Monday, July 4, 2016

All About E- Commerce: What it is, How it Works And Website Security

What is E-Commerce and how does it work?


Electronic commerce known as eCommerce which itself is a broad term for selling through website on internet, electronically. With having the ability to process credit cards electronically on internet, just about anything can be sold over it. More people are buying online and enjoying the merits of convenience and more often lower prices. Online stores reduce prices because they are able to eradicate overhead costs such as having to pay employees to run brick and mortar store. In today’s busy world like ours, convenience is an advantage and is everything. 


Shipping times have now become so fast that if anyone orders an item online, it can be at the buyer’s doorstep the next day. Every e-commerce website has built their whole business model around easy and quick shopping. E-commerce websites are built differently but they all use same core function. The capability to provide the feature to accept credit card is clearly a defining factor. Most times, it processes through a payment gateway and not the website, for security reasons. 

 
A payment gateway is a company that works with credit card companies to be sure that all transaction of credit cards is processed securely and card numbers are not stored by small businesses. But for this you must have an account with the payment gateway to accept credit card on the website. Though all the transactions processes through a gateway, the viewer will never know or be directed away from your website. The website will be guarded with encryption using an SSL certificate, making it impossible for frauds. When the purchase happens, the money will directly be transferred to your businesses’ bank account.

When an order is placed, customer’s purchase and payment information is showed in administration section. You will login to view this information. Through this administration section, you will also be able to add new products, update them and maintain your website fully.

Security, in a world where internet criminals and website hackers won’t stop at anything to steal the information your customers may provide you, is of the utmost priority for your eCommerce website and online store. When processing credit cards through e-commerce website or when personal data is being entered, a strong security strategy is a must to have with proper safeguards in place. Using SSL, a secure server is the best way to protect website information transferred through it. It uses 128 bit encryption. Encryption means the information is transferred in code so that if anybody intercepts the message, it won’t be readable.

At the bottom of the page or in the address bar, secure websites contain a “lock” icon. It is circled in the image below. The lock will only appear if you are on a page which contains sensitive information, such as a checkout page or when entering personal data. Only because the lock doesn’t appear through the entire shopping process, it doesn’t mean that the e-commerce website is not secure.

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