Although considerable research has been conducted into the definition and classification of business models (BM) over the past decade, not much research has focused on the characteristics of transactions with distinct phases in these BMs. Both transaction cost economics and consumer behavior research highlight the relevance of transaction phases. We develop a seven factor framework that differentiates between the information phase, the agreement phase, and the fulfillment phase. The factors are derived from the analysis of ecommerce transactions and include the transaction partners, the information and trust they need, the type of flows between the partners, the revenue generation, and the cost for premature termination of the transaction. We apply the framework to a theoretically driven BM classification and illustrate the framework with two cases of the Australian tourism industry.

Our analysis reveals that transaction phases determine how mature a BM is and therefore how advanced the transfer of business transaction from traditional to online environment is. According to our results, the number of transaction phases supported online is an indicator for customer satisfaction and the success of the BM.