What Is an Online Marketplace?

What Is an Online Marketplace?

Who are the participants?
B2C marketplace serves businesses and customers. There is no third-party interference in the selling of goods or services. But the emotional response to the brand and product plays a vital role in the bottom-line numbers. The vivid representatives are AliExpress, Bonanza, eBid, eBay, App Store, Google Play.
B2B marketplace platform helps businesses with their goods or services to other businesses. To put it simply: the platform extends the distribution channels enhances getting on with the new partners. Such an online marketplace is managed by a third party. The operator handles the process automation, invests in customer experience, and deals transparency.

The online marketplaces are certainly not new. This is an independent platform that connects vendors and customers. No warehouses, just a database with services or goods descriptions and pictures.

Despite all the trends and innovations, they follow the key aim: beef up the exchange of goods and services. A brief overview of the online marketplace history is something like this:

In the 90s, marketplaces looked like a listing service. Contact offline and no way to check the vendor’s credibility.
In the 2000s, they were Craigslist-structured services tailored for specific industries. The navigation craved improvement. Contact is still off the platform. The credibility is still questioned.
In the 2000s, the functionality evolved and appeared the home services websites like Angie’s List. The options like buyer reviews, certified vendors, quote request forms were a breakthrough. Customers go offline to contact vendors.
Along with mobile adoption in the 2010s, on-demand marketplaces started. They helped you in a couple of clicks to book a service, rent an apartment or find a job.
Currently, the marketplaces are mostly managed. So the operators focus on delivering quality services and work on ensuring the trust between providers and customers.
Despite the type of marketplace, the competition is severe.

How to get the most profit from your efforts? Focus on the right audience and choose the appropriate business model and management type.

Who are the participants?

B2C marketplace serves businesses and customers. There is no third-party interference in the selling of goods or services. But the emotional response to the brand and product plays a vital role in the bottom-line numbers. The vivid representatives are AliExpress, Bonanza, eBid, eBay, App Store, Google Play.
B2B marketplace platform helps businesses with their goods or services to other businesses. To put it simply: the platform extends the distribution channels enhances getting on with the new partners. Such an online marketplace is managed by a third party. The operator handles the process automation, invests in customer experience, and deals transparency.