Unit 2
Various Activities of E-Commerce
E-commerce (electronic commerce) involves a variety of activities related to buying and selling
goods and services online. Here are some of the key activities of e-commerce:
1. Online Buying and Selling
• Businesses and individuals sell products and services through e-commerce websites (e.g.,
Amazon, eBay, Shopify).
• Customers browse, select, and purchase goods using digital payment methods.
2. Electronic Payment Processing
• Use of payment gateways like PayPal, Stripe, and Razorpay.
• Digital wallets (Google Pay, Apple Pay) and cryptocurrency transactions.
• Cash on delivery (COD) as an alternative payment option.
3. Order Processing and Fulfillment
• Managing orders from placement to shipment.
• Logistics and supply chain management.
• Use of warehousing and inventory management systems.
Cont..
4. Digital Marketing and Advertising
• Social media marketing (Facebook, Instagram, TikTok ads).
• Search engine optimization (SEO) and pay-per-click (PPC) advertising.
• Email marketing campaigns and influencer partnerships.
5. Customer Relationship Management (CRM)
• Providing customer support via chatbots, emails, and calls.
• Handling returns, refunds, and complaints.
• Loyalty programs and personalized recommendations.
6. B2B, B2C, and C2C Transactions
• B2B (Business-to-Business): Companies selling to other companies (e.g., Alibaba).
• B2C (Business-to-Consumer): Businesses selling to consumers (e.g., Amazon,
Flipkart).
• C2C (Consumer-to-Consumer): Individuals selling to other individuals (e.g., eBay,
OLX).
Cont..
7. Mobile Commerce (M-Commerce)
• Shopping via mobile apps and responsive websites.
• Use of push notifications for promotions and deals.
8. E-Learning and Digital Services
• Selling online courses (Udemy, Coursera).
• Subscription-based services (Netflix, Spotify).
• Digital product sales (ebooks, software, templates).
9. Dropshipping and Affiliate Marketing
• Selling products without holding inventory (dropshipping model).
• Earning commissions by promoting third-party products (affiliate marketing).
10. Data Analytics and Personalization
• Analyzing user behavior for better recommendations.
• Using AI and machine learning to predict shopping trends.
Various Modes of Operation Associated with E-
Commerce
E-commerce operates through various modes based on the type of transactions and the
business model. Here are the key modes of operation associated with e-commerce:
1. Business-to-Business (B2B)
• Involves transactions between businesses.
• Examples: Alibaba, IndiaMART, ThomasNet.
• Typically involves bulk orders, wholesale pricing, and supply chain management.
2. Business-to-Consumer (B2C)
• Direct selling of products/services from businesses to consumers.
• Examples: Amazon, Walmart, Flipkart.
• Includes retail, online shopping, and digital product sales.
3. Consumer-to-Consumer (C2C)
• Individuals buy and sell products/services to each other via a third-party platform.
• Examples: eBay, OLX, Facebook Marketplace.
• Common for resale of used goods, auctions, and peer-to-peer selling.
Cont..
4. Consumer-to-Business (C2B)
• Consumers provide products/services to businesses.
• Examples: Freelance platforms like Fiverr, Upwork, influencer marketing.
• Includes user-generated content, reviews, and affiliate marketing.
5. Business-to-Government (B2G)
• Businesses offer goods and services to government agencies.
• Examples: Government e-Marketplace (GeM) in India, e-procurement portals.
• Common for contracts, tenders, and IT services.
6. Government-to-Business (G2B)
• Government provides services to businesses through online platforms.
• Includes taxation, licenses, permits, and regulatory filings.
• Examples: Online GST filing, business registration portals.
Cont..
7. Government-to-Consumer (G2C)
• Government agencies deliver services directly to citizens via digital platforms.
• Includes online bill payments, tax filing, e-governance, and social welfare
programs.
• Examples: Digital India initiatives, IRS tax filing (USA).
8. Mobile Commerce (M-Commerce)
• E-commerce transactions conducted via mobile devices and apps.
• Examples: Amazon app, Google Pay, Uber Eats.
• Includes mobile payments, mobile banking, and location-based services.
9. Social Commerce
• Buying and selling directly through social media platforms.
• Examples: Instagram Shopping, Facebook Marketplace, TikTok Shop.
• Uses influencer marketing, live selling, and social ads.
Cont..
10. Subscription-Based E-Commerce
• Businesses provide goods/services on a recurring basis.
• Examples: Netflix, Spotify, Amazon Prime, Dollar Shave Club.
• Involves memberships, SaaS (Software as a Service), and digital content.
11. On-Demand Services
• Businesses offer services instantly through digital platforms.
• Examples: Uber (ride-hailing), Swiggy (food delivery), TaskRabbit (home
services).
• Focuses on quick fulfillment and real-time access.
Matrix of E-Commerce Types
E-Commerce Type Business (B) Consumer (C) Government (G)
Business-to- ✅ Sells to
✅ Sells to Business ❌
Business (B2B) Government
Business-to- ✅ Sells to ✅ Buys from
❌
Consumer (B2C) Consumers Business
Consumer-to- ✅ Sells to
❌ ❌
Consumer (C2C) Consumers
Consumer-to- ✅ Buys from
✅ Sells to Business ❌
Business (C2B) Consumers
Business-to-
✅ Sells to
Government ❌ ✅ Government Buys
Government
(B2G)
✅ Government ✅ Government
Government-to-
Sells/Provides ❌ Services to
Business (G2B)
Services Business
✅ Government
Government-to- ✅ Government
❌ Services to
Consumer (G2C) Provides Services
Consumers
Explanation of Each Type in the Matrix
1. B2B (Business-to-Business) → Companies sell to other companies (e.g.,
Alibaba, SAP).
2. B2C (Business-to-Consumer) → Businesses sell directly to individuals (e.g.,
Amazon, Walmart).
3. C2C (Consumer-to-Consumer) → Consumers trade goods/services with
each other (e.g., eBay, OLX).
4. C2B (Consumer-to-Business) → Individuals offer products/services to
businesses (e.g., Upwork, Fiverr).
5. B2G (Business-to-Government) → Businesses provide goods/services to
government agencies (e.g., government tenders).
6. G2B (Government-to-Business) → Government offers services to
businesses (e.g., business registration, tax filing).
7. G2C (Government-to-Consumer) → Government provides services to
citizens (e.g., online tax filing, public transport portals).
Man Power Associated with E-
Commerce Activities
1. Management & Strategy
These roles focus on planning, decision-making, and overall business
strategy.
🔹 E-Commerce Manager
• Oversees the entire e-commerce operation, from marketing to logistics.
• Develops business strategies, sets goals, and monitors KPIs.
• Ensures a seamless customer experience and website functionality.
🔹 Product Manager
• Conducts market research to identify profitable products.
• Works with suppliers, manufacturers, and designers.
• Determines pricing, positioning, and product lifecycle management.
2. Marketing & Sales
This team drives traffic, brand awareness, and revenue generation.
🔹 Digital Marketing Specialist
• Manages SEO, PPC campaigns, email marketing, and social media promotions.
• Creates marketing campaigns to attract and retain customers.
• Analyzes consumer behavior and optimizes conversion rates.
🔹 Content Creator / Copywriter
• Develops product descriptions, blog posts, and promotional content.
• Ensures content is SEO-optimized to drive organic traffic.
🔹 Graphic Designer
• Creates product images, website banners, social media posts, and advertisements.
• Enhances visual appeal to attract potential buyers.
🔹 Sales & Business Development Executive
• Builds partnerships, B2B sales, and affiliate marketing relationships.
• Identifies new market opportunities and expands customer base.
3. Website & Technology
Responsible for website functionality, security, and user experience.
🔹 Web Developer / Web Designer
• Builds and maintains the e-commerce website.
• Ensures mobile responsiveness, fast loading speeds, and security.
• Integrates third-party tools like payment gateways and CRM software.
🔹 UI/UX Designer
• Enhances the online shopping experience through user-friendly design.
• Conducts usability testing to improve navigation and interface.
🔹 IT Support / Cybersecurity Specialist
• Ensures website security, prevents fraud, and protects customer data.
• Troubleshoots technical issues and maintains website uptime.
4. Customer Support & Service
Essential for managing customer queries and ensuring satisfaction.
🔹 Customer Service Representative
• Assists customers via live chat, email, or phone calls.
• Handles product inquiries, order tracking, refunds, and complaints.
🔹 Chatbot / AI Support Manager
• Oversees automated chatbot responses to enhance efficiency.
• Updates AI-based customer support tools for better interactions.
5. Logistics & Supply Chain
Manages order fulfillment, shipping, and inventory control.
🔹 Logistics Coordinator
• Oversees warehousing, inventory management, and shipping logistics.
• Works with courier partners to ensure timely deliveries.
🔹 Warehouse Staff / Pick & Pack Operators
• Handles product storage, packaging, and order fulfillment.
• Ensures correct products are dispatched to customers.
🔹 Returns & Refund Coordinator
• Manages product returns, restocking, and refund processing.
• Ensures a smooth reverse logistics system.
6. Finance & Administration
Handles payments, budgeting, and compliance.
🔹 E-Commerce Accountant
• Manages financial records, tax compliance, and profit analysis.
• Handles online payment reconciliations and transaction
security.
🔹 Legal & Compliance Officer
• Ensures adherence to e-commerce regulations, data privacy
laws, and consumer protection policies.
List and explain the roles involved in e-commerce operations, including
product managers, digital marketers, web developers, customer support
teams, and logistics coordinators. Discuss the importance of each role in the
success of an e-commerce business.
1. Product Managers
Role & Responsibilities:
• Conduct market research to identify trends and customer needs.
• Develop product strategies, pricing models, and positioning.
• Work with suppliers, manufacturers, and designers to source or create
products.
• Ensure product quality, compliance, and continuous improvement.
• Monitor product performance, customer feedback, and sales data.
Importance:
✔ Ensures the right products are available, increasing sales potential.
✔ Helps maintain a competitive edge by introducing innovative or in-demand
products.
✔ Balances profitability and customer expectations through effective pricing
and positioning.
2. Digital Marketers
Role & Responsibilities:
• Develop and execute online marketing strategies (SEO, PPC, social media,
email campaigns).
• Manage brand presence across different digital platforms.
• Create engaging content, promotions, and advertisements.
• Analyze customer behavior, campaign performance, and sales funnels.
• Optimize website and marketing strategies to improve conversion rates.
Importance:
✔ Drives traffic to the e-commerce store and increases visibility.
✔ Helps acquire new customers and retain existing ones through
engagement.
✔ Optimizes return on investment (ROI) for advertising spend.
3. Web Developers
Role & Responsibilities:
• Design, build, and maintain a user-friendly e-commerce website.
• Ensure site speed, security, and mobile responsiveness.
• Integrate payment gateways, inventory systems, and third-party
applications.
• Troubleshoot technical issues and implement software updates.
• Improve user experience (UX) and interface design (UI).
Importance:
✔ Ensures a seamless shopping experience, reducing cart abandonment.
✔ Enhances site performance, leading to better search engine rankings
(SEO).
✔ Provides security for transactions and customer data, building trust.
4. Customer Support Teams
Role & Responsibilities:
• Respond to customer inquiries via live chat, email, or phone.
• Assist with order tracking, refunds, exchanges, and complaints.
• Provide product recommendations and troubleshooting guidance.
• Collect customer feedback to improve service and products.
• Ensure timely responses and maintain a positive brand reputation.
Importance:
✔ Increases customer satisfaction and loyalty.
✔ Helps prevent negative reviews and build a strong brand reputation.
✔ Encourages repeat purchases by enhancing the customer experience.
5. Logistics Coordinators
Role & Responsibilities:
• Oversee inventory management, warehousing, and order fulfillment.
• Coordinate with shipping carriers and negotiate delivery costs.
• Track shipments and ensure timely delivery.
• Implement efficient supply chain management strategies.
• Handle returns and restocking processes.
Importance:
✔ Ensures on-time and accurate deliveries, reducing customer
complaints.
✔ Optimizes shipping costs and logistics efficiency.
✔ Maintains inventory levels to avoid stockouts or overstocking.
Conclusion
Each role is essential for running a successful e-commerce
business. A well-coordinated team ensures:
✅ Quality Products – Through effective product management.
✅ Traffic & Sales Growth – By leveraging digital marketing.
✅ Seamless Shopping Experience – With skilled web
development.
✅ Customer Satisfaction – Through responsive support.
✅ Reliable Order Fulfillment – Managed by logistics teams.
By aligning these roles effectively, an e-commerce business can
grow, improve customer retention, and maximize profitability.