IT200 finalpaper - E-Commerce Security issues Sultan...

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E-Commerce & Security issues Sultan Alsharif IT-200 Final project 9-25-2004 There are varying opinions regarding the future of e- commerce. Despite the fact that online sales are growing exponentially, some analysts believe that e-commerce is heading for a fall. Laurie Windham justifies her belief that as time goes on, sales will decreases instead of increasing. Windham believes that net consumers are very different than mall shoppers and catalog shoppers. Furthermore, she says that (.COM) are responsible for ruining their own chances to sell because they have spoiled customers to the point that consumers expect cheap prices and freebies and if they don't get them, they just move on to another site. E-commerce, Windham says, is a fickle world with little, if any, customer loyalty (Fortune, 2000). Windham found some interesting differences between online shoppers and traditional shoppers. For instance, 1
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34 % of online shoppers describe themselves as comparison shoppers but only 8 % of traditional shoppers describe themselves as comparison shoppers (Fortune, 2000). Web shoppers are by and large comparison, price-sensitive consumers. Future 3 Windham, who spent two years studying the consumers who purchase online, said that as nonusers begin to use the Web for purchasing, they will be less adventuresome than people already making purchases online. They will also be slightly older than the norm and they will be more fearful and cautious about privacy and security. In other words, as nonusers begin using the Web to shop, they will be a more conservative group than current users. It is probable they will also be less fickle and more loyal to brands/stores (Fortune, 2000). Windham pointed out that there were numerous problems with people receiving exactly what they ordered online during 98 holiday season. Based on that, she suggested sales may be lower this for next coming years (Fortune, 2000). Surveys conducted after the breakdown of early 2000 holiday season suggested online shoppers would continue shopping online. One survey, for instance, indicated 2
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that more than 90 % of consumers reported that shopping online met and exceeded their prospect.
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