Reasons for e-commerce adoption:
- Increased sales from new sales giving rise to increased revenue from:
- New customers, new markets.
- Existing customers (Repeat-selling)
- Existing customers (Cross-selling)
- Marketing cost reductions from:
- Reduced time in customer service.
- Online sales
- Reduced printing and distribution costs of marketing communications.
- Supply chain cost reductions from:
- Reduced levels of inventory
- Increased competition from suppliers
- Shorter cycle time in ordering.
- Administrative cost reductions from more efficient routine business processes such as recruitment, invoice payment and holiday authorization
- Corporate image communication, Enhancement of brand, more rapid and more responsive communications including PR is possible because of adoption of e-commerce.
- Faster product development lifecycle enabling faster response to product needs.
- Improved customer service and learning for the future.
- Identifying new partners and supporting existing partners is possible.
- Better management of marketing information and customer information is possible.