E-commerce and the Hospitality Industry
Online business plays an important role in the Hospitality Industry. There are a wide of online business activities that hospitality establishments can profit of, for example, restaurant online bookings, online marketing (SEO and SEM), Social Media management, and so on.
Specifically, there’s an online activity that hospitality businesses can take advantage of. This is called E-commerce. But what does it mean E-commerce in the hospitality industry?
Electronic Commerce refers to electronically commercial transactions done on internet between businesses or individuals and businesses. This means that the interaction between the parties is electronically instead of physically, when buying and selling products or services. There are 4 types of e-commerce transactions:
- B2B: Business-to-business interactions. For example, a restaurant orders electronically stock from their suppliers every week.
- B2C: Business-to-costumer interactions. An example of this happens when a costumer buys take-away food online.
- B2E: Business-to-employees interactions. For example, business can provide electronic services for their employees, such as a management software to improve transactions with customers.
- C2C: Customer-to-customer interactions. This type of e-commerce’s transaction might not apply to the hospitality industry. This interactions occur when a customer do business with another customer through platforms, such as eBay or TaoBao.