Tuesday, August 27, 2013

Conventional shopping and online shopping


Internet has become integral in our daily activities nowadays. It has become a tool in making our daily tasks much easier and faster. However, Internet has evolved more than that such as allowing us to shop online. It is actually overwhelming to see that online shopping is now starting to become popular in the Philippines. Online users actually didn't find online shopping reliable a couple of years ago. One of the reasons is that we have a high fraud rate for both offline and online in the Philippines.

Logically, this makes local online users shy to shy away from online transaction. In the local online space, local online classified websites were the premiere local websites closest to Ecommerce. This helped the Ecommerce industry prepared the local online users for online malls. A community of marketplace was eventually built thanks to these local online classifieds. During the time local online classified websites didn't exist, local online users didn't know where to go in online. Online users are using it as their measurement in pricing. It allowed local online users to do more and stay longer connected to the Internet.

A lot of people go to their websites to buy and sell on their own. This was very different from Ecommerce since it is being populated of sellable items care of third party resellers or suppliers. Customers usually prefer and go with offline transaction. Group buying website also has this contribution to the local online users. They paved way for upcoming Ecommerce websites in the country. The local online users were already prepared with online payment but the time Ecommerce websites arrived in the Philippines. Online shopping to local online users has more upside than downside. It was hard to find better deals than what online users found on group buy websites.

Many online deals are being offered way lower than it is supposed to by group buy websites, making it harder for customers to ignore. Just a year ago, Lazada Philippines was launched in the country. One of the online mall ventures that is launched in South East Asia. The Samwer brothers own this venture under there German based company Rocket Internet. With Lazada's payment methods, it helped them impact the local Ecommerce in the Philippines. A lot of online payment methods are available for customers to make it easier for them. It is usually credit card or PayPal that are only allowed for paying online by online malls.

Conventional online payments like these, only limits the customers in availing what they want. Local online consumers were introduced with Cash on Delivery as their alternative payment method online. It allowed the untapped market to be tapped them in the Philippines. It is the majority of the local consumer market in the country. Now that the entire market is opening in online, it definitely helped Ecommerce thrive in the country. More and more people in the Philippines who were only used to conventional shopping are considering shopping online as their alternative.

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