What is E-Commerce?
E-Commerce stands for electronic commerce. The buying and selling of products over the internet are called e-commerce. Both wholesalers and retailers can start selling online. Electronic commerce makes use of various technologies such as Electronic Instant Fund Transfers, Mobile Commerce, Online Transaction Process, Supply Chain Management, Internet Marketing, Inventory Management System, Electronic Data Interchange, Automated Data Collection, and many more. The World Wide Web is used for at least one part of the transactions in modern e-commerce.
What are the Aliexpress Drop-Shipping stores?
In the dropshipping method, the manufacturer supplies directly to the customer. The manufacturing company does not keep a stock of the product. The buy the raw material from a third-party, prepare the product, and have that product supplied directly to the customer without anything in between. The seller does not need to own an inventory in this method and there are no wholesalers or retailers in between. Aliexpress is a Chinese online retail service that allows us to sell through the drop shipping method. The Ali-express drop shipping stores have been very successful.
Impact of E-Commerce on Market & Retail
E-Commerce is growing at a pace that the traditional market can not match. Some of the reasons why Traditional Market is struggling are:
- The Online market was expected to grow almost by 56% between 2015-2020 compared to just a 2% growth in the traditional market.
- The traditional retailers are struggling because of the e-commerce sellers’ ability to offer an extremely low price and home deliveries. Some large retailers are starting to take their business online so that they have a great online presence along with their offline presence.
- The customers of e-commerce are bounded by geographical boundaries and can buy anything over the internet anytime and from anywhere around the globe. Traditional retailers can showcase fewer products because of the low shelf space available to them but, the online sellers can display all the products they have.
The total e-commerce sales throughout the world amounted to 2.3 Trillion US dollars in 2017 which is expected to grow to 4.88 Trillion US dollars in 2021.
Impact Of E-commerce on Customers
Shopping has become much more convenient for customers only because of online shopping.
Some of the perks as a customer of buying online are:
- Customers don’t have to leave their homes and wander in the bright sun just to buy a few products which are not sold in the shops near their home.
- You get the power as a customer to check out and compare the prices offered by a wide range of retailers and choose to buy at the best price offered.
- Various online stores offer discount coupons and sales during holiday seasons due to competition. The customer is benefitted the most in the competition.
- Offline retailers often refuse to take a product back but this is not the case in online shopping. The products which are marked refundable can be returned within the refunding period.
Due to all these facilities provided by online shopping, customers are moving towards online shopping day-by-day. Earlier, customers used to worry about the fraud but now they have started to trust the online stores.
E-commerce has broken down all the geographical & time barriers when it comes to commerce. Sitting in India, we can buy a product from a seller in the USA and the product will be delivered to us at our doorsteps. Even during the difficult days of widespread COVID-19 pandemic, it is preferred to stay home and visit outside as rarely as possible. We must prefer to buy all the products sold online over the internet. It prevents us from meeting people and helps to avoid social gatherings.