What is eCommerce and How Does it Work?

E-commerce, also known as electronic commerce or internet commerce, is the profession of buying and selling products and services online. (aka Online Shopping.)

Customers use electronic payments to make purchases from the website or online store. Then the merchant sends the products after receiving the payment.

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How does eCommerce work?

The same standards that govern physical stores apply to an eCommerce store. Customers enter your online store, look through the merchandise, and then purchase. The critical distinction is that they don’t need to leave their sofa, and your consumer base is not constrained to a particular area or region.

When running an e-commerce website, you go through the same process whether you’re selling home decor or running shoes:

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What features should an e-commerce site have?

You need to have a thorough list of the goods and services you offer on your website or marketplace page if you want to succeed at internet commerce. The online store should be simple to use, friendly to users, and visually appealing. Additionally, it must be accessible on mobile devices.

The functionality of e-commerce also includes the checkout process. It is the procedure a consumer must follow to purchase your goods or service. You risk losing the sale if your payment processing service is slow, complicated, or involves too many stages. Website visitors abandoning shopping carts is more apparent than ever before.

Mobile Shopping

Mobile commerce sales channels are booming so it is vital for online retailers to make sure their online stores are mobile-friendly.

Everyone has access to their mobile device and social media on it. Being able to click through to your online retail store from Facebook or Instagram will increase your online sales. And may even get you more customers for your brick-and-mortar businesses.

If you’re not using this selling online method, you are missing out on potential revenue.

What Are The Benefits Of E-Commerce?

Sell Online with a visually stunning eCommerce Website

Every online business owner knows website design is the most important factor in choosing an eCommerce platform. A great design is what sets the first impression, draws your customers in, and tells the story of your brand.

People who shop online want to see thought-out eCommerce web design. Having a visually appealing online store is proven to boost retail eCommerce sales. It makes you trustworthy to customers, and gains you returning customer retail sales. You’ll find that online purchases will be more frequent. Simply because your eCommerce website is eye-catching and easy to use.

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Brick and Mortar Stores vs An Online Store

As technology continues to improve, you’ll find more ways to streamline your business processes — saving you time and money. With a physical store, there can be limitations to what technology can do regarding promotion and getting traffic to your physical storefront.

With eCommerce, you’ll find a range of apps and integrations that help you market your products, improve team collaboration, and provide faster customer service for your customers.

Transform an existing website or blog into an online store

It is very simple to add an online store to your blog or pre-existing website. We can also discuss marketing campaigns. Contact us today to get started!

Types of eCommerce business models

Depending on what is being sold and to whom, there are numerous distinct eCommerce business models. These are the three most typical kinds of eCommerce businesses online:

Business to consumer

In this industry, goods and services are sold directly to customers. The most typical sort of internet business is B2C eCommerce, which sells a wide range of goods from entertainment to apparel. B2C eCommerce sites like Amazon, Netflix, and Overstock are examples. Most well-known retailers run this kind of online store, such as Nike.


B2B eCommerce is the practice of a company selling goods or services to other businesses online. These companies might market products including furniture, office supplies, and equipment. Additionally, they offer online business solutions like software for document signing and other cloud-based services.

E-commerce marketplaces

Online Marketplaces were introduced by eBay but surpassed by Amazon, are platforms where independent vendors can offer their goods or services to customers. Additional examples of online markets are Walmart and Etsy. You can list your products on these platforms and gain access to their consumer bases in exchange for a cut of your sales. For a cost, a lot of online markets will manage your logistics, social media marketing, and payment processing.

Customer to Customer

These C2C eCommerce platforms are like auction-style listings. (e.g eBay). Or may warrant further discussion regarding the item or service being provided (e.g. Gumtree).

Should I use a marketplace or a website for my e-commerce store?

You can either create your own website or sign up with an online marketplace like Amazon or Etsy to start your own online store. The best option will depend on which makes the most sense for your particular firm, with a key determinant being whether it is already established or just getting started.

The ideal time to start opening your own store is if you already have a brick-and-mortar location. Selling things on Amazon and other marketplaces is an excellent starting point for people who aren’t ready to open their own online business. Simply put, it depends on your objectives and what you want to accomplish.

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A business transaction conducted online is the traditional definition of e-commerce. E-commerce websites include online stores like Amazon, Flipkart, Shopify, and eBay.

Younger people use online shopping more. The elderly prefer a physical store and would rather not pay online for products.