E commerce_SIOM

transcript

By:- Varun Awasthi Vatan Venkat

SIOM | Symbiosis Institute of Operations Management

Contents

• Definition

• Models

• Trends in India

• How E Commerce Works

• Type of E-commerce

• E-commerce Supply Chain

• Statistics

• Pros and Cons

Definition

• Process of buying, selling, transferring or exchange of products, services and information via electronic networks(internet) and computers

Models

• Pure Click: Companies who got ONLY an online model. NO

offline model

Models

• Brick to Click: A company that has both a retail store and an

online store. A business model which integrates both the offline(bricks) and online(clicks)

Trends in India

• Customer expectations

• Payment Options

• Logistics Management

• Flexibility in the business model

Customer expectations

• Consumers expect the returns process to be seamless and convenient.

• Free door-to-door shipping

• Consumers have been trained to expect low prices.

Payment Options

• Local partnerships are essential to localized payments.

• COD remains too big to ignore.

Logistics Management

• In-house delivery solutions.

• Require in multiple couriers.

Flexibility in the business model

• Be prepared to move beyond English to differentiate longer term.

• eBusinesses must be willing to work with many different partners.

• Advanced Technology - Analytics

How E-Commerce Work

Fig 1 : Basic Model Fig 2 : Multistage Model

Business Consumer

Business

Consumer

Type Of E-Commerce

B2B Commerceone.com

B2C Amazon.com

C2B Priceline.com

C2C Olx.com

B2B: Companies doing business with each other such as manufacturers selling to distributors and

wholesalers selling to retailers. For eg. Commerceone.com, Franchiseindia.com

B2C: Businesses selling to the general public typically through catalogs utilizing shopping cart software. For

eg: Amazon , Flipkart , Jabaong, Myntra

C2B: A consumer posts his project with a set budget online and within hours companies review the

consumer's requirements and bid on the project. For eg: Priceline.com

C2C: Where individuals can buy and sell thanks to online payment. For eg. Olx.com

Few Other Types of E-Commerce G2C (Government-to-Citizen),

C2G (Citizen-to-Government)

Usually include tax payment, issuance of certificates or other documents, etc.

G2E (Government-to-Employee),

It is an effective way to provide E-learning to the employees,

Accessing Of information regarding compensation and benefit policies, training and learning opportunities

and civil rights laws.

This services also includes software for maintaining personnel information and records of employees.

B2G (Business-to-Government),

Provide a platform for businesses to bid on government opportunities.

For Eg: Contract Bidding, Tenders etc

G2B (Government-to-Business),

Part of e-governance, Where information and services are provided by the Government to the Business

Organizations

A Business Organization can get the information about business rules, requirement and permission needed

for starting a new business, and other specifications.

A Business Organization can also download the different forms and submit it online or offline to the related

office.

For Example:

http://www.incometaxindia.gov.in

G2G (Government-to-Government)

Is the online non-commercial interaction between Government organisations, departments, and authorities and

other Government organisations, departments, and authorities.

Few Other Types of E-Commerce

The E-Commerce Supply Chain • Supply chain management is a key value chain composed of:

– Demand planning

– Supply planning

– Demand fulfillment

• E-commerce supply chain management allows businesses an opportunity to achieve:

– Increased revenues and decreased costs

– Improved customer satisfaction

– Inventory reduction across the supply chain

Global Statistics - Growth figures

The global online population as of July 2012 stands close to 1.5 billion users, growing at a rate of 7% Y-o-Y.

Global online growth trend

With a growing user base, the engagement among online users has also grown in the last 12 months.

The Indian Scenario

The total internet user base in India (inclusive of shared devices and mobile) is at 124 million users in the month of July 2012. 1 out of every 10 Indians are making it a 10% online user penetration in India.

The Indian Scenario

Time spent has increased by 33% with users spending 48 billion minutes online in a month

The consumption of content online has increased to 70 billion pages a month, a 28% increase

The Indian Scenario

E-Commerce Global Trend

Travel visitation has an overall reach of around 40% globally and has grown over 12% Y-o-Y

Retail visitation has an overall reach of close to 72% worldwide and has grown over 13% Y-o-Y

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