1. The Store Front & Auction Site Models CpSc 236-01, Spring 2001

2. E-Commerce/Business Beginnings 1968 – Electronic Data Interface (EDI) Business-2-Business Only Benefits: – Business could be conducted 24 hours a day, seven days a week. Problems: – No guarantee that data sent by company A could be used by company B (No standard for data transfer/retrieval)

3. E-Commerce/Business Beginnings 1984 – ASC X12 Business-to-Business Benefits: – Standardized Data Transfer/Retrieval – Allowed mass transactions to be completed more easily & efficiently Problems: – Technology superceded hardware capacity

4. A Technological Breakthrough 1992 – The Mosaic Browser Created by Mark Andreessen Benefits: – Freely distributed to the public at no cost. – Allowed “Point & Click” Access to the web

5. More Advancements 1994 – Netscape Navigator Expanded version of Mosaic Businesses could now use the internet & World-Wide Web to reach consumers/clients Netscape introduces “E-business”

6. The Store Front Model Commerce on the Internet & World-Wide Web

7. Amazon.com Founded 1995: – Online Bookseller Today (2001): – Serves 29 million customers – Customers in 160 countries – Most popular online store ever

8. Amazon.com Products: Sells: BooksElectronics MusicVHS/DVD Video Home AccessoriesToys/Games

9. Amazon.com Reasons for Success – Customer Satisfaction – Reliable Delivery – Advertising – Provides customers for other businesses UPS, Fed-Ex, etc…

10. Amazon.com Purchasing: – Must be a member Name, Address, Phone Verifiable (traceable) E-mail Address – Not a web email account (xxxx@hotmail.com, xxxx@yahoo.com, etc….)xxxx@hotmail.com xxxx@yahoo.com – Security Valid Credit Card – Verifies age (18+) – Security

11. Amazon.com Purchasing: – Search a product catalog database Keyword or Category/Subcategory

12. Amazon.com Cookies: – Personalizes Service Remembers User name, start page, etc… – Controversial Allows communication between client/server offering a security breech – Recommends products based on previous purchases

13. Amazon.com Shipping: – Offers various ways to ship purchases to consumer

14. Auction Site Model Individual Sellers/ Individual Buyers

15. ebaY.com Founded 1995: – Simple Online Auction Site Today (2001): – Still an auction site – 18.9 million registers users, (buyers & sellers) – #1 auction site in the world – Over $5 billion annual revenue – Has almost anything anyone could want

16. ebaY.com Reasons for Success: – The first site of its kind – Advertising – Standards for verifying buyers/sellers – No Liability “e-contract”

17. ebaY.com Purchasing: – Must be registered user Name, address, phone, valid email (same as amazon.com) Valid credit card number – Must be winning bidder (typically, but not always) Some auctions may be bought out at a static price – Shipping is handled by buyer/seller (pre-arranged)

18. ebaY.com Billing/Payment Methods – Billpoint 3 rd party billing agent – Collects electronic checks or credit payments from buyer Billpoint will notify seller of confirmation of successful transaction. – Seller can now ship product to buyer Seller is paid by Billpoint within 3 days via direct deposit

19. Wrap Up Store Fronts: – Online Store/ Shopping mall Amazon.com Buy.com Auction Sites: – Online Auction ebaY.com Yahoo Auction