Business Models: The Green Home

Business Models: The Green Home Industry Internet business models can take a variety of forms. There is the 'brokerage' model, much like eBay, which brings buyers and sellers together. This can exist in a B2B or a B2C format or even a C2C market. For example, in the green homes market, a website could be exclusively devoted to sellers and buyers of energy-efficient homes and related products complete with pricing and details.

The site could either specialize in individuals selling homes, real estate agents selling homes, or distributors and sellers of green home building products looking to connect with builders and homeowners through such a site. Advertising websites mix content with paid advertising banners that target the likely web surfer's interest. Such a site could have articles about 'greening' a home or what to look for when buying or building a new green home, with relevant advertisers paying for space on the site.

There is also the 'pay per click' model where advertisers pay when users click their particular advertisements (Rappa 2009). Infomediaries (information intermediaries) connect through websites to give information to buyers and sellers so they can better understand the market. These website owners compile data about demographics, such as the demographic of the buyers in a particular area of green home or the track record of certain builders. The data is usually not free, but offered for a fee. Likewise, some websites offer paid content for user services (Rappa 2009).

An example might be a site that might agree to 'search' for a particular home for a buyer, or offer an exclusive portal between sellers, builders, or other industry professionals. However, these types of sites are rapidly falling out of favor, because of the widespread availability of free content. For a businessperson trying to attract the likely astute and educated core consumer of the green home market, the best type of e-commerce would be a site with advertised homes and materials, and also general.