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E-commerce Benefits and Effects on Market

  • By Software Devs
  • July 22, 2021
  • 0 Comment


eCommerce can simply be defined as, any kind of business transaction that takes place online, the most common illustration is online shopping.

The buying and selling of a physical product through the internet in the absence of a Brick-and-mortar store (In some cases the business is developed having both aspects in consideration).

eCommerce has affected the market in a greater aspect. In ways like increased Productivity and reversed pressure on Inflation. Due to the higher competition and the global reach. Many small-scaled retail stores in the past have gone Bankrupted, and the only way to survive is to adapt the modern approach and cop up with the competition by getting established through both means.

eCommerce Benefits and Effects on Market

In terms, we have got both benefits and Drawbacks.

Let’s first get into the Benefits of eCommerce on the market

Increased Reach (Globally)

People from any corner of the world can market and reach the products. In a way exposing the local market and regional commodities globally. Anything you want can be available in the tip of your fingers

Transactions at their Comfort

People do not have to worry about finding the location of the store and arriving to find products out of stock, or having to stand in never ending queue at the billing section. At the same page the seller doesn’t have to worry about the infrastructure and the aesthetics of the store. The consumer can order things at home, while they’re travelling at their own comfort or availability

Wide range of options to choose from

A product in an eCommerce website gets segregated into different detailed categories and as a result of global market you get a wide range of options to choose from

Offering Discounts and attracting the crowd

Wide range of options results in an increased competition amongst the sellers and reseller which results in a reasonable price drop and also most of the e- commerce websites come up with a sale that’s valid for a certain period of time which grabs attention of good number regular user’s and also recommend the new ones.

Retargeting through various Platforms

in the case of a physical store, when a customer comes in and likes a product but will not decide to buy a product due to high price or confusion. The seller will not be able to remind the customer about the product. But in the case of an eCommerce website all the other social media platforms help the seller remind the product.

Personalizing shopping

Personalizing the shopping could be a difficult task in a physical store, but in case of the website as a result of previous search and purchase data and also with the help of Filters customer gets a personalized shopping Experience

Personalized Messaging

Through websites and apps, we get access to the customer’s mobile number and e-mail id through which the seller can send in personalized messages and offers available at the store. Which indirectly increases the rate of sales

Curating the best Content

At physical stores, the customer will not be able to Figure out a detailed description of the product whereas in an e-commerce site the content of the material can be described in a detailed manner.

Jumping on to the aspect of Drawbacks

Absence of Touch and Feel factor

The only Major Drawback of e-commerce is that the customer cannot touch and feel the Product, and there still exist many products which cannot be Purchased through eCommerce, for instance, Heels.

Customer Reviews

Customer reviews can also become a benefit and disadvantage. Sometimes the customer loses Patience and just drops off a comment instantly which can negatively affect the reach of the product

Security issues

Adding a card number for payment and adding personal information can be risky if the particular e-commerce website or app is not from a trusted platform

Lack of privacy

Privacy is at stake, where all the data regarding customers is accessible to the seller.

Tax issues

as we add the products to the cart, the estimated cost never matches the actual cost because of the Tax issues that rise up eventually

Long delivery period

Delivery gets extensively delayed at certain times which serves no purpose in terms of marketing and holding the customers intact

Click here to learn more about eCommerce Website Development.