The growing e-commerce sector also provides opportunities for the development of different business models within the ecosystem. The C2C e-commerce model, which reaches a global market in these business lines, which is shaped according to the parties of the trade, eliminates the obligation of the trade parties to be a business.
Now, consumers who want to sell their products can join the e-commerce ecosystem by making an agreement with an e-commerce marketplace and meeting with consumers like themselves in a safe environment. In our guide article prepared for you to get to know this new e-commerce model, which has become popular with B2C e-commerce site owners increasing their investments in this field, we answered the most curious questions such as what is C2C, how it is done, which products can be sold with this model.
What is C2C?
C2C describes a business model in which consumer-to-consumer products and services are sold. C2C e-commerce, which emerged by using the initials of the English definition of Consumer to Consumer, is used to define the trade that consumers make with each other through online platforms.
The Consumer to Consumer business model, first pioneered by a reliable site, has become widespread after the investments made by e-commerce sites operating in the B2C and D2C fields. With C2C, which has become widespread not only in our country but also in the global market, consumers have the opportunity to sell in different countries with the help of C2C marketplace options.
In line with the existing alternatives, not only products but also services can be sold with C2C. Consumers can sell their surplus or partially used products to different consumers through C2C sites. If our country is taken as an example, the most common C2C models are explained as follows:
- Product Sales Sites
The online marketplaces for product sales, with its brand and marketing powers, offer consumers a good start for the C2C model in product sales. While C2C marketplaces make it easier for consumers who want to sell with XML and API integration solutions they use for loading thousands of products, C2C trade can be realized between large masses with cargo and many other operational support.
- Service Sales Sites
The C2C model can be used not only to sell products but also to complete the exchange between consumers. With the help of websites developed for renovations, repairs, private lessons and many other areas, consumers meet with their customers in a reliable website environment and sell services.
- Ad Sites
Advertisement sites that allow advertisements to be posted by selling monthly or annual membership packages also mediate the spread of the C2C business model. From real estate to vehicles, from second-hand goods to the service sector, consumers can be included in the C2C model through advertisement sites.
- Social Media Channels
Facebook and Instagram are a good starting point for those who want to enter e-commerce lately. Apart from the “Marketplace” feature, Facebook allows consumers to sell products or services to each other through various groups.
What are the Differences Between B2C and C2C E-Commerce Models ?
E-commerce has developed widely within the framework of the B2C (Business to Consumer) model. This business model between the supplier and the consumer took the largest share of the pie, while the growing online marketplaces, new ventures and the transfer of traditional trade actors’ businesses to the digital environment. With the development of online marketplaces and the concept change in advertisement sites, the C2C e-commerce model has not only taken a share of the pie. At the same time, it was able to rapidly increase its share of the pie. If we compare these two e-commerce models for better understanding, the differences between them will be as follows:
• In B2C, there is a sale from suppliers to consumers. In C2C, sales are between consumers.
• In B2C, site owners earn income from the sale of products and services, while C2C site owners earn commission or membership income.
While site owners are sellers in B2C, C2C site owners are agents of the trade.
What are the Advantages of C2C E-Commerce Model ?
The C2C e-commerce model has brought many advantages by contributing to the development of a different approach in the online shopping sector. The advantages that are available separately for the site owners and the parties of the trade are briefly mentioned below:
- This trading environment, where a well-known supplier is the intermediary, is safe for the parties.
- Audiences that can be sold can be easily reached.
- Benefit from the marketing power of the intermediary.
- By using the cargo agreements of the website, the products for sale can be shipped at more affordable prices.
What can be sold with the C2C model ?
It is wrong to limit the products or services that can be sold in the C2C e-commerce model. Because with the support offered by the existing C2C websites, consumers can take part in similar fields of activity as B2C.
It would not be wrong to say that everything in the concept supported by the chosen agent can be sold in C2C, where sales can be made between the parties on a wide scale of goods or services, from new or second-hand products to service sales. The sale of every product subject to retail sale and every service with expertise can be carried out with the C2C model.
How is C2C E-Commerce Done ?
It is quite simple to run C2C e-commerce activities through a marketplace. The intermediary marketplace, besides handling many details from cargo to marketing, has undertaken what needs to be done for a significant part of the process with its existing infrastructure. Entrepreneurs can choose a single C2C website in this area, or they can sell products or services on more than one website at the same time. Those who want to be a seller in C2C marketplace business models can start this process with the following steps applicable to C2C examples:
- Create membership in selected marketplaces.
- Upload your products/services to the website.
- Pricing products or services and prepare a product/service description for your target audience.
- Update your stock on product basis.
- Prepare the received orders as soon as possible and deliver them to the contracted cargo companies of the website.
- Gain customer satisfaction by closely monitoring returns and after-sales support requests.
What Are Sample Sites For The C2C Model?
The C2C e-commerce business model, which is developing and becoming widespread day by day, owes its success to the support of online marketplaces. E-commerce sites that have achieved success in the world and in our country have accelerated the development of this model by providing appropriate commission rates and brand power support to consumers in this field. Briefly, let’s examine which C2C e-commerce sites are, below :
What Should Be Considered to Build a C2C Site ?
Entrepreneurs who want to set up a C2C e-commerce site aim to earn commission or membership income. In order for these initiatives to take place, good planning and being open to innovations throughout the process are necessary. After the planning, attention can be paid to what will be done after the project will be implemented through special software or ready-made C2C marketplace software. Following the implementation of the C2C e-commerce site in line with the infrastructure chosen with the software preference, the things that the entrepreneur should pay attention to can be listed as follows:
- Agreements can be made by negotiating with the sellers who will upload products to the site.
- In order to offer the most attractive conditions for the delivery of the products sold, an agreement should be made with at least one cargo company.
- The attractiveness of the platform should be increased by determining reasonable commissions or membership fees.
- An agreement should be made with the collection institutions for the payments of the trade.
- Marketing studies should be carried out through social media, Google ads and alternative advertising channels.
- Since the invoice will be issued against the revenues obtained, the company establishment must be carried out at the first stage of the C2C e-commerce site setup process.