what is e commerce

Today we will talk about what is e commerce the history of e commerce, types of e commerce, advantages and disadvantages of e commerce, and what is needed to create an ecommerce website. So let's get started.

Around crores of people around the world these days are investing their money in buying goods online. In today's time, you will get to see many e commerce site in the form of apps on any person's tablet, smartphone, and laptop.

e commerce sites are present under many different names, like Flipkart, Amazon, Snapdeal, Myntra, etc. We all know that there are many e commerce sites on the internet from which we can get our favourite things at a good price. But actually, what is e commerce?

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what is e commerce

E-commerce sites are a medium through which today lakhs of people are buying their essential goods sitting at home at good prices without any hassle and safely. The real meaning of e-commerce is the buying and selling of goods or items through the Internet.

E-commerce is also called online business. E-commerce is made up of two words: E, i.e., electronics, and commerce, i.e., business. When you do any business over the Internet, it is called e-commerce. e commerce is also called electronic commerce.

E-commerce is a medium through which we are able to sell and buy our products and services anytime and anywhere using the internet. If we buy goods or any service from offline shops, then we need to visit the shop, but in e-commerce, we can buy products sitting at home through the internet.

In this, we cannot physically see the product we are going to buy; in this, we see the graphics of online products through the internet, and on the basis of reviews and images, we decide to buy any type of product.

history of e commerce

In 1960–1970, traders used to transact their data through EDI, i.e., Electronic Data Interchange. Then e-commerce started on a small scale, after which credit cards and ATM cards started coming in 1980, as did aeroplanes through the electronic ticket booking process.

After which WWW, i.e., the World Wide Web, was started in 1989–1990, after which Amazon was started in 1994, which is considered to be the biggest platform of e-commerce till date, and after which eBay started in 1995, they came Since then, e-commerce has started reaching a big level, and in today's time, Amazon is one of the biggest e-commerce sites to have been created.

types of e commerce

If seen, there are many types of e-commerce; there are different types according to different businesses. But there are mainly four types of e-commerce, which are given below:

1. Business to Consumer

When any kind of product or service is sold by a business to the direct consumer online, we call it business to consumer, i.e., B2C e-commerce, in which the product or service is delivered directly to the consumer online by the brand.

Example: Like buying clothes, mobiles, laptops, etc. through any online store.

2. Business to business

When any type of good or service is sold online from one merchant to another, it is called business to business, i.e., B2B e-commerce, in which a brand sells its product or service online to another brand.

Example: Brands with photos and images sell their images online via their website to such brands that need those photographs commercially.

3. Consumer to Consumer

When a consumer sells his product to another consumer online, this type of buying and selling is called consumer to consumer, i.e., C2C e-commerce.

Example: A person sells his old goods or property to another person using the internet.

4. consumer to business

When a consumer sells any of his products or services to a business organisation online, such a transaction is called consumer to business, i.e., C2B e-commerce.

Example: A video editor sells the videos recorded by him to brands with Video and Photos Stocks through his website, and later, when a video editor needs a particular piece of footage, Then he buys footage from video and photo stock websites.

E-commerce is also such a business through which you can earn a lot of money. Its popularity is growing day by day in the Internet world. Creating an e-commerce website is not easy, and it is not in everyone's capacity. To make it, it is very important to have complete knowledge about it.

What are the things required to make an e-commerce website?

In this article, we will learn what we need to create an ecommerce website.

1. Money

To start any type of business, we are in dire need of money. In the same way, before starting the business of e-commerce, you must have a lot of money because no business can be started without investing money. To start an online business, you will need money to make a website.

The products that you will have in your e-commerce store will also cost money. There are numerous things in which you may have to invest money. That's why the most important thing when starting a business is money. If you have enough money with which to open your own e commerce site, then only invest money in it; otherwise, do not.

2. Planning

Starting your own business also requires a lot of planning. Without planning in business, you will not understand what to do next, you will not be able to concentrate, and later you may face many problems.

3. Domain name

To start an e-commerce site on the internet, you want a domain name like www.flipkart.com. It acts as an address in the online world through which buyers can find your website.

The domain name of the majority of online businesses ends in.com or.net. Your domain name should have the same name as the one you want to use for your e-commerce site.

4. Web hosting

You need a web hosting service for your website so that people can view it on the Internet.

The only function of this service is that it stores your website's data and files on a separate computer.

And when a person writes the domain name of your website in his web browser using the internet, this web hosting company will send all the files and data of your website to his browser, so that person can access your website easily.

5. Website

The most important thing for your business is your internet site. If you have complete knowledge of how to make a website, then you can make it easily, and if you do not have any knowledge, then you can make your website by paying money to a web designer. You also need to think about how your website should look.

And the specialty of what your website is made for should always be shown; if you are making an e commerce site, then all the products that you want to sell should be visible on it.

The design of your website should be so nice that people are attracted to it. This will give you happiness, and you will also get a lot of profit.

6. Shopping Cart Software

The main purpose of your e-commerce site is to sell products to your customers, and to sell products to your customers, you will need shopping cart software.

This software gives your buyer the opportunity to see the goods presented on your website and choose and buy the ones he likes.

Shopping cart software allows your customers to securely purchase their favourite items using their credit cards. This service protects your credit card details and your order data from the eyes of other people.

7. Merchant Service Provider

An online business can never accept cash payments through its website; it needs a merchant service provider whose job it is to handle things related to credit and debit cards.

This service maintains a connection among the business, the customer, and the credit card company. It processes payments from customers, takes money from their credit card, and sends it to the merchant's account.

After the merchant service provider receives the money, he deducts the money from his commission and sends the rest of the money to the website owner's account. The merchant service provider plays an important role for the e-commerce website, without which the merchant has no other way to collect money from his customers.

Creating an ecommerce website is not a difficult task; if you have complete information related to it and all the things mentioned above, you can easily create your website and earn well.

advantages of e commerce

e commerce is completely based on the internet and electronic commerce, due to which it has many advantages, which are as follows:

Through e-commerce, we can sell our product or service not only in a specific area but also in every area.
In e-commerce, customers are not from any specific area; people from every area are customers to whom we can sell our goods.
In e-commerce, we can buy any item 24 hours a day, 7 days a week, at any time.
In e-commerce, before buying a product, we can see the reviews and comments of other people who have bought that product, so that we can get to know about the quality of the product.
In e-commerce, we can buy the goods we need while sitting at home; we do not need to go anywhere.

disadvantages of e commerce

e commerce has many advantages, but it also has some disadvantages, which are given below:

While buying anything through e-commerce, we have to take great care of our security and cyber security because illegal activities like online fraud and hacking are frequent.
To buy anything with the help of e-commerce, it is very important to have mobile and internet knowledge.
When we buy any goods with the help of e-commerce, it takes 1 to 2 days to reach us, and if the delivery location is a village, then it may take a week.
The new e-commerce website cannot be trusted easily, as it can also be a type of fraud.
To buy anything from an e-commerce website, we need high-speed internet. If we do not have the internet, we cannot buy anything from an e-commerce website.

conclusion

By the way, if we see that e-commerce is slowly moving forward, in the coming time we are going to see many more big forms of it, which is why we will always need to keep learning something new about it. Now that we have shared all the information related to e-commerce with you, I hope you know what is e commerce. You have gained some knowledge from this article, due to which information related to this article can help you in the future.

Thanks for reading.

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