It may begun well when King charles I of England introduced postal sevices for the citizens in 1965. At that time there were no stamps and the cost postage was beared by the recipient. Cash on delivery can be said as the moden avatar. It is said cash on delivery is one the reason for the biggest success of e-commerce in India. According to Earnst & Young (Young) Cash on delivery in India accounts for 50% to 80% of online transactions that take place in India. This mode of payment is available in more than 600 cities and towns and it is growing at a rapid pace. (YOUNG, 2014) There are many reasons behind why Cash On Delivery is popular in India. One is that in India Credit card penetration is low. As per former RBI governor D. Subharao said, that” in comaprison to ther emerging markets such as Russia, Mexico …show more content…
Cash On Delivery bridges the gap between online retail and brick-and –mortar retail as it allows the customer now to feel the actual product before they make the final purchase. Cash On Delivery has helped unlock the huge demand. Trust is a driver for Cash On Delivery. Cash On delivery is great marketing stunt as companies have realised that Indians have extreme preference for Cash On Delivery. According to Audit Firm KPMG still accounts for 60% of transactions. As per financial advisory firm Motilal Oswal, “the number of mobile wallet users is estimated to jump five-fold from the current 3 crore to 15 crore by 2019, COD still accounts for 60% of all e-commerce orders”. (KPMG, 2014) These facts shows the importance of Cash On Delivery in India. Whole of ecommerce model can witness a downlfall if Cash On Delivery mode of payment is taken out. Cash On delivery has helped ecommerce grow, but it does have pitfalls. Theses companies are growing at rapid pace, but these companies heavily depend on COD for sales which remains worrisome, particularly since these online firms are still not into
As mentioned in the case, there is a significant market potential (almost 870000 pieces per day) for documents and small package mailing. An analysis shows that in FEC stations, the volume for Courier Pak is 30% more than Priority One. That means Courier Pak market has a growing potential. In addition, it is found that the variable cost of it is the lowest among all other overnight delivery services provided by Federal Express (Table. 2). That means Courier Pak may be a more profitable product.
Delivery service increases its brand popularity and gives it the good advantage comparing with others that did not have it.
In addition to the change in behavior of consumer, many companies or retailers change the sales channel combinations. The greatest impact of the Web-bases electronic revolution has occurred in companies adopting the click-and-mortar approach. Click- and-mortar is one the strategy used by the companies or retailers that they continue to conduct their business in the physical locations and have added the electronic commerce component to their business activities. According to one study, 37% of United States retailers are selling through a combination of the internet, in stores and catalogs. This represents a growing demand for the business-to-customer package delivery service.
In the first six months of 2013, e-commerce revenue in China reached almost RMB 5 trillion, a 45 per cent increase year on year. Payments through mobile dev...
After being successful in India eBay than introduced the EasyBuy service. It is an official program from eBay. EasyBuy allows Indian buyers to order items from international sellers and get them shipped to their address in India. If a buyer buys a good from eBay they then get it shipped to the address in India, the buyer is personally responsible for shipping, handling and custom duty tax. If the buyers buy the good from eBay India Global EasyBuy then the buyer does not have to worry about the shipping, handling and custom duty tax because the service includes all that. While using EasyBuy service the buyer does not have to go through the hassle involved in international shipping or worry about the pac...
“Digital Commerce: March 2011”, Report provided by Internet and Mobile Association of India and available at http://www.iamai.in/rsh_pay.aspx?rid=0gWlBn0YPIA=
My first reason is that not everyone in the world takes only forms of electronic payment but also in the case of a city-wide emergency where there is no electricity there is no way to pay for items as a time of disaster. That would cause a panic among people who cannot obtain supplies. Some places are not that safe to use your credit card information that contains confidential identity that then it is quite difficult to fix fraud cases. Identity theft is a big issue that is hard to control and many skimmers who are always trying to steal your important information exist. According to article published by Bloomberg that big banks in Sweden are embracing a cashless society.
Since demonetization took off, digital wallet companies have had lot of opportunities to penetrate into market and make India grow at digital life. The digital wallet company also expanded its merchant network by more than 1, 50,000. The company also added over 5 Million new users since demonetization started on November 8, 2016. This is the time, for Digital Wallet Companies to grow further and be the next way of growth because people are moving towards digital life by accessing internet facility to their life. Internet is dynamic in nature because it helps modernize the environment. The users of internet are increasing in India, so the digital wallet companies take an opportunity of demonetization and increase in internet users to grow
E-commerce, a system by which people can buy, sell and deal without even seeing the person on the other side, has taken a front seat in improving the economy of countries around the world. Technology today has made it possible for monetary institutions to help locate the customers resources and help solve their problems at any given time through online banking.... ... middle of paper ... ...
In conclusion, e-commerce makes our life much more easier, because it saves time, we can get our goods with in a short period of time, other than that it connects to businesses around the world, we can buy goods that we can’t get from the local market. The last thing we also can get goods that are not available in the shopping mall and with the cheaper price. As I know, using e-commerce to shop online is the right choice for because it is so convenient.
From PayPal to Debit cards, from EFT to Credit cards, this modern world has been inundated with new ways of making business transactions. Instead of the conventional use of dollars and nickels, now there are electronic payment systems. These types of systems allow for better trust and acceptance between consumer and businesses. In the traditional way of buying a product, one would see a product in person, and pay for it with cash or credit. In e-commerce, the business uploads images of its products online and it enables its customers to shop it using any type of electronic payment system.
Electronic commerce, more commonly abbreviated as e-commerce, is the action of buying and selling products or services through the medium of electronic information systems such as computer networks - the most common of which being the World Wide Web, or internet (Dorogovtsev & Mendes, 2003). A variety of technologies are used to facilitate e-commerce including electronic funds transfer (EFT) which facilitates the electronic exchange of money, online transaction processing (OTP) which handles the data entry and retrieval for transaction processing and electronic data interchange (EDI) which is responsible for processing orders, warehouse stock control and order tracking (Turban, et al., 2009).
The high take-up of the Internet leads to variety of opportunities in front of companies. People are more online than ever. They spend many hours each day on Social Networks such as Facebook and Google+. It is no wonder that buying and selling can now be done in a more convenient way. Although traditional shopping is still thriving, online shopping can be an alternative for people wanting to save time and money. If a certain customer plan to go shopping, it could be stressful and also be time consuming. E-business has made shopping or any kind of transactions online much easier and convenient. It introduces new facilities, opportunities and way of shopping for both vendors and customers.
Web. 16 Feb. 2010. Mari, Angelica. " Computing: Cashless plans need retailer buy-in." Computing (England) 9 Apr. 2009,: NewsBank.
Electronic Commerce as popularly as E-commerce has become a big deal in our growing economy due to the increase use of online systems. E-commerce now of the fastest growing business in the world. The technology has change the way of business. Business that have physical location have now made it an effort to focus their online business. It is the new sort of business platform where you can make use of different technologies like electronic data interchange or transfer document electronically. Online business is an effective of sales.