Skip main navigation

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 free online

Introduction to Digital Transformation and E-Commerce

Created by
FutureLearn - Learning For Life

Our purpose is to transform access to education.

We offer a diverse selection of courses from leading universities and cultural institutions from around the world. These are delivered one step at a time, and are accessible on mobile, tablet and desktop, so you can fit learning around your life.

We believe learning should be an enjoyable, social experience, so our courses offer the opportunity to discuss what you’re learning with others as you go, helping you make fresh discoveries and form new ideas.
You can unlock new opportunities with unlimited access to hundreds of online short courses for a year by subscribing to our Unlimited package. Build your knowledge with top universities and organisations.

Learn more about how FutureLearn is transforming access to education