TYPES OF E-COMMERCE

Types of E-commerce

E-commerce has moved from just a customer and seller transaction. It now involves other personels and adminstration. Which brings us to the various type of e-commerce we have.

-B2C(business to customer): this is buying and selling of goods, products and services between a business and a customer. Some refer to this as online retail or e-retail. Here the owners of the products sell directly to the end-user which is the consumer.

-B2B(Business to Business): this is the buying and selling of goods, product and service between two companies. Where a company manufactures products (often raw-material) and sells to another company, who tends to re-assemble or turn it into finished goods for sale. Examples are wholesaler and Retailers, Producers and sellers etc

-C2B(Customer to Business): this business model entails a customer selling his service or product to a business. The product or service rendered by the customer to the business firm allows the business to gain more advantage over its competitor or one that increases the brand visibility to targeted prospects. It also creates an avenue for the customer to sell themselves by asking for pricing schedules or employment demands.

Some examples of C2C relationship are:

- A Food blogger that writes and promote a business food on her website for a pay

- An influencer with a large follower on her page, making reviews, videos, social media post about a company/ product for a pay.

- Freelance Writer: an example is a copywriter that writes to sell companys’ to the public.

- Professional wildlife photographer selling his pictures to an upcoming photographic industry.

-B2G( Business to Government): a buying and selling of goods, products and services that takes place between a business and government agencies (at the federal, state and local level). It involves the agency of the government rolling out request for proposal (RFP), to businesses. the businesses then apply by submitting their proposals back to the government and defending the proposal, telling the government how they can meet the criteria given to them for the project. If the government is satisfied by the proposal, the proposal is granted and funds are given to the company to begin work.( from this same fund is where the company get their profit). The simplest B2G can be seen as the cleaning contract to a company to clean a public sector, building project, building of machines, helicopters, jets, surveillance crafts etc.

-C2C(customer to customer): this a type of e-commerce where individuals (fellow customers) come to buy and sell to each on an e-commerce platform. It works this way, a customer (seller) finds an e-commerce platform, list her product there for sales, another customer (buyer) sees the product and makes payment for the product which is delivered to the buyer based on the agreed terms and conditions. The e-commerce platform does not lay claims to the products the customer wishes to sell to each other, they only generate their profits from the transaction fee between the buyer and seller on the website. Examples is selling your old AC to another person online

-C2G(customer to Government): some also refer C2G as C2A( customer to Administration) this type of e-commerce, whichever way, C2G e-commerce occurs when customers transact business with the governments through payment of taxes and securing lincense for properties bought.

-G2C( Government to customer): some schools of thought also refer to G2C as A2C( Administration to Customer) type of e-commerce. G2C is the government selling directly to costumers, it could be sales of machinery, vehicles, auctioning, or other materials. Government also have sites that offer service to the public such as registration for birth, marriages or death certificate. Governments also provide important documents for travel at a subsidized rate to her people.

Now we have explore all what e-commerce is about. Let’s disgress a bit into how it’s has impacted sectors of e-business

Impact on Marketers or Retailers

It’s is with no iota of doubt on how the growth of E-commerce has grown exponentially over the decades and still ongoing, generating capitals to Owners of e-commerce platform and also generating revenue to relevant sectors in the nation. The Traditional Market which we refer to as Brick and Mortar retailers are growing unexpectedly by a minute percentage as compared to the online Retailers. The internet has given a upper hand to the online retailer who can still receive lower prices for goods and still deliver with high efficiency which is not the case of brick and mortar retailers who even after charging for higher price fail to meet the expectation and needs of buyers. This Positioning has cause many large companies who run a brick and mortar retailers to start maintaining both on-line and physical storefront for proper Linking and connection with various customers.

Impact on Supply Chain Management

Supply chain revolves around the following chain of events such as procurement of raw materials, manufacturing of finished goods, warehousing, inventory management, last minute delivery, fulfillment and logistics service. Even while a good management of the supply chain has a lot of benefits to offer to a business. This has been hampered by some factors. The supply chain technology incorporation with e-commerce has helped to deliver these benefits. E-commerce has the capability of integrating all inter and intra company functions. i.e the three flows of supply chain can be affected by e-commerce which are

- physical flow: the movement of goods from a supplier to a customer.

- financial flow: this involves the movement of money from the customer to the supplier

- information flow: this involves the exchange of information between companies and customers. In as much customers like to ask questions or make complaint, so do companies also have questions regarding how they can sell efficiently and to increase productivity

- Product flow: the movement and storage of goods. i.e from the manufacturering/producing site to warehousing to a store and to a customer.

Impact on Employment

The impact of e-commerce on employment has two sides of a coin. It creates job opportunities due to the new information systems, the software apps used and digital products involved. While it also causes loss of jobs for those still in the traditional retailing and traders who travel to buy and sell. Jobs are lost for Brick and mortar retailers because more people are adopting the e-commerce mode of transacting business, and traders who traveling to stock up goods would run into loss. And also more job opportunities for people would have to upgrade their skills and become skilled in handling the technologies associated with the e-commerce platforms. One more thing is the aspect of Warehouse. This is a very important element of e-commerce, for products that are physically seen and touched. Staff would definitely be required to organize, supervise the condition and environment of the warehouse.

Impact on Customers

The impact of e-commerce on customers cant be overemphasize. It has cause a transition on how customers engage in transaction from the past decade till this very moment. e-commerce is like a super power in the hands of customers creating convinence of buying anything anytime and anywhere by just connecting to the internet. It also allow customers explore a whole lot of options at their disposal. Options like having a myriad choices of the same products to buy, comparing prices of the same products from different retailers, checking reviews and buyers experience with the products already bought.

Impact on Traditional Retail

From the time e-commerce began to be adopted by business which has greatly impacted the economy of the nation and also generating tons of capital to Owners of E-commerce platform. Even since then, the Traditional Retailers have been on the receiving side of low turnout rate of customers. A giant e-commerce platform known as Amazon has attracted more customers to its ends than any traditional retailer would imagine as thus many Big companies who are running Brick and Mortar retailing are forced to change their sale strategies, paying more attention to business promotion and digital marketing. Some companies start an ecommerce platform to complement the Brick and Mortar shops. Some entirely run online buying and selling. And for the small brick and mortar retailers who cant for a reason do e-commerce platforms, just have to find other means of increasing sales if they have to sell with tangible profit.

E-commerce during Covid-19

Covid-19 and the Lock-down experienced by various states and countries not only did bring about a turning point but also forced customer to adhere to the new wave of transaction which was on-line during those moments. Customer had no option than to buy online, causing an increased on the global retail website causing an unprecedented growth of e-commerce during the Lock-down.

Bottom line is the pressing issue bordering on e-commerce which is the aspect of network security and data Privacy. Any breach of the following leads to irreparable damage to the e-commerce Platform and the consumer. With all this said e-commerce has become is superpower for business outthere.