Choosing an Ecommerce Business Model

We listed out the various Business Models in the previous post. Today we talk about how to choose which is a good business model for you…Blindly Choosing A business model

For the most part, people go into businesses like the image above, with their eyes shut tight.  As a result, the rate of success in startups is abysmal – as slow as 5%.

Here are a few aspects of  various business models that you need to consider.

B2B business:  This is your Business selling to other businesses. Usually the dynamics of B2B are different from that of selling directly to end consumers.  There is normally a longer sales cycle as well as  negotiations on pricing and service terms etc. Depending on where you are located, businesses also are averse to paying upfront for services rendered. You may have to wait a certain period before you get paid.  On the plus side, your order size may be much bigger than usual.


B2C business: Much easier to deal with smaller order size. There is no negotiation since the customer hardly ever sees you or talks to you personally. Business takes place entirely over the web (sometimes over the phone). Though order size is smaller, payment is instantaneous.


Other aspects: 

Sell a product:  You could sell a product. Selling a product is easier – as it is much more scalable. Product could be something simple costing a small amount or something quite expensive such as diamonds and jewelry. How easy is it to create a product yourselves? Are you planning on reselling  a product after buying it at wholesale price?

Sell a Service: This takes more selling  than a product business. The customer needs to be convinced of your ability, authenticity, authority etc before he pays money.

Sell a mixture of both: You may sell a service or a product as initial lead – and then continue with selling the other type. For example, if you sell a TV or an Air Conditioner, you also sell extended Warranty.

Aggregator: Offer a listing of different services of a type and easier ways to utilize such services. Charge money from both customers and vendors of such services.

Ad Supported: Offer a listing as well as quality content – then display ads using Google Adsense or other services to make money from others who will pay to display their ads to your visitors.


About the Author:

Deep Janardhanan - Founder - Greater Profits Media

Deep is a respected Ecommerce Entrepreneur and Consultant – currently CEO of an Ecommerce Startup. He is also the founder and Chief Executive at International School Of Success where he  trains new entrepreneurs to set up and run their Ecommerce Business from Scratch. He is a Technology & Marketing veteran of nearly 20 years experience having built multiple websites as well as businesses in India and abroad.

Lets talk Ecommerce Business Models

Starting today, I am planning a series on Ecommerce.  This has come out of my interaction with scores of entrepreneurs who come to our training events in  Mumbai.  We will go through various basic subjects as well as subjects that are quite abstract and only known to people who have a few years experience in Ecommerce.  Our first post today is about Ecommerce Business Models. Let’s dive right in!

Ecommerce Business ModelsThere are basically 4 different models that are universally acknowledged.

B2B – Business to Business ( you create a website that sells to businesses)

B2C – Business To Consumer( a website that sells to end users.)

C2B – Consumerto Business ( a website that aggregates other services for the use of the Consumer)

C2C – Consumer to Consumer ( a website that allows peer to peer business such as OLX, Quikr)


Some also consider these formats as business models:

G2B – Government to Business

G2C – Government to Citizen

B2G – Business to Government

When you have started off setting up your business on these models, you can always consider a mix of models. So if you are already selling to Business or Government, you must consider selling to consumers at a different level.

Or when you are selling to the end user, you must always keep the option open of selling to Businesses and Government.


Coming Soon: How to choose a business model ?

How to Buy Domains From A Third Party Domain Owner

One of the first things that we do when we consider a new business is to book a domain.

Unfortunately, after billions of domains have been purchased over the years, its not very easy for anyone to get a domain name that easily fits in to your requirements. Most common names have already been registered and have been used.

So what should you do if the domain name of your preference has already been booked. This article by Morgan Linton gives you a good idea of how to acquire such domains.

View story at

In short,

1) identify the domain owner.

2) Find out if it is for sale.

3) Determine a price

4)Reach out to the domain owner.

Be prepared to be asked completely ridiculous (according to you) prices. This article goes into great detail how to tackle various issues that come up when you try to buy a domain.


Hope this helps.

Towards Greater Profits Every Day,

Deep Janardhanan

Director, International School Of Success 

Silly Password Rules Make A Mockery Of Online Security

Password rules from Apple iTunes

Password rules from Apple iTunes

Have you noticed a major change on the Net lately? Everything we used to read for free has disappeared behind gates. Nothing is accessible any more, unless – we create an account!

And that account comes with a username, an email address and a password.  Often times, we end up creating another new password just to cater to the ridiculous password requirements of each new site.

As we have more and more online accounts, here is a problem that companies are failing to understand and solve for customers. The difficulty of maintaining passwords for different accounts is something that cannot be understated.  Continue reading

Setting up Your Ecommerce Business From Scratch


This session was conducted on May 31 2015.  The slides here were used for the live session.

We talked about action points for taking your Idea to an active ecommerce business.

Points discussed : Idea Validation(offline & online), Product Creation, ECommerce Website setup, Payment Gateways, Launch, Marketing Your Site.

Continue reading

Words of wisdom from my mentor Jay Abraham

These words of wisdom have been passed on to Jay by his mentor many years ago.

Your goal, responsibility, obligation and primary purpose in business is to carefully examine, fully understand, appreciate thoroughly, empathize respectfully, and acknowledge meaningfully how the other side sees the situation. This applies not only to prospects and buyers — It applies to your team members, vendors, competitors, and the marketplace, community world in general.

 I hope you can adequately analyze, aptly internalize and usefully adopt it in your own business for greater success, more loyalty and greater profits.

Want to learn more about Jay?  He is at

Towards greater profits everyday,

Deep J.