Ecommerce Statistics That Show How You Can Succeed Online
Ecommerce refers to electronic commerce that takes place over the Internet or using electronic systems. This electronic system includes the Internet, email, and chat systems. With ecommerce, goods and services are bought and sold over the Internet without physical interactions with the products. In fact, a large number of transactions take place in ecommerce, making it one of the fastest-growing business concepts on the internet. This fast-growing industry is an offshoot of the growing popularity of online shopping.
A wide range of industries are involved in ecommerce from selling consumer goods such as shoes, clothes, books, and other items to selling professional services such as accounting and management information systems to selling automobiles, jets, yachts, and luxury items. Ecommerce websites usually incorporate a payment gateway, which allows business selling goods and services online to receive payments. Payment gateways act as a sort of go-between for the seller and buyers by providing online payment processing services. Some popular payment gateways include PayPal, Google Checkout, and WorldPay. These businesses use their own online payment processing system, which is generally faster and more convenient than ecommerce websites using third-party payment gateways.
The ecommerce industry enjoys great potential with an estimated five percent growth expected in 2021. There is a high demand for selling products and services online, but barriers to entry for sellers are relatively low compared to traditional markets, such as retailing. Another advantage of the ecommerce market is that there are no trade charges levied on buyers, so ecommerce sellers can maximize their profit without having to incur additional expenses. Another reason why sellers prefer ecommerce over traditional markets is that there are no or very low operational costs, because sellers do not need to maintain a staff of sales, shipping, and delivery personnel, nor do they have to pay income taxes.
Ecommerce has created new opportunities for those who want to start their own online business, as well as established online businesses who are expanding their business. Ecommerce businesses range from selling simple goods like books, CDs, and DVDs, to buying and selling big ticket items such as cars, houses, and properties, or leasing office space. There are three main types of ecommerce businesses – online direct marketing, affiliate marketing, and multi-level marketing. All three types have several advantages that are attractive to potential ecommerce entrepreneurs. Let’s discuss each of these three main methods and look at how they relate to ecommerce.
Online direct marketing is a method by which sellers make contact with potential buyers directly, without having to wait for the delivery of physical goods. This type of ecommerce statistics represents one of the fastest growing segments of the ecommerce market, because it allows sellers to reach out to buyers directly, with the opportunity to present their goods and services before the buyer has even viewed their item. Affiliate marketing is a revenue sharing method used by merchants to promote the sale of their products and services through the mutual arrangement between affiliate marketers and merchants.
Multi-level marketing (MLM) is a lucrative way to build a home business online. Success stories in this industry often reflect the strategies and tactics used by successful MLM leaders. MLM success stories are easy to come by, because so many people are interested in making money from multilevel marketing. In order to build a large downline in an MLM business, all MLM marketers must learn from the successes and failures of others. Fortunately, ecommerce examples abound that can provide valuable insight into the best practices for building a profitable online home business.