There are four types of e-commerce: business-to-consumer (B2C), business-to-business (B2B), government-to-business (G2B), and consumer-to-business (C2B) (C2B). Each type of e-commerce is used for a different thing and has its own set of pros and cons. For example, B2C is all about getting rid of the need for physical stores, while C2B is all about giving consumers more power.
E-commerce between businesses and customers is becoming an increasingly popular way to buy things online. It's easy to use, it delivers 24/7, it's easy to return items, and it's easy to move between product categories. Because of this, more and more people are using B2C e-commerce, especially in the electronics and travel and tourism industries.
B2C e-commerce is different from B2B e-commerce because customers often care about price. Most of the time, they buy just one thing instead of a lot of things at once. Most prices for B2C items are set and don't change based on what customers have bought before. Also, special offers usually apply to all buyers in the same way. Business-to-business (B2B) e-commerce sites typically sell in bulk. For example, a restaurant owner could order 3,000 takeout containers for their restaurant. B2C customers, on the other hand, buy fewer things, like one takeout container.
The UK has the most developed business-to-consumer (B2C) e-commerce market in Europe. In 2013, it sold 693 billion GBP online, which was 9% more than the year before. Making things and selling them are the two most prominent businesses. In 2020, B2C e-commerce was expected to make up 5.19 per cent of the GDP of Western Europe.
Businesses sell their goods and services directly to consumers through B2C e-commerce. Some of these companies sell physical goods, like books or magazines, online. This lets people buy things and services they would never have thought to buy before.
B2B e-commerce is a way for businesses to buy and sell goods and services to other companies. It lets buyers and sellers get to know each other and build trust. This kind of business e-commerce also helps businesses manage large groups of customers and makes it easier for companies to grow. Some B2B e-commerce solutions even offer auctions.
Because the world's population is growing, the business-to-business e-commerce market is likely to succeed. Most of the change comes from the Asia-Pacific region, which is expected to have 60% of the global B2B e-commerce market by 2020. In the last few years, a lot of business-to-business (B2B) traders in Asia and the Pacific have been growing their online operations. This has given B2B e-commerce new business opportunities.
In a typical B2B e-commerce transaction, one business buys something from another firm. Often, three or more companies work together on marketing. One of the businesses selling the product is the manufacturer, and the other is the seller. Businesses buy goods for a number of different reasons. Some of them are happier customers, more people shopping online, and lower costs. Also, B2B e-commerce platforms should let buyers enter their tax ID numbers and mark items as tax-free.
The business-to-business e-commerce market is split into different segments based on how they are used. Health care, home and kitchen, industrial and science, clothing, sportswear, books and stationery, and personal care are the main application segments.
G2B e-commerce is a type of e-business in which a government agency shares information with private businesses over the internet. This process can be done through web services, government portals, and applications. These apps make it easier for companies to do their jobs by giving them the information they need. These services can be used for many different things, like keeping track of personal data or sending official documents.
On the other hand, consumer-to-business (C2B) e-commerce is based on a relationship between the customer and the business. This kind of online shopping is often used by consumers to buy a wide range of goods. These deals are made through online websites, which people can use to look around and read reviews about products they might want to buy. Amazon.com, Flipkart, Jabong, and Netflix from home are all well-known examples. E-commerce can also go from the government to a business (G2B) or from a person to the government (C2B).
Businesses that sell to government agencies should remember that government contracts are not negotiated like other business contracts. Government contracts are governed by the Federal Acquisition Regulation, while B2B contracts are negotiated directly between the parties (FAR). Because of this, businesses that sell to the government should learn about contract processes and change them as needed. Also, the government can hire contract agents to negotiate on its behalf. These agents must follow different rules.
E-commerce between the government and businesses can be a big help to any business. G2B e-commerce can help you find customers for your products or services, whether your company specializes in a niche or in one industry.