Commerce 2KA3 Week 10

Ubiquity

 internet is available everywhere and anytime 

Network effects

: The value of a product or service increases as more people use it.

Social sign-on:

A way to log into a website or app using your social media account (like Google, Facebook, or Apple) instead of making a new account.

Clicking “Sign in with Google” on a website instead of creating a new username and password

Network notification:

creating an environment where consumers can share their approval/disapproval of products, services, or content

Social search (recommendations):

an environment where consumers can ask their friends for advice on purchase of products, services, content.

VR Marketing

Uses virtual reality to create experiences (see, hear, interact with products) virtual events and expos

Electronic data interchange:

exchange documents

Private industrial networks

:A private online network where a company and its business partners share information and work together.

Building e-commerce presence phases

Phase 1:planning

Phase 2:website development

Phase 3:web implementation

Phase 4:social media plan

Phase 5:social media implementation

Phase 6:mobile plan

Marketspace

Online marketplace (no location limits)

Transaction costs

cost of participating in market

Market entry costs

Cost to start selling products

Search costs

Time/money to find best product/deal

Richness

complexity + content of information

Interactivity

two way communication (business and customer)

Information density

Amount + quality of available info  to all market participants

Price transparency

Easy to compare prices

Cost transparency

ability of consumers to discover the actual costs merchants pay for products.

Price discrimination

Same product, different prices for different people

Personalization

Tailor ads/messages to individuals

Customization

Change product/service for user preferences

Information asymmetry

One side has more info than the other

Menu costs

Cost of changing prices

Disintermediation

remove middlemen

Digital goods

 Goods that can be delivered over a digital network. (music, movie

Transaction broker

Handles online transactions

Market creator

Online patform where buyers + sellers meet (search for products, establish prices)

Content provider

Provides digital content\

Distributes information content, such as digital video, music, audio files in the form of podcasts, photos, text, and artwork, via the Internet to computers and mobile devices.

Download

Save file onto your device

streaming

Watch/listen without saving

Service provider

Offers online services

Community provider

Creates a digital online environment where people with similar interests can interact

transact (buy and sell goods); share interests, photos, and videos; communicate with like-minded people; and receive interest-related

information.

Portal

website that’s a main entry point

Yahoo → news, email, weather, and search all in one site

Revenue model

How a business makes money

Advertising model

Money from ads

Sales model

Money from selling products/services

Subscription model

Money from recurring fees

Freemium model

Free basic, pay for premium features

Transaction fee model

Money from fees per transaction

Uber → takes a cut from each ride booked

Affiliate model

Earn money by referring customers

Long tail marketing

Sell low-demand niche products cheaply

Behavioral targeting

Track users → show personalized ads

Native advertising

Ads that look like normal content

A “Top 10 travel tips” article on BuzzFeed that is actually paid for by a travel company

Online social network

: Enables users to communicate with one another, form group and individual relationships, and share interests, values, and ideas, via a website and/or app.

Wisdom of crowds

large groups make better decsions than small group of exerts

Social listening

Track what people say about a brand online

Crowdsourcing

Get ideas/solutions from large online groups

Social e-commerce

Buy/sell through social media

Buying and selling products through social media apps, where people can also share and talk about what they like.

Social graph

Map of online relationships

almost done

Businesses exchange data directly (computer-to-computer)

Private B2B network

 Internet-enabled network linking large firms suppliers/partners

Direct goods

Used to make products

Indirect goods

Goods not directly used in the production process, such as office supplies.

Exchange (B2B)

Third-party platform for many buyers/sellers-for spot purchasing

Location-based services

Services based on your location

Geosocial services

social interaction based on location

Tinder

Geoadvertising

Ads based on your location

Geoinformation services

Info about nearby places/things