ECOMMERCE

A Leading Comprehensive Polytechnic University in Asia

The state university's VISION as stated in the learning module, which references its desire to be a top comprehensive polytechnic in its geographic region.

Third-Party Logistics

The component of the e-commerce ecosystem that manages inventory storage, order processing, packing, and shipping, allowing the merchant to focus on marketing and sales.

Curation

The type of subscription model that delivers personalized or themed product selections, such as a monthly beauty box.

User control and Freedom

The user experience principle that mandates providing clear responses to user actions and allowing for easy error recovery.

Trademark

The legal tool that safeguards a brand's logo, brand name, and slogans in the e-commerce marketplace.

Average Order Value

The key e-commerce performance metric that calculates the average amount spent per transaction, helping measure revenue per customer visit.

Value-Based Pricing

A pricing strategy that sets prices based on the perceived customer value of the product rather than solely on the cost of goods.

Ethical Business Practices

The ethical practice emphasizing sourcing, data privacy, and transparency in digital marketing as a core value integrated into the E-Commerce course.

Social Listening

The process in digital marketing that involves monitoring conversations on social media to identify consumer sentiment and emerging trends.

E-commerce analytics tools

essential platforms that collect, analyze, and report data related to online store performance, customer behavior, and marketing effectiveness.

Shopify Analytics

An analytic tool built in Shopify stores that tracks store sessions (traffic), conversion rates, average order value (AOV), and customer retention.

It also compares sales channels and analyzes visitor origins by region or social media source.

Google Analytics

Widely used for detailed insights into user engagement,
traffic attribution, bounce rates, sessions, conversions, and customer lifetime value. It integrates well with Google Tag Manager and Google Ads to enhance tracking capabilities.

Focuses on event-based analytics, tracking product views, add-to-cart conversions, and customer touchpoints. It offers customizable reports, funnel analysis, and automated alerts for anomalies.

Mixpanel

Adobe Analytics

Provides deep insights into customer interactions across multiple digital platforms with real-time analytics, advanced segmentation, and predictive modeling using AI.

TikTok

Analytical tool where sellers list products, affiliates promote them through TikTok content and both sides benefit from sales driven by TikTok’s algorithm and engaged audience.

Conversion Rate

Average Order Value

Traffic

Returning customer rate

customer lifetime value

bounce rate

Key metrics to evaluate e-commerce performance

Conversion Rate

The percentage of visitors who complete a desired action, such as making a purchase. It reflects how effectively the site turns traffic into customers.

Average Order Value (AOV)

The average amount spent per transaction, which helps measure revenue per customer visit.

Traffic (Store Sessions)

The number of visits to the online store, indicating the volume of potential customers.

Returning Customer Rate

The proportion of customers who make repeat purchases, important for assessing customer loyalty.

Customer Lifetime Value (CLV)

The total revenue expected from a customer over their relationship with the business.

Bounce Rate

The percentage of visitors who leave the site after viewing only one page, signaling engagement issues.

Reporting and dashboards

They transform raw data into structured, visual, and understandable information that supports strategic decision-making.

sales report

marketing performance reports

customer reports

inventory reports

financial reports

Types of E-Commerce Reports

Sales Reports

Show total revenue, daily/weekly/monthly sales, and product performance.

Marketing Performance Reports

Analyze ad campaigns, click-through rates (CTR), and return on ad spend (ROAS).

Customer Reports

Provide insights on customer demographics, purchase frequency, and loyalty.

Inventory Reports

Track stock levels, fast-moving products, and reorder points.

Financial Reports

Measure profit margins, expenses, and net income.

dashboard

is a visual representation of important metrics displayed in one screen.

Common KPIs in E-Commerce Dashboards

Revenue

Conversion Rate

Average Order Value (AOV)

Traffic Sources

Customer Acquisition Cost (CAC)

Customer Lifetime Value (CLV)

Cart Abandonment Rate

Data interpretation

involves identifying patterns, trends, and anomalies.

Trend Analysis

an analyzing technique comparing performance over time.

Segmentation Analysis

an analyzing technique breaking down data by customer group, device type, or location.

Funnel Analysis

an analyzing technique Tracking the customer journey from awareness to purchase.

Comparative Analysis

Measuring performance against past periods or targets.

Optimization

means improving business performance using insights gathered from analytics.

Website Optimization

Improve page loading speed

Simplify checkout process

Enhance mobile responsiveness

Optimize product descriptions and images

Marketing Optimization

Adjust ad targeting based on high-performing segments

Reallocate budget to channels with higher ROI

Improve email marketing campaigns using open-rate data

Run A/B testing to compare strategies

Customer Experience Optimization

Personalize product recommendations

Offer loyalty rewards for returning customers

Improve customer support response time

Inventory Optimization

Restock high-demand products

Remove or discount slow-moving inventory

Forecast demand using historical data

Optimization

is a continuous process that requires monitoring, testing, and refinement.

A/B testing

compares two versions of a webpage, ad, or email to determine which performs better.

E-commerce contracts

are agreements formed electronically between buyers and sellers.

Terms of Service (ToS)

Defines the rules and guidelines for using the online platform, including user responsibilities and limitations of liability.

Privacy Policies

Explain how customer data is collected, used, and protected, ensuring transparency and compliance with data protection laws.

Vendor and Supplier Agreements

Outline the terms between the e-commerce business and its suppliers or service providers, covering delivery, quality, and payment terms

Intellectual Property (IP)

laws protect original works, trademarks, patents, and trade secrets that are essential to e-commerce businesses.

Copyrights

Protect website content, images, videos, product descriptions, and software.

Trademarks

Safeguard brand names, logos, slogans, and symbols.

Patents

Protect inventions, innovative technology, or unique product features.

Trade Secrets

Protect confidential business information such as customer lists, pricing strategies, and marketing plans.

Domain Names

Selecting and registering unique domain names prevents cybersquatting.

Common IP Issues in E-Commerce

Unauthorized copying of website content

Counterfeit products sold online

Trademark infringement in online advertisements

Domain name disputes and cybersquatting

Enforcement and Protection Strategies

Monitor online platforms for infringement

Register trademarks and copyrights

Use clear IP notices and website terms & conditions

Take legal action when necessary

Implement takedown procedures in compliance with the Digital Millennium Copyright Act (DMCA)

General Data Protection Regulation

What is GDPR

California Consumer Privacy Act

What is CCPA

Data Privacy Regulations

General Data Protection Regulation

California Consumer Privacy Act

Data Privacy Act of 2012

Consumer Protection

These laws ensure consumers are treated fairly and have access to remedies if products or services are defective or misrepresented.

Seller Obligations

Deliver products as described and on time.

Honor refund and return policies.

Provide accessible dispute resolution channels.

Comply with data privacy and consumer protection regulations

Legal considerations

refer to the complete set of laws, regulations, and legal responsibilities that govern how online businesses operate.

Scaling

is a strategic phase that goes beyond simply increasing sales

Scaling operations

involves increasing revenue while maintaining or improving profit margins through optimized systems.

Scaling Operations

Infrastructure and Technology

Operational Efficiency

Strategic Planning

International E-commerce Strategies

Market Localization

Market Research

Regional Compliance

Global Shipping and Logistics

Logistics Management

Customs and Documentation

Inventory Positioning

Shopify

A tool entrepreneurs can use to help them in creating an e-commerce, which helps them provide a predictive suggestions for consumers based on their preferences

Amazon

A shopping app/website wherein it utilizes A.I. to cater for their customers’ experience in using the app.

Examples of Partnerships and Strategic Alliances

1. McDonalds and KinderJoy

2. Jollibee and Sanrio

3. CDO and Bini

core website structure

refers to the basic layout of a website, illustrating how its pages are organized and connected.

e-commerce website structure

Homepage

Product Categories and Subcategories

Product Pages

Shopping Cart and Checkout

User Account Management

Search Functionality

Support and FAQ

Homepage

It presents the brand and highlights featured products or promotions. It should immediately show what the business is selling

Product Categories and Subcategories

help customers navigate through the store efficiently and discover related products.

Product Pages

This part provides detailed information. These pages include product images, prices, descriptions, size options, and customer reviews. Clear and visible buttons like “Add to Cart” or “Buy Now” are important because they guide users on what to do next.

Shopping Cart and Checkout

these sections are where customers review their chosen products and complete their purchase.

User Account Management

involves several key features that enhance user experience and security for order tracking, wish lists and personalization.

Search Functionality

helps users quickly find the products they are looking for.

Support and FAQ

allows users to get an answer on the common inquiries or solve simple problems without contacting customer service.

Homepage

is the first thing customers see. It sets the tone of the brand. A clean layout, readable text, and eye-catching photos to create a good first impression.

Navigation

users can easily move from one page to another, they are more likely to stay longer and complete a purchase.