Traditional Business Vs. E-Business
Since the explosion of the internet age, e-businesses have gradually come to compete with the long standing structure of traditional businesses. With every year that passes, starting an e-business becomes simpler and more cost-effective than creating a traditional business due to a variety of factors.
Audience
Traditionally, businesses focus on a local audience. And the only way to expand the audience is to expand into new areas by constructing multiple stores or outlets. The main advantage that e-businesses hold over this method is that the audience can be far more vast--virtually anyone who has a computer.
Segmentation of Audience
Another great advantage of an e-business over traditional business is that it can easily find and market to a specific niche or segment, which results in a higher conversion of sales. Traditional businesses are forced to choose correct locations to attract their desired customer base.
Upfront Costs
The most significant difference is that e-businesses cost very little upfront when compared to traditional businesses. Starting a business on the Internet does not have the burden of a physical storefront and any expenses that accompany it.
Adaptibility
When you have a physical store, there is not a lot of room for error. You can only customize your store, marketing, and product to a small extent. With an e-business, you can do massive customization, and change how and what you market, depending on your business performance.
Ease of Use
The vast majority of e-businesses are much easier to use for the customer--most sales and purchases can be done from the comfort of home.
Tags: that e-businesses, traditional businesses