Study Notes
Online services have transformed how individuals and organizations operate by providing 24/7 access, convenience, and a wide range of products and services. However, they also introduce challenges such as privacy concerns and reduced personal interaction.
- Online Services — facilities provided over the internet for tasks, information, or transactions.
Example: Online shopping, banking, streaming, booking systems, and communication platforms. - Transactional Data — information collected during online transactions.
Example: Purchase history, browsing behavior, and payment information. - Targeted Marketing — advertising tailored to individual users based on collected data.
Example: Personalized product recommendations and relevant ads. - Global Reach — ability for businesses to operate worldwide without physical presence.
Example: A UK company selling to Australian customers online. - Reduced Operating Costs — lower expenses due to online operations.
Example: No need for physical stores, fewer staff required.
Exam Tips
Key Definitions to Remember
- Online Services: Facilities provided over the internet for tasks, information, or transactions.
- Transactional Data: Information collected during online transactions.
- Targeted Marketing: Advertising tailored to individual users based on collected data.
Common Confusions
- Confusing online services with local services in terms of availability and interaction.
- Misunderstanding the privacy implications of data collection.
Typical Exam Questions
- How have online services changed individuals' behaviour? Online services reduce face-to-face interaction and increase impulse buying.
- How do organisations benefit from collecting transactional data? They use it for targeted marketing and fraud detection.
- Compare online and local services. Online services offer 24/7 access and lower prices, while local services provide personal interaction and immediate product access.
What Examiners Usually Test
- Understanding of how online services impact lifestyle and business operations.
- Knowledge of data collection and its uses.
- Ability to compare online and traditional services.