eBusiness Models
Writing eBusiness Plans
eBusiness Models
Overview of Basic Internet Revenue Models (B2C and B2B)
- etailer: Product Sales (Transactional Commerce) - selling physical goods (order fulfillment + outbound logistics)
- etailer: Digital Goods Sales (Transactional Commerce) - "content" - magazines, music, software, etc.
- Advertising-supported (banner ads sold to generate revenues) - usually with free content
- Subscription Fee - periodic charge for membership or access to content (often tiered)
- Commission or Transaction (usage) Fee - agent, broker, or intermediary charge (B2C, B2B, or C2C)
- there are many models in this category (auctions, infomediaries, content maximization, etc.)
- brokerage models include market exchanges, buyer aggregator, trading communities, metamediary, vortal, search agent, etc.
- logistics / fulfillment value added (integrated supply chain)
- data mining analysis sales - free content, but sell data about virtual visitors (privacy implications)
- affiliate model - pay to drive traffic to a site
- community model / expertise database (subscription or brokerage fee)
- utility model - metered usage (pay per byte or minute)
Sources:
Applegate, L.M., J.W. McFarlan, & J.L. McKenney (1999) Corporate
Information Systems Management (5e), New York: Irwin-McGraw-Hill.
Business Models on the Web by Michael Rappa
and other sources


