E-commerce is the process of exchanging goods or services in the form of digital mode where the payment is done via online transactions, in electric form. The payments can be made by any form of digital modes such as credit or debit cards, digital wallets or Net banking. E-commerce is an online platform for customers to sell and buy goods or services and it is delivered to the doorstep of the customer. This saves the time and money that would have been otherwise spent on traveling. In E-commerce, shopping could be done all round the clock without any chaos, during our free time.
Traditional commerce is the process of buying and selling goods in direct form, this began with the start of human civilization, namely the Barter system. While the Barter system was exchanging goods for other goods, the recent traditional business exchanges goods for monetary gains. Now, traditional commerce is losing its importance and high regard to that of E-commerce.
What are the basic differences between these two?
E-commerce includes shopping via using electronic devices such as laptops, computers, mobile or tablet. While traditional commerce is a traditional approach to buying goods while having face to face transactions.
E-commerce functions completely on online mode while traditions work on manual mode.
E-commerce is useful when one needs to save time and money on commuting from places. Traditional commerce is available where digital marketing has not yet reached.
E-commerce is easier to use for those who are at least aware of the most basic usages of the electronic device and can operate those devices and handle the transactions. That is not the case for traditional commerce, which can be done by anyone, irrespective of if they are even educated or not.
E-commerce is available all around the clock while traditional is only available during some limited hours. The customers need to plan their shopping times according to the store times, when it comes to traditional commerce but can shop whenever they wish when it comes to E-commerce.
E-commerce has this one drawback that the products that are for sale cannot be properly judged and inspected by the customers as it can only be seen from across the screen. While traditional business wins here as it allows the customer to properly inspect the product as they wish to.
E-commerce usually sells directly from the business to the customer, which is not the case for traditional commerce. In traditional commerce, there is long that is to be followed before the product reaches from the business to the store from where the customers would buy the product. This following chain increases the MRP of products and the customers usually have to buy it at a higher rate than they would if they buy it directly from online stores.
E-commerce doesn’t need many human resources to maintain, while when it comes to traditional commerce, the shop owner usually needs to hire workers. E-commerce not only saves the business from having to pay hired workers, but it also saves the money in having to buy a physical store and have a proper and maintaining the infrastructure of the shop. E-commerce only needs a warehouse where they can store the extra stuff.
E-commerce is reachable worldwide while Traditional commerce is limited to the town or area the physical store is in.
Thus, as anyone can judge from the data provided that E-commerce is way more superior to Traditional commerce, then why must anyone hesitate to have an online presence and to increase their reach?