The number of e-commerce stores has grown steadily over the last ten years.
An e-commerce store is a means of selling and buying goods or services over the Internet.
Payments and receipts are made by various electronic means.
There are many different types of e-commerce.
They can be divided into three categories:
- by product type,
- by platform type
- and by specificity.
E-commerce by product type
This category takes into account the purpose of the sale.
There are three types of e-commerce.
1- Physical product sales
A physical product means something you can hold in your hand.
In this category, there’s a very interesting option for opening a low-cost online store: dropshipping.
In this strategy, the e-commerce owner acts only as an intermediary between the supplier and the buyer.
2- Digital product sales
A digital product includes any type of file accessible via the Internet.
It can be a PDF file, an ebook, a sewing pattern or a photograph.
This non-physical product has the advantage of being able to be duplicated several times at no extra cost to the seller.
3- Sale of services
At this level, it’s not a question of selling equipment, but of providing a service to help people improve in a professional or personal area.
This includes a wide range of possibilities such as training, mentoring or consulting.
E-commerce by platform type
4- E-commerce site with open source CMS (WordPress, Prestashop)
An e-commerce site using an open source CMS such as WordPress or Prestashop gives the owner total control over the site, and a high degree of flexibility.
This solution is advantageous for site owners who wish to customize their site by adding specific functionalities.
5- E-commerce site hosted on a Saas platform (Shopify)
Saas, software as a service, is accessible via the Cloud.
The host providing this type of software gives the site owner access to a range of applications essential to the design and development of his e-commerce site.
This solution is perfectly suited to all types of e-commerce.
The Saas provider takes care of all updates automatically.
6- Social selling on social networks
These e-businesses use social networks to sell their products or services.
This type of sales network is generally a stepping stone before launching an online store.
In some cases, it’s a complementary store.
Social selling enables us to better identify customer expectations and develop the type of products that future customers want.
7- Marketplaces (Amazon, eBay, Leboncoin)
These marketplaces are very popular with all types of sellers, whether individuals, freelancers or professionals.
Marketplaces enable the sale of physical goods and services.
Compared with other e-commerce models, the merchant site often recovers a commission on all sales made on it.
Marketplaces include Amazon, ebay and Etsy.
The principle is to provide sales space for sellers, with all the functionalities available on the platform.
The marketplace enables sellers to reach a wide range of potential customers.
As for buyers, they have access to a wide range of products and services.
8- Mobile applications
The principle of e-commerce on a mobile application is to access the merchant’s site on a smartphone or tablet.
You’ll find e-commerce sites for all kinds of goods: clothes, cinema tickets, train reservations… This e-commerce method gives you the opportunity to buy in any circumstance.
LeBonCoin, Amazon and Cdiscount all use this type of e-commerce.
E-commerce by customer type
9- B2C (Business-to-Consumer)
B2C is e-commerce between companies and consumers, i.e. the general public.
This is the case when there is a transaction between an online clothing retailer and the individual who buys.
This is the most widely used sales model in the world of e-commerce.
In fact, virtual stores are becoming increasingly numerous on the web, selling all kinds of goods and services.
10 – B2B (Business-to-Business)
This form of e-commerce only concerns exchanges between companies, or between companies and professionals (craftsmen, liberal professions, etc.).
This is known as business-to-business e-commerce.
The merchandise sold (goods or services) is destined for processing, use of equipment or resale to private individuals.
11- C2C (Consumer-to-Consumer)
This type of e-commerce has become increasingly widespread in recent years, with the development of platforms such as Leboncoin and eBay.
Equipment and services are sold exclusively between private individuals.
No intermediaries are involved.
12- C2B (Consumer-to-Business)
This e-business connects individuals with businesses.
The difference is that it’s the individuals who serve the businesses.
Examples include crowdfunding projects.
In another example, a private individual can offer royalty-free photographs, media that companies can use for professional purposes to illustrate their websites or projects.
13- B2A (Business-to-Administration)
B2A includes all transactions between companies and public authorities. For example, public authorities can call on outside companies to supply hardware or IT services, process data, subcontract recruitment, etc… Companies generally appreciate B2A, which can sometimes lead to major contracts.
14- C2A (Consumer-to-Administration)
It’s the same principle as B2A, except that these transactions concern private individuals.
C2A was initially developed to facilitate administrative exchanges, such as tax declarations or online consultation of healthcare facilities.
Like B2A, C2A aims to improve administrative efficiency for taxpayers.
E-commerce by specificity
15- Ethical e-commerce
Ethics are playing an increasingly important role in e-commerce, and are an important factor for consumers.
To be considered ethical, e-commerce must implement a production chain that respects certain values.
Production methods must respect employees and the environment, with a view to eco-responsibility.
Consumers are becoming increasingly sensitive to this type of commerce, and are now looking to consume less but in a more qualitative way.
16- Made in France
More than half of consumers pay attention to the origin of products on sale.
In fact, it’s one of the most important criteria in their purchasing decisions.
Made in France has become a quality criterion for French and foreign buyers alike.
At the same time, French consumers are giving preference to products from their own country in the interests of eco-responsibility.
In so doing, they limit waste and pollution by cutting down on international transport.
17- Eco-responsible
An eco-responsible e-commerce site is one that is committed to respecting the environment.
To maintain this quality criterion, the business reduces its environmental impact (waste, energy, etc.) and respects social issues (equity, health, sustainable purchasing, etc.).
To conclude on the different types of e-commerce
Are you thinking of starting an e-commerce business?
Do you have questions about the type of e-commerce that’s right for you?
how to develop your site?
marketing strategies? As an e-commerce consultant for over 10 years, I’d be delighted to help you with your project.
Contact me to discuss!