You may have heard of different types of online eCommerce marketplaces based on their business models or their method of business operation. To drill down to the core, we’ve chosen some existing types of online marketplaces:
An online marketplace is an online virtual place where a various number of vendors and customers gather and interact as equals (when either side are individuals or business representatives) or develop a hierarchy of “entrepreneur-client.” There are 3 types of basic eCommerce marketplaces business models:
- B2B (business-to-business) — Business marketplaces
- B2C (business-to-customer) — the business sells to its purchasers.
- C2C (customer-to-customer) — solely personal people supply and create orders, not entrepreneurs, equal communication
There are various types of online eCommerce marketplaces based on different business models pr business operations. Here are the existing kinds of eCommerce marketplaces:
In B2B marketplaces, businesses sell to different businesses on beneficial terms. It is a business-to-business online marketplace platform operated by a 3rd party (marketplace owner) and is hospitable to the buyers and sellers from a selected business. Popular examples of the independent B2B marketplaces like Alibaba.com, eBay.com, etc. that allows the manufacturers and wholesalers to shop for and sell on their platform.
Depending on the platform content, B2B models may be of two types:
Vertical marketplaces provide online access to businesses vertically across each phase of a specific business sector like automotive, chemical, construction, or textile. Buying or selling using an online vertical marketplace helps increase operational revenue whereas decreasing the supply chain and inventory value and procurement time.
A horizontal e-marketplace, on the contrary, suggests service in various industries connecting buyers and sellers across different industries or regions. It permits the buyers to get indirect products like workplace equipment or stationery.
The B2C marketing model allows entrepreneurs and their customers to act with one another. The advantage of such a platform is that you simply notice everything you wish and a good sort of commercials offers on one website platform.
For example, AliExpress could be an immense multi-vendor marketplace platform with several vendors giving their products, operating with the B2C business model. The platform is visited by over 525+ Million users monthly and notice offers from companies-producers: from garments and household appliances to cars and bikes.
C2C marketplace models also are cited as P2P: peer-to-peer, or person-to-person, presuming that there are not many entrepreneurs and every one the participant’s area unit equal. They need similar interests, financial gain is concerning a similar age, and visit the online platform to share one thing with others.
This helps the consumers to lower their administrative prices and obtain the simplest costs from the suppliers. The suppliers can even use the buyer-oriented marketplace to advertise their product to the set of relevant customers.
Besides the marketplaces mentioned higher than, there also are C2B business models (customer to business). It will be a contract exchange house, wherever personal specialists provide their services to totally different companies.
Our eCommerce consultants can tell you everything concerning the development of an online eCommerce marketplaces. You can find complete information about developing an online marketplace on Webnexs.