The dynamic landscape of the e-commerce industry is interesting and scary at the same time. Each year, many variations may help companies grow their business. Whatever the challenges, e-commerce marketing is growing bigger and bigger, and many companies are continually developing strong online businesses, making omni-channel shopping more widespread than ever before. Currently, more than 70% of clients utilize multiple channels to shop online. Therefore, companies compete to understand how their clients buy, which e-commerce channels they use, and motivations and fundamental drivers to buy. Simply, each organization is trying to decode the best e-commerce model to reach as many users as possible.
Target Corporation was started in 1902, and its market is located in the USA only. However, the firm has been skyrocketing in terms of e-commerce abilities. The firm is experiencing faster growth, and most of the country's residents have Target Corporation stores with their reach. Target Corporation is operated under the Business-to-Consumer model because it sells goods directly to businesses or consumers who are the products' end-users. The main reason that has made Target Corporation fit into the e-commerce industry is its consistency in excellent customer experience. The aspect has increased customer satisfaction, therefore, resulting in a high retention rate. It continually trains staff to offer superior customer service at competitive prices. Additionally, Target Corporation is continuously keeping up with the evolving e-commerce industry due to sufficient stock because of effective logistics and supply management. The firm has strong supply management making inventory levels simple and clear. Compared to the last decades, the company has increased its conversion rates due to its strong online presence and the brick and mortar industry. The cost advantage also makes the company dominate in the online presence. As compared to its competitors such as Amazon, its prices are relatively low at the same time, competitive with the capability of sustaining revenues.
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Shopify is one of the first e-commerce platforms, and their involvement in the business improved quickly. By 2009, the company had already developed its application programming interface, which enabled apps particular to the organization to be sold on their App Store. The organization currently has more than one business hosted, and it is clear that it is making an impressive economic impact on an international scale. The company's e-commerce model is business to business (B2B) because it hosts shops and brands worldwide. Shopify manages everything place due to its automatic process for a business. Shopify is facing competition with other e-commerce companies (Ballard, 2017). The main thing that affects the company considering its expansion scale, is the lack of new technologies that align with its vision. Many clients are complaining of a rigid online platform that requires IT gurus to operate it.
PayPal was started in 1998 by Confinity as a money transfer system. The company has developed the biggest network of clients and merchants utilizing and accepting its payment service. They have completely shifted their sales to online and thus facing multiple threats from many companies. The company aimed to offer secure software for money transactions on personally-owned devices. Currently, it is an online giant system, and its users enjoy the safest online payment experience. The company operates under the customer-customer (C2C). Model because it is an intermediary matching buyer to seller, making money by charging small transfer fees. The main reason why PayPal fits into the e-commerce industry is that its transaction costs are remarkably lower than any other system. It has also partnered with many companies who are increasingly encouraging clients to accept PayPal's credit cards, thus strengthening its online competitive advantage compared to its companies in the same business line.
Instagram was founded by Kevin Systrom and Mike Krieger in San Francisco. They developed a prototype that allows users to check-in where they are on mobile websites applications. Instagram falls into the social commerce industry because it creates a new instructive sales way that will convert passive users into paying clients before other sites get a chance (Abed, 2018). The main reason why Instagram fits into the industry is its speed in conversion. Instagram is among the largest social network that connects users based on visual elements. This aspect is powerful in capturing and sustaining the attention of people. Thus, it quickly capitalized because brands use it to master social trends, increasing cross-channel management. For instance, brands and marketers utilize clear photos and also study the customer's browsing experience. This intervention makes it possible for the site to connect customers across many channels. Instagram has also maintained its competitive advantage in the social commerce industry because there is huge traffic that builds a community that stays for a long time. From many reports, Instagram has outshone its competitors, such as Reddit, Facebook, Pinterest, and Youtube, due to constantly engaged traffic. Pictures from the site are super-engaged, and brands can engage with the social platforms' target audience.
References
Abed, S. (2018). An empirical examination of Instagram as an S-commerce channel. Journal of Advances in Management Research , 15 (2), 146-160. https://doi.org/10.1108/jamr-05-2017-0057
Ballard, G. (2017). The Definitive Guide to Shopify Themes: Master the Design Skills to Build World-Class Ecommerce Sites . Apress. https://books.google.com/books?hl=en&lr=&id=BcA0DwAAQBAJ&oi=fnd&pg=PR5&dq=Shopify+business+model&ots=yfsoMtaSBb&sig=YSokbo5cfqqK6W3Q7hrX8xfo85k
