Know and understand characteristics, advantages and disadvantages of internet shopping

6 ICT Applications – Internet Shopping (Syllabus 6.9)

Objective

Know and understand the characteristics, advantages, disadvantages and impact of internet shopping on users and organisations.

Four‑point checklist (Cambridge IGCSE 0417 – Section 6.9)

1. Characteristics of internet shopping
2. Advantages of internet shopping
3. Disadvantages of internet shopping
4. Impact on users and organisations

1. Characteristics of Internet Shopping

• Electronic marketplace accessed via the World Wide Web – e‑commerce sites such as Amazon, eBay or a retailer’s own website act as a virtual shop floor.
• Web‑browser based transactions – the shopper uses a browser to select items and a credit/debit card, e‑wallet or online banking service to pay.
• Online catalogue with rich media – product pages contain photos, videos, specifications and often downloadable user manuals.
• Shopping‑cart functionality – items can be added, removed or saved for later before the checkout process begins.
• Order confirmation and tracking – an e‑mail or on‑screen receipt is sent and a tracking number is provided for the delivery service.
• Customer feedback mechanisms – star ratings, written reviews and Q&A sections help shoppers evaluate products.
• Secure connections (HTTPS) – the presence of “https://” and a padlock icon indicates that data is encrypted using SSL/TLS, protecting personal and payment information.

2. Advantages of Internet Shopping (for consumers)

• Convenience – shop 24 hours a day, 7 days a week from any location with internet access.
• Wider choice – access to national and international retailers, often a larger product range than a physical store.
• Price comparison – easy to compare prices, read reviews and find the best deal using comparison websites.
• Time‑saving – no travel, no queues and instant access to product information.
• Detailed product information – specifications, videos, user manuals and peer reviews are readily available.
• Online promotions – discounts, coupons, flash sales and loyalty points can reduce the final price.

3. Disadvantages of Internet Shopping (for consumers)

• Security risks – possibility of fraud, identity theft or data breach if personal and payment details are not protected.
• Inability to examine the product physically – colour, texture, size or fit cannot be checked before purchase.
• Delivery issues – delays, high shipping costs, lost parcels or damage in transit.
• Hidden charges – additional fees such as customs duties, import taxes or handling charges for overseas orders.
• Complex returns – return and refund procedures can be slower and may involve postage costs.
• Dependence on technology – requires a reliable internet connection and functional electronic payment systems.

4. Impact on Users and Organisations

• Changing buying behaviour – consumers now expect instant information, price transparency and home delivery; impulse buying can increase.
• Supply‑chain adjustments – retailers must integrate inventory management, warehouse‑management software and logistics to fulfil online orders efficiently.
• Customer‑service shift – support moves from face‑to‑face to online chat, email and help‑desk systems; response time becomes a competitive factor.
• Marketing transformation – emphasis on search‑engine optimisation (SEO), pay‑per‑click advertising, social‑media promotion and personalised product recommendations.
• Data‑driven decision making – sales data, click‑through rates and customer analytics guide product ranges, pricing strategies and stock levels.

Impact Summary Table

5. e‑Safety and Data Protection

• e‑Safety checklist

  • Check that the website address begins with https:// and shows a padlock icon.
  • Never click on unsolicited links or attachments in e‑mails claiming to be from a retailer.
  • Use strong, unique passwords for online accounts and enable two‑factor authentication where available.
  • Keep browsers and anti‑virus software up to date.
  • Log out of shopping sites after completing a purchase, especially on shared computers.

• Data‑protection legislation (e.g., GDPR‑style principles) – retailers must:

  • Collect only the personal data that is necessary for the transaction.
  • Store data securely and retain it for no longer than required.
  • Provide clear privacy notices and obtain the shopper’s consent for marketing communications.
  • Allow customers to access, correct or delete their personal information on request.

  Compliance builds trust and avoids legal penalties.

6. Evaluation of Security Measures (AO3)

Comparison of two common security technologies used in online shopping

• SSL/TLS encryption (HTTPS) – encrypts data transferred between the shopper’s browser and the web server, preventing eavesdropping. Without SSL/TLS, credit‑card numbers and personal details could be intercepted by attackers.
• 3‑D Secure (3DS) authentication – adds an extra verification step (e.g., a one‑time password sent to the cardholder’s mobile) that reduces the risk of unauthorised card use. While it adds a small extra step for the shopper, it dramatically lowers fraud rates for merchants.

Robust security builds consumer confidence, a key factor in the growth of e‑commerce. However, overly complex security procedures can deter customers, so a balance between protection and usability is required.

7. Summary Table – Advantages vs. Disadvantages

8. Key Points to Remember

• Internet shopping merges e‑commerce technology with modern consumer behaviour.
• Security basics: look for “https://”, the padlock icon, and 3‑D Secure authentication.
• Read the delivery, return and warranty policies before confirming an order.
• Critically evaluate online information – check reviewer credibility, seller reputation and product specifications.
• Understanding the impact on supply chains and marketing explains why many retailers now maintain both physical and online stores.

9. Suggested Diagram

10. Sample Exam Questions (aligned with AO1‑AO3)

1. Explain three advantages of internet shopping for consumers. (AO1)
2. Describe two disadvantages that a retailer might face when offering online sales. (AO1)
3. Using the summary table, discuss how the price advantage of online shopping can become a disadvantage. (AO2)
4. Outline the steps a customer should take to ensure a secure online purchase, and evaluate why each step is important. (AO3)
5. Analyse the impact of internet shopping on a retailer’s supply chain and marketing strategy. (AO3)