E-commerce Venture in the UAE Travel Accessories Market

Business Plan 1

Introduction

In the context of contemporary business environment, companies are transforming their different types of online platforms such as social media, website, and others to assess the new market opportunities and to increase sales of the business entity (Mohapatra, 2013). The consideration of e-commerce platform provides an opportunity to promote different products and services to large number of potential consumers in low cost. XYZ Ltd. is leading retailer firm of UAE. The company is going to start its e-commerce website to offer a variety of travel accessories. This busines plan evaluates the benefits of online busines operations. It also determines key elements of web pages and different variables of business strategies.

Main Body

Benefits of setting up a business in a e-business mode as compared to conventional brick and mortar mode

Hight growth of online trade operation in UAE: The high growth in online trade operations within UAE would provide new business expansion strategies to new along with existing companies. According to different estimations, the revenue of ecommerce market would be reached near to AED 23387 m in 2021. Moreover, online retail operations will maintain the CAGR of 10.30% during the period of 2021-25 (Ecommerce, 2021). As compared to traditional brick and mortar mode, business entity will record the high growth in revenue through online channels. The consideration of online channels would provide a great opportunity to assess the quick sales in the context of travel accessories. This is because the majority of people considers online channels to assess different types of travel accessories.

Reduction in business expenditure: For setting up travel accessories related business, the online platform would support the business entity in controlling a variety of business expenditure such as high rent of supermarket, expenditure on traditional marketing channels and selling staff, cost of display management and others. However, e-business operations would save different kinds of business expenditures that are addressed in traditional brick and mortar system (Gupta, 2014). Therefore, an organisation could reduce the requirements of minimum capital that would be required to set-up a new organization.

Better targeting & More Personalisation: The consideration of digital marketing and selling tools and methods like e-commerce and social media would support new companies or new online retailers to assess a variety of data related to purchase pattern and interest of customers so as companies are able to offer more personalised offers, products and other services that could not possible within traditional brick and mortar system. The effectiveness of online trade operations has been enhanced on significant manner in the contemporary business operations because it would support managers in running a variety of customer loyalty programs in an efficient manner (Hua and et.al., 2019). In this context, the organization can evaluate the travelling habits of people to offer a variety of travelling accessories.

Key elements of the design of web pages

High quality content that covers all types of information about the product features, pricing, and other offers.

High quality pictures of different travel accessories

Mobile friendly web pages for supporting mobile -based trading.

Tools for product review and suggestions

Places to promote upcoming product.

Product codes

Integration of different blogs and articles

Promotional videos

Payment gate way

Order tracking system

Site layout

Describing different elements of the business strategy

Marketing Strategy: For the proposed business plan of website development of travel accessories, the business entity is going to consider different digital solutions such as emails, social media, and other promotional channels that may provide a great support to business entity in promoting the new website among the large number of potential customers in an efficient manner (Barnes and Hunt, 2013). This thing influences business entity to enhance the brand value of busines entity.

Product Diversifications: In the business of travelling accessories, the business entity is going to consider a large variety of product range associated with different travelling activities such as tracking, running, hiking and others. The product diversification has been emerged as the most critical aspect of the business planning and efficiency management. By considering the different needs of customers, the business entity would be able to select an appropriate product portfolio that could attain the needs and expectations of different customer within highly competitive market trends (Shen, Ruvini and Sarwar, 2012).

Positioning of website: In the context of contemporary business environment, the positioning of a product and website is significantly aligned with the marketing plan. In this context, the product positioning would be taken place with consideration of psychographic segmentation. In this context, the busines entity will promote the website through different travel agents, tourist destinations of UAE and others. Moreover, the organization will pay extra attention on the young age customers. This is because the young age customers have a significant interest in different gadgets and other travelling tools.

Value of Initial Investment for Developing Website:

For introducing the online travelling accessory business, the total value of initial investment is determined below:

As per the above assessment, the total value of initial would be near to 135000 AED.

Conclusion

As per the assessment, this investigation concludes that popularity of e-commerce business operations has been enhanced on significant in UAE business environment. In this regards, the consideration of e-commerce website for setting the business of travel accessories would provide an opportunity to the management of XYZ Ltd to offer a variety of travel accessories to the large number of buyers so as an organization could enhance its market share within highly competitive market. The consideration of online business platforms saves a variety of busines expenditures that are identified within traditional brick and mortar system. Moreover, an organisation would find a better business opportunity in order to manage relationship with the large number of potential customers in very low cost. The high growth rate of e-commerce channels in UAE will support firm in assessing competitive edge towards the other brands in the context of travel accessories. This report concludes that a marketing plan based on social media channels will provide an opportunity to business entity to manage the direct communication with the large number of potential customers.

Reference

Ecommerce. (2021). [Online]. Accessed through:. [Accessed on 26th Feb. 2020].

Gupta, A. (2014). E-Commerce: Role of E-Commerce in today’s business. International Journal of Computing and Corporate Research, 4(1), 1-8.

Hua, N., Hight, S., Wei, W., Ozturk, A. B., Zhao, X. R., Nusair, K., and DeFranco, A. (2019). The power of e-commerce. International Journal of Contemporary Hospitality Management.

Mohapatra, S. (2013). E-commerce Strategy. In E-Commerce Strategy (pp. 155-171). Springer, Boston, MA.

Shen, D., Ruvini, J. D., and Sarwar, B. (2012, October). Large-scale item categorization for e-commerce. In Proceedings of the 21st ACM international conference on Information and knowledge management (pp. 595-604).

Business Plan 2

Introduction

The role of c-commerce business has been enhanced on significant manner in the contemporary business operations to enhance the business efficiency and popularity within highly competitive market trends. E-business practices assist companies in managing the relationship with the large of number of potential customers. In this context, organizations are setting up new business processes with consideration of different digital tools such as website, mobile applications, social media and others (Shahriari and Mohammadreza, 2015). In this regard, the PQR Ltd is going to introduce a e-business platform or website to manage the online sales of healthcare and nutritional products. This business plan evaluates the difference between the traditional brick and mortar system along with e-business operations. It also examines the different variables of business strategy.

2. Main Body

2.1 Benefits of setting up a business in a e-business mode as compared to conventional brick and mortar mode

High value of initial investment: For setting-up ta traditional brick and mortar business operations, an organization has to manage huge investment such as development of retail outlet, huge expenditure on inventory, staffing cost of sales personals, and others. Therefore, companies that are involving in traditional brick and mortar system find the high business operating cost. On the other hand, the transformation of business towards the digital platforms such as mobile application and websites would assist companies in saving the operating business expenditures (Niranjanamurthy and et.al., 2013). It supports companies in lowering the business expenditures and it would enhance overall business profitability. In the context of healthcare and nutritional products, the online platform will provide an opportunity to people for managing their personal care requirements from the remote locations in UAE.

Change in the lifestyle of people: As a result of growth in various internet-based services, people in UAE consider various online channels to meet their daily requirements rather than traditional brick and mortar system. The growing interest of people towards online shopping influences companies PQR Ltd. to initiate the business operations over the digital platforms. Moreover, the increase in occurrence of critical health problems among young, the demand of the membership of different fitness centres in UAE has been enhanced on significant manner that has been floated near to 8.8% during 2012-17 (UAE Nutritional Supplement Market will be Driven by Increasing Consumer Spending Coupled with Rising Healthcare Awareness among people in the Country: Ken Research, 2021). This thing influences the demand of various nutritional products and food supplements so as people are paying extra attention on different online channels to assess the in-depth understanding about different nutritional foods and other related products and people are also considering online sites to manage the purchase of different nutritional and personal care products.

Customised product offering: The consideration online business channels would support the management of PQR Ltd. in the product customisation. In the context of health care, different personals have different needs so as people can customised different products and services with reference to their dietary and personal care requirements with the suggestion of expert. On the other hand, it is not possible to set a compete store for personal care and nutritional requirements with reference to traditional brick and mortar system (Dolfen and et.al., 2019). By considering the digital channels, an organization could assess the loyalty of customers through customised products and expert suggestions.

2.2 Design of web pages

For providing the best experience to customers through digital sales channels, a website design must cover below mentioned characteristics:

Images of products with appropriate specification

Suggestions of health care experts about different products

Name of all popular brands

Site map

Categorisation of different products and services

Cart to collect all product before making final payment.

Places for the application of promotional codes

Locations to assess views of customers about different products.

Payment gateway with consideration of all basic requirements (Jin, Li and Li, 2017)

Customer profiling

Order management system

2.3 Kye Components of business strategy

Marketing Mix

In the context of contemporary business environment, key elements of the busines strategy are evaluated below with consideration of different elements of marketing mix:

Products: The PQR Ltd is going to offer a huge product range of health care and nutrition that would support people in attainment of distinct dietary and personal care requirements. This type of product portfolio will support companies in attainment of customised needs of people (Rybaczewska and Sparks, 2021).

Pricing: The business entity will offer its product range in competitive pricing so as the business entity could influence the purchase decision of people. This is because competitive pricing approach will support the firm in managing the market competition without losing the business profitability.

Place: PQR Ltd. will maintain the availability of different products and services associated with personal care nutritional requirement with the help of online channels like website, mobile applications and other digital platforms. These platforms will be found very effective to manage the relationship with the large number of potential customers (Jin, Li and Li, 2017).

Promotion: For lowering the business expenditures, the management is going to consider different tools of digital marketing in order to promote different products and services. In this context, social media tools like face book, emails and others, and you tube videos will play a critical role in order to influence the perception of people.

3. Conclusion

As per the above assessment, this investigation concludes that the consideration of e-business platforms in comparison of traditional brick and mortar system offers several benefits such as reduction in business operating cost, product customisation and others. This report also concludes that different digital platforms such as social media, website, and other tools will support busines entity in managing the relationship with large number of potential consumers. In the context of contemporary business planning, the role of digital media has been enhanced on significant manner to manage the communication with target group consumers and the business entity will maintain the availability of different products and services with large number of potential service users.

Reference

Dolfen, P., Einav, L., Klenow, P. J., Klopack, B., Levin, J. D., Levin, L., and Best, W. (2019). Assessing the gains from e-commerce (No. w25610). National Bureau of Economic Research.

Jin, S., Li, H., and Li, Y. (2017). Preferences of Chinese consumers for the attributes of fresh produce portfolios in an e-commerce environment. British Food Journal.

Niranjanamurthy, M., Kavyashree, N., Jagannath, S., and Chahar, D. (2013). Analysis of e-commerce and m-commerce: advantages, limitations and security issues. International Journal of Advanced Research in Computer and Communication Engineering, 2(6), 2360-2370.

Rybaczewska, M., and Sparks, L. (2021). Ageing consumers and e-commerce activities. Ageing and Society, 1-20.

Shahriari, S., and Mohammadreza, S. (2015). E-COMMERCE AND IT IMPACTSON GLOBAL TREND AND MARKET. International journal of research-Granthaalayah, 3(4), 49-55.

UAE Nutritional Supplement Market will be Driven by Increasing Consumer Spending Coupled with Rising Healthcare Awareness among people in the Country: Ken Research. (2021). [Online]. Accessed through:. [Accessed on 26th Feb. 2020].

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