Electronic Retailing (E-Tailing)

Published Mar 22, 2023

Definition of Electronic Retailing (E-tailing)

Electronic retailing, commonly known as e-tailing, is the process of selling products and services over the internet through online retail stores or internet marketplaces. The products or services can include anything from clothes, electronics, books, and groceries to insurance, banking, and travel services. In that sense, e-tailing is the electronic version of traditional brick-and-mortar retailing.

Example

A well-known example of e-tailing is Amazon, which is the world’s largest online retailer. Amazon started as an online bookstore in 1994 but gradually expanded to sell a wide range of products, including electronics, clothing, and groceries, to customers worldwide. It enables customers to shop for goods and services from the comfort of their homes, with the option of next-day delivery or even same-day delivery in some cases. Amazon also offers a membership program called Amazon Prime, which provides free and fast shipping, access to streaming services, and discounts on select items.

The rise of e-tailing has also impacted the transportation and logistics industry. Instead of solely relying on brick-and-mortar stores to stock their shelves, retailers now have the option to store their products in a centralized distribution center and ship them directly to customers. This has led to a boom in the courier and package delivery industry.

Why E-tailing Matters

E-tailing has revolutionized the way people shop, enabling them to buy products and services without leaving their home, office, or even their bed in some cases. This is especially important during the COVID-19 pandemic, where online shopping has become the preferred method for many customers.

In addition to that, e-tailing allows retailers to expand their customer base and reach new markets, both nationally and internationally, without the need for physical stores. This reduces overhead costs, improves efficiency, and ultimately creates a more competitive market for consumers. As technology continues to advance, it is expected that electronic retailing will continue to grow and innovate, changing the retail landscape for years to come.