Fig. 5.1 shows global ecommerce sales from 2017 to 2023. [Figure 5.1 bar chart showing Sales ($ trillion) from 2017 to 2023 with values: 2017 - $2.382, 2018 - $2.928, 2019 - $3.535, 2020 - $4.206, 2021 - $4.927, 2022 - $5.695, 2023 - $6.542] Fig. 5.1 Use Fig. 5.1 to help you answer the following questions.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2025). The mark or mark type is shown in brackets.

1. [1] Global ecommerce refers to businesses selling their products over the internet/online/electronically/websites
2. [1] to buyers worldwide/internationally/in different countries
3. [1] $4.16 / 4.160 trillion / $4160 000 000 000
4. [1] Helps build confidence / trust / enhances reputation
5. [1] as it shows commitment to providing quality products / reliable business
6. [1] Enhances customer satisfaction / customer relationships
7. [1] mitigating the risk of an unsatisfactory purchase / know that they return faulty goods if not wanted / can return faulty goods
8. [1] Creates customer loyalty
9. [1] increases repeat customers
10. [1] Many customers want to see a return option before buying products
11. [1] if it is not there, they will shop elsewhere / increases sales
12. [1] Customers who are pleased with the return option are likely to share positive reviews online
13. [1] positive return online reviews are likely to lead to more customers considering buying the products / increasing sales
14. [1] Provides a competitive advantage
15. [1] attracting new customers
16. [3] Credit card companies charge online stores commission on sales. (TRUE)
17. [3] Digital receipts are sent directly to the customer's home address. (FALSE)
18. [3] Mobile wallets enable online purchases through a smartphone. (TRUE)
19. [6] Up to 2 marks for describing ecommerce / online retailers
20. [6] Up to a further 2 marks for analysing the effects of growth of ecommerce on retailers
21. [6] Up to a final 2 marks for evaluating the effects of growth of ecommerce on retailers
22. Traditional retailers are people who buy from wholesaler and sell to consumers in physical stores
23. Ecommerce is buying and selling products using the internet
24. Fewer visitors / lower sales / losses in physical retail stores as customers are increasingly buying online
25. Increased competition as online retailers offer lower prices / wider range of goods creating pressure on traditional retailers
26. Due to more people buying online, traditional storers are closing
27. Due to more people buying online, it has led to job cuts at stores.
28. Due to more people buying online less income coming into stores
29. As more consumers buy online retailers have had to invest in websites, costing money
30. In order for traditional retail stores to survive many have needed to close their stores and adopt ecommerce as their main selling point saving on the overheads of physical stores
31. Retailers have had/been forced to open e-commerce stores /invest in new technology which is costly
32. To provide an ecommerce experience, a retailer will need to: have the latest technology, e.g. ecommerce software, and specialised IT support which is a big expense
33. The retailers have to provide efficient end-to-end order processing / re-stocking 24/7 so to meet customers' expectations
34. Retailers have had to provide a reliable delivery service which will increase costs in comparison to a physical store
35. Having shipping of goods online will affect a retailer's profit margin.
36. Evaluation: Some consumers are resistant to change and will not use online/internet shopping so traditional retail stores are unlikely to stop all together. Also, deliveries of online purchases may be lost/stolen/not delivered on time/increase traffic congestion and pollution which may make customers unhappy so they might still return to traditional retail stores. However, as ecommerce has become increasingly reliable, more consumers shop online so more retail stores will close or will not expand/improve/modernise their retail outlets because they have higher overhead costs than an online store. To remain competitive, many retailers will need to sell online, just to survive.