HomeInformative6 Popular E-Commerce Business Models

6 Popular E-Commerce Business Models

E-commerce or electronic commerce business models allow individuals or companies to buy or sell products or services over the internet and conducted over computers, smartphones, laptops, tablets, and other smart devices. In this article, we’re going to discuss about most influential 6 Popular E-Commerce Business Models and terms. 

There are some most popular e-commerce business models such as Business to Business (B2B), Business to Consumer (B2C), Consumer to Consumer (C2C), Consumer to Business (C2B), Business to Government (B2G), Government to Business (G2B), Government to Citizen (G2C), etc. 

6 Popular E-Commerce Business Models

Business to Business (B2B): Business to Business idea refers to a business style that is conducted between one business to another business, such as a wholesaler and retailer. In the B2B model, companies or enterprises buy their products from other companies or enterprises and sell them to the final customers through the Internet. Many companies and businesses use the B2B model such as financial services, manufacturing, insurance, healthcare, retail, marketing and sales, construction, technology, telecommunications, real estate, and so on.         

Business to Consumer (B2C): Business to Consumer refers to selling products or services directly to consumers without any intervention of third-party, retailers, wholesalers, or any other middlemen. B2C is one of the most popular e-commerce business models. In the B2C model, buyers place orders for the product directly on the company’s website, and company authorities deliver the product directly to the buyer, without a third-party connection. Some principal advantages of the B2C model are brand loyalty, lowest cost, direct communication with the seller, consumer-friendly shopping platform, product exchange service, online payment security, and so on.

Consumer to Consumer (C2C): Consumer to Consumer is a special kind of business model where one consumer trades with another consumer in a typical online environment provided by third-party companies or businesses and facilitates an environment where consumers can sell goods or services to each other via online transactions. 

Cloud Computing Technology Beginner’s Guide

Consumer to Business (C2B): Consumer to Business is a kind of economic relationship business model in which consumers or end-users provide a business service or sell their own product to an organization or company. Google AdSense, Fiverr, Upwork, Shutterstock, etc., are some real-world examples of C2B services. C2B methodology offers consultants, marketing research, audience engagement, crowdsourcing ideas, or soliciting customer feedback.  

Business to Government (B2G): Business to Government is a business model that refers to a special trade conducted between business as a supplier and government as a customer. B2G models provide various services to the federal, state, or local government. Many private companies work for different governments, for example, The American Boeing Company builds helicopters, military aircraft, satellites, fighter jets, missile defense systems, launch systems, and surveillance systems for the US Department of Defense so here Boeing Company is a supplier and US Department of Defense is a customer. 

Government to Business (G2B): Government to Business is a business model that refers to government or public administration providing services or information to enterprises or business organizations. The G2B model gives a business organization a convenient way to deal with the government for various services such as government procurement, auctions, tenders, project management cooperation, and so on.

Download full paper E-commerce & Alibaba’s Business Strategy