By Zieliński Jerzy

E-commerce – what is it and for whom?

E-commerce, which is a word that is being pronounced in every possible way on the Internet, and it is definitely so popular for a reason. All data and
forecasts about e-commerce
indicate that e-commerce is the future, and the development of e-commerce is really dynamic. Why? Because it is in great demand both among customers who want to shop online and among entrepreneurs who see an opportunity for growth and profit here, even in times of galloping inflation and the announced crisis. Read about the most important issues related to e-commerce.

E-commerce, what is it?

The term comes from English and means electronic commerce. In a very abbreviated version, e-commerce is simply e-commerce, or more precisely: it includes all online transactions related to sales, a condition characteristic of this type of commerce is that transactions are made and carried out using the Internet. Therefore, you may encounter the interchangeable terms e-commerce, e-commerce, e-business, e-commerce, e-commerce, e-commerce.

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What does e-commerce include?

All activities concerning the conclusion of commercial transactions using the Internet:

  • purchase of a microwave oven with delivery to the store and payment in cash on delivery, is also a form of e-commerce
  • webshops
  • classifieds services
  • auction and tender portals

This includes not only desktop devices, but also (and perhaps especially) mobile transactions in e-commerce. The so-called. m-commerce is playing an increasingly important role, as the number of smartphone shoppers is only growing each year. So if you want to do e-commerce, the e-store should necessarily be adapted to mobile devices.

Types of e-commerce activities

Online commerce is very diverse, so you can distinguish numerous types of classification of e-commerce entities, they tell you quite a lot about how to find yourself in e-commerce – where to start, who to target, what scale to operate on. Development in e-commerce is possible on a very large scale, you can start with a small store and over time even implement sales in several countries. What is needed here, however, is consistency and the ability to stand out from the competition.

Division by nature of activity:

  • Pure click – the company operates solely on the basis of online trading.
  • Click to brick – the company started with online sales, and over time also developed stationary sales of services or goods.
  • bricks and clicks, a company with a stationary business, has expanded into e-commerce.

Breakdown by entities involved in the transaction:

  • B2B (business to business) – transactions take place between companies, i.e. registered business entities, usually through a special sales platform, available to the parties to the transaction after logging in. Below is an example of B2B sales platform signage on a tire trading company’s website.
  • B2C (business to customer) – e-commerce refers to the sale by a company and the purchase of its products and services by an individual customer. Most often through an online store, although not always and not necessarily.
  • C2C (customer to customer) – transactions take place between individuals, in this relationship one person becomes the seller and the other is the buyer. Most often, this type of e-commerce takes place through classifieds sites and auction portals.

Division by object of trade:

  • Trading in physical goods – everything from groceries to clothing and medicines to cars and houses can be bought online, as the e-commerce industry is very broad.
  • Trading in digital goods – that is, everything we use in electronic form, such as games, e-books, computer programs, applications.
  • Trade in services – the ability to order any service over the Internet.

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Benefits of e-commerce

Low start-up costs – you can get into e-commerce without having a huge financial and business background. This is a cheaper solution than starting a stationary business, because you can already sell using, for example, a Facebook account, which you set up on your own and for free. In contrast, dropshipping, for example, allows you to make money from e-commerce without even having your own warehouse with products.

No restrictions – with online sales you can reach a wide audience, offer your products and services to people from the other end of Poland or anywhere in the world.

E-commerce doesn’t sleep, so online sales take place regardless of the time of day or night, weekday or weekend, and even on holidays. For business owners, this is a very good environment for maximizing profits.

Measurability and great control over sales processes. Thanks to the analytical tools made available on the Web and reports whether from the store or from e-commerce sales platforms, it is easy to control the performance of the business, measure interest in given products or services, but also the effectiveness and competitiveness of one’s own offer.

Invaluable customer knowledge. E-commerce allows for very precise tracking of customer behavior. As an entrepreneur, you will gain knowledge of exactly how customers got to the website, for example, how long they stayed there, what exactly they were interested in, or when they abandoned the shopping cart. What’s more, you will find out what city they are from, their gender and age, and their shopping habits. Operating with the help of the Internet, you can shape your offer according to the tastes of customers to take advantage of real demand and respond to it with promotional actions or an effective advertising campaign.

Numerous advertising opportunities – promotion on the Internet is possible in so many ways that you are sure to find the most appropriate one for your business.
Google Ads campaigns
,
positioning
or social media activity are just some of the options that can be managed very expediently. Moreover, advertising on the Internet is one of the most effective and cost-effective. You can start advertising your business and trading, for example, as soon as you launch your online store.

Disadvantages of e-commerce

The benefits of e-commerce are undeniable, but it is fair to note its certain limitations as well:

  • Not every product can be shipped (for example, due to dimensions or expiration date),
  • Returns and complaints are sometimes problematic,
  • transportation and shipping costs for products are increasing,
  • very high competition – the development of e-commerce requires commitment, investment and the ability to stand out from the rest of the e-commercials.

Summary

E-commerce about an industry that is constantly growing and provides unlimited opportunities to make money online. Its other big advantage is that to get started in e-commerce you don’t need to have a huge amount of knowledge or experience at all. You can always use support – I have specialized in e-commerce for years, so you can count on my services at every stage of your business.

About the author
Digital marketing multitasker. Eight years of experience. I combine Google Ads, SEO, content marketing, video marketing and influencer collaboration.

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I have been active in Google Ads, SEO and e-commerce for almost 10 years. Now I share my knowledge and experience on the blog, on social media and in courses, audits and training sessions.

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