Retail Management by ProfessorBurgerQueen
Online Retailing
- a form of electronic commerce whereby retailers offer goods, services and
information to customers using the Internet.
- Key drivers of online shopping
- Convenience, lower product costs, faster delivery, flexible delivery options,
and safer ways to pay
- Online security of payments and the possibility of not receiving items ordered
online are some of the main factors hindering online shopping.
- Key online shopping purchases
- Clothing, digital goods, event tickets, travel or transportation purchases,
electronics and physical
Advantages
1) Online retail stores are less costly to set up than a traditional store
2) Online stores are open 24 hours a day, seven days a week
3) Online stores increase national and international reach
4) Online retail stores require fewer employees
5) Online stores can offer more items
6) Customers can promote products more easily online
Disadvantages
1) Less customer contact online
2) More competition online
3) Online products cannot be touched
4) Delivery costs of products bought online
5) Less impulse buying
6) Online retail shopping perceived to be risky
Internet Business Models for Online Retailing
- Merchant model
- Manufacturer-direct
- Affiliate
- Community
Online Retailing
- a form of electronic commerce whereby retailers offer goods, services and
information to customers using the Internet.
- Key drivers of online shopping
- Convenience, lower product costs, faster delivery, flexible delivery options,
and safer ways to pay
- Online security of payments and the possibility of not receiving items ordered
online are some of the main factors hindering online shopping.
- Key online shopping purchases
- Clothing, digital goods, event tickets, travel or transportation purchases,
electronics and physical
Advantages
1) Online retail stores are less costly to set up than a traditional store
2) Online stores are open 24 hours a day, seven days a week
3) Online stores increase national and international reach
4) Online retail stores require fewer employees
5) Online stores can offer more items
6) Customers can promote products more easily online
Disadvantages
1) Less customer contact online
2) More competition online
3) Online products cannot be touched
4) Delivery costs of products bought online
5) Less impulse buying
6) Online retail shopping perceived to be risky
Internet Business Models for Online Retailing
- Merchant model
- Manufacturer-direct
- Affiliate
- Community
