The practice of buying and selling products, physical or digital via an online marketplace.

What Makes E-commerce Great?

The term is often used to describe the transfer of money for physical products. However, any transaction that happens online can be considered as e-commerce.

Anyone can benefit from e-commerce. We all have before either through buying or selling a product on the internet.

E-commerce is growing by 23% each year, and it’s expected to top $27 trillion in 2020. If you want to profit from this online shopping revolution, now is the time to get started with it.

E-commerce Business Models

There are four major segments of e-commerce online today. They differ depending on the two parties involved in the transaction.

Business to business (B2B)

B2B is when a business provides its services or products to another business. 

Our service is a perfect example of this type of e-commerce. We’re a business that provides professional services to businesses in need of help.


  • Amazon
  • Shopify
  • ECPlaza

Business to customer (B2C)

B2C includes businesses that sell their products or services to direct customers.


  • Amazon
  • Walmart
  • Rakuten

Customer to customer (C2C)

C2C transactions happen between two customers through an online marketplace. The platform through which the exchange happens takes a small fee for its’ service.


  • Ebay
  • Fiverr
  • Facebook Marketplace
  • Etsy

Customer to business (C2B)

C2B refers to the transaction that occurs when a customer sells a product or service to a business.


  • Google Adsense
  • Shutterstock
  • Fotolia
  • Upwork

Types of E-commerce

Businesses like to get creative when it comes to choosing a delivery model. Lots of thriving companies today combine different models to make their business successful.


Dropshipping is one of the most popular forms of e-commerce. 

It's the selling of products online by creating a storefront that takes customers' orders. But unlike other e-commerce business models, you don't have to maintain an inventory or own a warehouse.

All you have to do is pick successful products to promote. Then, you need to find a third party supplier to handle packaging, shipping, and inventory management for you.

Once your store is ready, it's all about driving traffic to your website and converting them into buyers.

Many successful drop shippers use Shopify and Squarespace to launch their online stores.


Wholesaling is a popular B2B approach. 

It's the selling of products in bulk for lower prices to retailers. The buyers will then repackage the material into smaller quantities and sell them directly to customers.

White Labeling and Private Labeling

In white labeling, you buy a successful product from a distributor. Then, you put your brand name on it and design your own packaging. 

Private labeling differs in that the manufacturer creates a unique product for your brand that only you can sell.


This is one of the most successful e-commerce models for lots of industries. It’s based on delivering a service or a product to subscribed customers at regular intervals.