Clicking through the Clickstream: A Novel Statistical Modeling Approach to Improve Information Usage of Clickstream Data by E-Commerce Entities

Success or failure of an E-commerce platform is often reduced to its ability to maximize the conversion rate of its visitors. This is commonly regarded as the capacity to induce a purchase from a visitor. Visitors possess individual characteristics, histories, and objectives which complicate the choice of what platform features that maximize the conversion rate. Modern web technology has made clickstream data accessible allowing a complete record of a visitor’s actions on a website to be analyzed. What remains poorly constrained is what parts of the clickstream data are meaningful information and what parts are accidental for the problem of platform design. In this research, clickstream data from an online retailer was examined to demonstrate how statistical modeling can improve clickstream information usage. A conceptual model was developed that conjectured relationships between visitor and platform variables, visitors’ platform exit rate, boune rate, and decision to purchase. Several hypotheses on the nature of the clickstream relationships were posited and tested with the models. A discrete choice logit model showed that the content of a website, the history of website use, and the exit rate of pages visited had marginal effects on derived utility for the visitor. Exit rate and bounce rate were modeled as beta distributed random variables. It was found that exit rate and its variability for pages visited were associated with site content, site quality, prior visitor history on the site, and technological preferences of the visitor. Bounce rate was also found to be influenced by the same factors but was in a direction opposite to the registered hypotheses. Most findings supported that clickstream data is amenable to statistical modeling with interpretable and comprehensible models.

E-commerce development in rural and remote areas of BRICS countries

E-commerce plays an essential role in modern trade today.It is expected that e-commerce volume amounted to 29 trillion USD in the world in 2017,and would grow with the spread of the Internet and information and communication technologies(ICTs).Brazil,Russia,India,China and South Africa(BRICS),together with many others,consider e-commerce a means to facilitate rapid,inclusive and sustainable economic growth,improving the living standards and alleviating poverty.This article examines areas for potential cooperation by BRICS countries in e-commerce development across rural and remote areas to fight poverty.It analyses the current state of e-commerce development in rural and remote areas in each of the BRICS countries,including cases of public and private initiatives to support it.The article also defines the opportunities which e-commerce brings to people living in rural and remote areas.Moreover,it evaluates the existing challenges and risks.The article concludes that despite the rapid e-commerce development in BRICS countries,and significant opportunities created,there are still issues of disproportionate e-commerce in varied regions and the lack of BRICS cooperation in this sphere.Based on a comparative and normative in-depth,systematic analysis,the article develops a set of recommendations for deepening BRICS countries'cooperation in the following areas:infrastructure in rural and remote regions;education;consumer protection;online dispute resolution;coordinated policy in the international scene,including representation of BRICS countries in international indexes,such as the Organization of Economic Co-operation and Development(OECD)Digital Services Trade Restrictiveness Index(STRI).