E-Commerce - Disadvantages

The disadvantages of e-commerce can be broadly classified into two major categories −

  • Technical disadvantages
  • Non-Technical disadvantages
e-commerce disadvantages

Technical Disadvantages

  • There can be lack of system security, reliability or standards owing to poor implementation of e-commerce.

  • The software development industry is still evolving and keeps changing rapidly.

  • In many countries, network bandwidth might cause an issue.

  • Special types of web servers or other software might be required by the vendor, setting the e-commerce environment apart from network servers.

  • Sometimes, it becomes difficult to integrate an e-commerce software or website with existing applications or databases.

  • There could be software/hardware compatibility issues, as some e-commerce software may be incompatible with some operating system or any other component.

Non-Technical Disadvantages

  • Initial cost − The cost of creating/building an e-commerce application in-house may be very high. There could be delays in launching an e-Commerce application due to mistakes, and lack of experience.

  • User resistance − Users may not trust the site being an unknown faceless seller. Such mistrust makes it difficult to convince traditional users to switch from physical stores to online/virtual stores.

  • Security/ Privacy − It is difficult to ensure the security or privacy on online transactions.

  • Lack of touch or feel of products during online shopping is a drawback.

  • E-commerce applications are still evolving and changing rapidly.

  • Internet access is still not cheaper and is inconvenient to use for many potential customers, for example, those living in remote villages.

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