The Importance of E-Commerce Today
E-Commerce, or Electronic Commerce, consists of the purchasing and selling of products or services through electronic systems like computer networks and the Internet. In this modern age of technology, E-Commerce is becoming vital for businesses. In the US today, more than 60% of people are purchasing goods online from the comfort of their own home, and this figure is continually increasing.
According to studies, 21-40% of a business’s contributions are a direct result of E-Commerce and that number is expected to grow rapidly over the coming years. E-Commerce involves two different types of commercial transactions: B2B (Business to Business) and B2C (Business to Consumer). B2B is a process for selling products or services to other businesses, while B2C involves selling products directly to consumers. Forrester, a marketing research company, even forecasts that B2B E-Commerce will reach $1.8 trillion and account for 17% of all B2B sales in the US by 2023.
In the wake of COVID-19 the importance of E-Commerce is even more evident. With store fronts closed across the country, and social distancing orders in place, E-Commerce has revolutionized the way companies are doing business. Now, consumers can purchase almost anything online, at any time, while still getting the best shopping experience. Forbes suggests that due to coronavirus, “the digital side of the retail business may be stepped up at a faster rate than previous projections.” Big Brands like Target and Walmart are already in the works of challenging Amazon’s online presence. Target officials claim that creating a more convenient online shopping experience, along with fast delivery and in-store pick up options, will actually create a higher spending and more loyal customer. While long term effects are still unclear, it’s obvious that E-Commerce can help your business stay afloat in uncertain times.