eCommerce

ECommerce is a business model that allows companies and individuals to buy and sell items over the internet. ECommerce is confidently the most used model online as a result of making it easier to buy products due to its convenience – individuals now don’t need to get out of bed to shop, it can all be done online.

The Different eCommerce Models

There are two main types of e-commerce models that cover the majority of transactions that occur between consumers and businesses, these are:

  1. Business to Consumer (B2C) – This is when a business sells a product or service to a customer.
  2. Business to Business (B2B) – This is when a business sells a product or service to another business.

Just as a side note if you are using or want to use WordPress please see this page.

Examples

ECommerce has a variety of different examples when looking at buying relations between customers and businesses. For example:

  1. Retail - the sale of a product directly to the customer from the business. No middleman involved.
  2. Wholesale - the sale of the products is done in bulk.
  3. Dropshipping - the sale a product that has been factory-made and shipped to the customer by a third party.
  4. Subscription or Software As A Service - when a customer sets up a recurring purchase of a product or service .
  5. Digital items - these are goods that are available digitally like: ebooks, documents, music, videos, films etc
  6. Services - a physical service carried out by a skilled individual like a gardener

The Benefits of ECommerce

Whilst there being the obvious benefits to eCommerce like having products easily accessible for individuals which results in an increase of sales, there are many other benefits associated with this business model, for example:

  • No limitations as to who can purchase your products/services, available across the country or even worldwide.
  • Low operational costs.
  • Faster transactions and available 24/7.
  • Opportunity to gain new customers through search engines and social media.
  • Allows for deals and group buying.
  • Low advertising and marketing costs.
  • Save money on a renting a physical store.
  • Easily display all the information that you need.

In summary, it is clear that eCommerce is a business model that has heaps of benefits. As stated above, it is very apparent why businesses implement this model as there is no faulting the positive impact it will have on a company’s sales and growth. The main benefit that has been noted from here is that e-commerce allows individuals to shop whenever they want and easily locate their desired products, no matter the geographical location. Just remember to ensure you have the right team to make it happen for you, you will most likely need a freelance web developer.

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