1. Online Shopping
Basics

2. Benefits Can be cheaper than buying in the store
Why?
Large number of web sites = more competitive prices
Example….# of in-store vs. online options
Economy of scale
Large companies can afford to drop prices below competitors
No sales taxes on many purchases*
Tax loophole
No longer true for Amazon in Indiana
Large product selection
Convenient
No traveling needed

3. Drawbacks Shipping Privacy/Security No immediate customer support*
Costs, condition, and time
Privacy/Security
Increased potential for identity theft, scams, fraud, etc
No immediate customer support*
*for most online retailers
Unable to physically examine the items
Can’t check its condition, its size, feel in your hand, etc.

4. Products To Think Twice About Buying Online
Perishable items
Things that expire quickly (fresh food)
Fragile/Delicate items
Could break during shipping
Ex. Large electronics
Pharmaceutical Drugs
Safe?
Size-specific items (ex. Clothing)
Will they fit?
Used items (ex. Cars)
How reliable is the seller and/or the item?

5. Previous Customer Online Reviews
The Good
Can help you decide if a product is worth your money
Can help you decide if a website is worth doing business with
The Bad
Companies can post their own positive reviews of themselves or their products
Competing companies can create false reviews of each other and their products
Not everyone has the same expectations & experiences as what you might have

6. Quick Review
What are some reasons why it is beneficial to shop online?
Product variety, low cost, convenient, etc
What are some reasons why it is not beneficial to shop online?
Shipping costs and time, security issues, no immediate customer support, etc
Why should you be careful about trusting online reviews of products or websites?
They can create their own positive reviews, competitors can create fake negative reviews, not everyone has the same expectations or experiences