Business Models, Marketing, and More

Ecommerce (or “electronic commerce”) describes the sale of goods and services online.

There are six major models for conducting ecommerce today:

• Business-to-consumer (B2C)
• Business-to-business (B2B)
• Business-to-government (B2G)
• Consumer-to-consumer (C2C)
• Consumer-to-business (C2B)
• Consumer-to-government (C2G)

Use this guide to learn about each model’s unique features, opportunities, and challenges. Plus, discover the best digital marketing tactics for all types of ecommerce businesses.

1. Business-to-Consumer (B2C)

The B2C ecommerce business model involves a business selling products directly to consumers.

B2C businesses can sell their own products—a practice known as direct-to-consumer (D2C)—or they can sell products from other brands.

Walmart, BestBuy, Amazon, and Alibaba are classic examples of B2C businesses. They resell other companies’ products via ecommerce websites.

H&M, Adidas, and HelloFresh are businesses using the B2C ecommerce model that also use the D2C model. They sell their own products to consumers.

Some B2C companies sell a mix of their own and other brands’ products. For example: online clothing retailer ASOS (UK).

It’s typical for B2C ecommerce companies to have:

• Short sales cycles (the time it takes to attract a prospect and have them complete a purchase)
• High transaction volume
• Low average transaction value

The B2C category makes use of a variety of revenue models, such as:

• Dropshipping: Sellers showcase other brands’ products in their...