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Internet Marketing: Business Models

January 19, 2011

Every thing may it be from experiments, research or business, there are always methods and systems that are used to be able to achieved the wanted goal of the person who’s conducting the experiment, research or the business owners,  same as in the Internet Marketing.

There are several Business Models that are used:

Electronic commerce or commonly known as E-commerce is made of selling and buying products or services over electronic transaction or systems such as the Internet and other computer networks. E-commerce uses the World Wide Web as portal for business transactions. The payments are made through electronic funds transfer. If you want to know more about e-commerce, I will refer you to Amazon.com. Amazon.com is one of the largest examples of e-commerce.

E-commerce; is a kind of business method used in internet marketing that sell goods in three categories. The products were sold directly to:

  • Consumers or known as business to consumers (B2C)
  • Businesses or known as business to business (B2B)
  • And lastly  consumers to consumers (c2c)

image from wikipedia.com

Moving on, I will now discuss to you the Affiliate Marketing. Affiliate Marketing is basically a method in which a business rewards one or more affiliates brought by the affiliates marketing efforts. Affiliate is a marketable entity with a relationship to a peer or a larger group of people. Examples of this are referral of others to the site and the most basic is the reward sites where users are given gifts or cash prior to the completion of an offer. This method most of the time overlaps other internet marketing methods because affiliates often use regular advertising methods. The most common methods that they use are search engine optimization, paid search engine marketing, display marketing , email-marketing and the not so often times, affiliates uses orthodox techniques such as publishing reviews of products or services presented by a partner.

Affiliate Marketing has four core values:

  • The merchant – known as the retailer of brand
  • The network
  • The publisher – know as “The Affiliate”
  • And last is the customer

Let’s now jump to the Lead-based Websites. Lead-based Websites is an organization generates value by acquiring sales leads from its website. It’s less popular method that used by the internet marketers.

Finally, Local Internet Marketing is a method in which small company utilizes the internet to find and build relationships that are to be used in real-world advantage. Commonly this business model uses social media marketing, local directory listing and targeted online sales promotions as tools.

If you’re planning to establish a business through online, I suggest that you study first the kind of business that your venturing to and the business model that you’ll be using for you to be able to reach your quota and most especially your dream goal for you business.

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