| Technical and organizational aspects | | | | information technologies. |
| In many cases, an e-commerce company | | | | 12. Providing complete understanding of |
| will survive not only based on its | | | | the products or services offered, which |
| product, but by having a competent | | | | not only includes complete product |
| management team, good post-sales | | | | information, but also sound advisors and |
| services, well-organized business | | | | selectors. |
| structure, network infrastructure and a | | | | Naturally, the e-commerce vendor must |
| secured, well-designed website. A | | | | also perform such mundane tasks as being |
| company that want to succeed have to | | | | truthful about its product and its |
| perform 2 things: Technical and | | | | availability, shipping reliably, and |
| organizational aspects and | | | | handling complaints promptly and |
| customer-orientedFollowing factors will | | | | effectively. A unique property of the |
| make business of companies succeed in | | | | Internet environment is that individual |
| e-commerce: | | | | customers have access to far more |
| 1. Sufficient work done in market | | | | information about the seller than they |
| research and analysis. E-commerce is not | | | | would find in a brick-and-mortar |
| exempt from good business planning and | | | | situation. (Of course, customers can, |
| the fundamental laws of supply and | | | | and occasionally do, research a |
| demand. Business failure is as much a | | | | brick-and-mortar store online before |
| reality in e-commerce as in any other | | | | visiting it, so this distinction does |
| form of business. | | | | not hold water in every case.) |
| 2. A good management team armed with | | | | Customer-Oriented |
| information technology strategy. A | | | | A successful e-commerce organization |
| company's IT strategy should be a part | | | | must also provide an enjoyable and |
| of the business re-design process. | | | | rewarding experience to its customers. |
| 3. Providing an easy and secured way for | | | | Many factors go into making this |
| customers to effect transactions. Credit | | | | possible. Such factors include: |
| cards are the most popular means of | | | | 1. Providing value to customers. Vendors |
| sending payments on the internet, | | | | can achieve this by offering a product |
| accounting for 90% of online purchases. | | | | or product-line that attracts potential |
| In the past, card numbers were | | | | customers at a competitive price, as in |
| transferred securely between the | | | | non-electronic commerce. |
| customer and merchant through | | | | 2. Providing service and performance. |
| independent payment gateways. Such | | | | Offering a responsive, user-friendly |
| independent payment gateways are still | | | | purchasing experience, just like a |
| used by most small and home businesses. | | | | flesh-and-blood retailer, may go some |
| Most merchants today process credit card | | | | way to achieving these goals. |
| transactions on site through | | | | 3. Providing an incentive for customers |
| arrangements made with commercial banks | | | | to buy and to return. Sales promotions |
| or credit cards companies. | | | | to this end can involve coupons, special |
| 4. Providing reliability and security. | | | | offers, and discounts. Cross-linked |
| Parallel servers, hardware redundancy, | | | | websites and advertising affiliate |
| fail-safe technology, information | | | | programs can also help. |
| encryption, and firewalls can enhance | | | | 4. Providing personal attention. |
| this requirement. | | | | Personalized web sites, purchase |
| 5. Providing a 360-degree view of the | | | | suggestions, and personalized special |
| customer relationship, defined as | | | | offers may go some of the way to |
| ensuring that all employees, suppliers, | | | | substituting for the face-to-face human |
| and partners have a complete view, and | | | | interaction found at a traditional point |
| the same view, of the customer. However, | | | | of sale. |
| customers may not appreciate the big | | | | 5. Providing a sense of community. Chat |
| brother experience. | | | | rooms, discussion boards, soliciting |
| 6. Constructing a commercially sound | | | | customer input and loyalty programs |
| business model. | | | | (sometimes called affinity programs) can |
| 7. Engineering an electronic value chain | | | | help in this respect. |
| in which one focuses on a "limited" | | | | 6. Owning the customer's total |
| number of core competencies -- the | | | | experience. E-tailers foster this by |
| opposite of a one-stop shop. (Electronic | | | | treating any contacts with a customer as |
| stores can appear either specialist or | | | | part of a total experience, an |
| generalist if properly programmed.) | | | | experience that becomes synonymous with |
| 8. Operating on or near the cutting edge | | | | the brand. |
| of technology and staying there as | | | | 7. Letting customers help themselves. |
| technology changes (but remembering that | | | | Provision of a self-serve site, easy to |
| the fundamentals of commerce remain | | | | use without assistance, can help in this |
| indifferent to technology). | | | | respect. This implies that all product |
| 9. Setting up an organization of | | | | information is available, cross-sell |
| sufficient alertness and agility to | | | | information, advise for product |
| respond quickly to any changes in the | | | | alternatives, and supplies & accessory |
| economic, social and physical | | | | selectors. |
| environment. | | | | 8. Helping customers do their job of |
| 10. Providing an attractive website. The | | | | consuming. E-tailers and online shopping |
| tasteful use of colour, graphics, | | | | directories can provide such help |
| animation, photographs, fonts, and | | | | through ample comparative information |
| white-space percentage may aid success | | | | and good search facilities. Provision of |
| in this respect. | | | | component information and |
| 11. Streamlining business processes, | | | | safety-and-health comments may assist |
| possibly through re-engineering and | | | | e-tailers to define the customers' job. |