Everything About Online Marketplaces
Online marketplace is either an app or website that is facilitating shopping from various sources. For the operator of the marketplace, it doesn’t have any inventory and instead, their business is more about showing the inventory of other business to their users and then manages the transaction. In today’s time, you are going to find numerous online marketplaces and for sure, you’ve been using some of it.
As a matter of fact, it is not really a surprise to learn that there is a growing number of these marketplaces as they provide consumers with utter convenience. If you are making a department store today, then it will be an online marketplace or otherwise called as department store 2.0. Because users can access supplier’s inventory easily via electronic means and that the marketplace doesn’t require to own it before they make offers to customers, all the products sold by the suppliers are available to consumers and that there is real time info on the number of supplies for the products sold on online marketplace’s website or application.
Consumers do not want to use apps from just a single retailer. They are more interested to download an app that can provide all the products they want from various stores. That is one of the biggest appeals of such marketplace.
On the other hand, you need to know that there are some downsides to this form of shopping as well. The information is not comparable and delivery speed of sellers are not uniform because the products offered are from different sellers. Actually, there are many people who are shocked after learning about this. Making the marketplace work flawlessly means drawing in many suppliers at the same time and make things seamless for consumers which is quite hard to do.
Fact is, there are three types of marketplaces nowadays namely vertical, horizontal and global. Following is a brief overview of each type of marketplace.
Vertical – if the marketplace sells one type of product but it is coming from multiple sources, then it’s considered as such.
Horizontal – this shares a characteristic but this online marketplace sells different types of products.
Global – as what the name implies, it is a marketplace that sells just about everything.
There are literally countless of hybrid marketplaces you can find in the internet and tons of companies small and big are allowing users to promote their own merchandises that are now surfacing in multiple ecommerce websites. Assuming that they function well, that marketplace adjunct to ecommerce page that then offers myriad of products and increased traffic.