The Malta Communications Authority (MCA) produced two reports on e-commerce which will be used as the basis of a seminar for suppliers and enablers which will be held in April or May, and for an awareness campaign for e-commerce users, both on the supply and demand side.

The seminar, said project manager for e-commerce Celia Falzon, will address a number of difficulties faced by entrepreneurs which have emerged from the studies.

The two studies were carried out by Ernst and Young on behalf of the authority. MCA e-commerce analyst Monique Brincau highlighted the difficulties faced by Maltese companies who decide to embrace e-commerce.

The first difficulty lies in identifying and coordinating stakeholders. Other difficulties include obtaining a merchant ID, developing an on-line system, merging their old systems with new ones and pricing the e-commerce solution

One of the reports, treating the e-commerce consumers, was published in September while suppliers and enablers where discussed in another report which has just been published.

The latter report showed that companies embark in e-business in order to remain competitive, to fill a void in the market, to bolster the company image, to save in operating costs and to reach foreign markets and because of easier payment facilities.

Firms affirmed that since embracing e-commerce they have saved on costs and human resources, reduced manual transactions, improved their corporate image and had a quicker turnaround and processing of clients’ requests. Since payments are effected on-line through credit or debit cards, money is transferred instantly, thus reducing bad debts for the companies.

Ms Falzon expounded that prospective e-commerce players are not faced with cumbersome bureaucratic procedures but “lightweight procedures which facilitate entry into the market.”

The report treating consumers reserved a number of surprises. The urban legend that fraud is rampant in e-transactions was shattered by 99 per cent of the users. For their part, providers said that fraud is negligible. Another interesting fact is that there are more people aged 50 years and over than those in their forties who have used e-commerce.

“Such results will be dealt with in depth in our future surveys,” assured Ms Falzon, who confirmed that a consumer-oriented report will be produced biannually.

She announced also that the consultation period on e-security has been extended till the end of April.