What is eCommerce Definition, eCommerce vs Traditional Commerce

Hey there my friend,

Thank you for coming to the blog. I wish you were looking to know about what is eCommerce definition for business and the Difference between eCommerce vs traditional commerce.

If yes, this article is worth reading.

There will be thousands of answers in this world for any problem. That depends on us which you and I should pick the right one to solve the problem.

I think you have referred to many platforms such as youtube, social media, books, etc but all of them keep you in a confused state with a lot of stuff in your brain.

But don’t worry I’m here you are at the right place, you will get everything clarified here.

What can you expect from this article?

In this article, I’m going to tell you about the eCommerce business. It includes

What is eCommerce definition ?

Difference between eCommerce vs Traditional commerce.

Future of eCommerce 

This article is useful for freelancers, entrepreneurs, Content Writers, bloggers.

Let’s Start

The world is changing day by day according to the situations and perceptions of people in this modern life.

There are a lot of industries in the marketplace and every industry has its own individual growth and strategies.

But, If you come to the eCommerce world the growth of this industry is massive and booming right now when you compare it to other industries.

It has become the fastest way of making money online for every individual who is in the market. 

The next big thing in eCommerce is that it changes the entire business strategies which already gave a massive impact and growth in covid pandemic times.

Now, Before starting to learn what is eCommerce definition or something new, we always want to know how it started and from where it began, what’s the inspiring story behind it.

History of eCommerce

So in the same way when I was thinking about eCommerce, I started studying it and in my research, I got to know a lot of things about how it started.

And here are some points I like to tell you.

Pointing to the history of eCommerce

 “A single idea can change everything and give rise to new things in the world”

E-commerce was introduced about 40 years ago in the late 1970s.

Companies have been using computer networks to conduct business since the 1960s but that type of version of eCommerce is almost not recognized nowadays.

In 1979 ANSI(American National Standards Institute) introduced a standard for sharing business documents through electronic networks. It gave companies a reliable standard to share documents. 

And later in the same year 1979 the Englishman Michael Aldrich invented online shopping by connecting television and the telephone lines to order or advertise businesses.

He opened the doors for online transactions between the consumer and business or business to a business named “Teleshopping”, And the rise of eCommerce has happened.

He is also known as the “Father of eCommerce”.

And later 1982  Boston Computer exchange was launched, where it is used to serve as an online market for people who want to sell their used computers. It became the world’s first eCommerce company.

In 1995 Jeff Bezos launched the retail store “Amazon”  where he started selling books online. Then the entire eCommerce market started to change and a lot of eCommerce stores opened and followed its lead.

The modern days of the eCommerce market have gone into heights and it is nowhere in the eyes to reach the bottom again.

Now let’s see the eCommerce definition.

What is eCommerce Definition?

Before going to know about what is eCommerce definition let me describe to you about Commerce.

Commerce is the business of exchanging products and services manually, which means through personal interaction between the buyer and seller.


Image describe about what is ecommerce definition

 eCommerce is the process of buying and selling products, services, or information over the internet, Which means there is no personal interaction between the buyer and seller.

E-commerce is also known as electronic commerce, which means the business is done online using the internet.

Therefore, the Internet plays a major role in the eCommerce world. The buying and selling are done through electronic devices such as mobile phones, Desktop Computers, laptops, tablets.

Basically, the business and the transactions of money, funds, and data that are done online are considered as part of eCommerce.

And the words eCommerce, e-commerce, or Ecommerce refer to the same point. There is nothing wrong with how you spell it’s up to you.

I hope you got an idea of about what is eCommerce definition in an easy way.

So you might have a question in your mind what’s the difference between traditional Commerce vs eCommerce.

Let me describe you below here.

Traditional Commerce

Traditional commerce

In traditional commerce, you need to have an offline store a.k.a physical store to sell your product and service that are cost-effective.

The availability of the physical store for your business is for a particular time period likewise 10 a.m to 10 and it will be for the particular local area.

Here, the consumer before purchasing the product can check the quality, touch, and feel the product manually.

The Delivery of the product will be instant. It does not take much time, the consumer can pick the product after the payment.

In offline business, there will be fewer profits when compared to online business.



ecommerce definition

In eCommerce, you don’t need any physical store to sell the products as I said before here everything is done online.

Here, you just need a website and internet to run your business which is available 24/7 and 365 days to consumers.

Therefore, like everything online, consumers cannot check the quality of the product personally before purchasing the product.

Here, consumers receive the product after placing the order, and delivery of the product also takes time where consumers can pick the product at his/her own place.

In online business, there will be more profits when compared to offline business.

And, these are few differences but there are a lot more and you get to know as we move ahead in the article.

But what’s the trend now?

The Image describes the difference between Traditional commerce  and eCommerce

 eCommerce has become a part of the people’s lives for consumers or business owners.

The reason why eCommerce is becoming part of people’s lives is the increase of smartphones.

Due to the increase in population in modern life, everyone is with their mobiles and tablets in their hands. And reports show that 70%-80% of traffic comes through mobiles and tablets.

So every businessman out there is moving their business from offline to online platforms for global reach and for a good amount of profits.

Now, you know the history of eCommerce, what is eCommerce definition, Difference between eCommerce vs traditional commerce.

Here, let me go through a bit of a walkthrough of the Future of eCommerce that you get some idea about.

Future of Ecommerce

future of eCommerce

eCommerce is growing consistently year by year and it’s a really booming industry right now.

As the world population is increasing ahead and with the easy access of the Internet, the consumers are looking to buy stuff in a comfort zone. So with that everyone can start a business online.

The eCommerce industry is never stoppable. We have seen some crazy stuff happen these days and the future of eCommerce will be promising growth for online business entrepreneurs.

2020 had changed the total market from offline to online since the covid pandemic hit the world and the growth or sales of the eCommerce market went up to $ 4.2 trillion USD worldwide according to Statista and is expected to reach $ 6.5 trillion USD in 2023.

Why did this happen?

When Covid hit the world, Suddenly people couldn’t go outside to buy stuff. So they are forced to buy things online. 

There are people who before never touched e-commerce stores have entered the online market and it’s crazy we have seen the sales going high across the world.

There were 2.14 billion digital buyers already in the market who are purchasing the stuff and the numbers would never come down near in the future as you can see in the figure below.

Describe status of global number of digital buyers

Apart from Global, the Indian eCommerce market has rapid growth with $46.2 billion in sales in 2020 and it is expected to reach $99 billion in 2024 according to Ibef.

The E-commerce trend is not going to be linear, rather it’s getting better and better every year.

So, I would say it is the right time to start your business online.

But how can you get into the eCommerce world?

It is not a big deal to enter into the eCommerce world.

The thing is that you can either be a consumer(buyer) or you can be a Retailer(Seller).

You can be a buyer where you can purchase products from online stores, a lot of people already do this all time.

And another thing, you can start your business online. I mean you can set up your own eCommerce store by having a website and a single product. That’s simple.

What can you sell online?

what should sell online

If you want to start selling online there are a lot of products and services but you need to choose wisely.

In simple terms, I will define it with  “Triple A” (AAA).

That means “Anything” can be sold by “Anybody” across the world from “Anywhere”.

I hope you got my point. Well, I will give you some clear and crystal things below here.

Physical products

A physical product is where you can touch and feel any tangible product that needs shipment to the customers that are sold online.

For any product which you need an inventory store and need to do shipment can come with a physical product.

Examples: Books, toys, apparel, home appliances, etc.

The best example of a physical product marketplace is “AMAZON”.

Digital Products

In a simple way, digital products are where you cannot touch but you can feel it.

Digital products are nothing but the downloaded stuff such as  Audio & Video files, Software, eBooks, Courses, etc

BigCommerce, Sellfy, Podia are some market places where you can sell your digital products.

Virtual Services

Here comes the virtual service, “Knowledge Is Divine”. I hope you are familiar with that quote since childhood.

 If you are an expert in something then you can share your knowledge as a service to someone online.

I mean you can sell your knowledge to a person or business if you are good at something and you charge it for that.

So there are a lot of things to sell. If you go narrow into three categories which I describe above you will get a lot of clarity on what to sell.


I have covered all the basics of what is eCommerce definition, and all others aspects of eCommerce to give you an idea.

This is just the beginning for the eCommerce business and you will get to know a lot more things in other articles to start your eCommerce business and to succeed in your career.

I hope you liked the article for the beginning of the eCommerce journey.

Mention your valuable comments and queries in the comments section, I like to read them.

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