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AN IMPACT OF E-COMMERCE GROWTH ON THE INTERNATIONAL LOGISTICS
INDUSTRY
S.P. Bezrukova, Graduate Student
I.S. Volegzhanina, Doctor of Pedagogical Sciences, Associate Professor Siberian Transport University (Russia, Novosibirsk)
DOI:10.24412/2500-1000-2024-4-2-103-107
Abstract. The COVID-19 pandemic brought online commerce in Russia and around the world to a new level becoming a powerful driver of growth in the e-commerce market. This article considers the impact of e-commerce on the international logistics industry. The authors refer to the key definitions of e-commerce. A case study of Amazon's successful emergence in e-commerce provides an insight into the prospects of this type of business. The research summarises the advantages and disadvantages of e-commerce for the stakeholders - sellers and buyers.
Keywords: e-commerce, the Internet, COVID-19 pandemic, logistics industry, information technology.
Recently the COVID-19 pandemic brought online commerce in Russia and around the world to a new level becoming a powerful driver of growth in the e-commerce market [1]. No one manufacturer who is looking to capitalize on the growing influence consumer e-commerce can stay away from the scale of marketplaces to improve their organization's bottom line. Nowadays, any enterprise has to deal with the issue of optimizing its activities and reducing costs. The efficient logistics allows a company to work more successfully than its competitors, therefore, to gain the upper hand in the market struggle.
The aim of this article is to consider the impact of the e-commerce growth on the international logistics industry. With this aim in mind, we present the solutions for the following tasks: to reveal what e-commerce is; to designate types of goods for e-commerce; to consider the impact of the e-commerce growth on the international logistics industry, its advantages and disadvantages for all the players. We applied to the following scientific method for theoretical research such as up-to-date scientific publications and regulatory documents analysis.
The results of literature analysis indicate that e-commerce is a trading using electronic and information technology. There is an economic sphere that includes all types of online payments and electronic trading operations. Individualized storage and transport process-
es, information, management and control measures characterize it [2; 3]. E-commerce, by definition, is carried out using electronic digital technologies, which today include a wide range of remote services that in turn are constantly expanding due to the development of economic activity on the Internet. Ecommerce combines such global categories as online sales, online banking, ticket and hotel bookings and transactions in payment systems, online marketing and advertising, e-insurance, e-trade, Electronic Data Interchange (EDI), Electronic Funds Transfer (EFS).
There are three types of goods that can be sold over the Internet [4]:
1. Physical goods (tangible for both long-term and short-term use (for example, food and beverages).
2. Digital goods (intangible goods that exist in a digital format, such as digital media such as audio and video files and e-books).
3. Services (for instance, transportation, education).
Logistics and e-commerce go hand in hand and when it comes to business and one is literally meaningless without the other. Since customer demand is growing every day, large companies are launching various delivery services to access the global network. Sellers-distributors are also looking for the best ways to implement trouble-free delivery and various logistics industries are introducing a
number of innovations to make the process as advanced as possible. In fact, they even deliver perishable goods within two hours after placing an order.
According to the Similarweb company the main e-commerce companies are [5]:
The first place in the ranking takes Amazon. Amazon is the largest e-commerce retailer in the US and has changed the face of retail so much that a burning question for most retailers is how to beat Amazon. The second is Samsung.com. The third is eBay. This is one of the first e-commerce sites that still dominate the digital market space allowing for businesses and individuals to sell their products online. On the seventh place of the rating list located Taobao.com. This is the Chinese C2C marketplaces that owned by the world's most successful e-commerce company and retailer Alibaba. Alibaba also owns other the largest B2B (Alibaba.com), and B2C (Tmall) marketplaces across the globe. Another Chinese virtual trading platform for purchasing goods is AliExpress that takes 8th place of rank. This service is currently available in Russian, English, Spanish, French, Italian and others. Customers who do not belong to the previously specified languages' countries are automatically served on the English version of the site. In 2019 direct air routes for delivering orders on AliExpress from China to Russia was launched by "Russian Post" and logistics operator Cainaio [6].
E-commerce has the following advantages [7]:
For customers these are:
1. Amenity and accessibility.
2. A wide range of products.
For companies these are:
1. Lower initial costs.
2. Opportunities of international trade.
3. An easier system for retaining and attracting customers online
4. Scalability at lower operating costs.
5. Personalized delivery experience using artificial intelligence.
6. Access to new technologies.
At the same time, there are a number of disadvantages:
For customers these are:
1. Limited customer interaction.
2. There is no way to try and buy.
3. Lack of instant satisfaction due to waiting for delivery.
4. The number of different types of fraud.
For companies and buyers this is:
1. Unreliable technologies and breaches of personal data security.
For companies this is:
1. Fierce competition.
The successful example of e-commerce Company is Amazon, Inc. In 1994 Amazon started working as an online store selling books. Now Amazon is the largest ecommerce retailer in the United States and is one of the top ten marketplaces in the world. In addition to an extensive network of warehouses and sorting centers Amazon has its own delivery service using drones and robots. Amazon, in its strategy, has relied on the best prices for customers, a wide selection of products and customer convenience (attractive and easy to use customer interface, fast and safe delivery, serious return policy) and others [8]. In 2000 Amazon opened its store to third-party sellers that gave independent retailers the opportunity to offer a variety of new, past in usage, refurbished and also unique items. Amazon hosted the platform and handles most of the logistics work in exchange for transaction fees. The bulk of Amazon's revenue - roughly 80% as of 2023 - continues to come from selling products online. However, its profitability is arguably driven by Amazon Web Services (AWS). There is also Amazon Business besides the major B2C platform for business consumers [9].
The focus on both personalisation and secure payment process are at the heart of success e-commerce market development. The Figure below illustrates the global product distribution trends e-commerce provides to manuacturers.
Automation results in 77% of marketers generating more leads while 56% seeing higher conversion rates
34% of users accept chatbots as a useful tool to provide personalized customer experience
\
Revenue via social media platforms will reach $2.9 trillion by 2026
Global BNPL industry will reach up to $680 billion in transactions by 2025
PWA implementation can increase the conversion rate by 93.3%
Fig. E-commerce digital transformation trends [7]
Businesses are becoming personalised through Artificial Intelligence [10]. Neural networks can handle customer's requests in support chart services and generate personalised recommendations from previous purchases and goods browsing history, thereby accelerating customer service [11].
Cutting-edge technologies keep transforming businesses, and blockchain is among these aspects providing a sense of security while transacting goods. Blockchain technology could potentially change the logistics industry by providing a secure and transparent way to track goods in a supply chain. This technology has the potential to help reducing fraud, increase supply chain transparency, and facilitate real-time tracking of goods [12].
Satellite technologies have also emerged during trade industry transformation includ-
ing logistics to help stakeholders track the real-time location of goods and delivery services. Global Positioning System (GPS) and Global Navigation Satellite System (GLONASS) are the two most popular satellite navigation systems [13].
Thus, e-commerce in distribution logistics produces an intangible item, bringing a unique service-offer-product-service model to the commodity market. With the growth of ecommerce, the market is shifting towards personalisation, expanding the segment of services provided and a secure payment process. This is possible due to the use of Artificial Intelligence (neural networks), blockchain, and satellite tracking technologies. All these technologies make it possible to for logistics to embrace the global market for goods and services and operate in a more efficient way.
Библиографический список
1. Global Digital Railway Market Report 2022 to 2028: Demand for Cutting-Edge Transportation Infrastructure is Increasing Driving Growth / Dublin, Nov. 15, 2022 (GLOBE NEWS-WIRE). - [Электронный ресурс]. - Режим доступа: https://www.globenewswire.com/news-release/2022/11/15/2555811/0/en/Global-Digital-Railway-Market-Report-2022-to-2028-Demand-for-Cutting-Edge-Transportation-Infrastructure-is-Increasing-Driving-Growth.html.
2. Zheng Q. Introduction to E-commerce. Tsinghua University Press, Springer-Verlag GmbH Berlin Heidelberg, 2009. - 180 p. - DOI: https://doi.org/10.1007/978-3-540-49645-8.
3. E-commerce // Encyclopaedia Britannica. - [Электронный ресурс]. - Режим доступа: https://www.britannica.com/money/e-commerce.
4. Top Websites Ranking, Most Visited E-Commerce & Shopping Websites. -[Электронный ресурс]. - Режим доступа: https://www.similarweb.com/top-websites/e-commerce-and-shopping/.
5. The World's Top Ecommerce Companies (and Top Fastest-Growing Companies). -[Электронный ресурс]. - Режим доступа: https://www.similarweb.com/blog/sales/selling-to-ecommerce/top-ecommerce-companies/.
6. Alibaba, Russian Post launch China-Russia flights to cut delivery times // Reuters. November 7, 2019. - [Электронный ресурс]. - Режим доступа: https://www.reuters.com/article/idUSKBN1XH1LW/.
7. How is Digital Transformation Advancing the Future of the eCommerce Industry? Nitin-soni December 11, 2023. - [Электронный ресурс]. - Режим доступа: https://appinventiv.com/blog/digital-transformation-in-the-ecommerce-industry/.
8. Filson D. The Impact of E-Commerce Strategies on Firm Value: Lessons from Amazon.Com and Its Early Competitors // The Journal of Business. - 2004. - Vol. 77, № S2. -P. 135-154. DOI: https://doi.org/10.1086/381640.
9. Amazon.com American company // Encyclopaedia Britannica. - [Электронный ресурс]. -Режим доступа: https://www.britannica.com/biography/Jeff-Bezos.
10. Khabarov V., Volegzjanina I. Digital Railway as a precondition for industry, science and education interaction by knowledge management // IOP Conference Series: Materials Science and Engineering, Volume 918, VIII International Scientific Conference Transport of Siberia -2020 22-27 May 2020, Novosibirsk, Russia. - IOP Publishing Ltd. - DOI: 10.1088/1757-899X/918/1/012189.
11. The Impact of Artificial Intelligence on Ecommerce in 2023. - [Электронный ресурс]. -Режим доступа: https://www.ghostretail.com/post/ai-in-ecommerce.
12. Kashmanian R.M. Building Greater Transparency in Supply Chains to Advance Sustaina-bility // Environmental Quality Management. - 2017. - Vol. 26, Iss. 3. - P. 73-104. DOI: https://doi.org/10.1002/tqem.21495.
13. Wajidi F.A. Technology Trends and Their Impact on the E-commerce Industry / F.A. Wajidi, E.W. Rehan, M. Saeed, K.M. Iftikhar, A. Tahir // International Journal of Social Science & Entrepreneurship. - 2023. - № 3(4). - P. 236-253. DOI: https://doi.org/10.58661/ijsse.v3i4.227.
ВЛИЯНИЕ РОСТА ЭЛЕКТРОННОЙ КОММЕРЦИИ НА МЕЖДУНАРОДНУЮ
ЛОГИСТИЧЕСКУЮ ОТРАСЛЬ
С.П. Безрукова, магистрант
И.С. Волегжанина, д-р пед. наук, доцент
Сибирский государственный университет путей сообщения
(Россия, г. Новосибирск)
Аннотация. Пандемия COVID-19 вывела онлайн-торговлю в России и во всем мире на новый уровень, став мощным драйвером роста рынка электронной коммерции. В данной статье рассматривается влияние электронной коммерции на международную логистическую отрасль. Авторы обращаются к базовым определениям электронной коммерции. Описание примера успешного становления компании Амазон в сфере электронной коммерции позволяет увидеть перспективы этого вида бизнеса. В результате проведенного исследования обобщаются преимущества и недостатки электронной коммерции для заинтересованных игроков - продавцов и покупателей.
Ключевые слова: электронная коммерция, Интернет, пандемия COVID-19, логистическая отрасль, информационные технологии.
