e-commerce: technology and business development

E-Commerce:E-Commerce:Technology andTechnology and

Business Development Business Development

Andy DiazAndy DiazSofia MayorSofia Mayor

Chris RatiganChris Ratigan

E-CommerceE-Commerce

The The distributingdistributing, , buyingbuying, , sellingselling, , marketingmarketing, and , and servicingservicing of goods and of goods and services over public and private services over public and private computer networks.computer networks.

Includes all the business activities of Includes all the business activities of the sales cycle.the sales cycle.

Scope of E-CommerceScope of E-Commerce

Facilitation of commercial transactionsFacilitation of commercial transactions

Development of information analysisDevelopment of information analysis

Emergence of web commerceEmergence of web commerce

Facilitation ofFacilitation of Commercial Transactions Commercial Transactions

Electronic Data Interchange (EDI)Electronic Data Interchange (EDI)Transfer of Transfer of datadata..

Electronic Funds Transfer (EFT)Electronic Funds Transfer (EFT)Transfer of Transfer of moneymoney..

Internet and the World Wide WebInternet and the World Wide Web

EDIEDI American National Standards InstituteAmerican National Standards Institute (ANSI) (ANSI) X12 standards X12 standards HTML HTML XML and Web Services XML and Web Services

EFTEFT Programs – ex. Direct DepositPrograms – ex. Direct Deposit Transactions – ex. POS transactionsTransactions – ex. POS transactions Automated Clearing House (ACH)Automated Clearing House (ACH)

Facilitation ofFacilitation of Commercial Transactions Commercial Transactions

Information AnalysisInformation Analysis

Enterprise Resource Planning (ERP)Enterprise Resource Planning (ERP) Customer Relationship Management (CRM)Customer Relationship Management (CRM) Supplier Relationship Management (SRM)Supplier Relationship Management (SRM)

Data MiningData Mining

Data WarehousingData Warehousing

Web CommerceWeb Commerce

EmailsEmails

Web bannersWeb banners

Personal accounts Personal accounts

Shopping cartsShopping carts

Electronic paymentsElectronic payments

Secure connectionsSecure connections

E-Commerce TodayE-Commerce Today E-bankingE-banking

PC banking PC banking Online Banking Online Banking

Offshore manufacturing, imports, Offshore manufacturing, imports,

exportsexports

Laws, taxes, commercial documentsLaws, taxes, commercial documents

E-logisticsE-logistics

Shipment tracking, reportingShipment tracking, reporting

Success factorsSuccess factors

Good productGood product

Competent management teamCompetent management team

Good post-sales servicesGood post-sales services

Well-organized business structure and Well-organized business structure and network infrastructure network infrastructure

Secured, well-designed websiteSecured, well-designed website

Successful E-CommerceSuccessful E-Commerce

There are various factors that must be There are various factors that must be considered in setting up or expanding considered in setting up or expanding into a successful e-commerce into a successful e-commerce business.business.

Security MeasuresSecurity Measures

Fraudsters will divert approximately US$3.6 Fraudsters will divert approximately US$3.6 billion from U.S. e-commerce in 2007, a 20 billion from U.S. e-commerce in 2007, a 20 percent increase over 2006percent increase over 2006

Traffic to many of the largest shopping Web sites soared 37 percent over last years Cyber Monday.

Attitudes toward privacy and security have Attitudes toward privacy and security have changed.changed.

E-Commerce SecurityE-Commerce SecurityHTTPS - You know that you're on an SSL HTTPS - You know that you're on an SSL protected page when the address begins with protected page when the address begins with "https" and there is a padlock icon at the "https" and there is a padlock icon at the bottom of the page.bottom of the page.

SSL is all about encryptionSSL is all about encryption

SSL - SSL uses PKI and digital certificates to SSL - SSL uses PKI and digital certificates to ensure privacy and authentication.ensure privacy and authentication.

SSL CertificatesSSL Certificates

Most important part of e-commerce Most important part of e-commerce security is the SSL certificate.security is the SSL certificate.

The SSL certificate helps to prove the The SSL certificate helps to prove the site belongs to who it says it belongs site belongs to who it says it belongs to.to.

SSL Certificate Vendors with CredibilitySSL Certificate Vendors with Credibility

E-Commerce ExperienceE-Commerce Experience

Concerned more with user Concerned more with user experience. experience.

Less Patience with sites.Less Patience with sites.

Web AnalyticsWeb AnalyticsHelps improve your page design, Helps improve your page design, layouts and other factors that effect layouts and other factors that effect how visitors interact with a site.how visitors interact with a site.

Tracking tools can also help Tracking tools can also help eCommerce merchants to improve their eCommerce merchants to improve their ad spend and conversion rate from ad spend and conversion rate from sponsored listing programs like Google sponsored listing programs like Google AdWords. AdWords.

Search and CategorizationSearch and Categorization

Search Usability is key for creating a Search Usability is key for creating a successful e-commerce business.successful e-commerce business.

Search QuerySearch Query Spotlighting Spotlighting Boosting Boosting Query Rewriting Query Rewriting

Search AnalyticsSearch Analytics

Search Entry PagesSearch Entry Pages

Time TrackingTime Tracking

SERP Click-Through Rates SERP Click-Through Rates

Bail Rates Bail Rates

Software for AnalyticsSoftware for Analytics

Various Software availableVarious Software available

You have to know what the information You have to know what the information means and how to use itmeans and how to use it

Consumer UsabilityConsumer UsabilityDesign – everything down to the smallest Design – everything down to the smallest detail in design affects e-commerce.detail in design affects e-commerce.

Good Search CategorizationGood Search Categorization

Servers (outages)Servers (outages) Yahoo’s Merchant Service had outages that cost Yahoo’s Merchant Service had outages that cost

many merchants a lot of business on Cyber many merchants a lot of business on Cyber Monday.Monday.

CheckoutCheckout

LogisticsLogistics

Shipment and ManagementShipment and Management

Big Business – AutomatedBig Business – Automated

Small Business – prone to human error because Small Business – prone to human error because its manual its manual

Consumers will be unhappy if they don’t have Consumers will be unhappy if they don’t have reliabilityreliability

Technical and Organizational Aspects of Technical and Organizational Aspects of E-Commerce.E-Commerce.

Market Research and AnalysisNew business plan Launch a new product or

serviceExpand into a new market

Good Business Planning

Traditional Business Plans. Quicken Writing An Effective Plan. Small Business Administration Business Plan Outlook

SoftwarePalo Alto Software Business Plan ProBusiness Resource Software Business Plan Outlook

Understanding Supply and Demand

IT and Management TeamsIT and Management Teams

Good management teams armed with an IT Strategy to build new software products, add value to the business, and service the customers.Software for virtual teams. (Groupware)

E Business CanIncrease employee productivityIncrease employee effectivenessDecrease cost of business Increase Competitive AdvantageIncrease communication within business, with suppliers, and with customers.

Transactions: Digital Signatures: Evidence of online contract.Click wraps: Establish business rules

Payments: 90% of transactions are made by credit cards

Payment Gateways: Still used by most small and home businesses.Merchant Account:

PayPalCyberCash

Questions?Questions?