106 Digital Business

Chapter 2 : Mobile Commerce,

Social Commerce and IoT

Prof : Manav Agarwal

9823962733
[email protected]
Mobile Commerce, Social Commerce and IoT :
Mobile Commerce, Attributes Applications and Benefits of M-commerce, Mobile Marketing -
Shopping and Advertising.
Social Commerce: Social Commerce, Social Business (Enterprise), Social Business
Networks and Social Enterprise, Social Media, Platforms for Social Networking; Social Media
Marketing, Enterprise 2.0, Improved Business Models. Entrepreneur Networks, Enterprise
Social Networks, The Benefits and Limitations of Social Commerce, Benefits to Customers,
Retailers, Employees, players in the ecosystem. Social Collaboration (Collaboration 2.0) -
Essentials of Social Collaboration, Consumer-to-Consumer Electronic Commerce (C2C),
Person-to-Person models.
Internet of Things: Concept of IoT, Smart Homes and Appliances, Smart Cities, Smart Cars,
Wearable Computing and Smart Gadgets.
 Mobile Commerce
• Def: “M-commerce (mobile commerce) is the
buying and selling of goods and services through
wireless handheld devices such as Smartphone
and tablets. ”
• Types of m-commerce
• Mobile shopping.
• Mobile banking.
• Mobile payments.
 Attributes of M-Commerce
 Mobility—users carry cell phones or other mobile devices

 Broad reach—people can be reached at any time

 Ubiquity—easier information access in real-time

 Convenience—devices that store data and have Internet, intranet, extranet connections

 Instant connectivity—easy and quick connection to Internet, intranets, other mobile

devices, databases
 Personalization—preparation of information for individual consumers

 Localization of products and services—knowing where the user is located at any given time
and match service to them
 Application of M-commerce
• Mobile Banking

• Mobile Ticketing and Booking

• E-bills

• Auctions

• Trading / Stock Market

• Mobile app shopping and selling

• Mobile app service providing

 Advantages of M commerce
• It provides a very convenient and easy to use the system to conduct business
transactions.
• Mobile commerce has a very wide reach. A huge part of the world’s population has
a mobile phone in their pocket. So the sheer size of the market is tremendous.
• M-commerce also helps businesses target customers according to their location,
service provider, the type of device they use and various other criteria. This can be
a good marketing tool.
• The costs of the company also reduced. This is due to the streamlined processes,
low transaction cost, low carrying cost and low order processing cost as well.
 Disadvantages of M commerce
• The existing technology to set up an m-commerce business is very
expensive. It has great start-up costs and many complications arise.
• In developing countries, the networks and service providers are not
reliable. It is not most suitable for data transfer.
• Then there is the issue of security. There are many concerns about
the safety of the customer’s private information. And the possibility
of a data leak is very daunting.
 Mobile Marketing
interesting mobile marketing statistics
• 80% of mobile device time in spent on apps, with game apps eating up
the largest percent of app time
• People browse 70% more web pages on tablets than smartphones

• Retail conversion rates are 2.2% on tables, considerably higher than 0.7%

on smart phones, but traditional PC conversion rates are still highest at
3.3%
• Mobile searches have increased 200% year over year
Common problems that mobile marketing can solve
Mobile marketing is unique in that it reaches people in real time right where they are.
Additionally, more and more sales are being initiated from mobile, so it’s a vital part of any
marketing strategy.
Problem: I’m unsure if my audience is a mobile audience. Today’s mobile users range
from ages 7 to 90 (OneAudience). In other words, pretty much everyone is a mobile user
in some capacity. The trick is knowing how and when they use their mobile devices. Take
time to develop buyer personas and you’ll be able to reach your audience anywhere.
Problem: My website and content are not responsive. One of the first steps to creating
a mobile marketing program is ensuring responsive design across your website, emails,
and landing pages. By implementing responsive design, you ensure a seamless and easy-
to-engage-with experience that will attract and retain users.
Problem: I have good mobile traffic, but am not seeing
good conversion. There are a variety of methods that can
be used to analyze and optimize your mobile marketing
tactics, including improving your responsive site and landing
page design and personalizing content for mobile. It’s
essential for businesses to future-proof their marketing
strategy by boosting those mobile conversion rates. 
Problem: I don’t know how to integrate a mobile strategy
into my marketing plan. The key to defining any effective
strategy is to first decide what success looks like. Get the
key stakeholders together to map your mobile marketing
strategy, determine how current efforts are performing (if you
have any in place), and identify where you can improve.
 Mobile marketing : types
• App-based marketing • SMS
• In-game mobile marketing • Google Mobile Ad Extensions
• QR codes • Click-to-Call Mobile Ad Extension
• Location-based marketing • Click-to-Download Ad Extension
• Mobile search ads • Local Ad Extensions

• Mobile image ads

 Social Commerce
• Social commerce is the use of networking
websites such as Facebook, Instagram, and
Twitter as vehicles to promote and sell products
and services. The success of a social commerce
campaign is measured by the degree to which
consumers interact with the company's
marketing through retweets, likes, and shares.
• Social commerce professionals create and post
messages and interactive features that promote
online sales and other e-commerce initiatives.
 Social Commerce – Methods
 Inviting users to vote on product style or choices

 Offering personalized buyer options

 Applying large and striking graphics to attract viewer clicks

 Using videos to show the product in use and from multiple angles

 Encouraging user-submitted photos, commentary, and feedback

 Using celebrity endorsements of the product line

 Linking directly to the checkout or shopping cart

 Offering promotions or giveaways to users who share the product on their feeds
 Four brands being best in the business
• Nordstrom, which pins a "popular on Pinterest" label on store items that are
trending online.
• Coca-Cola, which personalized its labels on bottles in stores and then invited
social media users to post photos of their name-branded soda with the hashtag
#ShareACoke.
• Lolly Wolly Doodle, a fashion brand which allows followers to design and order
their own clothes right on its Facebook page.
• Starbucks, which awards bonus points to customers who unlock Mayor badges on
Foursquare.
The Consumer & the 5 Cs of Social Commerce

5 key considerations for marketers when trying to build a social

commerce presence that not only sells, but also help build brand.

Content: creating purposeful content in collaboration with the platform

and influencer to communicate a product and its benefits. This is about
dominating feeds, not banner real estate (which has its own benefit in
converting consumers that are already in our funnel).
Customer voice: understanding feedback that consumers have on products within that
category, specifically what needs they have. This helps improve the product being sold on the
ecommerce platform, the bundles, price, packaging, size, and the terms of sale. It is not
uncommon for brands to develop SKUs specific to ecommerce channels only. Reciprocity is
about giving a platform or an influencer (on that platform) the opportunity to talk about it to his
followers as well
Convenience: as marketers, we need to think about convenience and experience, and we need
to make sure the product once purchased is made available to the consumer within an
acceptable timeframe. In other words, you are more likely willing to wait for your car to be
delivered in a few weeks. However, you would expect a shampoo to be sent to your door step
within a 24-hour timeframe. There is a broader discussion we could have around experience
that is linked to convenience and the other Cs in this post.
Conversation: advertisers need to learn from the conversations which consumers have on a
product in any commerce environment. It’s also important to train our network of influencers to
endorse and explain the product on our behalf. Not surprisingly, brands have a handful of
influencers they continue to work with on the long term that serve as an extension of their
marketing department. The practicalities of such a relationship allow for USPs to be explained
more easily, and how that product is more advanced or improved versus its former version and
a competitive equivalent.
Commerce: this is all about making sure that our products are priced competitively in relation to
similar formats, value offers, or SKUs in offline retail. Marketers will find themselves developing
an assortment and strategy unique to each platform. In addition to this, working with the
platform to convert awareness into demand over key seasonal periods like Double 11 (Single’s
Day) is critical.
 But how to set up an E-commerce
business?

• Building your own eCommerce Website

• Joining an established eCommerce Marketplace

 Steps for building M-commerce
• Company Registration
• Tax Registration
• Open Your Business Bank Account
• Payment Gateway
• Integrate eCommerce Shipping Solution
 Social Commerce: Social Enterprise
• What’s a social enterprise?
• A social enterprise is a type of business where the bottom line and success metrics are
measured in more than just profits. Instead, social enterprises typically measure success
based on a triple bottom line:
• People. The human impact of your business, and your ability to affect social change,
improve lives, and develops a community in a sustainable way.
• Planet. Your environmental impact—how you contribute to a sustainable planet or reduce
the carbon footprint (CO2 emissions) of your business and customers.

• Profit. Like traditional businesses, social enterprises need to make money in order to sustain
themselves, pay workers, and grow as an enterprise.
What are the types of social entrepreneurship?
Social entrepreneurship takes many other forms too:
Nonprofit. A tax-exempt, non-business entity that invests excess funds back into the mission.
Co-operative. A business organized by and for its members. Credit unions and community grocery
stores are some examples of co-ops. REI is also an example of a co-op.
Social purpose business. These businesses start on the foundation of addressing a social
mission.
Social firm. Social firms employ those in the community who need jobs. FareStart is a great
example—it employs at-risk youth and serves healthful meals.
Socially responsible business. These companies support social missions as a part of their day-
to-day business operations.
For-profit. Perhaps the vaguest category, these businesses are profit-first but donate funds, raise
awareness, or otherwise support causes. Warby Parker’s Buy a Pair, Give a Pair program is a
prime example.
 Enterprise 2.0
• The term "Enterprise 2.0" was first coined in March of 2006 by Harvard Business
School Associate Professor Andrew McAfee in an MIT Sloan Management
Review article entitled "Enterprise 2.0: The Dawn of Emergent Collaboration.“
• Enterprise 2.0 is the strategic integration of Web 2.0  technologies into an
enterprise's  network and business processes.
• Enterprise 2.0 refers to the concept of moving Web 2.0 tools and technologies
(see The ABCs of Web 2.0) into the enterprise to help your employees, partners,
suppliers and customers work together to build networks of like-minded people
and share information
 Entrepreneur Networks
• LinkedIn: LinkedIn offers many resources for entrepreneurs, such as groups, including the very popular “On Startups”
group that has over 54,000 members
• Startup Nation: There are a wide range of topics being discussed on StartupNation right now, including business
planning, marketing and web-based business
• Biznik: he Biznik community is composed of freelancers, CEOs, and the self-employed.  Like the other networks, this is a
place for you to share ideas, instead of posting your resume.
• It is mandatory for all members to use their real names and provide real data, and Biznik editors actually review all
profiles to ensure compliance with that policy
• The Funded : an online community of entrepreneurs who research, rate and review funding sources.
• Entrepreneurs can view and share terms sheets to assist each other in finding good investors, as well as discuss the
inner workings of operating a business.
• HEN- Her Entrepreneurial Network: is a platform to bring Indian Women Entrepreneurs together to Inspire, Inform &
Support each other to create successful businesses along with balanced lives.
 Enterprise Social Networks
• Enterprise social networking is an organization's use of social media, internally and externally, to connect
individuals who share similar business interests or activities. 
• public social media platforms like Facebook, Twitter and Google+ can help an organization stay close to their
customers and conduct research to improve business processes and operations
• Ex. Tibbr, social cost, kaltura etc.
• Enterprise social networking focuses on the use of online social networks or social relations among people who
share business interests and/or activities. Enterprise social networking is often a facility of enterprise social
software (regarded as a primary component of Enterprise 2.0), which is essentially social software used in
"enterprise" (business/commercial) contexts. It encompasses modifications to corporate intranets (referred to as
social intranets) and other classic software platforms used by large companies to organize their communication,
collaboration and other aspects of their intranets. Enterprise social networking is also generally thought to
include the use of a standard external social networking service to generate visibility for an enterprise.
Collaboration
2.0
1. Online calendars
2. Social bookmarking
Sites
3. Document sharing
4. Blogs
5. Useful for Companies
to work.
IoT ?
 The Internet of Things (IoT) refers to the ever-
growing network of physical objects that feature an
IP address for internet connectivity, and the
communication that occurs between these objects
and other Internet-enabled devices and systems.
 In simple words, Internet of Things (IoT) is an
ecosystem of connected physical objects that are
accessible through the internet.
 It is also referred to as Machine-to-Machine (M2M),
Skynet or Internet of Everything.
 Components of IoT
Smart Systems and Internet of Things
are
driven by a combination of :

1)Sensors

2)Connectivity

3)People & Processes

 Why IoT ?
 Dynamic control of industry and daily life.
 Improves the resource utilization ratio.
 Integrating human society and physical
systems.
 Flexible configuration.
 Acts as technology integrator.
 Universal inter-networking.
What is the scope of IoT ?
Internet of Things can connect devices
embedded in various systems to the
internet. When devices/objects can
represent themselves digitally, they can
be controlled from anywhere. The
connectivity then helps us capture more
data from more places, ensuring more
ways of increasing efficiency.
 Corporate aspect
IoT is a transformational force that can help
companies improve performance through IoT
analytics and IoT Security to deliver better results.
Businesses in the utilities, oil & gas, insurance,
manufacturing, transportation, infrastructure and
retail sectors can reap the benefits of IoT by making
more informed decisions, aided by the torrent of
interactional and transactional data at their disposal.
 How can IoT
help ?
 IoT platforms can help organizations reduce cost
through improved process efficiency, asset
utilization and productivity.
 The growth and convergence of data, processes
and things on the internet would make such
connections more relevant and important,
creating more opportunities for people,
businesses and industries.
Current status & future prospect of IoT

By the year 2024, there will be a lot more connected devices than people on earth
A Gateway to the future!
The sky’s not the limit. It’s only the beginning with IoT!
Economic aspect of IoT
You name it, and you will have it in IoT!
How much more IoT can do is only left to you imagination!
 Challenges faced
by IoT
At present IoT is faced with many
challenges, like -

Scalability

Security

Technical requirements

Technological standardization

Software complexity
 Solutions to the challenges
Several solutions are proposed to overcome the problems. Some of them are –
Overcoming compatibility issues is a significant IoT hurdle, but emerging
companies are starting to enable increased interoperability through open-source
development.
Governments and industry bodies need to set standards and regulations for the
various industries to ensure that data is not misused.
IoT needs strong authentication methods, encrypted data and a platform that can
track irregularities on a network.
 Conclusion
Projections for the impact of IoT on the Internet and
economy are impressive, with some anticipating as
many as 100 billion connected IoT devices and a
global economic impact of more than $11 trillion by
2025.
The potential economic impact of IoT is huge, but the
journey to IoT adoption is not a seamless one. There
are many challenges that face companies looking to
implement IoT solutions. However, the risks and
disadvantages associated with IoT can be overcome.
Thank you