What is Consumer-to-Consumer eCommerce?
C2C eCommerce: Cutting Out the Middleman
What is consumer-to-consumer eCommerce and how does it work?
Consumer-to-consumer eCommerce is one consumer selling goods or services to another consumer online. This sale is usually facilitated by a third-party site that helps take care of the details of the transaction. The purpose of consumer-to-consumer eCommerce is to enable consumers to sell directly to other consumers without having to go through a middleman. This allows the seller to keep more of their profit and the buyer to potentially purchase the goods at a better price.
Examples of C2C eCommerce Sites
One of the best examples of a site where consumers can sell online to other consumers is eBay. eBay is the largest auction site on the web. It makes money by charging a small flat fee or a commission on each sale. The buyer pays the seller through a payment processor, and then the seller is in charge of shipping the item to the buyer. Another example is Craigslist. Craigslist is basically online classified ads. Craigslist actually just helps people find buyers for the products they are trying to sell or sellers of the items they are looking to buy. Then it is up to the consumers to meet and make the transaction happen on their own. Amazon also allows consumers to list items to sell to other consumers. Buyers pay with PayPal or credit card, and sellers are reimbursed through bank account deposits. Amazon keeps a small percentage for helping facilitate the sale.
Disadvantages of C2C eCommerce
One of the biggest challenges of C2C eCommerce can be payment. If the seller doesn’t get paid for the item that they sold and shipped, it can be hard to get the item back or make the buyer pay. Likewise, if the buyer doesn’t like the quality of the item, the seller isn’t always required to offer a refund like a store would. Using third-party sites like eBay and Amazon usually help solve some of these issues. Amazon deducts the money from the buyer right away to make sure there is a payment for the item. Amazon also has return guidelines for sellers to follow in case buyers do have a justified reason for returning an item.
Advantages of C2C eCommerce
One of the greatest advantages of C2C eCommerce is that it allows the seller to keep most of their profit and enables the buyer to get a better price than if they would have bought the item from a business. Convenience is high for sellers, who can simply list an item and wait for someone to buy it without any advertising or legwork. C2C eCommerce offers shopping-from-home comfort for buyers. When done well, C2C is a win-win for both buyers and sellers alike.
Clarity Can Help
Is your business looking to help facilitate consumer-to-consumer eCommerce? Clarity can build you a website to help accomplish that. With almost a decade of experience, our team has built numerous custom websites for every need. To find out more about how Clarity can design a website for your business, call or click to contact us today!