Ecommerce Business Model Growth: Niche Understanding

eCommerce business model

For many years, it was very difficult for me to buy anything from the retail shops when I was on a busy schedule. There was no time for me to spend shopping, it was so annoying to distort others frequently to get my needs met. 

But after the advancement of online shopping apps like Amazon Clone, it’s quite easy to shop for everything at the desired time from any place. 

Probably, I always feel how wonder techie verse changed the entire world. And enjoying broadly being born in this tech generation. 

I believe, not me only, you too felt the same. Right?

Also, I was repeatedly probed about the eCommerce business model like Amazon, and how they are progressing and earning money by offering affordable prices, delivery management, and more. 

Then, find that’s not a big secret, when there is a pool of people looking for one and the stock has soon emptied it’s the crucial forte for the wholesalers and manufacturers. Am I correct?

Yes, let’s go through the factors of the Amazon-like eCommerce business model, how to make money, and its future.

Perspectives Of Online Shopping Business In Future

Before diving into the eCommerce business model and its insights, you should first know whether the market that you are going to penetrate will be worth it or not. 

Surely, there is no doubt about the tremendous growth of the eCommerce business. It will surprise you laboriously.

It’s compelling to know the growth statistics of online shopping from the past years to the present and in the future. 

Way back in 2017, online shoppers were certainly low compared to the current situation. There is about only 10.4% of online retail sales worldwide. Now, it has increased twice the time primarily after the effect of a pandemic. 

This percentage is expected to account for 50% in the upcoming years of 2023-2025.

By 2040, it will have drastic growth. Almost 95% of shopping can be procured through online apps.

So, from the above, you can see the wide demand market for online shopping apps. 

Hence, I furnish you with the biggest hope that the online shopping market will be a promising place to get high returns on your investment

Operating Model Of E-Commerce Like Amazon

Mostly, numerous eCommerce business apps are a peer-to-peer and two-sided marketplace. This is a platform for sellers and buyers who clearly fulfill their trades and needs in a consoling manner without any hard troubles. 

This business uses various key resources and partners to keep up its business growth in equipping for a better experience for its users. 

Let’s have a quick view of the crucial resources that you need to procure in the online shopping app business. 

  • Hold a specific location for your warehouse that is used to process all the deals from packaging, and shipping to delivery of the products. 
  • Your app and site is the key channel for delivering your service to the customers. Focus on developing a robust app and site for making your strong tech base in the online pace. 

Have an expert team of developers and designers to work on your eCommerce network which needs consistent management in monitoring and maintaining the app and server errors and updates. 

  • Possess a team of executives for various departments like data management, customer and retailers management, marketing and sales development, etc.

Then focus on setting your key partners.

Certainly, your key partners are the merchants who are in need to use your marketplace app for their product selling and want to reach the buyers without a huge acquisition. 

While at the beginning point of your eCommerce business, it’s essential to hold the set of brand partners and wholesale vendors to supply your warehouse. After accumulating the popularity of your app, automatically this process will undergo a large number of sellers’ registration. 

Insight Deal Process Between Your Shopping App And Vendors

There are various sectors in carrying your app products to the end customers.

You would have to give dynamic offers to businesses with your online shopping space.

There are two types of holding the products from sellers. 

  1. One is, directly procuring the products in a wholesale manner from the manufacturer. All rights of the entire product will be yours. You can fix the price and sell it for your desire. 
  2. Another is admitting the merchants to display their product listings in your app and make them sell through the app. 

Next is inventory management i.e, shipping, packaging, and delivery contract.

This is also in two kinds,

  1. One is,  undertaking all the responsibility from the seller. It includes shipping, packaging, and delivering to the direct consumer. 
  2. Another is your merchant will do shipping and packaging, then reach your warehouse for the delivery process. 

Let your business have a clear agreement about these processes and make the charge fee according to it.

Revenue Streams Of eCommerce Business Model

Money-making is a tactic for every business. Ecommerce has various possible revenue streams, 


This is the primary way where your business can earn constant revenue. Charging sellers for their product listing in the app. And charging the service of buyers for delivering their requirements to the doorstep.

Featured Listings

Because of fierce competition, many sellers are willing to showcase their products exclusively on the top to attract more consumers. They are ready to pay a fee for it, so complete your app with the featured listing advertisement to generate additional revenue. 

Other Advertisements

Other industry businesses can make promotions in your app. These ads will be served through third-party networks like Google Adwords. This revenue can vary on the type of advertisement they furnish which can be the cost per click or cost per thousand. 

Affiliate Partnership

You can hold partners with other party websites and work as their affiliate partners. This is the process of redirecting the visitors, whenever your user makes a purchase on the redirected sites, you will earn a commission for it. This is a steady and relaxing way of gaining more profit.


From the above article, you could have a certain idea about building an eCommerce website or site. Complete your business plan with the readymade Amazon clone solution.  That will lead you only with the process of customization and helps you to launch your app and site soon on the platform.


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