet.
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| | products in question. Comparing this to
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| There is much to gain for a consumer
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| | marketing and promotion campaigns needed
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| which will encourage them to use an
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| | with a regular retail set up, an
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| online store rather than the conventional
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| | e-commerce website becomes an even more
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| shopping methods. These advantages are:
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| | attractive idea. This search engine
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| Choice - the web empowers the consumer
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| | optimisation work can cost from as little
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| and gives them increased choice of what
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| | as £150 a month.
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| to buy, when to buy and a greater range
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| | Global Market - the internet is obviously
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| of prices.
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| | by its very nature a global tool. The
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| Vast selection online - when using the
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| | potential customer base is infinitely
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| internet to browse for what to buy,
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| | bigger than a normal retailer would have.
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| products can be reviewed with no cost in
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| | Other than for delivery purposes normal
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| money and relatively little time spent.
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| | boundaries and travel restrictions are
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| Quick comparison - comparisons can be
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| | non existent, which means there is the
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| made on a range of areas including price,
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| | potential to reach out to many, many more
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| specification, quality and availability
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| | customers.
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| in a matter of minutes from the comfort
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| | There are many ideas and customer
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| of their own home.
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| | considerations that need to be considered
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| Potential pitfalls that customers need to
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| | when setting up an e-commerce store. In
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| consider and therefore fears that need to
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| | order to capitalise on the advantages and
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| be allayed by any potential e-tailer
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| | opportunities presented by having an
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| include:
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| | e-commerce site various different aspects
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| - Customers prefer to make some buying
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| | of online shopping habits and consumer
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| decisions in store with certain products
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| | trends need to be considered.
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| for example clothing, perfume & shoes.
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| | Research has shown that there are two
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| - Some products require in-store help.
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| | main factors affecting customers when
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| - Products that can have potential
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| | they buy online. These two factors are
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| delivery problems.
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| | functionality and trust. Obviously the
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| - Some website tools to help customers
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| | e-tailer has many chances to influence
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| reach decisions are inflexible, designed
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| | these two important parts of the online
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| without considering how people really
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| | shopping experience.
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| purchase.
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| | By making their site easy to use and easy
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| When considering the consumer in relation
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| | to navigate customers can become familiar
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| to an online store, various ideas and
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| | with a site and more likely to return due
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| notions need to be considered and
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| | to the efficient and uncomplicated
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| reviewed.
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| | experience they have had. Clear and
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| All consumers are generally risk averse,
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| | uncluttered layout would also help to add
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| and will always attempt to try to reduce
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| | to the consumer's ease of use and
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| risk during the purchasing process. This
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| | convenience when they are shopping. Also
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| is no different when dealing with an
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| | there is a need for good speed of
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| e-commerce customer. Therefore there is a
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| | delivery in order to ensure customer
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| need for the e-tailer to consider and
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| | satisfaction.
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| deal with areas that help to reduce risk
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| | A company using an e-commerce needs to
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| or perceived risk in the eyes of the
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| | develop a clear and strong reputation for
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| consumer.
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| | consumer trust by making sure it delivers
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| Guaranteeing customer satisfaction and
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| | in the following areas:
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| ensuring that brand loyalty begins to
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| | Utility: including speed of delivery,
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| grow will help to reduce the likelihood
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| | convenience, good deals & bargains
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| of a consumer worrying about risks. Also,
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| | Brand elements: Companies need to develop
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| if a customer is satisfied with all
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| | online consumer trust by building a
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| aspects of the service provided whilst
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| | strong reputation for fairness, honesty
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| they are shopping in an e-commerce store
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| | and delivery of quality products
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| then there is not much of an incentive to
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| | Marketing and branding within an
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| risk trying to find an alternative and
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| | e-commerce site
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| the customer is therefore likely to
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| | There are three main characteristics of a
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| return and continue buying from this
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| | successful online brand. These are:
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| store. If they can maintain this ongoing
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| | - The brand is highly dependent on
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| relationship with their current provider
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| | customer perceptions.
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| then their perceived risks of online
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| | - Perception is shaped and developed by
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| shopping will drop and they will be more
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| | the online product's added value
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| likely to make larger and more frequent
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| | characteristics.
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| purchases from the supplier they are
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| | - These characteristics must be
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| already happy with.
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| | sustainable over time.
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| Another important way to reduce perceived
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| | The three characteristics of a successful
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| risk is to try and build up a marketing
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| | brand are multiplicative rather than
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| strategy and technique involving personal
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| | additive, meaning that each one is
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| communication and word of mouth
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| | essential in order for a strong online
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| recommendations rather than company
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| | brand image to be created.
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| communication. This can only really be
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| | Online customers often interact and
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| achieved by delivering risk free and
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| | experience a brand quite frequently,
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| quality service to every customer. This
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| | making the experience more important than
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| will then encourage existing customers to
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| | perceptions
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| spread the word about the site and this
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| | In order to become strong and successful
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| helps to reduce pre purchase tension in
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| | an online brand should promise:
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| new and prospective customers.
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| | - Convenience (better than offline or
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| There are two models of consumer
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| | with competitors)
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| behaviour that need to be deliberated
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| | - Achievement (help customers achieve
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| upon when thinking about strategies and
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| | their goals)
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| actions to take with the e-commerce site:
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| | - Fun and adventure
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| Expectancy Disconfirmation model -
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| | - Self-expression and recognition (by
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| Potential consumers tend to evaluate
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| | personalisation and customisation)
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| website services by comparing their
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| | - Belonging (to a perceived online
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| expectations with their perceptions and
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| | community)
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| if the perceived service is better than
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| | When branding online, various aspects
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| or at least equal to the expected service
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| | need to be considered. These aspects
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| then the consumer will be satisfied)
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| | include:
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| Perceived Control Perspective - It has
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| | Understand the customer - Requires more
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| been observed that modern people need to
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| | thorough understanding of desired
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| have control over any situations in which
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| | purchase and usage experience in an
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| they find themselves. The higher the
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| | interactive environment
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| level of control over a website service
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| | Continually monitor competitors -
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| situation, the higher their satisfaction
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| | Competitor ads and activities can be
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| with the service will be. This is not as
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| | monitored online
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| simple as it sounds because the e-tailer
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| | Design compelling and complete brand
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| or service provider needs to maintain
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| | intent - Greater opportunity to customize
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| control of the service experience.
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| | key messages.
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| There are various advantages to the
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| | Execute with integrity - Online
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| retailer by using an e-commerce site.
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| | interactions add concerns of security and
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| These include:
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| | privacy
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| Overheads - overhead costs are
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| | Be opportunistic - Customization, early
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| comparatively low when compared to that
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| | recognition of changing customer needs
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| of running a shop (hosting and a domain
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| | requires tailoring of positioning
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| name can cost as little as £120 a year
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| | Invest and be patient - Building brand
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| plus VAT). Obviously storage and
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| | awareness requires significant investment
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| insurance also needs to be considered but
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| | esp. for later movers; building brand
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| the difference in cost is still vast.
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| | loyalty is quicker if targeting
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| On-Line Marketing ¬- by utilising
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| | effectively.
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| various methods of search engine
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| | As can be seen if planned for and
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| optimisation including the publishing of
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| | approached diligently and shrewdly an
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| articles at online article sites,
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| | e-commerce site can be both profitable
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| directory submission and the use of a
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| | and successful. By choosing the right
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| text rich website many potential
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| | product, design, marketing and branding
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| customers can be reached on the internet.
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| | strategy an e-tailer can make the most of
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| The resulting good Search Engine Results
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| | the opportunities presented by the
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| Placement (SERP) can be used to reach out
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| | internet.
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| to new customers who may not have known
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