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1、1 Prentice Hall, 2000Chapter 2 Retailing in Electronic Commerce2 Prentice Hall, 2000Learning ObjectiveszDefine the factors that determine the business models of electronic marketing zIdentify the critical success factors of direct marketing zDesign the desirable relationship in a direct marketing se
2、tting zAnalyze the critical success factors of electronic intermediaries zIdentify the typical products that sold well in the electronic market3 Prentice Hall, 2000zObserve the reactive strategy of traditional department stores zDiscuss whether electronic commerce should always target global markets
3、 zDescribe the consumers shopping procedures on the Internet zDiscuss the types of aiding-comparison- shopping devices zDescribe the impact of EC on disintermediation and re-intermediation in retailingLearning Objectives (cont.)4 Prentice Hall, 2000Overview of Electronic Marketing StructurezBusiness
4、-oriented Electronic Marketing (B2B) yNeeds more precise record keeping, trackability, accountability, and formal contracts, usually with high volume of transactions and large amount paymentszConsumer-oriented Electronic Marketing (B2C) yMostly online; on the Internet yGrowing offline too, mainly by
5、 using smart cards, although it is still experimental5 Prentice Hall, 2000Advantages of Electronic MarketingyDirect marketing yCustomization yOnline customer service yElectronic shopping malls: xIntermediaries (e.g. Internet Mall) xStores (e.g. Amazon, J.C.Penney Online) yElectronic intermediaries y
6、Global marketingzCustomers can order from cyberstores 24 hours a day, 7 days a week from any place in the world6 Prentice Hall, 2000Forecast of the B2C Electronic MarketsInitial Forecast of B2C Electronic Market SizeForecasting Institutions19972000 IDC 1,000 117,000 VSAComm 48 3,500 VeriFone 350 65,
7、000 Actif Media 436 46,000 Killen possibly while using yContact the vendor to get service and support, or to return if disappointedProcedures for Internet Shopping : The Consumers Perspective (cont.)24 Prentice Hall, 2000Aiding Comparison ShoppingzSearch hypertext files by agents zSearch in a web-ba
8、sed database both by human and software agents within an e-mall zComparable item retrieval and tabular comparison zComparisons over multiple malls zComparisons as a multiple criteria decision making25 Prentice Hall, 2000The Impact of EC on Traditional Retailing SystemzDisintermediation and Re-interm
9、ediationyDisintermediation the removal of organizations or business process layers responsible for certain intermediary steps in a given value chain xeliminating the traditional intermediaries, such as wholesalers, distributors, and retailers, to reduce the cost yRe-intermediation the shifting or tr
10、ansfer of the intermediary functions, rather than the complete elimination xintermediation such as electronic shopping malls, directory and search engine service, and comparison aids using agents creates the role of re-intermediation26 Prentice Hall, 2000zImpact on Manufacturers Distribution Strateg
11、yThe Impact of EC on Traditional Retailing System (cont.)yManufacturers monopolistic Internet-based distribution: Levis does not allow any one else to sell the Levis product on the Internet (policy changed in 1999). yCoexistence with the dealers: This is the case in car distribution. yRegionally mix
12、ed strategy: Nike sells on the Internet, but only in the U.S.A. yMass Customization for Make-to-Order: Manufacturers have to be adaptive to the customized orders of ultimate consumers. This means the manufacturer should be ready for mass customization.27 Prentice Hall, 2000Managerial IssueszFrom a m
13、anufacturers point of view:Fully committed to direct marketing, restructuring the current manufacturing and distribution systemsRegard the electronic store as an additional channel of distributionOR28 Prentice Hall, 2000zFrom an intermediarys point of view:Commit to the directory serviceRetailing a specialized breed of itemsORManagerial Issues (cont.)zFor existing retailer in the physical space: yHow to transform its business posture to get the highest possible customer satisfaction at a minimum operating cost?
