A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
A study of Impact of E-Commerce On Travel And Tourism
With Regards To Ratnagiri.
A Project Submitted to
University of Mumbai for partial completion of the degree of
bachelor in commerce (Accounting and Finance)
Under the Faculty of Commerce.
By
Miss. Shreya Rajenrda Narvekar
Under the Guidance of
Mr. Nazia H Shaikh
R.P. Gogate College of Arts and Science and
R. V. Jogalekar College of Commerce, Ratnagiri
Maharashtra 415612
2021-2022
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
A study of Impact of E-Commerce On Travel And Tourism With
Regards To Ratnagiri.
A Project Submitted to
University of Mumbai for partial completion of the degree of
bachelor in commerce (Accounting and Finance)
Under the Faculty of Commerce
By
Miss. Shreya Rajenrda Narvekar
Under the Guidance of
Mr. Nazia H Shaikh
R.P. Gogate College of Arts and Science and
R. V. Jogalekar College of Commerce, Ratnagiri
Maharashtra 415612
2020-2021
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
R.P. GOGATE COLLEGE OF ARTS &SCIENCE AND
R.V. JOGALEKAR COLLEGE OF COMMERCE, RATNAGIRI
MAHARASHTRA,415612
CERTIFICATE
EE
This is to certify that Miss Shreya Rajendra Narvekar has worked and duly
completed her Project work for the degree of Bachelor in Commerce under
the faculty of (Accounting and Finance) in the subject of Marketing and
her project is entitled, “A study Of Impact E-Commerce On Travel And
Tourism With Regards To Ratnagiri .” under my supervision.
I further certify that the entire work has been done by the learner under my
guidance and that no part of it has been submitted previously of any Degree
or Diploma of any university.
It is her own work and facts reported by her personal findings and
investigations.
Miss. Nazia H Shaikh
Project Guide/Internal Examiner Course Co-
coordinator
External Examiner College Seal
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Date of Submission-
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
DECLARTION BY LEARNER
I the undersigned [Link] Rajendra Narvekar. Here by, declare that
the work embodied in this project work titled “A study of Impact of E-
Commerce On Travel And Tourism With Regards To Ratnagiri.”
forms my own contribution to the research work carried out under the
guidance of Miss. Nazia H Shaikh is a result of my own research work
and has not been previously submitted to any other university for any other
degree to this or any other university.
Wherever reference has been made to previous works of others, it has been
clearly indicated as such and included in the bibliography.
I, here by further declare that all information of this document has been
obtained and presented in accordance with academic rules and ethical
conduct.
Mrs. Shreya Rajendra Narvekar.
Name and signature of the Learner
Certified By
Miss. Nazia H Shaikh
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Name and signature of the guiding teacher
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
ACKNOWLEDGEMENT
To list who all have helped me is difficult because they are so numerous
and the depth is enormous.
I would like to acknowledge the following as being idealistic channels and
fresh dimensions in the completion of this project.
I take this opportunity to thanks the University of Mumbai for giving me
chance to do this project.
I would like to thanks my Principal Dr. P. P. Kulkarnifor providing the
necessary facilities required for completion of this project.
I take this opportunity to thanks our Coordinator Dr. M. R. Sakhalkar, for
moral support and guidance.
I take this opportunity to thanks our Head of the Department. S. B. Nagale
for moral support and guidance.
I would also like to express my sincere gratitude towards my project guide
Mr. S. B. Nagale guidance and care made the project successful.
I would like to thank my College Library, for having provided various
reference books and magazines related to my project.
Lastly, I would like to thanks each person who directly or indirectly helped
me in the completion of the project especially my Parents and Peers who
supported me throughout my project.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
INDEX
Chapter no. Title of the chapter Page no.
Chapter I Introduction
1.1 Relevance of the study and topic
Selection
1.2 Current Scenario
1.3 Concept of Consumer
1.4 Characteristics or Nature of Indian
Consumer
1.5 Concept of Consumer Behaviour
1.6 Nature of Consumer Behaviour
1.7 Types of Consumer Behaviour
1.8 Consumer Behaviour Models
1.9 Process of Consumer Behaviour
1.10 Scope of Consumer Behaviour
1.11 Significance of Consumer Behaviour
1.12 Factors Affecting Consumer
Behaviour
1.13 Meaning of Retail Buying.
1.14 Modes of Retail Buying.
1.15 Overview of COVID-19 pandemic.
1.16 Government decisions in COVID-19
Relates to Consumer.
Chapter II Research Methodology
2.1 Objectives of the study
2.2 Limitations of the study
2.3 Data collection method
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
2.4 Significance
2.5 Sample size
2.6 Scope of the study
2.7 Tools and Techniques
Chapter III Review of Literature
3.1 Researchers view
3.2 consumer reviews during pandemic on
online shopping
Chapter IV Data Analysis Interpretation and
Presentation
4.1Analysis based on Primary Data
Chapter V Findings, Conclusions and Suggestions
5.1 Findings
5.2 Conclusions
5.3 Suggestions
• Bibliography
• Appendix
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Chapter I
Introduction
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
WE are living in e-century. The Internet and information and
communications technologies (ICT) are central to economic growth and
productivity. Internet-based technologies and networks can increase
productivity, decrease costs and open new market [Link]-a-
days, using the Internet and email to conduct business is not uncommon.
However, lack of technical and management skills in Information and
Communications Technology is a barrier. There are a wide variety of
resources available to help you to improve your e-commerce skills. Simply,
decide what skills you need and identify the appropriate resources to help
you to build those skills.
The skills that may be required range from basic abilities, like word
processing and Internet navigation, to more complex capabilities such as
designing and building websites and database management. There are a
range of resources to help you broaden your understanding of the e-
commerce environment and develop your technical skills. These include
online resources, books and magazines, seminars and training courses.
Keeping this in mind, a summary on the background of Electronic
Commerce is being provided.
1.1 E-Commerce: Meaning
E-Commerce or Electronics Commerce is a methodology of modern
business which addresses the need of business organizations, vendors and
customers to reduce cost and improve the quality of goods and services
while increasing the speed of delivery. E-commerce refers to paperless
exchange of business information using following ways.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Electronic Data Exchange (EDI)
Electronic Mail (e-mail)
Electronic Bulletin Boards
Electronic Fund Transfer (EFT)
Other Network-based technologies
.
The concept of e-commerce is all about using the internet to do business
better and faster. E-commerce is the process of buying and selling over the
Internet, or conducting any transaction involving the transfer of ownership
or rights to use goods or services through a computer-mediated network
without using any paper document.
Electronic commerce or e-commerce refers to a wide range of online
business activities for products and services. It also pertains to “any form
of business transaction in which the parties interact electronically rather
than by physical exchanges or direct physical contact.”
Business transacted through the use of computers, telephones, fax
machines, barcode readers, credit cards, automated teller machines (ATM)
or other electronic appliances without the exchange of paper-based
documents. It includes procurement, order entry, transaction processing,
payment authentication, inventory control, and customer support.
E-commerce is subdivided into three categories: business to business or
B2B (Cisco), business to consumer or B2C (Amazon), and consumer to
consumer or C2C (eBay) also called electronic commerce. E-commerce
the phrase is used to describe business that is conducted over the Internet
using any of the applications that rely on the Internet, such as e-mail,
instant messaging, shopping carts, Web services, UDDI, FTP, and EDI,
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
among others. A type of business model, or segment of a larger business
model, that enables a firm or individual to conduct business over an
electronic network, typically the internet. Electronic commerce operates in
all four of the major market segments: business to business, business to
consumer, consumer to consumer and consumer to business. Ecommerce
has allowed firms to establish a market presence, or to enhance an existing
market position, by providing a cheaper and more efficient distribution
chain for their products or services.
Examples of E-Commerce :
An individual purchases a book on the Internet.
A government employee reserves a hotel room over the Internet.
A business calls a toll free number and orders a computer using the
seller's interactive telephone system.
A business buys office supplies on-line or through an electronic auction.
Retailer orders merchandise using an EDI network or a supplier's
extranet.
A manufacturing plant orders electronic components from another plant
within the company using the company's intranet.
An individual withdraws funds from an automatic teller machine
(ATM).
Accepting credit cards for commercial online sales
Driving information through a company via its intranet
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Driving manufacturing and distribution through a value chain with
partners on an extranet
Selling to consumers on a pay-per-download basis, through a Web site,
etc
E-Commerce Definitions :
The definition of e-commerce includes business activities that are
business-to-business (B2B), business-to-consumer (B2C), extended
enterprise computing (also known as "newly emerging value chains"), d-
commerce, and m-commerce.
E-commerce is usually associated with buying and selling over the
Internet, or conducting any transaction involving the transfer of ownership
or rights to use goods or services through a computer-mediated network .
A more complete definition is: E-commerce is the use of electronic
communications and digital information processing technology in business
transactions to create, transform, and redefine relationships for value
creation between or among organizations, and between organizations and
individuals.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
E-Commerce – Features :
Electronic commerce, or e-Commerce, refers to the purchasing and selling
of goods or services via electronic means, such as the Internet or mobile
phone applications. It may also refer to the process of creating, marketing,
servicing and paying for services and goods. Businesses, governments and
the public can participate in e-Commerce transactions. The following
discussion will elicit the unique features of e-commerce. The unique
features of e-commerce
technology include
Ubiquity:
e-Commerce is ubiquitous, It is available just about everywhere and at all
times by using internet and Wi-Fi hotspot such as airport, coffee cafe and
hill station places.. Consumer can connect it to the Internet at any time,
including at their homes, their offices, on their video game systems with
an Internet connection and mobile phone devices. E-Commerce is
ubiquitous technology which is available everywhere Moreover,
individuals who have cell phones with data capabilities can access the
Internet without a Wi-Fi connection.
Global reach:
The potential market size is roughly equal to the size of the online
population of the world. E-Commerce Technology seamlessly stretches
across traditional cultural and national boundaries and enables worldwide
access to the client. E-Commerce website has ability to translate the
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
multilingual websites as well as allow the access to visitors all over the
world,purchase products and make
business interactions.
Universal standards:
The technical standards of the Internet are shared by all of the nations in
the world The whole online tradition are growing and expanding their
features in the world. To development any kind of business need Internet
and communication application which make the business relationship more
lovingly and attractive for secure business and successful business.
Richness:
Users can access and utilize text messages and visual and audio
components to send and receive information. An individual may see
information richness on a company's blog if a post contains a video related
to a product and hyperlinks that allow him to look at or purchase the
product and send information about the post via text message or email.
Interactivity:
E-commerce technologies allow two-way communication between the
merchant and the consumer. As a result, e-Commerce technologies can
adjust to each individual’s experience. For example, while shopping
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
online, an individual is able to view different angles of some items, add
products into a virtual shopping cart, checkout by inputting his payment
information and then
submit the order.
Personalization:
Technologies within e-Commerce allow for the personalization and
customization of marketing messages that groups or individuals receive.
An example of personalization includes
product recommendations based on a user's search history on a Web site
that allows individuals to create an account.
Information density:
The use of e-Commerce reduces the cost to store, process and communicate
information, At the same time, accuracy and timeliness increase; thus,
making information accurate, inexpensive and plentiful. For example, the
online shopping process allows a company to receive personal, shipping,
billing and payment information from a customer all at once and sends the
customer's information to the appropriate departments in a matter of
seconds.
Social technology:
E-Commerce technology has tie up the social media networking
application to provide the best source of content sharing technology and e-
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Marketing systems. You can share yourcontent or data easily in just one
click.
User-Generated Content:
Social networks use e-Commerce technologies to allow members, the
general public, to share content with the worldwide community.
Consumers with accounts can share personal and commercial information
to promote a product or service. When a company has a professional social
networking account, a member of the same social network has the option
of associating himself with the company or a product by saying he likes or
recommends it. When an individual updates his status on a social
networking account, he may also mention a product or company by name,
which creates word-of-mouth advertising.
Functions of E-Commerce
The following are five functions you should be doing daily in your e-
commerce business.
A)Search Engine Optimization (SEO)
Generate unique relevant content. Google loves unique content that is
related to what your site is all about. Ensure you are using good keywords
you want to focus on.
Every page should have an H1 tag around what is the focus of the page,
such as a product name, category name, or static content title. Use H2 tags
as well for other important page sections.
Keywords in optimized page titles.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Internal linking. Link keywords in your unique content to pages related
to that keyword. This is huge!!!
Friendly URLs with related phrases.
B) Selecting New Products
Sell what the customer wants to buy, not what you want to sell! This is
a common mistake, especially when merchandisers are given a great price
to sell a particular product. If nobody wants to buy that product, it doesn’t
matter what price you set it at.
Find out what customers want. What is your value proposition on
products you sell? Capitalize on your niche!
c) Merchandising New Productions
Pictures, pictures, pictures! It is very important to have high quality
images of the products.
Hero photos: if you have a big seller, feature it on a category page with
a hero image of the product.
Promote latest releases in your newsletters and feature them in categories
or on your homepage.
Market to customers who have purchased related items in the past.
d) Customer Service
Make your customers happy.
Delivery orders on time.
Ensure order accuracy.
Reship promptly if a package was failed to be delivered to the customer,
if it came damaged, or if it was missing parts.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Don’t try to save every penny on an order. You may need to take a loss
to make a customer happy in order to retain their loyalty to you, and
therefore be very valuable for many orders to come.
e) Monitoring your KPIs / Analytics
Monitor your analytics reports. View what items are selling and bubble
them to the top of product listings so customers can find them easier. A
great tool for this, if you are on IBMWebSphere Commerce, is our Smart
Merchandiser product. With it, you can see analytic overlays on each
product in each category to help you make smart merchandising decisions.
Tackle cart abandonment. Remarket those products to the customers if
you have their email addresses. Incentivize them to complete their
checkout within X days.
1.6 Scope of E-Commerce
Today, online shopping is a reality in India. The market place is flooded
with several e-commerce options for shoppers to choose from. In the recent
past, the growth of e-commerce industry in India has been phenomenal as
more shoppers have started discovering the benefits of using this platform.
There is enough scope for online businesses in the future if they understand
the Indian shopper’s psyche and cater to their needs. Listed below are the
reasons that guaranteethe future prospect of E-commerce in India.
Enhancing domain registrations
Rising internet users
7 Easy access to internet
Awareness about internet even in rural areas
Rising number of cyber cafes
Growing need for E-commerce
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
a) Cash on delivery (COD)
Indian e-commerce industry has evolved over a period of time with
innovations that have changed the rules of the game globally. COD is one
such example. In a country where credit card penetration is much lower
than other developed markets and where e-commerce companies are still
working hard to build trust among shoppers, introducing cash on delivery
has been one of the key factors for the success of the segment. At present,
COD is the preferred payment mode
for close to 55-60% of all online transactions in the fashion and lifestyle
segment in India. Executing COD efficiently and painlessly for the
customer is critical to the success of any e-commerce player in the country.
b) Delivering experiences
E-commerce needs to focus on customer experience to build trust and
confidence. Customer experience encompasses every interaction of a
customer from placing an order to interacting with customer service team,
to the actual delivery experience. Providing a great delivery experience is
one of the core aspects to delighting customers. This not only mean faster
deliveries but also consistency and reliability. The more faith the customer
has in your delivery service, the more likely he is to buy again. Besides, it
builds a good brand image and word-of-mouth publicity.
c) Growing the base
India has more than 130 million online users at present, out of which as
many as 10% are engaging in online transactions. The online user base is
expected to cross 300 million in the next 2 – 3 years and a larger percentage
of people are expected to transact online by the end of 2015. This large
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
base will provide vast scope for e-commerce businesses to establish
themselves in India.
d) Growing opportunities
The e-commerce industry is growing at a rapid pace and changing the
dynamics of the retail industry. In the coming years, e-commerce is
expected to contribute close to 8-10% of the total retail segment in India.
This growth is bound to continue provided e-commerce companies focus
on innovating, building strong technology infrastructure and delivering the
best customer experience.e) Online Travel Segment
The online travel segment has seen a CAGR of 55.5% from 2007-2012.
The is due to rise of disposable income, surge in demand for domestic
travel and the boom of the tourism industry. Domestic travel contributed
to as much as 50% of the total market, followed by railways tickets,
international air tickets, hotel bookings and bus tickets.
f) E-Tailing
E-tailing encompasses buying consumer items like apparels, electronic
devices, home and kitchen appliances, jewellery, online. Competition is
intense due to low entry barrier of this segment. However, [Link],
flipkart, [Link],[Link], and [Link] are some of the major
players. This segment is expected to grow further as people become more
pressed for time. Also the choice that e-tailing sites offer to customers will
drive demand for this segment. However, there will be intense price based
competition in this sector and consolidations are in the order.
g) Online Financial Services
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
The financial services segment includes applying for insurance, paying
online bills, and
premiums and online transactions for financial services. The costs of these
insurancepolicies are lesser with premiums being 40%-60% cheaper. This
is a win-win situation for both the insurance provider and the customers.
Also the convenience provided by online portals has led to more customers
choosing the online route for bill payment.
h) Classifieds
It is in a very promising stage and has lot of scope for growth. Online
advertising is lot
cheaper than conventional methods and unlike the latter, it is not
constrained to a geographic location. The growth is mainly fuelled by
services like online job (60% of the segment), onlinematrimony, B2C
classifieds and B2B classifieds. [Link], [Link], [Link]
are the major players in the job market while [Link], [Link]
are the major matrimonial sites.
i) Other online Services
These include sites offering online services like buying entertainment
tickets, food and grocery
Benefit of E-Commerce
E-commerce has changed the whole concept of travel and tourism. Both
consumers and the industry are taking advantage of e-commerce and
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
expanding their businesses for good. With this huge phase of expansion,
let us take a look at how it has been beneficial for travel and tourism
industry.
1. Online Booking
Customers are no more required to visit offices and travel agents anymore.
The whole booking system is online with a feasible payment system. Every
system works individually but the integration of this set-up is helping to
build and increase business.
2. Managing Recessions
The e-commerce industry has amazingly affected recessions. A recession
is the period of loss that lasts for almost six months. E-
commerce technology has introduced the quick recovery of recession
through its ideal solutions to the problems that arise.
3. Automation and Networking
GPS is one of the greatest technologies that helps you in the industry of
travel and tourism. If you’ll look up any of the transportation services, e-
commerce is the one thing that is helping you to connect and offer the best
services to the consumers.
4. Additional Global Market
E-Commerce technology gives you better know-how about the additional
market. The travel industry is not limited to a country or a city but it is
globally targeting its customers. People can now book their trips to the
exotic destinations from anywhere, such as their office or even the comfort
of their own homes. E-commerce allows you to connect to the additional
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
market around the world and provide the most feasible services to your
clients, even if they are located overseas.
5. Ease of Accessibility
The planning and the strategy processes of business are now as easy as
reaching out to the market. The travel agents can now get to know more
about the competitors and plan their business accordingly. Apart from the
bulk of information, it provides to the ease of accessibility to the customers
and competitor behaviour. It makes it all easy for people to connect and
grow together.
Advantages of eCommerce
There are many obvious and not-so-obvious pros to doing
business online. Understanding exactly what they are can
help you leverage them to your advantage:
1. A Larger Market
eCommerce allows you to reach customers all over the
country and around the world. Your customers can make a
purchase anywhere and anytime, especially more people
are getting used to shopping on their mobile devices.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
2. Customer Insights Through Tracking And
Analytics
Whether you're sending visitors to your eCommerce
website through SEO, PPC ads or a good old postcard, there
is a way to track your traffic and customers' entire user
journey to get insights into keywords, user experience,
marketing message, pricing strategy, and more.
3. Fast Response To Consumer Trends And Market
Demand
The streamlined logistics, especially for merchants who do
"drop ship," allow businesses to respond to market
and eCommerce trends and consumer demands in a
nimble manner. Merchants can also create promotions and
deals on the fly to attract customers and generate more
sales.
4. Lower Cost
With the advance in eCommerce platform technologies, it
has become very easy and affordable to set up and
maintain an eCommerce store with a low overhead.
Merchants no longer have to spend a large budget on TV
ads or billboard, nor worry about the expense for
personnel and real estate.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
5. More Opportunities To "Sell"
Merchants can only provide a limited amount of
information on a product in a physical store. On the other
hand, eCommerce websites allow the space to include
more information such as demo videos, reviews, and
customer testimonials to help increase conversion.
6. Personalized Messaging
eCommerce platforms give merchants the opportunity to
serve up personalized content and product
recommendations to registered customers. These targeted
communications can help increase conversion by showing
the most relevant content to each visitor.
7. Increased Sales With Instant Gratification
For businesses that sell digital goods, eCommerce allows
the delivery of products within seconds of making a
purchase. This satisfies consumers' need for instant
gratification and helps increase sales, especially for low-
cost items that are often "impulse buys."
8. Ability to Scale Up (Or Down) Quickly And Unlimited
"Shelf Space"
The growth of an online business is not limited by the
availability of physical space. Even though logistics can
become an issue as one grows, it's less of a challenge
compared to those for running a brick-and-mortar store.
eCommerce merchants can scale up or down their
operation quickly, and take advantage of the unlimited
"shelf space," as a response to market trend and
consumer demands.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Disadvantages of eCommerce
Running an eCommerce business is not all rainbows and
unicorns. There are challenges unique to this business
model -- knowing them will help you navigate the choppy
waters and avoid common pitfalls:
1. Lack Of Personal Touch
Some consumers value the personal touch they get from
visiting a physical store and interacting with sales
associates. Such personal touch is particularly important
for businesses selling high-end products as customers not
only want to buy the merchandise but also have a great
experience during the process.
2. Lack Of Tactile Experience
No matter how well a video is made, consumers still can't
touch and feel a product. Not to mention, it's not an easy
feat to deliver a brand experience, which could often
include the sense of touch, smell, taste, and sound,
through the two-dimensionality of a screen.
3. Price And Product Comparison
With online shopping, consumers can compare many
products and find the lowest price. This forces many
merchants to compete on price and reduce their profit
margin.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
4. Need For Internet Access
This is pretty obvious, but don't forget that your
customers do need Internet access before they can
purchase from you! Since many eCommerce platforms
have features and functionalities that require high-speed
Internet access for an optimal customer experience,
there's a chance you're excluding visitors who have slow
connections.
5. Credit Card Fraud
Credit card fraud is a real and growing problem for online
businesses. It can lead to chargebacks that result in the
loss of revenue, penalties, and bad reputation.
6. IT Security Issues
More and more businesses and organizations have fallen
prey to malicious hackers who have stolen customer
information from their database. Not only could this have
legal and financial implications but also lessen the trust
customers have in the company.
7. All the Eggs In One Basket
eCommerce businesses rely heavily (or solely) on their
websites. Even just a few minutes of downtime or
technology hiccups can cause a substantial loss of revenue
and customer dissatisfaction.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
8. Complexity In Taxation, Regulations, and Compliance
If an online business sells to customers in different
territories, they'll have to adhere to regulations not only in
their own states/countries but also in their customers'
place of residence. This could create a lot of complexities
in accounting, compliance, and taxation
There are 6 basic types of e-commerce:
1. Business-to-Business (B2B)
2. Business-to-Consumer (B2C)
3. Consumer-to-Consumer (C2C)
4. Consumer-to-Business (C2B).
5. Business-to-Administration (B2A)
6. Consumer-to-Administration (C2A)
1. Business-to-Business (B2B)
Business-to-Business (B2B) e-commerce encompasses all electronic
transactions of goods or services conducted between companies.
Producers and traditional commerce wholesalers typically operate with
this type of electronic commerce.
2. Business-to-Consumer (B2C)
The Business-to-Consumer type of e-commerce is distinguished by the
establishment of electronic business relationships between businesses and
final consumers. It corresponds to the retail section of e-commerce, where
traditional retail trade normally operates.
These types of relationships can be easier and more dynamic, but also
more sporadic or discontinued. This type of commerce has developed
greatly, due to the advent of the web, and there are already many virtual
stores and malls on the Internet, which sell all kinds of consumer goods,
such as computers, software, books, shoes, cars, food, financial products,
digital publications, etc.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
When compared to buying retail in traditional commerce, the consumer
usually has more information available in terms of informative content
and there is also a widespread idea that you’ll be buying cheaper, without
jeopardizing an equally personalized customer service, as well as
ensuring quick processing and delivery of your order.
3. Consumer-to-Consumer (C2C)
Consumer-to-Consumer (C2C) type e-commerce encompasses all
electronic transactions of goods or services conducted between
consumers. Generally, these transactions are conducted through a third
party, which provides the online platform where the transactions are
actually carried out.
4. Consumer-to-Business (C2B)
In C2B there is a complete reversal of the traditional sense of exchanging
goods. This type of e-commerce is very common in crowdsourcing based
projects. A large number of individuals make their services or products
available for purchase for companies seeking precisely these types of
services or products.
Examples of such practices are the sites where designers present several
proposals for a company logo and where only one of them is selected and
effectively purchased. Another platform that is very common in this type
of commerce are the markets that sell royalty-free photographs, images,
media and design elements, such as iStockphoto.
5. Business-to-Administration (B2A)
This part of e-commerce encompasses all transactions conducted online
between companies and public administration. This is an area that
involves a large amount and a variety of services, particularly in areas
such as fiscal, social security, employment, legal documents and
registers, etc. These types of services have increased considerably in
recent years with investments made in e-government.
6. Consumer-to-Administration (C2A)
The Consumer-to-Administration model encompasses all electronic
transactions conducted between individuals and public administration.
Examples of applications include:
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
• Education – disseminating information, distance learning, etc.
• Social Security – through the distribution of information, making
payments, etc.
• Taxes – filing tax returns, payments, etc.
• Health – appointments, information about illnesses, payment of
health services, etc.
Both models involving Public Administration (B2A and C2A) are
strongly associated to the idea of efficiency and easy usability of the
services provided to citizens by the government, with the support of
information and communication technologies.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
CHAPTER ll
RESEARCH METHODOLOGY
2.1Objectives of the Study
Further my main objectives of research are to find out following: -
▪ To identify the methods & practices to structure the e-commerce
business in the travel industry related organizations.
▪ To identify the critical success factors that make e-commerce
business profitable & identify factors that are detrimental to the
growth of the e-commerce business in the travel industry related
organizations.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
▪ To identify the factors which will have a impact on overall business
performance as a result of the structuring of e-commerce business in
the travel industry related organizations.
Scope Of The Study
The internet‘s global reach, interactivity, and information-rich context
have redefined the travel industry. Online travel commerce has evolved
significantly from the initial sales of less complex products like airline
tickets, accommodation and car rentals to include more complex
products like vacation packages and cruises. Several studies have
revealed that online travel rates among the top three products and
services purchased online. The goal of this dissertation is to assess the
methods and practices adopted to structure the e-commerce business in
the travel related organizations and the factors that define the success
of e-commerce business in the travel related organizations. The
dissertation also focuses on factors that are detrimental to the growth of
e-commerce business in travel related organizations. The study draws
attention towards the changing patterns in travelers trip planning
[Link] study highlights the advertising channels used for brand
awareness and customer acquisition. The dissertation dwells deep into
how travel and tourism have used information technology to enable
business growth. It also aims to analyze some of the most critical IT
developments and to demonstrate how they influence the tourism
industry and significantly enhance competitive advantage. Tourism is
inevitably influenced by the business process re-engineering
experienced due to the technological revolution. As information is the
life-blood of the travel industry, effective use of ITs is pivotal. Hence,
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
"a whole system of ITs is being rapidly diffused throughout the tourism
industry and no player will escape its impacts". Unlike durable goods,
intangible tourism services cannot be physically displayed or inspected
at the point of sale before purchasing. They are bought before the time
of their use and away from the place of consumption. Hence they
depend exclusively upon representations and descriptions, provided by
the travel trade, (e.g. information in brochures), for their ability to
attract consumers. Timely and accurate information, relevant to
consumers' needs, is often the key to satisfaction of tourist demand.
Therefore, ITs provide the information backbone that facilitates
tourism.
Limitation Of The Study
The scope of the study was limited to how e-commerce as a business
channel is established in the travel and tourism industry. Other
industries are not included in this study. The study is based on opinions
e-commerce practitioners have given with respect to how e-commerce
can be set-up in travel related organizations. Sample selection is limited
to only 3 metro cities of India and would limit the ability to draw
generalization in this study. Main concern comes from the fact that
though travel industry has been the first adopters of e-commerce
however they are slow in adopting the new methods and practices
emerging in the e-commerce space related to the travel industry.
Finally, although the number of respondents was sufficient to conduct
this study, however, a larger samplesize would have strengthened the
results obtained.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Data collection
Secondary data : were obtained from different source. Data has been
mostlyextracted from the official publications of United Nations World
Tourism Organization(UNWTO), World Travel and Tourism Council
(WTTC), Government of India (GOI) and Ministry of Tourism
(MOI).For the purposes of the research, data was collected through
various secondary sourceslike books and periodicals, research articles,
seminar reports, newspapers, study reports ofexpert committees,
departmental publications, plan documents, unpublished dissertations,
broachers, pamphlets, and advertisement.
Chapter lll
Review of Literature
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Abhijit Mitraetal, (2013) states that the Electronic commerce or business
is more than just another way to sustain or .Rather- commerce is a
paradigm shift. It is a disruptive innovation that is radically changing the
traditional way of doing business. Ecommerce is showing tremendous
business growth in our country. Increasing internet users have added to its
growth. Ecommerce has helped online travel industry in many ways and
added and sales venue through online retail industry in our country. The
present study has been undertaken to describe the present status and
facilitators of E-Commerce in India, analyse the present trends of E-
Commerce in India and examine the barriers of E-Commerce in India.
Marco Ginanneschi (2014) presents the results of a survey conduct edit
2013 on a sample of 17 Tuscan hotels, this article analyse the impact of e-
commerce on hotel management .It focuses on turn over, profitability .The
collected information suggest the share of OTA related sales has become
undoubtedly significant to the point and investment choices. The level of
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
commissions applied by the new travel intermediaries is excessive
according to hotels, which try to react by adopting directly Controlled
online booking systems? While profitability decreases, turnover and
employment seem to be growing. Which try to react by adopting directly
controlled online booking systems? While profitability decreases, turnover
and employment seem to be growing.
Ziaullah, Muhammadetal. (2014) States that the purpose of this study is
to know about demonstrate an integrative model of e-tailing system
quality, e-satisfaction, e-trust and commitment in China. Customer’s
commitment is fundamental other survival and profitability of e-tailing
.Perhaps, study variables have considerable importance one- tailers
performance. The data were collected from a sample of 383 students at
universities in China during the first quarter of 2014. We used confirmatory
factor analysis (CFA) and structural equation modelling (SEM) to evaluate
the hypotheses about the relationship among model constructs. Thus all the
hypotheses developed in the study were positively confirmed except on,
reinforcing the theory and previous research in this field. The result
indicates that system quality is positively associated with e-trust and e-
satisfaction, similarly e-trust influences positively to both types of
commitment. However, e- satisfaction has positive effect on affective
commitment, but it has not significant positive connection with
continuance commitment in our study. This study reveals interesting
implications that are useful to both academicians and practitioners.
Raffaele Filieriand Fraser Mc Leay., (2015) states that Online views
(ORs) are continuing to foster are new spread of word-of-mouth in the
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
travel industry. Travellers are increasingly using OR to inform them about
accommodations and other tourism-related products .As such, it is
important to we adopt the elaboration. We measure the influence of six
dimensions of information quality that are part of the central route and two
dimensions that are associated with the peripheral route persuasion. The
results of this study reveal that product ranking, information accuracy,
information value-added , information relevance, and information
timelines are strong predictors of traveller’s adoption of information from
OR son accommodations .These result simply that high-involvement
travellers adopt both central (information quality) and peripheral (product
Rankin)routes when they process information from ORs.
Sarfaraz Hashemkhani Zolfani, Maedeh Sedaghat, Reza Maknoon
Edmundas Kazimieras Zavadskas (2015) in the paper aims to study the
progress of research on Sustainable Tourism and to outline and identify the
key disciplines, journals, articles and authors. This is carried out through a
wide, in-depth, and structured examination of published scholarly papers.
In recent decades, sustainable tourism has been one of the most significant
subjects among academics and practitioners. In this paper, a classification
scheme and a comprehensive literature review are presented in order to
clarify, categories, and interpret the current research on sustainable tourism
definitions and applications. The classification scheme for this review
contains 132 scholarly papers from 47 journals since the year 1993 up to
2013 categorized into 14 application areas. The five major topics are
Paradigm, Sustainable Tourism Development, Market research and
Economic, Policy- making and Infrastructure.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
Chapter IV
Data Analysis, Interpretation and
Presentation
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI
A Study of Impact of E-Commerce On Travel And Tourism With Regards To Ratnagiri.
GOGATE – JOGALEKAR COLLEGE, RATNAGIRI