DROPSHIPPING

Dropshipping is a business model where items bought from an online store are shipped directly to customers by the supplier or manufacturer.

Dropshipping is a simple, popular way to start an online business. It removes common retail challenges such as buying, storing, and shipping inventory.

When a dropshipping store makes a sale, it forwards the order to a supplier, who handles delivery to the customer. This lets store owners focus on other tasks, like marketing and branding.

E-commerce

E-commerce (electronic commerce) is the buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet. These e-commerce transactions typically fall within four types: business-to-business (B2B), business-to-consumer (B2C), consumer-to-consumer or consumer-to-business.

The terms e-commerce and e-business are often used interchangeably. The term e-tail is also sometimes used in reference to the transactional processes that make up online retail shopping.

In the last two decades, e-commerce platforms -- such as Amazon and eBay -- have contributed to substantial growth in online retail. In 2011, e-commerce accounted for 5% of total retail sales according to the U.S. Census Bureau. By Q2 2020, after the start of the COVID-19 pandemic, e-commerce accounted for 16.5% of retail sales. Since then, it has fallen slightly to about 15% as physical stores reopened.

Marketplace

Marketplaces are becoming a popular way for businesses to sell their products and services online. A marketplace is an online platform where different vendors can offer their goods and services to a pool of curated customers. In simple words, marketplaces provide an excellent opportunity for businesses to reach a wider audience without the need to carry inventory or maintain an online store.