Traditional Commerce is actually a part of business, which encompasses all sorts of selling and buying of goods in exchange of services for kind or cash and auxiliaries to trade together with the implication of activities, such as advertisement,packaging, transportation, insurance, banking, etc. that aids in the completion of successful exchange between parties.The main objective of traditional commerce is to satisfy the needs of the consumers by making products available to them, at the right place and the right time.In simple words, the traditional commerce refers to all those activities that make the process of exchange of services and goods easy and simple right from the manufacturer to the ultimate consumer.
In contrast, e-Commerce refers to the trading process of exchanging of services and goods including other trade activities like selling, purchasing, paying through funds, or gathering information, between consumers and businesses using the electronic medium, i.e., online social network or internet.
Now the main question is which one of these two is better?
- Time factor:
The traditional commerce usually takes much more time to complete a transaction successfully. However, both the business and consumers can save a lot of their time through e-Commerce as the transaction can be completed within a few minutes via the internet.
- Working hours
In traditional commerce, the trading of goods and services can take place, only during specific working hours. In contrast, in e-commerce, the selling and buying of goods take place round the clock.
- Delivery of goods
In traditional commerce,the delivery of goods occurs immediately.But in the case of e-commerce, the goods get delivered right at the customer’s place usually within 7-8 days after placing the order.
- Promotion of new products
In traditional commerce, the promotion of new products requires both money and time. Even costly pilot surveys are also carried out to analyze the customers’ response about the product. In e-commerce, it is easy to advertise a product on the internet to get the immediate feedback of the customers. Based on that, the products are usually modified to be launched successfully.
- Business process and relationship:
e-Commerce being an automated process for business transactions clerical errorsis minimal.The traditional commerce is a manual process and therefore, the chances of clerical errors are a bit more due to human intervention.The interaction between the consumer and business, in traditional commerce is face-to-face and in electronic commerce, is screen-to-face.
- Business profit:
E-commerce helps the organization to appreciate greater profits by streamlining operating processes, increasing sales, and cutting downextra expenses, whereas, in traditional commerce, profit is pulled down a bit due to the interference of middleman and limited sales.
Which is better?
Nowadays, the fast-paced world, in order to stay ahead in contention, to save time, and thrive in the business through the world of internet, it is very essential to break-through the conventional or traditional rules and adapt theinformation technology for doing better business not only with one country or location but in throughout the global locations at any time. Therefore, although e-Commerce is a bit risky mode of business like the threats of facing fraud transaction, unsuitable for selling perishable goods, and not ability to inspect goods physically by the customers, but according to match with the evolving technologies e-Commerce is better and convenient than traditional commerce in today’s world.