Which E-Commerce Business to Consumer (B2C) model is right for your business?

Which E-Commerce Business to Consumer (B2C) model is right for your business?
4 min read

Business to Consumer (B2C) refers to trade between a business and a consumer. For instance, dining at a restaurant or shopping at a grocery store, etc. all are B2C transactions. In recent years, the rise of online sales has made it hard for "brick-and-mortar" businesses to keep a rising graph on their sales. As a result, many physical shops are either switching to online stores or brick-and-click stores.

As this trend is on the rise, Cube InfoTech, an ecommerce website design company thought of elaborating on Business-to-Consumer Sales Models so as to make it easier for businesses to make the best choice.

A person can run a B2C business in the E-commerce world in many ways out of which the below 5 are most prominent.

1.   Direct selling

The most common model, direct selling, is where consumers buy directly from online retailers. Direct selling is used by both small businesses and large retailers alike. For instance, Apple sells its in-house items directly from its online stores. Additionally, it can also be an online departmental store like Macy's or Target that sells products from a wide range of brands and manufacturers.

2.   E-commerce web design company developers find online intermediaries as a go-between

Online intermediaries are agencies that act like middlemen who don’t directly deal with the goods or services sold to users. Rather, they provide an online platform where sellers sell their products or services to consumers. In order to have a maximum conversion, they take the help of different business models like advertising, paid subscriptions, renting hosting space, voluntary donations, etc. to bring forth the best option in front of the user. And in return, they earn on a commission or percentage basis.

3.   Advertising-based model

Ask a Toronto web design agency how to ensure a new brand’s success and their answer will be the brand’s maximum outreach. So as to have higher sales, merchants take help of Ecommerce advertising who launch the brand by placing paid content or ads on online (website, search engine, social media network, podcast, newsletters) or offline (TV and radio commercials, billboards, etc.) property.

These paid ads allow a brand to reach people who may or may not have even heard of your products.

Another way is to host ads on your blog or website. The website has high-value blogs, articles. So When someone visits the website they can read the information for free but shall have to see online ads.

4.   Online Community-based model

Facebook is a community-based site that offers its services mostly free of charge to users like us. So how does Facebook earn? Facebook makes money from its real customers i.e. advertisers. Advertisers use Facebook to target ads to large and diverse users, based on their demographics and location. The same is the case with other online communities like Instagram, Pinterest and YouTube

5.   Fee-based model

Entertainment platforms like Netflix and Amazon prime use a fee-based model. These firms sell entertainment in return of subscription fees from users like us.

Conclusion

To sum up, whosoever plans to go online, will need some or the other assistance of an Mississauga digital marketing agency like Cube InfoTech. To make it easier for both parties it is crucial for a business to understand their target customer’s online behavior. Do they follow blogs, or do they like to be on social media? Are they comfortable buying from you or prefer to shop from an online departmental store? Doing this makes it easier for the E-commerce web design company to develop a best-fit online store for you.

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