E commerce

By Niaz Ahmed Asad Mazhar Taha Yaseen & Jawed

Presentation 2009

Contents

Acknowledgement What is E commerce

E commerce Functions
Types of E commerce Global E commerce Interpretation E commerce and Pacific Objectives Plans

Examples
Transactions Marketing your Website Conclusion

What Is E commerce?
Electronic commerce or e-commerce refers to a wide range of online business activities for products and services. It also pertains to any form of business transaction in which the parties interact electronically rather than by physical exchanges or direct physical contact.

What Is E commerce?
E commerce is enabling or achieving your business objectives by using information technology to enhance or transform your business processes.

E commerce Functions
You may have thought about
Shopping online Purchasing online Selling or bidding Paying bills online Banking online

E-Commerce provides these functions and many more.

E commerce Functions

Type of E commerce
Business to business (B2B)
automating supply increasing business efficiency

Business to Consumer (B2C)

Retail Sales Customer Support

Business to Government (B2G)

Online Auctions

Consumer to Consumer (C2C)

Type of E commerce
Business to Business (B2B) B2B e-commerce is simply defined as ecommerce between companies.B2B type of e-commerce that deals with relationships between and among businesses. About 80% of e-commerce is of this type, continue to grow faster than B2C. Automating supply Increasing business efficiency

Type of E commerce
Business to Consumer (B2C) B2C commerce between companies and consumers involves customers gathering information; purchasing physical goods i.e. tangible such as books or consumer products or information goods. The more common application of this type of e-commerce are in the areas of purchasing products and information.

Type of E commerce
Business to Government (B2G) B2G is generally defined as commerce between companies and the public sector. As it relates to the licensing procedures, and other government related operations. The size of the B2G commerce is insignificant as government eprocurement systems remain undeveloped in the country.

Type of E commerce
Consumer to Consumer (C2C) C2C is simply commerce between private individuals or consumers. This type of e-commerce is characterized by the growth of electronic marketplace and online auctions. Particularly in vertical industries where firms/businesses can bid for what they want from among multiple suppliers.

E commerce
ecommerce is more then just an online shop selling goods. Businesses make huge savings by more efficient interaction with their suppliers or buyers.
A local pharmacist orders 60% of his supplies from an overseas pharmaceutical suppliers website and saves 5% in his purchases - is this ecommerce? A remote Fiji resort attracts guests from the USA after several exchanges of email. Is this ecommerce?

E commerce Global
400 million users of Internet worldwide 2000 US online retail sales - US$30bn. 2004 US online retail sales US$6.9 trillion US Online buying will reach US$6.9 trillion 2008/2009. electronic payment of bills and banking will cost US Postal Service $17bn over 10 years.

Interpretation ?
Consumers are willing to spend money on online transactions. Despite the recent dot.com drop in investment - consumers continue to use the Internet in growing numbers. The US figures are only part of the global picture.

What is Working?
Pornography Travel / Tourism Retail - items that dont need personal touch objectivity in product quality and performance music, books, gifts, Computers, electronic items Auctions Real Estate - houses and investment properties. Customer support services
More efficient and effective processes between businesses (B 2 B)

Demonstrations - Tourism
Tourism: www.tongaonline.com/sailingsafaris Sailing Safaris - Tonga
One boat operation in 1996 from small island base Competing with 2 multinational yacht companies with global marketing network Since 1997 - 80% of business from web site. This statistic 60-80% of bookings from web inquiries is common to Tourism operators in the Pacific.

Example 1 - Tourism
Pacificnavigator.com - Travel Portal One stop shop for travel info and bookings. 9 Pacific Island Countries Travel Information and Bookings Sticky Items - bring people back to site
message boards for comments News Postcards

Example 2 - Retail
Artifacts - Papua New Guinea www.niugini.com - PNG Portal Sticky Features
Forums, News, Chat, Postcards, Info pages Sells PNG artifacts.

Transactions via email and bank transfers Great product but management and operation issues and no online transactions.

Objectives?
Why get online?
Promote awareness of your Organization Sell a product Customer support Information and contact page Networking Everyone else has a web page

Plan
What is your product?
Electronic, Services or physical Portable and inexpensive to deliver Tourism

Who is your market?

Overseas Fish buyers Upper income art collectors Budget travellers / Up market

Obstacles, Implementation and deadlines.

Transactions
1. Getting paid online is very difficult in the Pacific. Many banks will need a large deposit or a strong relationship to allow a SME to open a merchant / credit card processing account at a bank. Alternatives include:

Bank transfer / wire Credit Cards

Merchant account Manual / Automated processing Third party processing
paypal.com

Conclusion
Despite infrastructure limitations in the Pacific, the target market in developed countries are likely to be Internet users. If unsure, start small. An existing website helps develop your capacity to interact with customers and measure web potential. Lobby Government for effective IT Strategy that develops infrastructure and builds local capacity.

E-Commerce

THANKS