eBay Inc. (eBay), incorporated in May 1996, provides online marketplaces for the sale of goods and services, as well as other online commerce, or ecommerce, platforms, online payments services and online communications offerings to a diverse community of individuals and businesses. The Company has three business segments: Marketplaces, Payments and Communications. Its main revenue model is from the Marketplaces. eBay’s Marketplaces platforms earn revenue from, as the case may be, listing, feature, subscription and final value fees paid by sellers, lead referral fees, transaction fees and advertising fees. eBay’s core platform is its traditional auction style and fixed format. These transactions of money are smoothen thru one of its business segments PayPal that is under the segment Payments. Paypal has provided quick payments on a real time basis and offers fraud prevention that is regarded as a core requirement in e-commerce.
Amazon.com, Inc. (Amazon.com), incorporated in 1994, operates retail Websites, which enables its consumer customers to find and discover anything they might want to buy online. The Company’s revenue model is sourcing and selling a range of products worldwide across dozens of product categories, including digital media. Amazon.com also designs, manufactures, markets and sells a wireless e-reading device, the Amazon Kindle. The Company has designed its Websites to enable millions of products to be sold by it and by third parties across different product categories, such as books, movies, music, games, digital downloads, electronics and computers, home and garden, grocery, toys, kids and baby, apparel, shoes and jewelry, health and beauty, sports and outdoors, tools, auto and industrial.
Google Inc., incorporated in September 1998, maintains an index of Websites and other online content, and makes this information freely available to anyone with an Internet connection. The Company’s automated search technology helps people obtain nearly instant access to relevant information from its online index. Google generates revenue primarily by delivering online advertising. Businesses use its AdWords program to promote their products and services with targeted advertising. In addition, the thousands of third-party Websites that comprise the Google Network use its AdSense program to deliver relevant ads that generate revenue and enhance the user experience. The difference of revenue between all of the above company is the difference in revenue model. Google’s main revenue is due to its advertising revenue that arises from its AdSense and AdWords programs that enables businesses to advertise their product in it. Amazon.com’s revenue is mainly through the sale of products from their websites and the revenue is gained from the sales of the products. eBay on the other hand, has the revenue model that is based on the auctions they host and that is in a form of transaction fees from successful transactions made from the seller and buyer and listing of items charged on seller.
2 comments:
Most e-commerce revenue come from advertising. Nowadays being a blogger also able to earn some money from putting up advertisement.
yup, one of the emerging popular advertisement company in malaysia and singapore is nuffnang which most blogger of 2 country will usually put up their link.
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