UPDATED 24/04/2021 8:10 AM

E-Business Strategy

Even with the Internet constantly evolving, online businesses have mostly settled into a few categories of e-commerce. Several strategies have proven successful to drive revenue and promote a company both online and off. Choosing the best e-business strategy for either an established company or a startup involves making decisions about where money should come from and how the website can bring in the most traffic.

Many e-businesses succeed by hosting a site for auctions and online stores on which member can place items for sale. In this model, the website owner takes a flat fee or a percentage of sales in exchange for promoting the online marketplace and assisting in processing the transaction.

Some businesses combine this option with their own warehouse, offering both their own goods and advertising members’ listings for the same items. Additional revenue for the website owner can come from members paying additional fees to spotlight their offerings on the main website.

A turnkey business functions with a pre-existing template for its given industry. These websites may offer anything from diet pills to a dating network for a particular city. The turnkey model requires less work than others but also faces stiff competition. The operator must do some legwork to produce the site’s content and sell ad space to generate more income. Marketing mostly relies on the optimizing the website to appear on as many search engine result pages as possible.

Some websites develop into effective e-businesses without directly selling anything at all. With enough worthwhile content and frequent updates, blogs and similar informative sites can succeed simply by selling ad space. The profitability depends on the motivation and talent of the people producing the content. A combination of entertaining the reader and drawing in references to appropriate consumer products can potentially generate enough advertisements and revenue sharing to support the site as a business.


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