Online Business Model|Business Models

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BUSINESS MODELS
A business model describes the rationale of how
an organization creates, delivers, and captures
value www.TheWestProgram.com
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Types of Business Models...
Advertising Model
Affiliates Model Brokerage Model
Merchant Model Subscription Model
Information Model Community Model
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Advertising Model
Most widely used model online Cost per
impression Cost per click Fixed cost ad placement
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Affiliates Model
Sell other people's products Get paid when actual
sale is made You concentrate 100 on product
sales Product owner handles refunds and support
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Brokerage Model
Brings sellers and buyers together Usually these
are transaction brokers Charge a fee for
transactions processed Control only technology
and not products sold
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Merchant Model
Online wholesalers and retailers Control over the
prices and margins Keep the biggest portion of
profits Provides product support and delivery
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Subscription Model
Charge a weekly, monthly or annual fee Used to
deliver web content and applications Common
membership sites, blogs and forums Owner earns
ongoing---Customer can cancel
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Information Model
Earn money by charging for information Most
popular are digital products---eBooks Delivered
to the buyer with a download Expenses involved
are virtually non-existent
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Community Model
Users interacting with each other Donations to
help pay expenses Fee for certain premium
features Users invest a high level of time and
emotion
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Learn Advanced Online Business Building Skills -
Latest Internet Marketing Strategies... and Much
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