MARKETPLACE

Accelerate your business with these expert tips on "Marketplace" - take a look and discover this TIP!

A Marketplace is a platform that allows both sellers and buyers to interact with each other in order to carry out a commercial transaction. On such platforms, buyers and sellers remain in the technical and commercial environment of the industry until the transaction is finalised. Son an intermediary, the digital equivalent of a shopping mall.

They make interaction between customers and sellers is much easier and more convenient, as they serve as a "showcase" in which many products and services are presented. These platforms generally provide the supplier with everything needed to sell: product sheets, analytical tools, technical support, paid advertising, etcetera.

Marketplaces may vary according to the type of offer:

• Marketplaces of products - Aliexpress.
• Marketplaces of services - Trivago.
• Marketplaces of works - JobToday.

Advantages of buying on Marketplace:

MARKETPLACES ARE VERY CONVENIENT FOR BUYERS FOR SEVERAL REASONS:

• Les allow a huge variety of products or services to be found in a single place.. The possibility to easily find the products you need, filter them and compare prices is quite convenient.
• They can access very convenient and secure purchasing conditions.. Many people have more confidence in marketplaces than in an unknown e-commerce. They know that if something goes wrong, Amazon, eBay, or the marketplace they have bought from, will vouch for them against the seller.

ADVANTAGES OF SELLING ON A MARKETPLACE:

• Firstly, for suppliers it is the possibility of accessing a level of much higher traffic than with its own ecommerce. Both nationally and internationally.
• On the other hand, the sale of products and services through marketplaces provides access to a new channel for saleand even position itself as a leader in a specific product or service. In this sense, the seller's reputation on the platform is key.
• And finallymarketplaces usually take care of many aspects "secondary", such as payment, the UX of your site, and so on.

DISADVANTAGES OF SELLING ON MARKETPLACES:

One of the main disadvantages of marketplaces is, that you have to pay a commission for each sale. In your own e-commerce you are lord and master of your income, but not here.

• Conflict/cannibalisation of traditional channels: Today, for many vendors, it is almost mandatory to be on these platforms. However, marketplaces such as Amazon impose a price war that can cause conflict with other channels. For many sellers, it is almost impossible to match their prices in physical shops to the prices offered online.
• Monopolistic practices: The big marketplaces are taking the whole market. This is of concern to many sellers, who are tied to the impositions imposed on them by these platforms.
• Sale of illegitimate products: It is quite normal for them to appear copies of your products and that you cannot compete with them if the price they offer is competitive.
• Privacy and consumer data protectionWhen selling on a third-party platformyou lose control of the information of your consumer. You have to give it to the marketplace.