Home / Business & Management / Business Technology / Introduction to Digital Transformation and E-Commerce / E-commerce and digital business benefits
E-commerce and digital business benefits
E-commerce and digital businesses offer a range of tangible and intangible benefits to customers, businesses and society.
© Coventry University. CC BY-NC 4.0
E-commerce and digital businesses offer a range of tangible and intangible benefits to customers, businesses and society.
Tangible benefits are those that are measurable, such as increasing revenue, whereas intangible benefits are more difficult to directly evaluate.
| Tangible benefits | Intangible benefits |
| Increased sales from new sales leads | Corporate image communication; enhancement of brand |
| Increased revenue from new customers, new markets and existing customers (cross-selling) | Faster product development lifecycle, enabling faster response to market needs |
| Marketing cost reductions from reduced time in customer service, online sales, reduced printing and distribution costs of marketing communications | Better management of marketing information and customer information; more rapid, more responsive marketing communications, including PR |
| Supply chain cost reductions from reduced levels of inventory | Improved customer service; feedback from customers on product; learning for the future |
| Supply chain cost reductions from reduced levels of inventory and shorter cycle time in ordering | Meeting customer expectations to have a website |
| Administrative cost reductions from more efficient routine business processes such as recruitment, invoice payments and holiday authorisation | Identifying new partners; better support for existing partners |
(Chaffey, 2015)
Your task
What could be the benefits for customers and society? Share your thoughts and insights in the comments section below.
References
Chaffey, D. (2015). Digital business and e-commerce management : Strategy, implementation and practice (6th ed.). Locate link (Available to fee paying students)
© Coventry University. CC BY-NC 4.0
This article is from the online course:
Introduction to Digital Transformation and E-Commerce
Created by
This article is from the free online
Introduction to Digital Transformation and E-Commerce
Reach your personal and professional goals
Unlock access to hundreds of expert online courses and degrees from top universities and educators to gain accredited qualifications and professional CV-building certificates.
Join over 18 million learners to launch, switch or build upon your career, all at your own pace, across a wide range of topic areas.
