Thursday, June 12, 2008

Revenue modal of eBay, Amazon.com, and Google

The revenue model of Amazon.com is its online bookstore. It also diversified to product lines of DVD, music CD, Computer software, Video games, electronics, apparel, furniture, food, and toys. The Amazon Marketplace service let customers to sell used items such as books, CD, and others. Amazon also started selling products under its own private label “Pinzon”. The store selling downloads exclusively in MP3 format without digital rights management. AmazonFresh is one of the services of Amazon which provided a grocery service that offering perishable and nonperishable foods.

Google earning revenue from online and mobile advertising that related to its internet search, web-based email, online mapping, social networking, office productivity, and video sharing. At the same time they also sell advertising-free versions of the same technologies. Google selling advertisements associated with search keywords. Those keywords were sold based on a combination of price bid and click-through. Google purchased a radio advertising company “dMarc” which provides an automated system that allows companies to advertise on radio. Google AdWords allows web advertisers to display advertisements through either a cost-per-click or cost-per-view scheme. Google’s free web-based e-mail service generates revenue by displaying advertisements and links from the AdWords service. Google launched
Google Apps Premier Edition, a version of Google Apps targeted primarily at the business user. It includes such extras as more disk space for e-mail, API access, and premium support, for a price of US$50 per user per year.

Ebay is an
online auction and shopping Web site in which people and businesses buy and sell goods and services worldwide. eBay entered into its first third-party licensing deal, with a company called Electronic Travel Auction to use SmartMarket Technology to sell plane tickets and other travel products
Millions of
collectibles, decor, appliances, computers, furniture, equipment, vehicles, and other miscellaneous items are listed, bought, and sold daily. eBay generates revenue from a number of fees. The eBay fee system is quite complex; there are fees to list a product and fees when the product sells, plus several optional fees, all based on various factors and scales.

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