How Does E-Commerce Actually Work?

In today’s internet time E-Commerce or online shopping has created quite a stir in the retail industry, even though it has developed in other industries as well. One often wonders about what the E-Commerce fuss is all about and how do they actually function.


E-Commerce functions more like traditional commerce which involves the purchase and selling of goods. The only difference is that the good and services bought and sold over the internet. The main advantage of an E-Commerce store is that there are no weekly holidays and goods are bought 24 hour a day, 7 days a week.

So how does a merchant actually sell products on the internet?

The merchant initially displays the products intended for sale on a website, and specifies the prices of the each product. A shopper need to log in to the website, select the product and adds them into the shopping cart. In today’s E-Commerce platforms, there are multiple payment options, like the credit card, debit card, net banking or cash in delivery.

In case of online payments, the shopper would need to provide his credit or debit card details. The merchant’s transaction server then connects to the credit card or the bank’s processing server to check if the customer has the required funds to pay for the goods purchased, once the same is checked and the transaction authorized, the shopper needs to enter in the delivery address, where he would like the products delivered.

E-Commerce has gained a lot of popularity because of the inexpensive overheads, its convenience and overall the transactions are automated and accurate with very little chance for human error. Moreover, it is easier for shoppers to find products using the search option and even compare prices of different brands. It also provides customers an unlimited catalog of products to choose from

E-Commerce replaces the traditional shopping in brick and mortar stores with a tech perceptive medium that helps shoppers do shopping in the comfort of their homes and with just the convenience of clicking on the mouse.

Author: blogmart2web

Share This Post On

Submit a Comment

Your email address will not be published. Required fields are marked *