One of the main priorities of online website is what goes on 'behind the scenes', from the warehouse picking the right stock, to dispatching and delivering the product. Back office processes need to be run just as efficiently for an online store as a normal store;
Maintenance of the virual shopping basket - The virtual shopping basket represents the basket/trolley that people would use when they go shopping normally. Customers are able to add items to the basket, remove items, remove the basket altogether, or proceed to the 'checkout'. Behind the scenes this is represented through a database, where when the customer adds an item to the basket, the stock or catalogue code will be added to the database along with the quantity. Depending on the retailer, stock availability may be checked prior to adding the iterm to the basket, or be checked after adding to the basket, with the message of the current availability being added to the display. Also depending on the retailer is the variety of different forms the basket can take, some showing the basket, contents and the total value while the customer is shopping, while some use a completely different web page. Sometimes these baskets are not as easy as they sound; once the basket has been viewed it is not easy to return shopping, and with some there is difficulty 'leaving' the basket to check other items or prices and on return losing the contents of your basket. Many baskets dont actually make it to the transaction process, with marketing companies estimating that over half of all shopping carts are abandoned before they go to payment. Different companies have different methods to deal with these abandoned baskets. Stores that identify the user when they log on will usually keep a record of what items where put into the basket, meaning the customer is able to return to the abandoned basket, with the same items. This can be very useful for the customer, especially in cases of supermarket shopping, where there can be a large number of items. It would be less important if the customer just had a one of item in their basket. Sites that do not identify the customer until the checkout/purchase stage of buying do not store the basket for future use, they simply discard the table in the background that represent the 'live' basket.
Identify and Authenticate - Many online stores operate exactly the same as they would if the customer was in a store - they browse, select their items, then pay at the checkout and leave. The only identification these stores need is when the customer goes to the checkout and pays for their goods, then needing to identify themselves in some form, so that the card payment can be authorised. Normally this is the store requiring a home address which is linked to the card, and information which comes from the credit card itself, such as the card number, expiry date and the security code on the back of the card.
Some other stores need full identification and autheniticity before you are allowed to start shopping. Many businesses vary between the two forms, allowing the customer to decide whether identify themselves prior to checkout, and to keep their details on the website or not. All the main grocery websites, including Tesco, Sainsburys and Asda require the customer to register, identifying and authenticiate themseles before they are able to start shopping. One of the main ways the websites are able to do this is through the users email address; these are unique to each individual, has usually some form of identity within it, and is a popular method of communicaton between the website and the customer, for example latest offers. Many people have different email addresses, which everyone is able to access, therefore cannot always prove that its the consumer. This is tackled by the business by getting the customer to provide a personal password, which only they know, or, another method is getting the customer to verify themselves through an attached email. You give your email address to the website, they send a confirmation email, with the customer having to follow the link given on the email to verify its you. This is a useful method for both the consumer and business; it confirms to the store that its actually the customer and can be used for marketing purposes, and secondly, if the email has been used by someone else the problem can be corrected.
Most stores also use cookies, identifying the customer as the click onto the site, even before they log onto the site. This allows the website to see who the customer is, what their spending habits are, and tailor marketing techniques to the individual, such as offers on similar products. However, although this may seem useful for the customer, there may be many users on one computer, so there still needs to be a password.
Different sites use different techniques, however the ones listed above are the most commonly used, with registration varying from just a user name and password, to full name, address, postcode, phone number and bank details. This logging in process then matches the customer to a record registered in the database, where all the details are stored. For customers and the business this is more convenient, as their details are stored and there is no need to enter the details every time they proceed to the checkout, and for the business they are able to know who they are dealing with, can target their market more effectively and the fast checkout means fewer abandoned baskets.
Real time tracking of customers' actions - Customers firstly browse through all the products, with the website wanting to make this as easy for the customer as possible, with the easiest route being to divide all the sections into categories, especially websites with large inventory. Store websites with a smaller inventory would be straightforward, with choosing a category simply being a link to another web page, displaying the category or product listing. In stores with a much larger inventory the click through that takes you through the categories is much more likely to query a database containing either a catalouge of products or an interface to a stock list. This database provides a webpage to display the products. The advantage of this is that changes to the products in stock do not require any reprogramming of the website, just changes to the database.
When browsing for a particular product it works in a similar way, the page is programmed to display certain products within the list chosen. When a particular product is selected, the database is required to give more information, such as a new page or even a pop up window where more informtion is supplied, such as descriptions and pictures.
Searching for specific products can use the same technology, when the user enters the search term into the supplied box, the database is queried and a list is returned dynamically with all possible matches. For example, on the majority of supermarket websites when you search coffee, all possible products with coffee will return as a match, such as instand and ground coffee, coffee cake, coffee biscuits etc. Sainsburys also offer the customer to be able to 'jot down' the items they need in a jotter pad, working on the same principle, however its a bit more complicated for the database. It must extract all key phrases, such as 'coffee', from the text in the jotter pad and present these one at a time as a query to the database engine. These results are then presented on a seperate page.
Payment Processing - When transactional websites recieve payments using credit cards, which are the majority, they do not get the money straight away, they have to submit a request for payment later, with most waiting until the customers items have been dispatched, then create the invoice and request payment. This payment process involves requesting payment from the gateway, with the merchant sending details of the transactions along with the authorisations provided by the bank (or issuer) in the authorisation process. The payments network is then able to arrange settlement between the issuer and acquirer. The funds are then able to be transferred to the merchants account, and a credit card statement is sent to the customer and the cycle is complete.
However, there are problems which can arise from credit card payments, as the user and the card are not pysically present. Card companies class this as a 'card not present' transaction, which is less secure due to the website not being able to fully confirm its the user and correct card, unlike a face-to-face transaction, which is the whole essence of an online transaction. This is why stores need to place strict security measures to deal with any potential security lapse that could arise. Stores such as grocery websites who require registration and logging in before any purchases can be made are more safe, especially due to the good being deliered to fixed and known addresses. Asking for addresses, especially post codes is a secure way of trying to stop fraud, many may know the card numbers, but not the address the card is linked to. In order to counteract the 'card not present' problem, the website will ask for secutity code and expiry date found on the card, if all these are correct, the issuer sends an authorisation number to the merchant that is added to the transaction record and used later by the merchant to claim payment from the card issuer.
Dispatch, Delivery & Stock Control - Dispatch and delivery can be a very complicated area for websites. However, for some this can be simple, especially if it is electronic download, such as music downloads, ring tones, some software, and reasearch services can complete their orders automatically bo allowing the customer to download the product directly from their website, removing many problems that can occur with physical delivery. Depending on the type of delivery you recieve will depend on many factors, including whether; goods are made to order, goods are distributed directly from the website company's stock, goods are brought in from suppliers as soon as the order is made or goods are completely outsourced, e.g the website company does not have its own physical warehouse, but rather supplies its customers with another companys products. Distribution also depends on the type of sending the company is using, from in house distribution, the post, parecel delivery or specialist delivery to transport the goods. Dispatch and delivery are similar processs, the order has to be made up so its able to be dispatched. This is done by 'picking' the products from a warehouse, while this is happening the stock records are adjusted accordingly. When the order is ready for dispatch, the payment is processed and collected, and the goods have to be delivered. For this a delivery or advice note is required, sometimes proof of delivery is also needed, where the reciever has to sign a special PDA. Some websites also allow their customers to track their order, by entering an order number, whereas some send email messages informing the customer of every stage of their delivery. However, fulfillment does not always end with a delivery of a single package. For example, when ordering books, some may be in stock, others may not, choosing to either have them delivered as a whole package, or as the books are in stock, bit by bit. Another option is more complex, involving back orders. Some orders are delivered faulty or innappropriate, some goods never arrive and some arrive damaged from the delivery process itself, with a good system being able to deal with these problems if they ever did arise.
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