In this highly digitized age, the internet has revolutionized various industries – including the way modern consumers search and shop. Seeing as online interactions are the name of the game in this oversaturated marketplace, businesses are crossing over digital platforms to keep up with the current trends and demands of the market.
What is an Online Marketplace?
Also known as an e-marketplace, it refers to a website or application that acts as a mediator that bridges the gap between customers and companies in the B2B and B2C sectors. This means that online marketplace owners don’t necessarily produce the products or services, rather, it serves to provide the following:
- Vertical Marketplace – a platform that offers products of the same type from multiple vendors.
- Horizontal Marketplace – an avenue where businesses can sell different products that mimic the same characteristics.
- Global Marketplace – one of the biggest types on the list, a global marketplace caters to a wide audience as they sell various products with no limitations regarding the suppliers and items.
- Hybrid Marketplace – as the moniker suggests, this is a platform where consumers can complete transactions and also have the choice between products from the company and other businesses.
Businesses use different forms of an online marketplace to gather clients and provide a more tailored service in a quick and efficient approach. With that in mind, the list below explores the reason it is steadily becoming a hot business model:
What are the Benefits of Using Online Marketplaces For Your Business?
Benefit #1: Better Web Positioning
Search engine crawlers automatically prioritize marketplace websites, so utilizing it means you can expect your company to be at a top position on the get-go. That isn’t to say that you should be compliant with your SEO and online marketing tactics.
Optimizing your website, products, and more are still crucial in establishing a reputable online presence, though the process becomes relatively easier using an online marketplace. Not to mention, this platform allows you to have a full overview of the demands of your products to help you gain a competitive edge in a tight market.
Benefit #2: Save Time and Resources
Marketplaces can do wonders for your time and resources as it removes the hassle of establishing a digital storefront. Without the need to attract consumer traffic, an online marketplace can do all the heavy lifting such as product listing and payment getaways.
This allows you to focus on what you do best: improve your products and strategies to scale up your business with a readily available e-infrastructure ready for the taking.
Benefit #3: Access International Markets and Increase Sales
Many online marketplaces can guide you through the international market regulations, registrations, and taxes by streamlining the process in easy-to-digest nuggets. Leading giants like Amazon and eBay, for instance, use the Global Shipping Program (GSP) to simplify your orders.
This means that the eBay shipping centre can take the hassle away by handling your international shipping logistics for you. Of course, adding your products to region-specific marketplaces such as China’s T-Mall and France’s Cdiscount can also improve your visibility as it can reach further markets.
Conclusion
In an age where e-commerce businesses thrive on online marketing to expand their reach, putting your products in online marketplaces offers a massive opportunity for your company as it can internationalize your company, increase your sales, and even make optimization easier all for a cost-effective approach.
We are an online commodity where you can connect with millions of buyers, sellers, and shippers across the globe. If you’re looking for industrial supplies and other raw products, get in touch with us to see how we can help.