1. Give the Brief Introduction of e-retailing.
Electronic retailing or e-retailing is defined as the process of selling the products or services through electronic media. This is the way of trading goods or services through internet. With the rapid development of technology, majority of the customers are showing interest towards purchasing products as it is the most effective way of getting desired products in a timely and cost effective manner. E-retailing comprises of business-to-business (B2B) and business-to-consumer (B2C) sales which are the key factors selling goods or services. It is imperative for the companies to implement innovative business model for the sake of practicing e-retailing and thereby keep the majority of the customers attracted. There are two of the most imperative types of e-retailers which include:
These types of retailers only run their business online and don’t have any kind of physical outlet. Amazon is one of the major examples of pure Play e-retailer.
- Brick and click e-retailers
This type of retailer sell their products in both online and offline platform. One of the most popular examples of brick and click e-retailer is Dell.
Building out distribution channels such as warehouses, internet webpages, and product shipping centers is one of the most significant factors of practicing e-retailing with utmost efficiency. Developing strong distribution channel is one of the major factors electronic retailing as it supports in ensuring appropriate movement of products or services as per the requirements of the customers.
2. When did the e-retailing has been started and whom?
Prompt development of internet has played a major role in the way of promoting e-retailing. The trend of selling products online has been started in the year 1991. Amazon was the first company to practice e-commerce and sell their products online.
3. What was the need of this e-retailing?
The development of internet and technology is playing a critical role for the customers to buy the products online as it is the easiest way of getting the desired products in a timely and cost effective manner. The trend of e-retailing is developing at an astonishing rate and playing a critical role for the companies to increase their statistics of sales. Accessing the potential market easily is one of the major advantages of e-retailing, It is imperative to mention in this context that online market place serves as a significant basis for the companies to sell their products or services by accessing a potential base of customers.
In addition to that e-retailing is the major way of decreasing the additional cost of operation by removing the need of expensive retail premises. This is the way, through which the organizations can make significant investment in the better marketing which is the key of improving the experience of the customers in the e-commerce site. With the assistance of e-retailing, the companies can accelerate their market beyond the local customers which is the key of attaining a strong position in the highly competitive market.
4. What are the uses of these e-retailing?
Online shopping has become the major trend among the customers as it is the easiest way of buying desired thing in a simple click. This trend among the customers is acting as a driving force behind the firms to run their business in the online platform and thus attract wide ranges of customers. In order to utilize the e-retailing, initially it is imperative for the companies to set a consistent web server. This is the way, through which the companies can manage the orders placed by the customers and deliver the products as per the requests of the customers. In addition, a stock data vase must also be maintained by the customers. This is the way, through which the companies can order new supplies from the wholesalers or manufacturers and provide the information to the customers regarding the expected delivery time.
5. What is the Criticism of e-retailing?
It is true that the e-retailing is the best way of attracting a potential base of customers which is the key of keeping the business profitable. However, planning, designing, creating, hosting, securing and managing an extremely professional e-retailing platform requires heavy cost which can lead the companies to face the issues related to excessive cost of operation. In addition, huge infrastructure cost can also affect the financial compatibility of the company. Security and fraud are also some of the major issues which might be faced by the companies who are running their business online.
6. What is the related topic and concept of e-retailing?
The fundamental characteristics of e-retailing are as follows:
- It provides the companies with the capability of conducting business through online
- It is the platform of selling products via internet
- Building business-to-business relationship
- E-distribution of products & services
- Exchange of relevant information to the customers
- Building and maintaining cordial relationship with the customers