Learning Objectives

By the end of this chapter, you will be able to:

  • Identify and describe the eight unique features of e-commerce technology.
  • Explain how these features differentiate e-commerce from traditional commerce.

The Unique Features of E-commerce Technology

E-commerce is not just a digital version of traditional commerce; it has several unique features that have transformed the way business is conducted.

  1. Ubiquity: E-commerce is available everywhere, at all times. This allows you to shop from your desktop, your mobile phone, at home, at work, or on the go.

  2. Global Reach: E-commerce allows businesses to easily reach across geographical boundaries to a global audience.

  3. Universal Standards: The internet is based on a set of universal technical standards. This makes it easy for any computer to connect to any other computer, regardless of the technology platform.

  4. Richness: E-commerce supports the delivery of rich media, including text, audio, and video, in a way that is not possible with traditional media like print.

  5. Interactivity: E-commerce technology allows for two-way communication between the merchant and the consumer, creating a more engaging experience.

  6. Information Density: The internet makes information more plentiful, cheaper, and more accurate. This increases price transparency and allows consumers to easily compare products.

  7. Personalization and Customization: E-commerce sites can use data about a user’s past behavior to create personalized experiences, such as recommending products or showing customized ads.

  8. Social Technology: E-commerce is integrated with social media, allowing users to share their purchases and experiences with their social networks.

Summary

The technology that underlies e-commerce has eight unique features that distinguish it from traditional retail. These features—ubiquity, global reach, universal standards, richness, interactivity, information density, personalization, and social technology—have combined to create a more convenient, informed, and engaging shopping experience for consumers and have opened up new opportunities for businesses.

Key Takeaways

  • The eight unique features of e-commerce are: Ubiquity, Global Reach, Universal Standards, Richness, Interactivity, Information Density, Personalization, and Social Technology.
  • These features differentiate e-commerce from traditional commerce.

Discussion Questions

  1. Which of the eight features do you think has had the biggest impact on how you shop?
  2. How does “information density” benefit the consumer?
  3. Provide an example of “personalization” that you have experienced on an e-commerce website.