Online Marketplace

An online marketplace is an eCommerce platform where third-party merchants sell their products and services. Companies love to use online marketplaces as they act as a perfect medium to reach potential customers who want to purchase their products and services. eBay, Amazon, and Craigslist are the best examples of online marketplace.

An online marketplace is classified into three types:

  • Vertical marketplace: Multiple products can be sold in a vertical marketplace, but they only belong to one type. For example, TrueFacet
  • Horizontal marketplace: In a horizontal marketplace, multiple products of different types are sold, but they have something in common. For example, Etsy offers a wide range of products, but the common factor is that all the offerings are handmade
  • Global marketplace: In a global marketplace, all kinds of products are available to be sold, unlike vertical and horizontal marketplaces. For example, Amazon

The benefits an online marketplace offers are:

  • Opens an additional source of revenue generation
  • Reduces marketing costs
  • Offers transparency related to product availability, stock levels, and prices
  • Increases the reach of your business
  • Allows customers to compare product costs

Create a world-class post-purchase experience