Changing Trends in Ecommerce

Throughout the world, eCommerce spending is increasing at a steady clip and is expected to exceed $7 trillion in 2008. As consumers increasingly opt for virtual stores over traditional brick-and-mortar ones, the manner in which buyers and sellers interact is also undergoing a paradigm shift. James Kuczmarski has an inserting take on this changing phenomenon, which he expressed in the business magazine Fast Company (April 2008). A quick look at his views on the matter:

• A survey was conducted by Pui-lai To (writing in Technovation) with an intention to discover why consumers were increasingly shifting online to address heir buying needs. Pui-lai distributed questionnaires relating to shopping incentives to over 200 students and workers from Taiwan. Cost, convenience and the variety of selection were the expected answers; but what was new was the satisfaction of the users while using this new technology and the sense of adventure associated with trying out this new mode of shopping. Pui-lai calls these "hedonistic motivations"; and it was also noticed that consumers prone to these kinds of motivations had an inclination toward impulse buying when online. Knowing this, online sellers are designing their websites in such a manner that appeals to the sense of adventure and technological competence of these buyers.
  
  


• Looks matter! While many consumers are still concerned about online security and poor vendor reliability, it has been noticed that these concerns are generally reduced when the customers comes across well-designed websites. They are more comfortable while buying form sites that project an aura of professionalism. Also, trust increases when the website is easy to navigate and is user-friendly in other ways (e.g, uses rich web applications intelligently). Comfort leads to an increase in the trust factor, which ultimately leads to more purchases.
  
  


• Negative reviews can easily be overruled by positive experiences. In the online world, perceptions are volatile and prone to change fast. So even if a vendor has got a not-so-good review, the effects can be negated if the Internet shoppers have a positive, personal experience.

eCommerce, in spite of its recent gains, is still in its infancy. As more people come online, the more will the dynamics between the buyer and the seller change. But one thing seems certain – online shopping is growing fast, and there’s no turning back!

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