Understanding eCommerce and the way eCommerce websites work

Understanding eCommerce and the way eCommerce websites work
Understanding eCommerce and the way eCommerce websites work

Indeed the world is fast and is moving even faster. Life, as we knew it in our childhood, is now a memory, but some elements from it have managed to survive (and even thrive). Remember when websites began booming during the late 90s dot-com boom?

That is when they began getting popular. This is what made Amazon.com the talk of the town.

The world of mobile apps hasn’t made us forget what websites are.

In fact, most of us are familiar with online stores but at times, forget that the real term describing the online store and shopping phenomena is eCommerce.

A fascinating thing worth understanding is during last year’s COVID-19 pandemic, eCommerce websites experienced a boom due to lockdowns imposed by various state authorities around the globe.

This boom brought in a lot of questions, and among them was ‘what is an eCommerce business?’, ‘How would a person know which kind of eCommerce market their business belongs to?’ along with ‘How does eCommerce work?’ and ‘In what ways can businesses get the benefit from eCommerce?’

In this post, we will take a dive into the sea of eCommerce and see what it is, what can be understood about it and how people can work their way around this emerging prominent industry.

Ecommerce defined

eCommerce is nothing new, it has been around for quite some time. The COVID-19 pandemic and its induced lockdowns made it more popular than ever.

Team leads, senior developers and content marketing leads from a well-known web development company Dubai explain that eCommerce businesses comprise the process of buying or selling goods or services online.

Also, when the pandemic forced a lot of people to work from their homes, almost all purchases for their households were made from the convenience of both their computers and other devices.

Types of business models in eCommerce

In all honesty, a plethora of different kinds and models exist in the universe of eCommerce.

What organizations usually focus on is the difference between who the company is offering its goods and services to.

Business to Consumer eCommerce (B2C)

This one is the most common model of eCommerce present.

B2C (business to consumer) eCommerce firms work on selling goods and services to the audience they have targeted, regardless of whether it is food, apparel, footwear, healthcare services, medicines or streaming services.

B2C eCommerce simplifies the shopping experience for anyone who might need to complete a specific purchase:

Business to Business eCommerce (B2B)

When a business offers products and services, but only to organizations and other companies categorized

as businesses, this is considered as the business-to-business model of eCommerce (B2B).

Among the things sold are office supplies, clinical supplies, training, coaching or consultancy services.

B2B eCommerce model stores provide other companies with an easy go-to model in the online world.

Marketplace eCommerce

The marketplace model of eCommerce focuses on making the process of online shopping simple. It helps allow small businesses to sell their products and services on complete online websites.

Among these marketplaces are eBay and Amazon, which work on a commission basis by including a wide array of products and services, all under one roof.

In what ways do eCommerce businesses work?

eCommerce businesses follow a series of steps to make sure their online presence benefits everyone, ranging from companies to their customers and consumers alike. Here is how they work:

● When a customer visit the eCommerce site and go through it, they can find the product they wish to buy.

Consequently, a merchant software checks upon the said product’s availability.

The benefits of eCommerce

With numerous benefits present regarding eCommerce, it is now time to read about the most important ones:

● Global Reach: No matter where a person is, they can sell.

eCommerce has helped small businesses expand their reach to a more worldwide scale,

expanding their loyal audience and amplifying their profits.

● It works round the clock with a robust online presence:

Regardless of the time, an online store is always open.

Moreover, with the COVID-19 pandemic wreaking havoc last year,

eCommerce businesses have stood strong, thereby automating purchases and becoming more profitable than ever.

● Reduced costs: With most purchases automated to a large extent, there will be fewer expenses on hiring talent.

eCommerce has helped many firms save a considerable amount of money and helped them obtain an edge using the most advanced technological tools.

● Data is preserve: When customers visit an online store and make a purchase; the online store gets all the data customers to provide.

They can even ask them for consent in terms of promotional emails and promoting

new products to ensure the company’s growth is on the right trajectory.


Reading about eCommerce may have been like a refresher, but it is always good to read about certain things again.

Given the fact of how simple it has become and how advanced tools are helping online stores grow,

we may see eCommerce maintaining a solid position over time, even with the planned introduction of web 3.0.