Types of Customer to Customer (C2C) Businesses

Craigslist is an e-commerce platform that connects people advertising products, services, or situations. Craigslist not only provides a platform for buying, selling, and trading products but posts monthly classified ads, such as employment opportunities and property listings. This platform requires the seller to deliver items directly to the buyer in person.

Etsy allows company owners to create their custom website on which to market their products to consumers. The C2C site offers guidance and tools for growing a business that ranges in price according to a company’s stage of development. There’s also a “Sell on Etsy” app that helps to manage orders, listings, and customer queries efficiently.
eBay features two types of product listings: fixed-price items and auction items. Fixed price items can be purchased quickly by selecting the Buy It Now button. Auction items feature a Place Bid button for entering bids and show a current bid price. These items are open to bids for a predetermined time and are declared “sold” to the highest bidder.
Revenue and Growth of the C2C Market

C2C websites and similar platforms make money from fees charged to sellers for listing items for sale, adding on promotional features, and facilitating credit card transactions. These C2C transactions typically involve used products sold through a classified or auction system.

The C2C market is projected to grow in the future because of its cost-effectiveness. The cost of using third parties is declining, and the number of products for sale by consumers is steadily rising. Retailers consider it to be an essential business model because of the popularity of social media and other online channels. These channels showcase specific products already owned by consumers and increase demand, which drives increased online traffic to C2C platforms.

However, C2C has problems such as a lack of quality control or payment guarantees. In some cases, there is little support for credit card transactions, although the emergence of PayPal and other such payment systems over the years has helped simplify payments on C2C platforms.

 

Real World Example of Customer to Customer (C2C)

The C2C marketplace has increased over time, as more companies have entered the space to facilitate C2C transactions. Many companies target niche markets and list specific products to attract unique consumers.

The C2C marketplace is increasing in popularity among sellers looking to maximize their sales potential by connecting with customers that they otherwise would not reach using traditional selling methods. Online platforms such as Etsy and Craigslist appeal to customers who can locate mostly any product or service at a price they are willing to pay.