Profit Model of C2C E-commerce Platform

membership fee

Membership fee, that is, membership service fee, refers to the fees charged by C2C website to provide members with online shop rental, company certification, product information recommendation and other service combinations. Because it provides an effective combination of various services and can better meet the needs of members, the fees of this model are relatively stable. Pay the fee in the first year, and the customer needs to renew the fee when it expires in the second year. After the renewal, the service will be carried out for the next year. Members who do not renew their fees will be restored as free members and will no longer enjoy various services.

Trading commission

Trading commission is the main profit source of C2C website at any time. Because C2C website is a trading platform, it provides opportunities for both parties, which is equivalent to exchanges and supermarkets in real life. Collecting commissions from transactions is the embodiment of its market nature.

advertising expense

Enterprises use valuable positions on the website to put all kinds of advertisements, price advertising spaces according to website traffic and website crowd accuracy, and then sell them to customers through various forms. If the C2C website has enough visits and user stickiness, the advertising business will be very large. However, due to the consideration of user experience, C2C website has not completely opened this business, and only a few advertising spaces are open irregularly.

Search ranking bidding

The richness of products on C2C website determines the frequency of buyers' search behavior, and the wide application of search determines the importance of ranking commodity information in search results. This leads to the business of bidding according to search keywords. Users can put forward the price that they think is suitable for a certain keyword, and the highest bidder wins in the end, and users' products can get competitive rankings in effective time. Sellers are willing to spend money only if they are aware of the potential benefits brought by bidding.

Pay the link fee

Payment has always been a bottleneck restricting the development of e-commerce. It was not until Alibaba launched Alipay that the online payment business was promoted to some extent. Buyers can first transfer the advance payment to the personal special account of the payment company through online banking, and then after receiving the goods sent by the seller, notify the payment company to transfer the payment to the seller's account, so that buyers don't have to worry about not receiving the goods, and sellers don't have to worry about not receiving the money after sending the goods. The payment company charges a handling fee according to a certain proportion of the turnover.