-The impact of e comme -The impact of e comme rce on traditional shop rce on traditional shop

pingping

-Walailak Thung Ngoen

September 14 , 2010

OutlineOutline

1 . -The development of e commerce

2. Main problems with traditional shopping

3. Plausible solution

4. Critical evaluation of future shopping styles

-1.The development of e com -1.The development of e commmmmmmmmmm

• 1995-2000 : Innovation

• 2001-2005 : Consolidation

• 2006- Present : Reinvention

Laudon ,K.C. & Traver, C.G (2010) E-Commerce 2010, 6th ed.,New Jersey,Pearson education,Inc.,

2. Main problems with traditional sh 2. Main problems with traditional shoppi ngoppi ng

Expense

Inconvenient

Difficulty in pric e comparision

3. Plausible solution 3. Plausible solution

“Online shopping”

Traditional shopping vs online shopping

Shopping style Tradiitional shopping

Online shopping

Factor

1. Price High price Low price

2.Convenience Inconvenient More convenient

3. Price comparision

Difficult to compare prices Easy to compare prices

(Compiled from different sources by Thung-Ngoen W.)

44 . . mmmmmmmm mmmmmmmmmm mm mmmmmm mmmmmmmmmmm mmmmmmmmmm mm mmmmmm mmm pping styles (1 ) pping styles (1 )

US online retail sales are forecast 10% compound annual growth rate by 2014 (Forrester research)

Online sales now account for almost 10% of total retail sales in the UK (BBC website,2010)

 The most rapid growth is among teenagers and old adults. (Laudon and Traver , 2010)

Source : BBC news,1 February 2010 Available : http://news.bbc.co.uk/1/hi/business/8490207.stm [Accessed 07/09/10]

Advantages of Traditional shopping

Social interaction

Face-to-face communication

Shopping experience : touch and feel products

Source : Social Media Marketing Tactics – How To Find The Best http://www.justinharrison.com/page/10

44 . . Critical evaluation of future sho Critical evaluation of future sho pping styles (2 ) pping styles (2 )

Disadvantages of E-shopping

Hidden cost of online shopping

Security and privacy : Cybercrime

Inconvenient : Children or elderly people

“Traditional retail shopping will not be reduced or replaced by online shopping in

the future” (Lokken , 2003,p131)

mmmmmmmmmmmmmmmmmmmm

Kim,J.U., Kim,W.J., & Park,S.C., Computers in Human Behavior. Consumer perceptions on web advertisements and motivation factors to purchase in the online shopping, 26 (1),pp.1208-1222, Available: http://www.sciencedirect.com/science/journal/07475632 [Accessed: 5th September 2010]

 Laudon ,K.C. & Traver, C.G (2010) E-Commerce 2010, 6th ed.,New Jersey,Pearson education,Inc.,

 Lokken, S. L. et al (2003), Comparing online and non-online shoppers. International Journal of Consumer Studies, 27 (2), pp. 126-133, Available: http://academic.csuohio.edu/holcombj/WEBSHOPPING.pdf [Accessed: 2nd September 2010]

 Mulpuru,S & Hult,P (2010) , US Online Retail Forecast, 2009 To 2014 [Online]. Available : http://www.forrester.com/rb/Research/us_online_retail_forecast%2C_2009_to_2014/q/id/56551/t/2 [Accessed: 1st September 2010]

Office of Fair Trading, 2007. Online shopping, [Online] UK: the Office of Fair Trading.Available at: <www.oft.gov.uk/shared_oft/reports/consumer.../oft921.pdf> [Accessed: 31st August 2010]

Appendix

Social Media Marketing Tactics – How To Find The Best http://www.justinharrison.com/page/10

QuestionsQuestions