E-commerce

E-commerce (electronic commerce) is the sale or purchase of goods or services where the order is placed or received over computer networks by methods designed specifically for that purpose: a website, an app, a marketplace. Payment and delivery may still happen offline, so an order on a site with cash on delivery and Nova Poshta shipping also counts as e-commerce.

In plain words

The key in the OECD definition is the ordering channel. If a shopper placed an order through a cart on a site, in an app or on Rozetka, it is e-commerce, even if they pay in cash at the branch. The OECD states directly that payment and final delivery "need not be conducted online" (OECD, quoted from ITU, 2017). The definition does not depend on the type of product or the method of payment (same source).

A broader, everyday definition: e-commerce is the electronic buying or selling of goods and services over the internet, on websites, in apps, on social networks or on online marketplaces (Wikipedia, E-commerce).

It follows from the same definition that an order taken by a manager over the phone is not counted in e-commerce statistics: a phone call is not a method "specifically designed" for receiving orders over a network.

E-commerce models

Models are distinguished by who sells and who buys (Wikipedia, E-commerce):

B2B differs from B2C not only by the buyer. In B2B large and expensive orders are routine, prices can be individual for each customer (contract prices, volume discounts), purchasing can go through a quote and approval inside the company, and payment is by invoice, on credit terms or as a prepayment. In B2C the shopper sees a public price and pays at checkout (a source on B2B).

D2C is when a manufacturer sells directly, with no retail chain or distributor. Many D2C brands work online only from the very start. One company can combine models: sell to retail shoppers and wholesale customers from the same store.

Marketplace and your own online store

A marketplace is a platform where many independent sellers sell: Rozetka, Prom, Epicentr, OLX. The platform provides traffic, shopper trust and often logistics and payment, and earns from commission, subscriptions or advertising.

An own online store is a single company's site, where it decides the range, prices, design and return rules itself and owns the shopper data.

In practice Ukrainian stores often work in both channels: the marketplace gives volume, the own site gives margin, repeat purchases and customer contacts.

What an e-commerce business consists of

1. Product and range: own production, purchasing, dropshipping (the seller holds no stock, the supplier ships the goods).
2. Storefront: a site, an app, listings on marketplaces, social networks.
3. Catalog and content: photos, descriptions, attributes, prices, availability.
4. Payment: card, Apple Pay / Google Pay, installments, cash on delivery, invoice payment for B2B.
5. Logistics: a warehouse or fulfillment, delivery (Nova Poshta, Ukrposhta, Meest, courier), returns.
6. Customer acquisition: SEO, paid search ads, social networks, marketplaces, email.
7. Service: consultations, order processing, post-purchase support.
8. Accounting and data: CRM, accounting system, analytics: where shoppers come from, what they buy, how much acquisition costs.

Revenue models in e-commerce vary: product sales, subscriptions, advertising, affiliate commissions and transaction fees.

What is happening in the market now

• Ukraine. According to Prom's estimate, Ukrainians spent UAH 256 billion on online purchases in 2025, 7% more than a year earlier, which is roughly in line with inflation. That sum includes foreign platforms (AliExpress, Temu). E-commerce's share of Ukrainian retail stayed at around 10%, the same as in 2024 (Forbes Ukraine, 21.01.2026). This is one marketplace's estimate, not official statistics.
• Finding products through AI. According to a BCG study (a survey of more than 9,000 respondents in each wave across nine countries, published 2 January 2026), shopping use of generative AI grew 35% from February to November 2025, and more than 60% of consumers highly trust AI answers (BCG, January 2026). For a store this means some shoppers compare products in AI assistants before they reach the site, so product pages with accurate attributes and prices matter even more. The data covers nine countries, and Ukraine is not among them.

How different sources see it

• The OECD gives a narrow, "statistical" definition: what matters is how the order is made. This is needed so that countries count e-commerce the same way.
• Most business sources define it more broadly: any buying and selling over the internet, including social networks.
• For a business owner the difference matters when calculating the share of online sales: an order taken by a manager over the phone after a call from the site is not e-commerce under the OECD, but a CRM often records it as "online."

What to watch for

• Do not confuse e-commerce with an online store. An online store is only one channel. Sales through marketplaces, an app or a social network cart are also e-commerce.
• Cash on delivery does not make a sale offline. But it affects the economics: some parcels are not collected, and this has to be included in the profitability calculation.
• Mobile traffic. According to PYMNTS Intelligence (Global Digital Shopping Index, June 2026), 53% of consumers' most recent purchases worldwide were made on mobile devices (source). It is worth checking the mobile version of the store first.
• Dependence on one channel. If all sales go through one marketplace, a change in its commissions or rules hits the business immediately.

FAQ

What is e-commerce in plain words? It is the sale of goods and services where the shopper places the order online: on a site, in an app or on a marketplace. They can pay and receive the goods offline.

How is e-commerce different from an online store? E-commerce is the whole field of online sales. An online store is one of its channels, alongside marketplaces, apps and social networks.

Does an order with payment on receipt count as an online sale? Yes. Under the OECD definition what matters is that the order was placed online; payment and delivery can be offline.

What should you choose: a marketplace or your own site? A marketplace brings sales faster, your own site gives control over price, brand and customer data. Many stores combine both channels.

What is D2C? A model in which a manufacturer sells to shoppers directly, through its own site, without retail chains and distributors.

Related terms

• Technical specification for an online store
• Target audience of an online store
• SEO audit of an online store
• Technical site audit

Sources

• OECD, визначення e-commerce transaction (2009), відтворене в: ITU, EGH 2017 background document 1 — E-commerce — itu.int/en/ITU-D/Statistics/Documents/events/egh2017/EGH%202017%20background%20document%201%20-%20E-commerce.pdf
• ILO Metadata, визначення e-commerce з посиланням на OECD — metadata.ilo.org/taxonomy/899.html
• Wikipedia, E-commerce — en.wikipedia.org/wiki/E-commerce
• Forbes Україна. Українці витратили на онлайн-покупки 256 млрд грн: Prom (21.01.2026) — forbes.ua/news/ukraintsi-vitratili-na-onlayn-pokupki-256-mlrd-grn-prom-21012026-35702
• BCG. Consumers Trust AI to Buy Better. Brands Need to Move Quickly (02.01.2026) — bcg.com/publications/2026/consumers-trust-ai-to-buy-better-brands-must-adapt
• Shopify, What Is Ecommerce? — shopify.com/blog/what-is-ecommerce
• Shopify, B2B Ecommerce — shopify.com/blog/b2b-ecommerce