Question

Describe THREE (3) categories of e-commerce revenue models with ONE (1) real-life example for each model. Below are the guidelines of answer. DO NOT use guidelines below as the answer of question.

Answer:

First let me list the three :
1. Affiliate marketing
2. Online advertising
3. Transaction fees
Explanation:
1. Affiliate marketing enables you to earn revenue by marketing or offering another product for sale on your site. For example, you may reference a book you read and recommend your customers get a copy for themselves. You could also set up an affiliate account and place a direct link to the book on the Amazon site, which will pay you a percentage of the sale. If you decide to participate in affiliate marketing, you\'ll need to research which companies might provide you with a financial incentive for promoting their sites on your page.
When you\'re just starting out, the money you earn from affiliate marketing may be just a small, supplemental amount. However, as traffic to your site increases, you may enjoy more substantial income.
2. Online advertising is a very popular revenue model for e-commerce businesses. In this method, companies or organizations buy advertising space on your site, provide a designed ad or written message, and then pay you for promoting their messages. Media sites, such as magazines, newspapers, and television channels typically use online advertising.
Two common types of online advertising include pay-per-click and pay-per-view, which determine how much advertisers will pay for their advertisements. While some sites charge a set fee for placing an ad, most pay a set fee for each person who clicks on a link or views a page related to the advertiser. As traffic to your site grows and more people click on an advertiser\'s link or view a related page, you\'ll earn more advertising revenue.
3. Transaction fees are the charges a company pays for using their service. If you\'ve ever sold anything on eBay, you know there\'s a set price for posting a product for sale. Each time a transaction happens, you pay a small fee to eBay for marketing your product. Whether you charge a small fee for a company to list a transaction or for someone to view a video, transaction fees can be a sizable if the traffic to the website is substantial.
Examples of the firms that use these revenue models are:
1. TDC and Orange are using Affiliate marketing .
2. Coco Cola , AMEX , Mint are using Online advertising .
3. Google (e.g. AdWords and AdSense),Facebook,New York Times (Marketing) are using Transaction fees

Answer 1

The question is not clear to me.However I have made changes gramatically.If you need any further help let me know.Ill surely help you.Thank you.

First let me list the three :

• Affiliate marketing
• Online advertising
• Transaction fees

Explanation:

Affiliate marketing:

This helps you to earn sales by promoting or selling a product on your website. You may refer to a book, for instance, which you read and recommend that your customers receive a copy. You can also set up an affiliate account, which will pay you a portion of the revenue by having a direct connection to the book on the Amazon site. You have to study which businesses will provide you with a financial incentive to visit their pages on your page if you want to engage in affiliate marketing.The amount you earn from affiliate marketers that only become a small additional sum when you are just beginning. However, you will have considerable profits as the traffic to your site rises.

Online advertising:

For e-commerce companies it is a very common revenue model. This approach allows businesses or organizations to buy ads on our website and to include a planned ad or written message. Online advertising is commonly used for media outlets, such as magazines, newspapers and TV channels.
The two most popular forms of online ads are pay-per-click (pay-per-view) and pay-per-view (pay-per-view).

Although some sites charge an ad fee, others pay a fee for each person clicking on a link or viewing an advertiser-related page. For the growing number of people clicking the link or visiting the profile of a publicist on your site, you will receive more advertising revenue.

Transaction fees:

These are the fees charged by a client for its operation. You know that there are fixed rates for the listing of a product for sale if you have ever sold something on eBay. You pay a small fee to eBay for selling your goods each time a transaction occurs. Whether you charge a small fee to enter a transaction or to view a video for another, the transaction charge may be large if there is heavy traffic on the website.

Examples of the firms that use these revenue models are:

• TDC and Orange are using Affiliate marketing .
• Coco Cola , AMEX , Mint are using Online advertising .
• Google (e.g. AdWords and AdSense),Facebook,New York Times (Marketing) are using Transaction fees

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