Selling online(E-commerce)

Definition:
-Ecommerce, also known as electronic commerce or internet commerce,
refers to the buying and selling of goods or services using the internet, and
the transfer of money and data to execute these transactions. 

-operates in different types of market segments and can be conducted over

computers, tablets, smartphones, and other smart device.

History :
Most of us have shopped online for something at some point, which means
we've taken part in ecommerce. So it goes without saying that ecommerce
is everywhere. But very few people may know that ecommerce has a
history that goes back before the internet began.
Ecommerce actually goes back to the 1960s when companies used an
electronic system called the Electronic Data Interchange to facilitate the
transfer of documents. It wasn't until 1994 that the very first transaction.
took place. This involved the sale of a CD between friends through an
online retail website called NetMarket.
The industry has gone through so many changes since then, resulting in a
great deal of evolution.

Types of Ecommerce Models

There are six main types of ecommerce models that can describe almost
every transaction that takes place between consumers and businesses.

1. Business to Consumer (B2C):

When a business sells a good or service to an individual consumer
(e.g. You buy a pair of shoes from an online retailer). This is the most
common business model and is likely the concept most people think
about when they hear ecommerce.
2. Business to Business (B2B):
When a business sells a good or service to another business (e.g. A
business sells software-as-a-service for other businesses to use)  
3. Consumer to Consumer (C2C):
When a consumer sells a good or service to another consumer (e.g.
You sell your old furniture on eBay to another consumer).
 4. Consumer to Business (C2B):
When a consumer sells their own products or services to a business
or organization (e.g. An influencer offers exposure to their online
audience in exchange for a fee, or a photographer licenses their
photo for a business to use).
5. Consumer to Government (C2G) :

Less of a traditional ecommerce relationship, consumers can interact

with administrations, agencies, or governments through C2G
partnerships. These partnerships are often not in the exchange of
service but rather the transaction of obligation

6. Business to Government (B2G)

Some entities specialize as government contractors providing goods or
services to agencies or administrations.  

B2G ecommerce companies must often meet government requests for

proposal requirements, solicit bids for projects, and meet very specific
product or service criteria

Examples of Ecommerce
Ecommerce can take on a variety of forms involving different transactional
relationships between businesses and consumers, as well as different
objects being exchanged as part of these transactions.

1. Retail:
The sale of a product by a business directly to a customer without any
intermediary.

2. Wholesale:
The sale of products in bulk, often to a retailer that then sells them
directly to consumers.

3. Dropshipping:
Often considered one of the easier forms of ecommerce, drop
shipping allows a company to create a digital storefront, generate
sales, then rely on a supplier to provide the good. When generating
the sale, the ecommerce company collects payment via credit card,
PayPal, cryptocurrency, or other means of digital currency

4. Crowdfunding:
 The collection of money from consumers in advance of a product
being available in order to raise the startup capital necessary to bring
it to market.

5. Subscription:
The automatic recurring purchase of a product or service on a regular
basis until the subscriber chooses to cancel.

6. Physical products:
Any tangible good that requires inventory to be replenished and
orders to be physically shipped to customers as sales are made.

7. Digital products:
Downloadable digital goods, templates, and courses, or media that
must be purchased for consumption or licensed for use.

8. Services:
A skill or set of skills provided in exchange for compensation. The
service provider’s time can be purchased for a fee.

Advantages and Disadvantages of Ecommerce :

Ecommerce offers consumers the following advantages:
1. Convenience: Online commerce makes purchases simpler, faster, and
less time-consuming, allowing for 24-hour sales, quick delivery, and easy
returns.

2. Global marketplace: Customers from around the world can easily

shop e-commerce sites – companies are no longer restricted by
geography or physical barriers.

3. Minimized expenses: Since brick and mortar is no longer required,

digital sellers can launch online stores with minimal startup and
operating costs.

4. Personalization and customer experience: E-commerce

marketplaces can create rich user profiles that allow them to
personalize the products offered and make suggestions for other
products that they might find interesting. This improves the customer
 experience by making shoppers feel understood on a personal level,
increasing the odds of brand loyalty.(tnajem tnahiha)

But there are certain drawbacks that come with ecommerce sites,
too. The disadvantages include:

1- Limited customer service: If you shop online for a computer, you

cannot simply ask an employee to demonstrate a particular model's
features in person. And although some websites let you chat online
with a staff member, this is not a typical practice.
2- Lack of instant gratification: When you buy an item online, you
must wait for it to be shipped to your home or office. 
3- Inability to touch products: Online images do not necessarily
convey the whole story about an item, and so ecommerce purchases
can be unsatisfying when the products received do not match
consumer expectations.
4- Higher competition due to lower barriers of entry and greater
customer potential