9 Types of Online Businesses and How They Work

Over the past decade and a half, online businesses of all kinds have presented unique opportunities for aspiring entrepreneurs. And it looks like those opportunities aren’t ending anytime soon. About 2 billion different people bought something online last year. Although this is a huge number, only 36% of all businesses operate online.

This means that there is plenty of room to start and grow new online businesses. But if you are new to the world of online business, how do you choose which is the best type of online business you should pursue?

In this article, we’ll outline some common types of online businesses you can start.


E-commerce, or electronic commerce, is simply buying and selling over the Internet. It’s not complicated, because almost everyone has bought or sold from people online.

per Launch an e-commerce business, you first need to decide what you want to sell. Better to pick a product with an already existing market. Most of the time, the online platform also determines what you sell. You can build your platform using sites like Shopify or WooCommerice. You can sell an existing platform on Amazon or eBay.

Here’s how to get started:

  • Choose your niche so that you have a specific reason for what product you are going to sell.
  • Search for a competition. This way, you will compare in terms of price.
  • Find a supplier where your product will come from.
  • You can now create an e-commerce website to post your products for sale.
  • Promote your website so people can see what you have to offer.

Affiliate Marketing

Have you ever recommended a product you liked to someone that they ended up buying? This is the basic concept of affiliate marketing. But instead of just getting a “thank you” from your friend, you get a commission. With affiliate marketing, you can recommend products and services you have used or tested to an audience.

Unlike e-commerce, affiliate marketing is not capital-intensive. You can even start for free. Many businesses have affiliate marketing partnerships that you can plug into.

To be a successful affiliate marketer you need to build an audience. You can use any platform like social media, youtube, podcast etc. to connect with the right audience. After successfully building your brand, you can start reaching out to affiliate with bigger brands You can also find affiliate marketing deals on Amazon Affiliate, eBay Partner Network, ClickBank, JVZoo, Fiverr, etc.


You probably get a large portion of your information from the internet from blogs. As of 2022, has ended 600 million blogs on the internet. With blogging, you have the opportunity to share your experiences, skills, and passions with the world through the written word.

Blogs make money through advertising, affiliate marketing, and sponsorships. Bloggers have the option to launch their own products and services and sell them to their audience These products can be physical products such as nutritional supplements or digital products such as courses.

To start blogging, you need to find a good host platform and the niche you want to blog about, follow best SEO practices, provide high-quality content, and show what you do consistently and strategically.

dominant business

Influencer marketing is becoming a bigger part of the advertising landscape. In the early days of influencer marketing, influencers were primary celebrities like Kim Kardashian. Now, an influencer can be anyone who can influence an audience of followers or customers to buy products.

As an influencer, you must consistently and consistently engage your followers, so they have a reason to stay on your page and trust you enough to buy what you promote.

All kinds of freelancing

Finally, you can explore the world of freelancing, where you offer your skills to different people simultaneously. Freelancing works for any digital skill including website development, content writing/editing, graphic designing etc. If you don’t already have digital skills, learn one. You can sign up on various freelance platforms to get clients – Upwork, Fiverr, TopTal, PeoplePerHour, Freelancer, Flex Jobs, Behance, Aquent, etc. – and start your freelance business.

However, these platforms take a cut of every sale you make. If you don’t want that, you can connect with clients directly through social media platforms and cold-emailing. The good thing about freelancing is that you decide when and where you want to work and who you want to work with.

Freelancing includes the following types of businesses:

  • Graphic design
  • writing
  • Video editing
  • Web Development
  • Social media management
  • Virtual assistant
  • Photography

App development

You can start one App development Business if you are well grounded in coding, programming and software design. You can create smart apps for smartphones by joining their technical development team or work as a freelancer for businesses that need apps and get paid for your efforts. You can also build apps to solve people’s problems and you earn money by people using your app through mobile ads, in-app purchases, etc.

YouTube Creator

If you have a lot of knowledge that a lot of people will find useful about a particular niche and aren’t camera-shy, then you should give it a try. Becoming a YouTube Creator. It allows you to earn money while talking about what you love. YouTube pays its video creators, but you need to get a certain amount of views to start getting paid.

You can also run ads for other businesses and work as an affiliate marketer. You can develop your products and sell them to your YouTube audience as well To start YouTubeing, choose a niche you want to focus on; Make sure the niche you choose is one you are highly knowledgeable about and fills a need/demand.

Online consultation

If you have enough experience in a field, you may be able to start an online consulting business. You determine the value of your skills. Your expertise will help them achieve the desired results.

If you are leaning towards this online business model, you need to start by determining the niche you want to consult for. Your choice must align with your skills and passion. It will also define your target audience and guide you in creating a business plan for your growth.

Online tutoring/learning

Online tutors are basically online teachers. Like online consulting, online tutoring is a type of online business where you teach students skills directly. These skills can range from academic subjects such as math or English to teaching a musical instrument.

You can choose your time, which will be outside of your work hours, as your students are in completely different time zones. Tutoring can be a very profitable online business. It is not uncommon for online tutors to charge $50 per hour for their services.

Thomas Martin

Tom is a member of Startup Mindset’s editorial team. He has over 6 years of experience writing on business, entrepreneurship and other topics. He mainly focuses on online business, digital publishing, marketing and ecommerce startups.

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Article Tags:

Business Opportunities · Featured · Grow Your Business · New Startups · Technology

Article Category:

Find Your Way · Grow Your Business · Productivity · Technology

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