What is Electronic Commerce And its Types? Its Most Important Features

 What is Electronic Commerce And its Types? Its Most Important Features

What is Electronic Commerce And its Types? Its Most Important Features

A detailed explanation of what is e commerce and types and its history

What is electronic commerce and its types? It is a commercial process that aims to buy or sell products and services over the Internet. Learn with us about its types, history and many advantages.

What is electronic commerce and its types? Many may wonder about this question. In fact, e-commerce is the process of trading, i.e. buying and selling services and goods through the Internet. These operations are done through computers and other communication points such as smart watches, smart phones, and digital assistants such as Echo devices, and we find it thriving in the sector of transactions between companies and users. As well as the sector of transactions between companies and some, that is, this trade enables companies to sell their services to consumers at any time and anywhere through digital devices.

What is e-commerce?

When talking about what is e-commerce and its types? We see that electronic commerce or e-commerce is an abbreviation for (electronic commerce), which means trade that takes place via the Internet, and this type of business has gained support and strength in recent years due to users realizing that the Internet is a safe buying environment.

You can say that e-commerce is an online store and the opposite is not true, that is, online stores are not all considered electronic commerce, and e-commerce has models other than stores, for example marketplace, and in other words, it is clearer that the online store is electronic commerce if the sale of products It is for the same company.

History of e-commerce

Looking at the history of what is electronic commerce? We find that this trade and its beginning were found to have started on August 11 in the year 1994 AD, when one of them sold a CD of Sting to one of his friends, and this was done through his website, NetMarket, which is considered one of the American retail sites, and this process is considered the first E-commerce operations, after which commerce began to develop, until companies became able to display and sell their products and services on a large scale that they had not previously been able to reach.

 Types of e-commerce

If you want to start working with online sales, you must first know what electronic commerce is and its types? And that there are several business models if you choose to display your products in the market or even choose e-commerce, and the following are the most important types:

*. B2B style meaning (Business to Business)

You can apply this concept to institutions that work on setting up e-commerce activities in order to sell products to other companies, and this pattern is usually used in selling raw materials, for example, a car parts store.

*. B2C style meaning (Business to Customer)

B2C is the model followed by those organizations that sell to the end consumer, this is the majority of e-commerce and an example of B2C e-commerce is e-commerce for nike.

*. C2B style (Customer to Business)

This pattern is only a reflection of the traditional business model, that is, the consumer can place his services at the disposal of companies, and the best example of this is the platform of free translators, which is based on this type of relationship, such as Workana.

*. C2C style (Customer to Customer)

In conclusion, talking about what is electronic commerce and its types? We have the concept of C2C and it deals with a model of the relationships that exist between consumers, and that is common in the marketplace, discussion forums and the OLX website or the open market which is a site created especially for people so that they can sell their used goods.

The value of e-commerce for business

Sales growth rates for e-commerce are expected to be staggering by 265%, and in 2017, retail e-commerce sales worldwide reached approximately $2.3 trillion, and in 2021, that is, after only four years – revenues were expected to reach about $4.88 trillion.

This tremendous growth has made what electronic commerce and its types an essential and valuable tool as well, and increasingly enables institutions to do the following things:

*. distinguish it from its competitors.
*. To reach more customers in more areas all over the world.
*. Reducing costs through direct sales to customers, thus maintaining the lowest number of regular stores.
*. It enables consumers to buy anywhere, anytime, using their digital devices – and that ability is essential to other digital natives and millennials.
*. Access to valuable customer data by means of scales through the Internet.
*. The ability to scale cheaply and quickly.

Advantages of e-commerce

What is electronic commerce, its types and advantages? Many do not know the answer, so e-commerce is distinguished by a lot, and it is basically dependent on the strength and effectiveness of modern technology and the Internet. When we talk about the advantages of e-commerce, we will address these advantages by comparing them to traditional trade. Among the advantages of e-commerce:


Where traditional trade on the ground is limited by many material factors, for example the limited supply to the buyer and working hours, etc., but e-commerce continues 24 hours a day, 365 days a year, and through it the sale process can be completed under any circumstances.

When you know what is electronic commerce and its types? We see that it allows the customer to browse a large number of alternatives in record time, and also he can buy any quantity, regardless of its number or size. In other words, simplified e-commerce is a genius model that is devoid of the barriers of space and time, as it provides unlimited selling opportunities.

Low cost

Certainly, cost is a very important element for any business to succeed, and the provision and facilities offered by e-commerce in many aspects gives you amazing opportunities to reduce costs. One of the clearest examples of cost reduction is the transfer of goods directly from the store to the consumer, without the need for a sales outlet.

It has become easy to know what is electronic commerce and its types? And its most important advantages, the advantages that contribute to reducing the cost do not end at this point, but there are more such as reducing the percentage of employment, as well as reducing the percentage of perishable goods, due to the presence of a smart storage system that is directly related to demand through an immediate update.

Technology provides precision and order

The fact that e-commerce is based on a smart technological system, it helps save a lot of effort and time, and it also allows accuracy to a high degree. For example, the intelligent link between the inventory management system and the website reduces incidents of damage to goods as a result of increased storage period, and also ensures the availability of sufficient stock for the expected level of purchase demand.

Let’s imagine together that there are two stores that specialize in selling gifts, one of which is traditional, in other words, on the ground, and the other is an online store, and now it is Valentine’s Day or Valentine’s Day, and both stores must prepare for that occasion that will greatly raise the level of sales rates; The traditional store on the ground will certainly need several days to understand what is electronic commerce and its types? And it may take up to weeks for him to get ready to organize the setup of the store, to become an attraction for lovers and lovers.

But the online store can, by issuing a number of code orders, become fully prepared, and this may be done in one day, and those orders, for example, apply a 10% discount on gifts with a red heart icon placed on them.

In conclusion, talking about what is electronic commerce and its types? We have developed a comprehensive guide for every Arab youth to understand e-commerce, and how to benefit from it and start with it, while following innovative and easy methods, and there is no need for many resources and costs, so that it saves you a lot of costs, reduces employment rates, and also reduces the rates of worn-out goods, as it protects you from exposure to theft. or fraud