Social Media Tools in E-Commerce

Different social media are used as tools for effectively implementing e-commerce activities. The social media tools that are commonly used by or could be used by the e-commerce people include Blogger, WordPress, YouTube, Twitter, Facebook, GoogleGroups, GoogleDocs, Anyvite, Flickr, and Skype. All these tools are free (10 free social media tools E-commerce retailers should use, 2009). Though these tools can be used for the better implementation of e-commerce, there are certain ethical issues involved. The ethical issues include issues related to the security of the data and information, credibility, honesty in sales promotion activities, privacy, and private information sharing…etc.

Identity theft is a serious threat to e-commerce. Identity theft may be defined as “the act of impersonating another, using the person’s information, such as birth date, Social Security number, address, name, and bank account information.” (Das, 2009, para.4). The e-commerce company must protect the confidential data of the customers. The company needs to take the necessary steps for ensuring that the customers are safe from identity theft. In earlier days the only security threat to e-commerce was stealing credit card information, but today, there are so many security threats like hacking the e-commerce system. Different methods and techniques can be used for ensuring the security of the confidential information of the customers and business. One of them is data encryption.

Data encryption is a technique used to ensure the confidentiality of secret information. Data encryption is the process of converting data from the ordinary form called ciphertext. If the data is converted into ciphertext form, it cannot be read or is difficult to understand the text. The same text can be read-only if it is converted back again into the normal text. This reverse process is called decryption (Search security.com definitions, 2009). The encryption can prevent identity theft or unauthorized access to the confidential information of customers and businesses.

The credibility of a media tool lies in the ability to relate to a different audience. Credibility is receiver-based and is determined by the acceptance of the speaker by the audience. Communication and social psychology treat credibility as a perceptual variable. As a media tool, the audience wants the reliability of the data posted by them. Credibility is closely related to trust, reliability, accuracy, quality, authority, and competence. Much web-based information rely on some form of distinction of source, message, and medium. Many professionals take information from websites that are helpful to improve knowledge and information.

The internet and websites help in communication and promotional tools, such as advertising and marketing. Winning customers’ trust and retaining them is quite needed for E-commerce. Internets and websites are growing at a higher rate in this fast life. Customers’ trust levels are mainly influenced by the quality of the site, technical trustworthiness, and users’ experience. While these media tools have to follow ethics in marketing and the internet, it must be made sure that the data and information published for advertising are authentic and true (Warholic, 2009).

E-commerce sites allow the customers to rate or review products that have been purchased. Reviews help to reinforce marketing strategy, catalog design, layout based on products or the targeted customers. But today, the problem is in finding out real user reviews and just regular spam. There are many frauds reported in online stores. To reduce these frauds proper manual checks should be made. Many credit card processing services have integrated anti-fraud screening tools to help businesses (User generated content: product rating & reviews, 2008).

Businesses are competing to attract customers. E-commerce media tools play an important role in advertising and marketing. As it has become one of the media to make aware of available products and services, the comments given on the websites should be true and honest.

The privacy of confidential information is one of the topics of extensive discussion in the e-commerce branch of the business. The customers are more concerned about the secrecy of their personal confidential information. If anyone is using others’ personal information without consent, they will not tolerate it. In an e-commerce business, it may require to use of the personal information of the customers. However, when using personal information, the company has to obtain consent or permission from the concerned customer. And also the company is not supposed to use this information for any other purposes that are not mentioned in the agreement between the customer and the company.

Reputation is very important in e-commerce. Today the business is developing at a very high speed. Just like traditional methods of business, reputation is very important in the e-commerce mode of business also. The e-commerce system, more specifically the website, should be user-friendly. That is, when the customer wants some information from the e-commerce website of the company, he should get that in easy search; otherwise, the customer may rate the website with negative marks. The success of an e-commerce website lies in prompting the customer to decide to buy the product of the company. If the customer does not receive the required information, the customer may be forced to approach other companies which will affect the reputation and profitability of the company. Frequent monitoring and analysis of the e-commerce website should be done. Further, feedback from the customers has to be obtained and analyzed. The content of the website should be designed attractively and there should be simplicity in it. Moreover, the website should be always up-to-date (Mehta, 2009).

Reference List

Das, R. (2009). Identify theft in E-commerce. Technology Executive Club.

Mehta, A. (2009). Mitch, SEO, e-commerce, shopping cart, web design & development blog: Online reputation management (ORM)- a proactive, not reactive process. Mitash.

Search security.com definitions: Encryption. (2009). Search Security.com: The Web’s Best Security Specific Information Resource for Enterprise IT Professional.

User generated content: product rating & reviews. (2008). Ecommerce Optimization: Tips & Tricks to help merchants sell more online.

Warholic, J A. (2009). Internet marketing ethics web issues. www.PWEBS.NET: Internet Ethics for Marketing, Advertising, and Seo.

10 free social media tools E- commerce retailers should use. (2009). Ecommerce Optimization: Practical How- To’s for Increasing Ecommerce Sales.

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