Do you wish to start an online store? Do you understand what it means to run such a store? For many people, eCommerce is all about and online commercial or sales transaction. As long as there is a supplier and a buyer, eCommerce is complete.
However eCommerce is a growing industry with new things coming up all the time. Consider for instance the changes that have taken place in eCommerce web design Toronto. In the past, a simple template could be enough to perform magic.
But that is not the case today as better things are coming up. One must be aggressive enough to understand these changes for them to stay relevant on the market.
The whole industry is becoming more competitive. There is already someone selling the products you are thinking of. The only thing you can do is create a better site that ranks higher than the competition.
This means you must know something beyond the basic idea of the concept. In other words, there are more specific factors involve that must all be considered. Among these factors are the business models.
There are basically 6 models. They may seem the same but each has unique characteristics that set it apart from the rest. Here is an overview.
Here, all the electronic transactions and dealings related to goods and services are involved. As the name suggests, they are conducted between companies. A company that manufactures goods sells directly to a company that sells or uses the goods.
A good example is the conventional wholesalers and producers. They deal with retailers directly from the manufacture.
This type of eCommerce model requires a different set of details. Since you are not dealing directly with consumers, it is easier to know the kind of companies to work with in the same industry.
A manufacturer may supply goods to the wholesaler who deals directly with consumers. The transaction between the wholesaler and the consumer is termed as B2C.
This is mainly about the retail online stores. It has evolved greatly in that now stores can virtually keep goods online. The consumer gets more information about the product. Augmented reality has made it possible for consumers to try out different products before buying.
This is a buying process that takes places between consumers. It happens mostly through a third party where a consumer may have something to sell and another something to buy. They exchange the goods through the third party.
The normal business process involves goods flowing from the supplier to the consumer. C2B model is a complete reverse of this. It is relevant in crowdfunding projects.
This is an eCommerce transaction that involves companies dealing directly with public administration. It includes things like social security, fiscal measures, electronic tax filing and many others.
When an individual uses and eCommerce site to access administrative service like tax filing an information sharing, it is termed as C2A. It is carried out between an individual and a public administration authority.
All these e-commerce models are aimed at increasing flexibility, efficiency and transparency. They make exchange of goods and services much easier and cheaper.