07-LECTURE NOTES 7 E - COMMERCE DIGITAL MARKET AND DIGITAL GOODS

Cost transparency refers to the ability of consumers

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Unformatted text preview: Cost Transparency refers to the ability of consumers to discover the Cost actual cost of merchants pay for products. E - COMMERCE: DIGITAL MARKET AND DIGITAL GOODS COMMERCE: INFORMATION DENSITY INFORMATION Online Merchants can discover much more about customers than in the past. Information Density allows merchants to segment market into groups who are willing to pay different prices and permits the merchant to engage in price discrimination (Selling the same goods, to different targeted groups , to different targeted groups at different prices.) Information Density also helps merchants differentiate their products in terms of costs, brand, and quality. E - COMMERCE: DIGITAL MARKET AND DIGITAL GOODS COMMERCE: PERSONALIZATION / CUSTOMIZATION PERSONALIZATION E-commerce technologies permit ‘’Personalization’’. Merchants can target E-commerce their marketing messages to specific individuals by adjusting the messages to a person’s name, interests, and past purchases. E-commerce technologies also permits ‘...
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This note was uploaded on 08/12/2011 for the course ITEC 421 taught by Professor Huseyingursev during the Spring '11 term at Eastern Mediterranean University.

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