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IT Glossary

What is E-commerce?

Commerce conducted over the internet — from your own online store to selling through marketplaces and social platforms.

Selling online looks simple from the outside — a product page and a buy button — but the word e-commerce covers the whole machinery that appears the moment a company moves from occasional social-media sales to systematic online trade. There is the storefront (your own shop, marketplaces such as Amazon, social commerce), online payments with their processor, logistics — carriers, shipping labels, returns — and the integrations that let every order flow into inventory and invoicing without manual retyping. The strategic decision at the start is rarely technological; it is the channel mix. A store of your own builds margin, brand and a direct customer relationship, but demands that you bring the traffic; a marketplace supplies demand from day one in exchange for commission and anonymity. Blending the two, dosed to the stage of the business, beats purism in either direction. The legal layer has non-negotiable pieces in most jurisdictions — consumer withdrawal rights, transparent pricing, privacy compliance, and whatever electronic invoicing rules your tax authority enforces — and a short legal review before launch costs a fraction of the first consumer-protection fine. Budget marketing from the beginning too: an unpromoted store is a beautifully organised warehouse nobody visits.

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Why it matters for your business

Open around the clock, nationwide reach

The online store sells at midnight and across every region — without rent on a prime street or till schedules.

Marketing spend you can measure

Unlike a physical shopfront, online shows exactly where each customer came from and what they cost to acquire — budgets optimise on data.

A direct customer relationship

Purchase history, newsletters and customer accounts are owned assets — the foundation of repeat sales without platform commissions.

Frequently asked questions

Own store or marketplace — where do I start?

It is not either-or: a marketplace brings demand from day one in exchange for commission and someone else's rules; your own store builds margin, brand and customer data but requires traffic you generate. The frequent pragmatic mix: marketplace for volume and cash flow, own store grown in parallel for margin and independence.

What would running an online store cost monthly?

Beyond the build: hosting and platform fees, payment commissions of roughly one to two percent per transaction, shipping — and the systematically underestimated line, marketing, without which the store is a beautiful, empty warehouse. Budget promotion from the start, not from what remains.

What legal obligations does an online store carry?

The usual package across most markets: full company identification on the site, correct terms and conditions, consumer withdrawal rights with their procedure, a privacy and cookie policy meeting data-protection law, honestly displayed final prices, and the invoicing rules of your tax jurisdiction. A short legal audit before launch costs far less than the first regulator's fine.