Difference between E-commerce vs Traditional commerce
E-commerce is the process of exchanging goods and services in the form of digital mode where the payment to the goods and services happen in electronic form. The payments can be made in any form of digital modes such as Credit Card, Debit Card, Digital Wallets or Net Banking. E-Commerce is a form on the online shopping market where customers can buy goods and services easily from their home including a few discounts and the goods will be delivered at the doorstep. In this case, most of the time and money can be saved in spending for traveling and selecting the goods. In E-Commerce, the goods can be bought round the clock without any hassles during our free time.
Traditional Commerce is the process of exchanging goods and services in the form of money directly. Traditional Commerce began at the time of the barter system which was introduced in the early millions of years ago. The barter system defines the exchange of goods with other goods instead of money where money was not available during those days. This is where Traditional Commerce began and has been continuing till today in the form of exchanging money rather than with only goods. Traditional Commerce involves face to face and in person dealing with all the parties to perform the exchange of goods and services with predefined prices. Nowadays Traditional Commerce lost its popularity and got reduced due to the E-commerce introduction in the early 20th century where E-Commerce provides greater benefits in buying the goods and services easily.
Head To Head Comparison Between E-commerce vs Traditional commerce (Infographics)
Below is the top 9 difference between E-commerce and Traditional commerce
Key Differences between E-commerce vs Traditional commerce
Both E-commerce vs Traditional commerce are popular choices in the market; let us discuss some of the major Difference Between E-commerce and Traditional commerce:
- E-Commerce is completely an in digital and online mode where the communication is through electronic form completely whereas Traditional Commerce is completely offline and through in person or face to face.
- E-Commerce is reachable worldwide and has more connectivity whereas Traditional Commerce is limited to a particular geographical area especially smaller.
- E-Commerce information of exchange takes place in different forms either through digital ads or emails etc. whereas the information of exchange in Traditional Commerce happens in the form of hoardings or pamphlets distribution or through any physical mode of exchange.
- E-Commerce can have one to one marketing whereas Traditional Commerce can have only one-way marketing.
- E-Commerce can have several payment modes such as online transactions or digital wallets or cash on delivery whereas Traditional Commerce can have only cash payment in person.
- The delivery of goods in E-commerce is either the on the same day or any other day depending on the availability of logistics and several other restrictions depending on the location of the customers whereas in traditional commerce the delivery of goods is instant.
- E-commerce provides a lot of discounts and at lower rates whereas in Traditional commerce there will be no or fewer discounts and no other options except to approach different seller which takes time.
- E-Commerce provides good customer services in different forms such as chat option or direct call with customer care executive whereas Traditional commerce does not provide any such customer support.
- E-Commerce accepts the return of the products if not interested or not liked by the customer within 7 – 15 days depending on the seller whereas Traditional commerce does not provide such return policy until there is damage in the product.
- E-Commerce provides a lot of products in scope and a wide variety of products irrespective of brands and types of products whereas Traditional commerce has limited number of products with a particular seller as space is limited.
E-commerce vs Traditional commerce Comparison Table
Let’s look at the top Comparison between E-commerce vs Traditional commerce –
|The basis of comparison Between E-commerce vs Traditional commerce||
|Definition||E-Commerce is a form of online shopping where users can buy goods and services from their electronic devices such as a laptop, mobile, tablet.||Traditional-Commerce is a traditional approach to buy goods and services in person which involves face to face dealing.|
|Usage||It is used to save valuable time and money.||It is ancient and still in usage where the digital network is not reachable.|
|Process||It is easier to use and operate if the customer has basic digital gadget knowledge.||It can be followed by any person irrespective of education or knowledge.|
|Mode||It is in electronic or digital mode only||It can be in any form which is non-electronic or manual form.|
|Time||It is available round the clock||It is available during the limited time as prescribed by the law and based on the type of business.|
|Purchase||Inspecting a product before purchasing is not possible in this type.||Inspecting a product before purchasing is possible in a traditional commerce business model.|
|Involvement||It involves only digital gadget engagement to place the order||It involves face to face involvement of both buyer and seller|
|Business||More business can be done easily without any hassles||It is difficult to perform more business in this model|
|Maintenance||Easier to maintain this as the only warehouse is enough to store the goods.||It is cost effective as display and showcase of the products are required to attract the customers.|
Conclusion – E-commerce vs Traditional commerce
E-commerce is the trending form of business being carried nowadays by most of the business traders or sellers for retail and wholesale as well. Traditional commerce is still popular where there is no reachability for the delivery of the goods and services to faraway places from the urban areas. Also where few people are not in a position to attain the digital gadgets come under uneducated and traditional commerce is a popular form of business in this case.
E-commerce has reached most of the target audience now as the digital devices can be available at lowest prices and lot of competitive sellers, this has also become easier and day by day the connectivity to the digital world is also getting increased due to the efforts being done by the e-commerce industry. Both E-commerce vs Traditional commerce models are still popular based on the availability, requirement, and emergence of the requirement to the customers.
This has a been a guide to the top difference between E-commerce vs Traditional commerce. Here we also discuss the E-commerce vs Traditional commerce key differences with infographics, and comparison table. You may also have a look at the following articles to learn more-