In its simplest form E-commerce is the buying and selling of products and services by businesses and consumers over the Internet. People use the term “ecommerce” to describe encrypted payments on the Internet.
Sometimes these transactions include the real-time transfer of funds from buyer to seller and sometimes this is handled manually through an eft-pos terminal once a secure order is received by the merchant.
Internet sales are increasing rapidly as consumers take advantage of lower prices offer by wholesalers retailing their products. This trend is set to strengthen as web sites address consumer security and privacy concerns.
Business To Consumer Transaction
At first, Business To Consumer trading activity has been slow to take off as consumers had doubts about the security of credit card transactions. Initial B2C trading focused on music CDs, software and books – items which were compact and easily shipped and where prices could be slashed once the retailer’s cut was taken out of the margin. The Amazon website would be a good example of this.
Ebay has transform purchasing behaviour on the web. Many people have made their first E-commerce transaction on Ebay. Many people sell on Ebay too, given raise to the work-from-home/drop shipping model of E-commerce.
Sales are increasing rapidly on the Internet, the volume of turnover figures continue to increase and below are examples of this:
Thanksgiving Day Weekend Shopping
- 226 million consumers visited stores and shopped online, up from 212 million in 2011.
- The average shopper spent US$398.62
- In 2011 52.4 billion was spent, an increase of 16% from 2010 when 45 billion was spent shopping.
- Shoppers made 9.8% of their online purchases from mobile devices, up from 3.2% in 2010.
- Mobile traffic increased 14.3% in 2011 compared to 5.6% in 2010.
- Paid search increased 128%, making Black Friday 2011 the most ever spent on paid search.
- From 2010 to 2011 Black Friday sales were up 24.3%
- Online and Offline sales grew 39.3% at 11.4 billion, with 17.37% of shoppers visiting retailers’ sites.
- From 2010 to 2011, Cyber Monday sales were up 33%.
- 10.8% used a mobile device to visit a retailer’s site on Cyber Monday, up from 3.9% in 2010.
- Cyber Monday 2011 was the heaviest online shopping day in history at 1.25 billion in sales.
- Half of the dollars spent online at U.S. websites originated from work computers.
- 2011 Mobile sales were up reaching 6.6% on Cyber Monday vs. 2.3% in 2010.
- Social discussions leading up to Cyber Monday increased 115% YoY.
Online and Mobile Shopping Predictions
- More consumers will shop on mobile devices
- Web shoppers who plan to visit stores will drop
- The average consumer who shops online will make 6% of their holiday purchases from a mobile phone. 62% online and 32% in stores.
The invention of faster internet connectivity and powerful online tools has resulted in a new commerce arena. Looking for an E-commerce integration? Consider hiring a Melbourne marketing expert for all your marketing needs, contact Milkshake-factory.com for complete marketing solutions.