COMP3241 E-Commerce Technologies Richard Henson University of Worcester October 2014

Week 4: B2C E-commerce websites with Shopping Cart n Objectives:  Describe the different implementations of B2C e- commerce  Explain the role of the shopping cart in the buying/selling process  Describe the stages required in producing an online invoice and receiving payment on-line  Explain the business reasons for using a shopping cart system

Systems for On-line Ordering n B2C e-commerce COULD be achieved via the www in a number of ways:  via  using a HTML Form that sends “semi-structured” data to an address  using a more sophisticated HTML forms system (a shopping cart)

Order via n Two possibilities:  using address given on home page  using a HTML mailto command on the home page: » send mail » send mail »allows the message header to be generated automatically n In either case…  a manual system requiring the vendor to physically read the message and send a reply...

Processes: Ordering via … n Customer:  initiates communication using address on web site  types out/sends an unstructured message requesting product(s) displayed on website n Vendor:  replies with an ed order »may have be inputted by hand  requests some means of payment before proceeding… »issues with security of personal data for unencrypted … »may have to be sent by post… (digital -> analogue…)

Order via HTML form n Customer:  accesses product page(s)  sees product list as a form on the web page  inputs number for each product required and submit the completed form to the vendor’s address n Assumes form is appropriately structured  information can then be processed automatically by software at the server end

Ordering via Shopping Cart n Fully programmed system  programming behind the web pages does all the processing  ordering products designed to be easy as possible for the customer n EU E-commerce Regulations (2002)  customer should see exactly what they are ordering  shopping cart logic should total up the exact amount the customer will have to pay (no hidden extras…) n The system should incorporate a means of securely storing customer personal data

E-commerce via Shopping Cart System n Two main functions:  advertising & promoting the company’s products  providing a secure and robust system for encouraging people to buy those products online n Each function is a subsystem in its own right »Presentation: FRONT END »Behind the scenes scripts & database work: BACK END Front end Back end

Shopping System Front End n Online equivalent of a high street shop  browsing through the product pages… equivalent of walking round the shop n Objectives of shopping pages:  products presented as positively as possible to encourage customers to want to buy… »achieved through creative web page design  Allow (encourage?) customers to purchase »“buy” button in (several?) appropriate places

Shopping System “Back End” n The boring bit ?!  “transparent to the user”  should all work perfectly, and never really be noticed…  will be noticed if it breaks down! n Back-end components:  relational database holding product, transaction, and possibly customer data  server scripts to manipulate that data, including… »connectivity string(s) to enable scripts to interact with database »SQL statements to query fields and tables

Linking Front-End and Back-End n Accepted practice…  whatever delivers fastest response times for the customer! n Achieved by…  cart data held locally until customer commits to transaction  cart display gives customer immediate feedback on what other products already chosen

Functions of Shopping Cart software n Collects the order using information gathered by mouse clicks on shopping pages n Stores & processes the order data n Prepares an invoice n Displays invoice for customer, requesting some means of payment

Achievement of these Functions n Cart software downloaded from server n Runs on the browser (client-side)… »no interaction needed with server during product browsing n Links with the vendor’s web server (server-side) »each time new data is required for display »to store transaction data

Payment & Fulfillment in B2C e-commerce n “post-ordering”  web pages again… combined with  must look right, to maintain the customer’s confidence in the company as an online vendor n Consist of...  secure payment pages, that connect to a clearly identified (logo?) merchant services provider  corporate “thank you” page  system to customer with information concerning the acceptance and progress of order

Putting it all Together… n Series of “back end” components working with (existing/modified/new) front end  cart itself  cart-related scripts  database storing product, customer & order details  payment system software will be needed that will interface with the International banking network  fulfilment pages that will advise the customer of the progress of their order, and encourage them to return to the website in future

Shopping Cart Implementation – not best practice n approach  everything happens fast, but happens client- end  not secure, and not even realistic unless only tiny amounts of data involved n “All on the server” approach  lot of server requests, lot of waiting for the server; can ruin the shopping experience!

Successful Shopping Carts n Most commonly used (and most successful) for B2C e-commerce is amazon.com:  web page displays live data from organisational web server  customer selects product(s) and qty from on-line form  costs, including VAT and any extras automatically included on on-line invoice  customer can choose to buy (or not!) directly by simply clicking a screen button  system requests means of payment before continuing…

Implementations of Shopping Cart principles (1) n Off the shelf…  mycart.com  other e.g.’s? n WordPress approach  add-ons/plug-ins for e-commerce

Implementations of Shopping Cart Principles (2) n A lot of time can be saved by using an E- commerce RAD toolkit. Various options available:  Word Press (already discussed)  Using Dreamweaver or Visual Studio to assemble either php or asp.net components already available on the www e.g. »Ultracart »WebXel… others?

(e.g. of shopping pages only) n Show all good features of engagement with a shopping cart:  automatically displays “shopping basket” whenever forms data is added  captures customer data  handles tax and shipping  links with payment system n Payment system links built-in  outsources authentication and card transactions  hence, security of financial data can be handled by a trusted third party

System Architecture (if interested…) n Very confusing because it uses several instances of index.html  root folder file boots the main system file, in the system folder  causes the system to be loaded »a web page informs that system is being loaded…”  finally, the home page is loaded from the pages folder n Product Data  saved within product pages as javascript arrays n Shopping Cart Data  set up on local hard disk as a cookie »NOT a session cookie »data remains after user has logged out, and system has been switched off!  cookie values put there by customer clicking on a pay button n Cart itself created by calling a JavaScript routine, and cookie values are placed into a HTML table  other features are also JavaScript routines

“Bookshop” – e.g. of shopping page design n Very simple design...  enables ordering of a book in at least two ways »text or image n Easy navigation:  forward (buttons at the bottom of the page)  back (hyperlinks at top and bottom) n Buttons at the bottom of the page:  Order this Book  3 Copies for 2 Offer  Review Basket

Bookshop Site design continued.. n Clicking on either the image of the book or the order button displays the all important Basket Review Page n Features to note:  heading - reflect corporate image, etc.  buttons at top of page - good navigation  option to go to payment page - cashier  form for on-line invoice & “remove item” check box  contains hyperlink to details of the book  bullet pointed help

Bookshop Site – Preparing an On Screen Invoice n Customer Details Page…  created when customer commits to a purchase  customer has to appropriately complete name, address, address fields (all are validated) n “Next” button provides the invoice page:  if customer details are not in the right format… »customer Details page will be called again n Features of on screen invoice page:  includes shipping and VAT charges  to go further, customer must choose from options a payment method...

Handling Payment n Needs a secure Payment page, involving interaction with transaction services…  default set up therefore does not include on-line credit card transactions »assignment 2 can leave this aspect similarly blank »however, you need to investigate the theory of payment via Internet for assignment 1… n After payment, fulfilment…  thank you page  then a goodbye page…  and (preferably) an confirmation of order... »independent of whether payment has been accepted

Internet Marketing n In the early days of e-commerce, the rate of hits on website WAS the value of the company (!)  now revised downwards, but same principle applies… »formula based on (say) every tenth visitor will be a customer… n Best ways to attract new visitors:  use search engines effectively  advertise URL effectively using a diverse range of media

Promoting the Website n The business will not get any benefits from increase in sales if there are no visitors  however excellent that site may be… n MANY ways to maximise the number of visitors to a site… n Suggestions? Group Activity…

Technologies for Improving Hit Rate n Many applications available  Some very simple »counters »meta name generators »date/time/special effects, etc. (client end) »links to code located on other sides (e.g weather forecast)  Others more sophisticated: two categories: »watch/record visitor behaviour n Example: ASP Sheriff »provide more features for the site n Any number of possibilities

Effective Use of Search Engines n Objective: to use appropriate techniques to cause the search engine display your site in its “top ten”  Search Engine “spiders” »crawl round the net looking out for keywords in web pages »retrieve keywords and corresponding URLs »take keywords back to the search engine database »Program automatically adds the lists of keywords to the database n right keywords MUST be presented to the spiders

Effective Use of Search Engines (2) n Objective: keeping the site in the top ten n Search engines like Google monitor websites: n Longer-term ranking also based on:  hit rate  number, and activity, of external links on site n Technologies available to help boost rankings  Whole new discipline of e-marketing…

Security and E-commerce Data n Early systems often “too relaxed” (!) n Security initially focused on financial transaction  system needed to be designed so financial data cannot be tapped into en route or on either client or server computer  quite a challenge… often passed to 3 rd party provider »e.g. PayPal  but financial data also needs to be secured “en route…”

Security and E-commerce Data (2) n E-commerce systems also require customers to supply personal data  slow to recognize potential for infringement of EU data protection legislation »not necessary in US in late 1990s… and early E-commerce expertise came from US n Customer data is personal  should also be secured “in transit” n More recently acknowledged to be a problem… »many systems still on “catch up” as regards shopping cart design…

Policing of E-commerce Security n Two “regulators/controllers”…  UK & EU Laws »sadly inadequate… »but more law contraversial; govt little appetite for change  Credit card company regulations »PCI-DSS (Data Security Standard) »gradually becoming more severe »company could lose the facility to take credit card payments (!)

Challenges with “Assembling” a Cart n If it can go wrong, sooner or later… it will!  dealing with programming code can be a dangerous business!  like security.. sadly neglected  new UK govt initiative and standard for developing secure and reliable software: »

“Good” B2C E-commerce n Ultimately… a website that gets plenty of sales! n Good features:  the site works… reliably… securely…  the site is pleasant to use  products can be easily purchased  customer is kept informed after purchase

Making Reliable E-commerce software n Always get errors when using code to develop something new…  importance of testing! (and retesting…) n Regard apparent syntax errors as a challenge, not a problem!  Troubleshoot! Is it a syntax or system problem? »could be that the user interacting with the database doesn’t have sufficient user rights n right-click on local folder & check the security tag »could be that the database isn’t in the right place or has moved since the connection was last made

What makes a successful on-line B2C E-commerce site? n One that attracts customers  And retains customers… n Principles of good design well established  web pages appropriately designed  shopping system user-friendly & works efficiently n Successful e-commerce websites save the vendor an awful lot of money!  problem: high initial cost  gain: potentially huge ROI

B2C E-commerce: Keeping the customer satisfied… n All transaction data has to be presented digitally on-screen…  order forms (no opening envelopes and processing an order from paper)  invoices (no need to print them, put them into envelopes, or send them off by post) n Huge potential cost saving, but the screen interface must be designed FOR THE CUSTOMER!!! n If the customer is not comfortable with it, they may not buy… and may not return

Business Benefits of B2C n Can generate more sales…  increase revenue n BUT how can B2C e-commerce cut costs?  data input is done by the customer »help from the shopping pages and shopping cart  data output is presented directly on the screen  cuts greatly on administration…