Supportsoft Glossary

Platforms Enabling Online Transactions

E-commerce is an electronic system where businesses sell their goods/services at a distance, using the Internet. While traditional methods require a physical location for sales to occur, e-commerce allows an individual business to have those same benefits around the world at any and all times of the day. An e-commerce ecosystem encompasses storefront design, product catalogue management, payment processing, logistics integration and customer service in one online entity.

Modern e-commerce solutions – whether they are custom built or hosted with a 3rd party (such as Shopify, WooCommerce or Magento) – incorporate many functionalities to support inventory management, promotional activity, order tracking, and consumer analysis functionality. In the area of security, e-commerce systems pay particular attention to keeping payment information and personal information secure through encryption technology, PCI compliance and fraud detection easily implemented in most quality systems which meet required PCI compliance.

The way in which e-commerce differentiates itself from conventional retail is by offering a fully automated approach to shopping. Automated systems allow for increased consumer loyalty by providing in-depth personalisation within the e-commerce experience through recommendations, targeted promotions, reminders for abandoned carts, and loyalty programmes. Automated processes allow for greater operational efficiencies from order confirmation through shipment deployment.

For businesses, e-commerce creates an expanded market reach without the need for a physical location; for consumers, e-commerce provides greater convenience and choice coupled with transparency. As more retailers/services/digital products shift to an online format, e-commerce channels are now a necessary foundation for the retail/service/digital product space.