Ecommerce

 

 Ecommerce World

           World of online buying and selling

The action of buying and selling is called Commerce. While "Ecommerce" term means buying or selling something of goods or services electronically or through internet. Some of the examples of Ecommerce are following:

• Amazon

• Ebay

• Daraaz

• Etsy

• Walmart

Types of Ecommerce Business:

1. B2B:

B-to-B (Business-To-Business), may be a shape of exchange between businesses, such as one including a producer and distributer, or a distributer and a retailer. Business-to-business refers to business that's conducted between companies, instead of between a company and person shopper. Let’s take an example like if we choose B2b we need to find a retailer to buy our product in wholesale. You will sell in bulk for a discounted price to another party who will then sell those products in some form to consumers.

2. B2C:

A business-to-consumer, or B2C, commerce model is one in which a company sells a service or item specifically to a buyer. Commonplace examples of B2C companies include Amazon, Walmart, and other companies where individual clients are the end-users of an item or service. Let’s take an example that if we choose B2C than we don’t need to find retailer who will buy in bulk amount. We just start selling it to the consumer.

Introduction to Amazon:

Amazon is the world’s largest website or online retailer. As being an online retailer. Amazon permits people and businesses to sell their items online. Amazon is a vast Internet-based enterprise that sells books, music, movies, housewares, electronics, toys, and many other goods, either directly or as the middleman between other retailers and Amazon.

 Selling on Amazon

There are two ways of selling on Amazon which are FBA (Fulfilled by Amazon) and the other one is FBM (Fulfilled by Merchant). In FBA the Amazon does everything for our product from packaging to delivery and storing it in its warehouses, which means no headache, less hazards which are the benefits of it. For performing that task Amazon charges some amount. While in FBM you have to place your inventory in your warehouse or any other place and you are responsible for its delivery, packaging or any breakage of your product which means more headache more hazards and more chances of losing reputation. FBM simply means Amazon have no concern to your product.

Amazon has 3 Business models:

1.Private Label

2.Wholesale

3. Dropshipping

 There are three business models on Ecommerce which are 

1.Private Label:

In private label, you launch your own brand’s product with your own logo and packaging on your product. Private label brands managed solely by a retailer for sale in a specific chain of stores are called store brands or own brands. 

2. Wholesale:

In wholesale model you asks a brand to give permission or approval to sell its product. With its logo and packaging not yours.

3. Drop shipping:

Dropshipping  is a form of retail business wherein the seller accepts customer orders but does not keep goods sold in stock. Instead, in a form of supply chain management, it transfers the orders and their shipment details to either the manufacturer, a wholesaler, another retailer, or a fulfillment house, which then ships the goods directly to the customer. As such, the retailer is responsible for marketing and selling a product.