The Impact of E-Commerce

With the invention of the Internet, trade has undergone a fundamental change, and by its establishment, electronic remittance has been introduced, allowing banks and companies to remit in a timely and efficient way. In addition, the creation of the World Wide Web dramatically changed the driving dynamics of the business, bringing many problems and benefits. By the mid-1990s, many different companies began to use online retail options and services, which made major progress in banking and shopping.

The impact of e-commerce can be traced back to industry and consumer levels. It can also go back to the macroeconomic level. However, the impact of e-commerce on the economy depends on several factors, such as the speed at which the economy (such as enterprise and population) adopts e-commerce. This also depends on other factors such as computer and software costs, computer and telephone penetration, security, human and telecommunications infrastructure.

Today's e-commerce is widely believed to account for less than 10% of total US retail sales (Figure 1). Strictly speaking, this has not begun to express real impact on e-commerce of most retail companies. To verify this, you should classify retail sales into appropriate categories and see the impact of e-commerce on each category. Retail sales in the United States are best classified using the North American industry classification system (NAICS). It is used by federal statistical agencies to collect, analyze and publish US statistics (Figure 2).

As an example of the impact of e-commerce on physical retail, there is a shopping day for Black Friday and Cyber ​​Monday after Thanksgiving. According to Rakuten marketing data, in 2017, Cyber ​​Monday is online sales, 68% higher than Black Friday - this is traditionally the biggest real shopping day of the year. According to ShopperTrak, Black Friday's actual number of stores declined by 1% compared with the same period last year, while Thanksgiving Black Friday's traffic for two days decreased by 1.6%. Nearly 40% of Black Friday's sales come from mobile devices, which has increased by nearly 10% over the previous year. This indicates that e-commerce is becoming a mobile commerce.