E-commerce can be defined generally as the sale or purchase of products or services, whether between businesses, households , people or private organizations, via electronic transactions conducted by way of the internet or other computer-mediated (online communication) networks. Unlike B2C, B2B ecommerce relates to sales made between businesses, reminiscent of a manufacturer and a wholesaler or retailer. There are a number of metrics that retailers are taking a look at now that they weren’t in the previous because of the shift in shopping habits. The same-store sales conversation won’t end anytime quickly.
Joining an already established marketplace is an easier method to go. All you have to do is get a bank account as well as a tax registration number. This will help you apply more easily. The e-commerce marketplace will handle everything else, comparable to payment gateway, marketing, technology, web development and web design, just to name a few. For a new seller like you, the workload will be reduced considerably.
In the United States, certain electronic commerce activities are regulated by the Federal Trade Commission (FTC). These activities include the use of commercial e-mails, online advertising and consumer privateness The CAN-SPAM Act of 2003 establishes national requirements for direct marketing over e-mail. The Federal Trade Commission Act regulates all types of advertising, together with online advertising, and states that advertising should be truthful and non-deceptive. 29 Using its authority under Section 5 of the FTC Act, which prohibits unfair or deceptive practices, the FTC has introduced a number of cases to enforce the promises in corporate privateness statements, together with promises about the security of consumers’ personal info. 30 As a result, any corporate privateness coverage related to e-commerce exercise may be subject to enforcement by the FTC.
What has been proven all through my discussion is that electronic commerce is more than simply another method of sustaining or enhancing existing business practices. E-commerce is a paradigm shift, it’s a “disruptive” innovation that has and nonetheless is radically altering the traditional approach of doing business. E-commerce firms operate under completely different business principles and work rules in the digital economy. The development in Internet based businesses has triggered the need to better understand the characteristics of special business models adopted by successful organisations. Businesses should be ready to change, undertake and adapt at short notice, if necessary, in order to continue being successful. Flexibility is very important in e-commerce; as we’ve seen, there isn’t any simple direction and almost no such factor as an established business or revenue model for companies, even within the same industry.
1. Business to Consumer (B2C) – As the name suggests, it is the model involving businesses and consumers. That is the commonest e-commerce segment. On this model, online businesses sell to individual consumers. When B2C started, it had a small share in the market however after 1995 its development was exponential. The basic concept behind this type is that the online retailers and marketers can sell their products to the online consumer by using crystal clear data which is made available through numerous online marketing tools. E.g. An online pharmacy giving free medical session and selling medicines to patients is following B2C model.
Starting an E commerce business has never been easier. Options akin to Shopify and WooCommerce permit even the least tech-savvy individuals to set up a store. For many entrepreneurs, this models works simply fine since you do not need to buy a website and have other expenses that are part of creating an e-Commerce, you just register your products on the platform of your selecting and begin promoting them.
Thrive Market is now six months right into a new personalization tactic that delivers a unique subset of product recommendations to customers. The online pure grocer implemented a quiz for shoppers to take when they first arrive at Thrive’s website, which allows the grocer to better understand their food preferences and needs.