FACULTY OF COMMERCE

TOURISM AND HOSPITALITY MANAGEMENT

Individual assignment e commerce bm 138

Rumbidzai Dzinzi

R198686y
Question.
using an organization of your choice that intend to adopt e commerce , explain any 5 key decisions that
the management should consider to ensure success of its e commerce strategies.
E- Commerce is the purchasing, selling and exchanging of goods and services over computer
network or internet through which transactions or terms of sale are performed. Ecommerce
marketing strategy is the practice of using promotional tactics to drive traffic to your online
store, converting that traffic into paying customers, and retaining those customers post-purchase.
This essay used eBay as an organization that intends to adopt ecommerce.

The first key decision to ensure success of its e commerce strategies is to know your target
audience. The key to running a successful e-commerce business is to know your target audience
well – including what they like, how much money they earn (and have to spend), where they
hang out online, as well as what they value in terms of delivery, customer service and add-ons.
Also, your venture shouldn't be too broad. Specialise – focus on satisfying the wants and needs
of a niche market – rather than trying to do the impossible and appeal to everyone. This key
decision is useful to the organization that is using Email marketing . With great visuals and great
copywriting, you can deliver targeted suggestions, product announcements and discount offers to
an audience who is already interested in your product. Include personalization in your emails
where possible. Add user names to the email subject line, or send automatically customized
recommendations based on past purchases with segmented email lists. This will help you a great
deal, as one case study found that automated personalized emails had a 75% higher open rate
than those that lacked personalization. Another strategy that support this key decision is
retargeting is the practice of sending targeted ads to specific users who have already interacted
with your brand. This could include targeting users who: Have recently visited certain pages on
your website, have purchased from you in the past ,are email subscribers and were customers in
the past, but are no longer engaged. Facebook is the king of retargeting, but Google AdSense
also has strong retargeting capabilities

Another key decision is Maintaining high quality products is also a key decision when adopting
ecommerce because for a long time people had the notion that product from ecommerce sites
were inferior quality compare to those from physical stores, while much that myth no longer
exist these days, there is a lot to be done to convince customers that your products are
comparable in quality as those found in malls and other stores. It is also important to uphold
standards consistently across the board and overall customer satisfactions crucial to the business
continued survival and bad product quality can break the business down .This key decision is
important when an organization is using as a e commerce strategy market on social media Social
media marketing is entirely free (unless you outsource it) and it’s an excellent way to build and
nurture relationships with customers. It can also help you connect with new users thanks to
sharing, Facebook recommendations and algorithms that share what your friends are up
to.ecommerce marketing strategies .In my opinion, Facebook, Instagram, and Pinterest are the
three key social media platforms that ecommerce businesses should be focusing on, though
Twitter is a close fourth so mainataing quality is important.

Organizational restructuring is also a key decision when adopting e-commerce because the
implementation of a new system will always cause disruption to staff as changes to their patterns
of thinking will occur, Some staff might take time to adjust to the changes for example it will
take a lot of time for an over 50 year old employee to adjust to the new e-commerce than it will
take a 25 year old employee there it is important for the company to consider restructuring when
adopting e-commerce as it will help employees in adjusting and it will also help in identifying
the right candidate for the right post. However employees can take this as a threat to their jobs
and it will reduce their motivation and productivity therefore organizational restructuring is a key
decision when adopting e-commerce.

The channel structure modification is also a key decision when adopting ecommerce as it
determines whether the channel members should be removed or not and it also determine
whether the business should create new online mediaries. The removal of the channel members
can prove to be a threat to a company as the operation of an ecommerce need a number of
expects especially in technology so as to develop and expand the business therefore it is
important to consider the channel structure modification when adopting e-commerce. This key
decision is important when considering as a e commerce strategy putting influencers to work for
you. Depending what influencers you go with, this one might not be so low cost, but for a lot of
relatively small or medium-sized ecommerce businesses, influencer marketing doesn’t have to
cost an arm and a leg. If you use this strategy, you’ll want to reach out to influencers that your
target audience follows. Micro-influencers can be just as effective, even if they only have 12,000
followers instead of 12 billion. That’s good news for you, since who actually wants to work with
a Kardashian? Users typically trust micro-influencers more, seeing their recommendations as
more legitimate. Some may ask for pay, others may just want a set of free products.

Positioning and differentiation strategy is a key decision in adopting e-commerce in the sense
that is assist the development of a unique online customer value proposition. There is also need
to analyze the product and services in terms of quality, price, delivery time and order fulfillment
in the website as it is natural for customers to compare all of these factors between the brands.
The pricing of different pricing strategies can help the business to get to the sweet spot in
attractiveness and earnings depending on the market and the kind of products being priced for
example the keystone pricing strategy which is basically the doubling of the wholesale price.
This key decision is useful to organisations that include reviews on product pages as a marketing
strategy. There are a lot of plugins for WordPress and Shopify apps that make it easy to upload
customer reviews (which can include pictures and videos) to your product pages. Yotpo and
Pixlee are both excellent services that can help with this. Another strategy that supports this key
decision is to develop an app with push notifications. Having apps just for your business that
customers download is a fantastic way to make sure that you’re staying at the forefront of their
minds. Just think about how often users are on their phones, looking for something to do.
Whether your app makes the shopping experience easier with one-click purchases or customized
recommendations, or it serves a different purpose (like offering style advice based on local
weather), make sure that you develop push notifications to bring users’ attention right back to
you. These can pop up on phones and smart devices like Apple watches, keeping users engaged
on a regular basis.

In conclusion defining target market, modification of the channel structure,organisational

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