10 unique e-business models

1. NEWFANGLED
E-BUSINESS
MODELS
(BY AMRITPAL KAUR VIRK )

2. In this model , the business of-
fers its customers to post their
product ,service or websites Ad
on other websites attracting
their target audience.
This model uses three ways of
payment
1.Cost per click
2.Cost per impression
3.Fixed cost
Google AdSense
 Developed by Google
 With 12 years of existence (June
18,2003) ,Google AdSense act as
search umbrella for advertising firms
across the globe
 Revenue –USD 13.6 billion
 It earns through CPC and CPM
 DoubleClick is the process that helps
customer to ap-
proach Google
AdSense
 It helps advertis-
ers in generating
wide traffic to
their website
BuySellAds.com
 Founded by Todd Garland
 Founded in the year 2008
 It charges 25% as commis-
sion compared to that of
32% by AdSense
 Inc. magazine ranked it as
248 out of 500 fastest grow-
ing advertising firms
 Revenue -$8.5 billion
 Being the most affordable of
all the online ad agencies.
 Largest distribution /
advertising network

3. It helps the buyers and sellers
to meet and charges commis-
sion . It spell out the main
ways in which companies
make profits by identifying a
company's role during com-
merce and describing how
products, information, and
other important elements are
Travelocity.com
 Founded and owned by Sabre Corpo-
ration
 Formed in the year 1996, a subsidiary
of American Airlines run by Sabre I.T.
professional Terry Jones.
 Now it is owned by Expedia
 Revenue -$ 280 million
 The main reason of its success is its
brand name Sabre and the ease to its
customers for online booking of ho-
tels , airlines, car rentals,
cruise ,packed vacations etc
First Monday.com
 First Monday was sponsored by Uni-
versity of Illinois at Chicago.
 Its was published on first
Monday of every month.
 In 2011, it had a ac-
ceptance rate of 15%
 In December 1998, the
portal was sold to a group
of editors: Edwards J. Va-
lauskas, Esther Dyson and
Rishab Aiyer Ghosh.
 It is open access electronic
peer-reviewed scientific
journal for article about
the internet.

4. This model involves whole-
salers and retailers of goods
and services coming online
to sell their product.
Sales may be made based on
list prices or through Auc-
tion
Play.com
 Owned by Rakuten
 Founded in 1998 under the
name Play247.com, but rebranded as
Play.com in 2000
 Originally sold region 1 and 2 DVDs
 Then started selling personal comput-
ers ,T-shirts ,Posters ,HD DVDs ans Blu-
Rays
 Raukuten.co.uk replaced play.com
 Revenue-US$4.6 Billion
 It does not sell products directly but
allows third party
to sell the prod-
uct
Dabs.com
 Founded in the year 1987 by David
Etherton and Bruce Smith in Bolton
 It became the wholly owned subsidi-
ary of BT Group in the April 2006
 Revenue-$209.045 million
 Online retailer store and it is UK based
 Because of the large margin and the
variety of products available , it is suc-
cessful business site

5. This business model allows people to
resell their used products to others
who are willing to buy and need
them . This model provides the
platform for both the parties to
meet .
Thredup.com
 Founded by James Reinhart,Chris
Homer, Oliver Lubin
 Formed in the year 2009
 Fashion resale website for consumers
to buy and sell secondhand clothing
online.
 Revenue $23 million
 7000 new customers join
this website every month
 The idea was to capitalize
on underutilized assets in
everybody’s closets – all the
stuff we have there and
don’t really wear.
 It is unique of its kind and allows the
parents to get rid of children’s useless
cloth
Threadflip.com
 Threadflip was inspired by CEO Mani-
k’s wife Tea, who was having trouble
parting ways with a pricey pair of
boots that she no longer wore.
 Formed in the year 2012
 Revenue-$4.0 million
 It offers branded stuff resale
 It charges a very less commission

6. It is a business model where a cus-
tomer must pay a subscription price
to have access to product or ser-
vice .Rather than selling products in-
dividually, a subscription sells period-
ic (monthly or yearly or seasonal) use
or access to a product or service
Listen.com
 Owned by real networks and head-
quartered in Seattle
 Formed in the year 2004
 Has approximately 18 million mobile
subscribers worldwide
 It allows its users to listen various
songs and updates about music any-
where and get its revenue from the
subscription of the customers

Netflix.com
 Formed by Reed Hastings and Marc
Randolph in the year 1997
 It is headquartered in Los Gatos
 69.17 million suscribers (out of which
40 million are from US
 Revenue-$267 million
 By subscribing to this site , the custom-
ers can watch any tv show ,movie etc
on demand and anywhere
 It provides an ease of excess to its cus-
tomers
 Charges a nominal rate of subscription
depending upon the plan customer
takes

7. The business firms using this model
collects information about various
people and supply the useful data
about buyers to the sellers of prod-
ucts and services and in turn charges
fees for it
Neilsen
 Founded by Arthur Neilsen
 Owned by Neilsen N.V. Which is
formed in the year 1923
 Supplies information about the cus-
tomers to various sellers who are ei-
ther entering the market or are al-
ready their in existence
 Revenue -$6.288 billion
 Has a wide spread of over 100 coun-
tries
Comscore
 Founded by Magid Abraham and Gian
Fulgoni
 Founded in August 1999
 It provides marketing data and ana-
lytics to many of the world's largest
enterprises, agencies, and publishers.
 Revenue -$3.25 billion
 Earns its revenue from the big compa-
nies to whom it supplies information
about their customers that what they
buy and prefer

8. In this model of e-business the cus-
tomers can have free access to the
information provided in the website
about various articles but after cer-
tain extent they have to subscribe
which means they have to pay pre-
mium . Thus it is named as freemium
model i.e. the basic functions are
free but the advanced options are
paid .
Dropbox
 Developed by Dropbox Inc.
 It was initially released in the year
2007
 The users are provided with a free
storage facility on their computer
 Users are offered a free account with a
set storage size and paid subscriptions
for accounts with more capacity.
 Revenue -$426
million
 It has over 200
million users
Pandora
 Founded by Will Glaser,Jon Kraft and
Tim Westergren
 Founded in the year 2000 in Oakland
California
 It is an online radio that allows its us-
ers to listen to some songs for free but
has to pay for advanced version
 Revenue -$920,800,000
 Approximately 80 million users
 The user uses genre station to choose
its playlist
 The wide variety available makes it
very pop-
ular

9. This business model is similar to re-
tail business. Just the difference is
that it involves the use of internet
for selling the products or services in
the market . It is gaining huge mo-
mentum due to increased internet
users .
Dell
 Founded by Michell Dell
 Founded in the year 1984
 It allows the customers to purchase
their products(computers, softwares,
peripherals ) online as well as through
some retail stores
 Brand name is the reason of its sales
and revenue
 Revenue -
$59 billion
Amazon.com
 Founded by Jeff Bezos
 Founded in the year 1994
 The largest etailing website
 Allows variety of products
 Makes the sellers meet the buyers and
the products are either delivered by
the seller itself or amazon arranges for
delivery
 Revenue –US$88.988 billion

10. It provides a platform to various peo-
ple to provide information bit by bit
and thus it makes the huge gather-
ing of useful information . Thus in
this business model the information
is not provided by the single party ,
rather various people like part time
workers etc provide information .
DIY Network
 Owned by Scripps Network Interactive
 Founded in the year 1999
 It covers various activities that can be
easily performed by the viewers at
home .
 Revenue -$22.8 million
 The users find it so useful and easy
that it is becoming very common in
every household to learn simple things
and practice it themselves .
Quora
 Founded by Adam D’ Angelo and Char-
lie Cheever
 Founded in the year 2009
 It aggregates questions and answers to
various topics .
 Valuation of the company is over $900
million
 There are over 80 million unique
monthly visitors
 Currently it is having zero revenue
 It is planning to include ads in
quora.com to earn revenue

11. t is somewhat like subscription mod-
el but the difference is the customers
have to pay only on the basis of their
time of usage of site . There is no
fixed subscription fees
Mequoda
 Founded by Don Nicholas
 Founded in the year 1980
 Formed by don Nicholas
 Formed in the year 2004
 Focus on content marketing, multi-
platform product development and
strategic revenue optimization, our re-
search, development and consulting
teams can help business to dominate
its niche
 Earns its revenue from the people sub-
scribing to this site
Slashdot
 Created by DHI Group Inc.
 Founded by Rob Cmdr Taco and Jeff
Bates
 Founded in the year 1997
 Earns its revenue from advertisement
and optional subscription
 It features news stories on science
and technology that are submitted and
evaluated by its users
 It has approximately 5.5 million users
per month