The first step in understanding how e-commerce works is to know its definition. This word of English origin is an abbreviation for e-commerce. It is, therefore, a type of commerce carried out through telephones, computers, totems or other devices. But not only that. There is a line that divides the evolution of e-commerce into two periods.
What I mean is that the history of e-commerce can be separated between before and after the internet. Before, it was performed offline, often via TVs, digital totems and telephone systems. Then it also became online, that is, made from the screens of smartphones, tablets, notebooks and PCs, for example, connected. But what about today, how does it work? Keep reading and stay in the loop!
- Access and also read the posts "Definition of e-commerce"and "50 years of e-commerce via the internet“. Discover, in this way, that there is also e-commerce outside the internet.
HOW DOES E-COMMERCE WORK TODAY?
Currently, e-commerce can be carried out from multiple devices, which are often integrated with software. In addition, in most cases, retailers and wholesalers in the sector employ not just one, but several electronic equipment in conjunction to achieve sales. Check it out below:
Sponsored ads combined with telephony:
In this business model, the merchant uses a platform like Google Ads , for example, to create sponsored links. These ads are displayed on the web along with a phone number. When a consumer sees the ad, they can call and make a purchase. This is, today, one of the simplest forms of e-commerce.
E-commerce sites for desktop and mobile technologies:
This e-commerce format encompasses the creation of a website, e-commerce blog, online store, multi-store , or marketplace. If desired, the entrepreneur can integrate all these technologies and create a much more robust business. Currently, however, the online store is the most advanced e-commerce tool ever invented.
Other systems that work on computers and mobiles:
In today's e-commerce landscape, it's also possible to use what's called a superapp . There are also platforms like Google My Business and WhatsApp Business . Furthermore, it's possible to sell via social media, classifieds websites like OLX and Mercado Livre. And finally, it's worth mentioning digital product and affiliate platforms like Hotmart and Eduzz, among others.
- Visit and also read our article “How to sell products on the internet”. So, stay on top of 10 ways to work in e-commerce.
SOFTWARE FOR E-COMMERCE
More than ever, e-commerce depends on software. And the most used systems have been the following:
- E-commerce platforms: make it possible to create and manage a virtual store, marketplace, etc.;
- Payments: provide multiple payment options to online consumers;
- Safety: encrypt data, prevent fraud and perform security audits;
- Logistics: software that organizes and integrates inventories and facilitates product deliveries;
- Management: systems that allow managing customer relationships, orders, inventories, etc.;
- Marketing: allow you to create and manage Digital Marketing campaigns;
- Analytics: make it possible to store and analyze SEO, paid media and usability data;
- Customer Service: webchats, voice chat and other systems for personal assistance;
- Business Intelligence: systems to collect and cross-reference e-commerce data;
- Omnichannel: connect e-commerce systems with physical stores and other sales channels.
These tools can be used in various types of e-commerce. Keep reading to learn more about this.
MAIN TYPES OF ELECTRONIC COMMERCE
The main types of e-commerce are:
- B2B: when a company sells to other companies;
- B2C: company sells to final consumers;
- B2E: company sells to its own employees;
- C2C: consumer sells to other consumers;
- B2G: company sells to government institutions.
As already mentioned, the best tool to operate in these types of e-commerce is the virtual store. Check out how to start developing yours.
HOW TO BUILD A VIRTUAL STORE
To set up a virtual store you will need to use an e-commerce platform. The best, nowadays, are those rented. You pay a commission per product sale or monthly fee to be able to use them.
Consider the size of your company. If you want to open an e-commerce business as a MEI (Individual Microentrepreneur) , for example, it's ideal to start with more popular platforms like Loja Integrada. But if you have a small, medium, or large company that invoices or intends to invoice approximately R$70 per month or more, then choose a more robust technology like VTEX.
Creating the store layout and design
If you lack the necessary skills to create the layout and design of your online store, hire an e-commerce agency like e-Plus. Furthermore, to speak with the e-Plus developers about this, simply click the button below from your smartphone:
E-COMMERCE SCENARIO IN BRAZIL
For more than a decade, e-commerce revenue in Brazil has only grown. Not even the economic crises of recent times were enough to bring this market down. Thus, year after year, more and more companies create virtual stores and start to occupy online spaces.
In addition to creating online stores, multi-stores, marketplaces, and other e-commerce websites, companies are also integrating all of this with physical stores and other sales channels. This process is known as omnichannel.
Furthermore, Brazilian retailers and wholesalers are investing heavily in digital transformation , which includes e-commerce technologies. In this way, all these merchants are preparing for the new consumers, those who were born and raised in digital environments.
The average e-commerce conversion rate in Brazil
Finally, it is worth mentioning that the Brazilian e-commerce sales conversion rate is around 1%. That is, for every 100 unique visitors to an online store sales page, only 1 purchase. In this scenario, Digital Marketing is essential to increase sales.
DIGITAL MARKETING FOR ELECTRONIC COMMERCE
Now that you know the basics of how e-commerce works, also learn how to promote yours in online media, which can be done through Digital Marketing.
Digital Marketing encompasses a set of tools and processes with which it is possible to promote products, services, brands and activities of a company, institution or organization, with or without commercial purposes, in digital media.
The most used resources for this are sponsored links, SEO content and E-mail Marketing, among others. With this type of Marketing it is possible to attract more consumers to a virtual store like yours. It also allows you to increase the conversion rate of your sales pages, which is key to selling more at less cost.
Conclusion
Therefore, answering the question in the title of this post “How does e-commerce work?”, it works today mainly through the sale of products and services through computer screens and mobile technologies, which requires some specific software and constant dissemination by through marketing strategies and campaigns.
- Access and also read the post “What is Digital Marketing”. Understand, in this way, the advantages of this feature for your e-commerce and learn more dissemination tools.
