Business on the INTERNET- Today’s road to ecommerce and Global Trade
Everyone is aware of the stupendous growth of the internet today. The Internet continues to grow day by day and has made Global Village a reality. In a matter of very few years, the Internet has consolidated itself as a very powerful platform that has changed the way we do business, and the way we communicate. The Internet, as no other communication medium, has given an International or, if you prefer, a “Globalized” dimension to the world. Internet has become the Universal source of information for millions of people, at home, at school, and at work.
History and Growth of the Internet
The number of Internet users in December 1995 was 16 million and it has grown to a whooping 1,596 million by March 2009. This clearly reveals that you cannot ignore the power of Internet when it comes to business profitability.
Be Everywhere by being Online or Be Nowhere
Today, to compete anywhere, you have to be everywhere,” says Jeffrey Grau, eMarketer Senior Analyst and author of the new Multi-Channel Shopping.
Online Shopping is a Growing Trend
With its advent in the early 1990s, online shopping has spread into every corner of life, linking people to the culture of capitalism in frequent and daily ways. It lets us buy what we want, when we want, at our convenience, and helps us to imagine ourselves buying, owning, and having positive outcomes by the goods available out there on the web. For some, shopping has become a way of identifying oneself in today’s culture by what we purchase and how we use those purchases. Online shopping has always been middle to high class commodity since its first arrival on the internet in society.
Why do consumers prefer online shopping?
- Consumers enjoy a wider choice.
- Overall ease of finding a product
- Minimization of overall shopping effort
- No need for vendors and no pressure to buy
- SAVES TIME!
- Consumers can check Greatest Selection than Any One Store
- Find the Exact Product You Want
- Best of All – They find the best price!
Advantages of E-commerce
E-commerce levels the playing field for retail businesses. Even if you’re a small, home-based company, you can establish a global reach with a simple Web site. Anyone, anywhere with an Internet connection can read about your product, and even better, buy it! You don’t have to set up physical locations in different cities. You just need to invest in a good Web site design and the right online advertising to catch the attention of potential online clients. Plus the Internet never closes. This means that your Web site is working for you 24/7. People can read your marketing materials, test drive your products and buy them outside of normal business hours.
E-commerce Product Sales
E-commerce product sales totaled $146.4 billion in the United States in 2006, representing about 6% of retail product sales in the country. The $18.3 billion worth of clothes sold online represented about 10% of the domestic market. Take a look at other industries
- Not having a website means closing the door to thousands and even millions of dollars.
- If you own a business and you don’t have a website, get one.
- If you do have a website, but it only serves as an online business card, then you are leaving money on the table.
- Websites can do so much more than just promote your business. They can make automated passive sales for you from a variety of different products.
- Your website is actually a profit centre for your business and within that profit centre you have multiple streams of passive income opportunities.
Future of Ecommerce
Despite economic slowdown and fears of recession hitting the UK, The 2008 ecommerce sales were recorded to be over 50 billion. This is an increase of over 25% from 2007. Online marketing experts predict that online sales will continue to rise steadily in the UK B2C market overall over the next two years at least. More and more people are shopping online creating the possibility for success in an online business.
Planning and marketing strategy are important
A well thought out and detailed plan along with an effective marketing strategy are essential for an ecommerce business to succeed. Simply developing an ecommerce website without a well planned strategy is not sufficient to succeed.