The Top Secret Truth Behind E-commerce

THE TOP SECRET TRUTH BEHIND E-COMMERCE

What I am about to share with you is shocking.

First, what is e-commerce?

According to Wikipedia:
“Electronic commerce, commonly known as e-commerce or eCommerce, consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks.”

Over the past couple of years, e-commerce is gaining popularity among shoppers and retailers.  The internet has become a medium by which buyers and sellers, from all over the globe, can now meet on a level playing field.  With increased technologies in databases, shipping and “web 2.0” technologies, e-commerce is becoming the premier shopping portal for consumers.  Many companies today are solely web based without any physical store front.  This brings better prices to consumers because of the decreased cost of operating businesses.

E-commerce is now a completely separate industry with its own advertising and systems.  In the next couple of years, we are going to see huge advancements in web design that is going to make shopping online easier than it has ever been. 

Now...you are probably wondering...WHAT IS THE TOP SECRET TRUTH BEHIND E-COMMERCE?

EVERY MAJOR RETAILER WANTS YOU TO SHOP ONLINE!

It’s true.  Everyone from Target to Home Depot would rather you shop from their websites than in their stores.

Why would they want you to shop through the web?

1. Overhead is decreased dramatically. Think about this concept for a second.  It is actually really simple to understand.  With more online shopping, there are less employees, stores, utility bills, maintenance, expensive land costs, location selections, etc.  As these costs decrease, margins and profits increase...even at lower prices.  Online business is extremely profitable for large retailers.  Many times, you will see special online only deals to seduce consumers into purchasing their items online.  Circuity City (and many other chain retailers) also offer in store pick-up for online purchases.  This equals one less worker on the floor in the store.


2. Inventory. Major retailers can keep inventory in central warehouses for shipment.  This is not only much simpler, but inventory can be tracked better to keep lower volumes.  This keeps interest payments on inventory at a minimum and labor rates down due to less employees.


3. With online shopping, retailers are able to reach a consumer base cheaply that they may never have reached before. Now, Sally in a small town in Arizona, can shop at a store where the closest one is several hundred miles away from the comfort of her own home.  E-commerce has gotten rid of regional shopping completely.  On a larger scale, companies in different countries are able to meet the needs of other countries across the globe with very low setup costs.

What does all of this equal for us...the consumer?

Ideally, better products at a lower price.

Competition in the market place has been stepped up dramatically.  Over the next couple of years, you are going to see an overwhelming increase in e-commerce benefits from large retailers that used to rely on storefronts for the bulk of their business.

It is up to you to take full advantage of this opportunity.  E-commerce is making shopping easier than ever.  The possibilities are endless.  As close as next year, many people are going to be grocery shopping online.  Be on the lookout...the consumer retail market is on the verge of a huge change.  Online shopping is going to equal HUGE SAVINGS.