This document discusses e-commerce strategies and solutions for organizations to enhance their revenues and maximize profits. It covers factors and resources analysis, types of payment systems, and implementation steps. The focus is on Sainsbury's, a grocery company, and its e-commerce strategy.
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Table of Contents INTRODUCTION...........................................................................................................................1 TASK 3............................................................................................................................................1 P3: E-commerce strategies...........................................................................................................1 P4: E-commerce solution.............................................................................................................3 M3: Analysis of factors and resources.........................................................................................5 M4: Types of payment systems...................................................................................................5 D3: Appraising the design and functionality of an e-commerce solution...................................5 TASK 4............................................................................................................................................6 P5: Implementation of e-commerce solution...............................................................................6 M5: SWOT analysis.....................................................................................................................7 D4: Evaluation of success of e-commerce implementation.........................................................8 CONCLUSION................................................................................................................................8 REFERENCES................................................................................................................................9
INTRODUCTION E-Commerce refers to the buying and selling of the goods online which ensures that an organization is able to make sales online and can generate its revenues effectively and efficiently (Broome, 2016). It is an useful strategy for the organizations to consider in which they are able to ensure that they can achieve their business goals and objectives and can target a wider range of different customers. By making its use the companies are able to achieve a higher growth rate in their level of profits in the right manner. This report is based on Sainsbury's. It is a company which deals in groceries and other related products by providing them to the various types of customers in the market. In this report, detailed focus will be made on designing of an e- commerce strategy. Additionally, focus will be made on the implementation of the e-commerce strategy as a part of this project. TASK 3 P3: E-commerce strategies E-commerce strategies are used by the organizations so that they are able to ensure that they can enhance their overall level of revenues highly effectively and efficiently and maximize their level of profits(Cao and Peng, 2016). The use of the following strategies can be made by Sainsbury's for this purpose- Defining of sales cycle- It is crucial for the businesses to be able to determine their sales cycle(Cui and et.al., 2017). When the businesses are able to determine their sales cycle they can ensure that the marketing strategies which are used for e-commerce can be used in the right manner. In the context of Sainsbury's it therefore becomes quite important that it can determine the sales cycle appropriately so that its different types of e- commerce strategies are successful. Checkout process- The businesses are required to ensure that the checkout process at their websites are effective and provide a seamless experience to the customers. For this purpose the businesses are required to optimize their requirements clearly and make sure that the checkout process can be very helpful for the different customers. In Sainsbury's, the requirement is to help the customers by creating an integrated experience which can be helpful for the customers. If they get a good experience from the start till the end then 1
they will be able to make their purchases and thus the sales and profits of the company will increase. Easy checkout- The checkout process of the organizations in their websites should be easy(Evans and Basole, 2016). This is important due to the reason that the customers will be able to get a good experience in this manner. If the management of Sainsbury's makes their checkout process easy then in this way it will be able to attract more customers and the sales and the level of profits will be enhanced. Right product descriptions- The products of the organizations have to be displayed with the appropriate description so that the customers can get all the required information easily by making their right use. In the context of Sainsbury's, it becomes quite important that it is able to frame appropriate product descriptions for its products which will be helpful in enhancing revenues and profits.They must get to know more about the products and the various features which are offered by them. Also the price at which the product will be made available to the customers should be displayed to them so that they can get to know about the goods which they are purchasing.Thus in this way it can be said that by making the use of appropriate product descriptions the company is able to achieve its specific goals and objectives without facing problems and issues. This will help it to be able to attain the profitability level which it desires. Display of shipping costs- The firms can implement this particular strategy which can be very useful in ensuring that shippingcosts are identified. Therefore, In this manner Sainsbury's will be able to ensure that the shipping costs of the various products are displayed which will thus be quite useful in being very transparent to the customers. Further, the manner in which the products can be shipped should be displayed to the customers. Displaying forms of payments accepted- The organizations are required to ensure that they can display the various forms of payments which they are accepting as a part of their e-commerce strategy(Giuffrida and et.al., 2016). Thus, In the context of Sainsbury's it is important that the forms of payments which are accepted by it must be displayed. This will thus be quite helpful in ensuring that the customers get to know more about the payment modes which can be used by them effectively and efficiently. 2
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Updating the website- The firms are required to make sure that they keep updating their website regularly as a part of their e-commerce strategy. New content and information therefore has to be added to the website. Thus, In the context of Sainsbury's it is highly important that the website is updated quite regularly and made more interactive which will help a lot in attracting the customers to purchase the products and avail the services of the company thereby raising the level of revenues and enhancingthe overall level of profits. P4: E-commerce solution The specific requirement which is present with Sainsbury's is Right product descriptions. This is also a strategy which the company will adopt because by providing accurate description about the products and services which are offered by it it will be able to ensure that it can attain the desired goals and objectives without facing problems and issues. Thus Sainsbury's is looking forward towards framing an E-commerce solution which will help it a lot in the achievement of goals and objectives. For this it will make its website even more interactive. There will be use of different steps for this purpose. The steps which will be taken are explained as follows- Using website builder-A Website builder can be highly helpful for the different types of companies because by making its use they will be able to ensure that they can build the websites in an appropriate way without facing problems and issues(Janjevic, Winkenbac and Merchán, 2019).Thus in this way a company like Sainsbury's can make sure that by making the use of Website builder it is able to create a specific website for the purpose of targeting the different types of customers without problems and issues. Testing of tool- When a website or a suitable e-commerce platform is selected it is also important for the companies to test the tool. For this a trial run of the e-commerce website should be made to identify if it working properly. Therefore for Sainsbury's it is crucial that the tool is tested which will be quite helpful in ensuring that the company is able to target the customers clearly and target the enhancement of revenues and profits. It has to also ensure that in testing the tool the right product description is displayed which will therefore help in the attainment of goals and objectives. Buying the right plan- It is required that a right plan is used so that the e-commerce strategy is made successful(Johansson and Kask, 2017). Thus, In the context of Sainsbury's it becomes crucial that it chooses the appropriate plan whether free or paid 3
for its products and services. In selecting the plan it needs to ensure that the right product description is displayed.Also the company will be required to ensure that its different staff members are able to work in a right manner which will be quite helpful for it in ensuring that it can attain its specific goals and objectives without facing problems and issues. This will be helpful for it in ensuring that the company's managers are able to make the right use of efficiency and effectiveness. Registering for a domain name- A company can register for a particular domain name which will be used by it exclusively. Therefore for Sainsbury's it becomes important that it registers a domain name which can be highly useful for it in setting its unique identity in front of the customers. This will help in attracting the customers and will lead towards more sales for the organization. Picking a website template-A company can make sure that a website template can be used by it to frame and design a website. In the context of Sainsbury's, it becomes very important that a right website template is framed by it in which all the required features are added which can meet the needs and requirements of the customers effectively and efficiently.For this the company is required to make sure that it is able to identify a specific template on which it can work in a proper manner and thus is able to ensure that a right website is created for the purpose of attracting the customers. This will be helpful in ensuring that the attainment of specific goals and objectives can be made easily. Customization of template- The template which has been framed by the organization can be customized(LI and WU, 2017). Sainsbury's can customize it and make sure that it adds relevant details accordingly which will thus be quite useful in attracting the customers. The interface can be made attractive, navigation of the website can be made smooth so that it is easier for the customers to use the website. Adding of the products- The products can be added once the template has been customized and finalized by the company(Maika and Kautsar, 2019). In the context of Sainsbury's it crucial that it identifies the products which it wants to sell on e-commerce website and adds them to the website. Different categories of the products can be made so that the customers are able to find out the product which is required by them quickly and thus this can raise the overall level of revenues effectively and efficiently. 4
Payment methods- Once the products have been added the payment methods can be identified. In Sainsbury's the requirement is to identify the payment methods which can be provided by the company to the customers. Payment methods like Debit Card, Credit Card and Net Banking can be used so that the customers are able to make the payment easily. Shipping settings- The requirement from the organizations is that they identify the ways they will ship their products to the customers. The process of shipping has to be transparent and the customers must have knowledge about the shipping charges which are being charged from them to receive the product. Thus Sainsbury's has to take care of this while designing an e-commerce solution so that it is able to ship the desired products to the customers in an effective manner.For this purpose the company will have their own fulfilment processes which will thus be very helpful for them in ensuring that they are able to ship their different types of products in a proper manner to the customers thereby meeting their various sorts of needs as well as requirements. Settings for the store- The online platform which has been made has to be clearly set so that it can work seamlessly in an integrated manner to ensure that the customers are given a good experience. For this, Sainsbury's management needs to make the website better so that the customers are provided with a good experience which can ensure that they give positive feedback. Testing- The developed online platform can be tested effectively and efficiently by the company before they are ready to finally launch it(Maryati, Purwandari and Solichah, 2018). Sainsbury's has to ensure that it tests the online platform which has been developed by it before it can be launched. This will help the company to test the platform and find out problems and issues with it so that they are resolved effectively before launching the platform before the customers. M3: Analysis of factors and resources Factors like Size of the organization, Type of the organization, The Customer Base, Products and Services have to be considered. Also the use of Physical, Human, Financial and Intellectual Resources has to be made so that the organization is able to create an effective e- commerce strategy. Therefore, Sainsbury's is required to make sure that all of them are considered by it before it sets out to frame an e-commerce strategy. This will help it in 5
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effectively implementing the strategy and attaining the goals as well as objectives.For a company like Sainsbury's the impact put by these factors is quite important because it will help a lot in ensuring that they are able to attain their specific goals and objectives without problems and issues. The resources which have been mentioned above are important for the company because by analysing them the impact which they put on the customers can be identified and thus the appropriate actions can be taken in such a case for making sure that the strategies and tactics of the company are successful. M4: Types of payment systems The use of different payments systems are crucial for the success of e-commerce. Thus the payments systems like Debit Card, Credit Card, Net Banking etc. are very important to be considered by Sainsbury's so that its managers are able to make their payment system highly seamless in nature and thus in this way they will be able to attract the customers and make the entire process easier for them. Therefore in this manner the company will be able to attain its goals and objectives effectively and efficiently.The differentiation between the various types of payment systems can be done by Sainsbury's by offering a wide variety of systems to the customers. Thus in this way it can be said that the company will be able to provide its customers with a wide variety of options which can be quite helpful for them in the future. D3: Appraising the design and functionality of an e-commerce solution The e-commerce website or platform which has been developed by the companies can help them a lot in making it more interactive and integrate it seamlessly so that the customers are satisfied. In this way, the management of Sainsbury's can make sure that they identify the right design for their website and make it functional so that the customers find it helpful and can purchase more products of the company which will enhance their overall revenues and help in maximization of profits. TASK 4 P5: Implementation of e-commerce solution After selecting the e-commerce solution it is required from the companies that they make the use of appropriate strategy for ensuring its implementation. The implementation of the e- commerce solution of Sainsbury's can be done in the following manner- 6
Proper planning- It is necessary for the companies to ensure that they create proper plans so that they are able to implement the e-commerce solution(Sambhanthan and Good, 2016). The firms are required to frame the plans for making its e-commerce website successful so that it can attract the customers. It has to plan about the way the website will be developed for the different customers taking care of their needs and requirements. In the context of Sainsbury's it becomes quite important that it plans the way in which it can design the website so that it can serve the customers effectively and efficiently. Technological selection- For implementing the e-commerce solution it is important to select the appropriate technology. The cost of technology and the other allied factors also have to be considered by them. In the context of Sainsbury's it is necessary that for the e- commerce website it adopts a technology like Website Builder which will help it in launching the website successfully. Customer acquisition- It is necessary to acquire the customers so that the organizations are able to enhance the level of profits(Wang, Zhang and Sun, 2017). In Sainsbury's, it becomes important that the customers for its e-commerce platform are attracted by making the use of appropriate marketing and promotional strategies. It needs to target young customers who like to shop online. In this way it will be able to enhance the level of revenues effectively and efficiently. Customer engagement- For the organizations it is crucial that the customers are engaged correctly so that they can benefit it and can help in enhancing its revenues and profits . For this purpose the use of strategies and tactics can be made by the organizations. They have to make sure that the e-commerce platform which has been developed by them can attract the customers. After designing an e-commerce website, Sainsbury's has to engage the customers who can purchase its products online and can also publicize the strategies and tactics. Optimization- The companies need to optimize the platform which has been developed by them to ensure that it serves the customers in the right way(Zhang, Zuo and Zheng, 2016). If there are any problems which the customers are facing in the trial run then they need to be removed so that they are provided a seamless experience. Unexpected errors which are being faced by the customers can be optimized so that they are able to 7
interactively use the website. Thus, Sainsbury's needs to make sure that it optimizes the platform which has been developed by it so that it can match the metrics which have been set for the successful e-commerce platforms. Business analysis and customerinsights- The firms are required to analyse their business properly and obtain the customer insights so that they can take correct decisions for their e-commerce solution(Zhao, Zhou and Deng, 2020). From it the organizations can get ideas about the way the e-commerce website can be made better to serve the customers in a better manner by fulfilling their needs and requirements. In the context of Sainsbury's it is very crucial that a proper Business analysis is done by it so that it can get to know more about products and services which it is offering to the customers. M5: SWOT analysis SWOT analysis of e-commerce StrengthsWeaknesses Availability- E-commerce websites are availableforthecustomers24*7 which allows in ensuring that they can purchase their products anytime. Global access- E-commerce platforms provide global access to the customers whichthereforecanhelpthemin purchasing the global products sitting at one location. Consumer mindset- The mindset of certainconsumersisstillnotinthe favour of purchasing the goods from online websites. Cost-Thecostofdevelopinge- commerce websites is too high which canincreasetheexpenditureforthe companies in developing it. OpportunitiesThreats Market reach- E-commerce websites have a wide market reach. This allows them to make sure that they can reach to a wide range of customers. Technologicaladvancement-E- commerce websites can benefit a lot fromthetechnologicaladvancement Competition- The competition which is prevailing in the market is quite high which can affect the organizations. Digital frauds- There are digital frauds which can regularly happen when the consumers make the use of e-commerce platformswhichcanimpactthe 8
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which helps them in ensuring that they cantargetawidersectionofthe customers. companies.These types of frauds can happen in the organizations which can thus impact them and therefore it is needed for a company like Sainsbury's that it applies specific strategy in such a case so that the impacts put by these frauds can be reduced. D4: Evaluation of success of e-commerce implementation The e-commerce strategy which has been made by Sainsbury's can achieve the desired success if it is proper. It has to be ensured by the managers of the organizations that they are able to evaluate the success of these strategies. The company needs to identify the way it can satisfy the needs and expectation of the various types of customers. The specific requirements of the customers can be also identified and thus in this way the planning can be done properly to attain the strategic advantage effectively and efficiently.Certain factors like use of analytics to measure consumer traffic, average sales per visit can be made so that the customers are able to ensure that thee-commercestrategycanbeimplementedeffectivelyandefficiently.Thiswillhelp Sainsbury's to be able to achieve its short-term, medium-term and long-term goals as well as objectives in the future. Thus it can be said that these particular factors are quite important for e- commerce strategy implementation. Therefore, it can be helpful for the organizations to consider making the use of a good e-commerce strategy. CONCLUSION From the above report, it can be concluded that e-commerce is an attractive platform which provides more access to the different types of customers. An appropriate strategy can be prepared by the firms so that they are able to target the customers effectively and efficiently. Thus in this way it can make sure that the companies can offer their products to the customers on a platform which can be accessed by them anytime and can allow them to target global customers. There are different types of e-commerce strategies which are available for the organizations. An e-commerce solution can be framed on the basis of a specific requirement of the company. Also, the implementation of the strategy can be made when certain steps are taken. 9
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Zhao, Y., Zhou, Y. and Deng, W., 2020. Innovation Mode and Optimization Strategy of B2C E- Commerce Logistics Distribution under Big Data.Sustainability.12(8). p.3381. 12