Why marketplace model is creating a buzz in eCommerce world?
The emerging nature of eCommerce market brings in many new innovations in the field. The potential and the range of the market is such that evolution of trends is necessary so as to keep yourself firm and moving in the market. In this regards, the emergence of marketplace model is a thing which is making a buzz in the arena. Those who are adopting this trend are witnessing a good optimization in their conversion rates. With eCommerce giant like Flipkart and amazon falling in line with the marketplace model we will take a look that why the model, is making such a buzz. Why the buzz of marketplace model? The marketplace model provides a definite edge to your conversion by expanding the market for your products. By inculcating a large base of sellers it makes sure that the customer has a wide range of products to choose from. Now we will look at some of the features of marketplace model which have resulted in it creating a buzz. 1. Large SKU’s: The marketplace model allows you to feature a large variety of products on your website. You can sell a wide range of product that too without the hassle of necessarily maintaining and updating your own niche based inventory. 2. Increases efficiency: By cutting the cost of various overheads like operational cost, logistic cost, inventory management cost, and labor cost it enhances the operational efficiency of your eCommerce website. Thus, makes it as an optimal solution for an eCommerce start-up. 3. Low cost for a new setup: With no investment in inventory management and operational procedure, the marketplace model provides a budding
atmosphere for new eCommerce websites to emerge in and start their action immediately. Additionally, it provides the fair chances to all those small business to build a new identity on online market. 4. Inclusive nature: The marketplace model brings in that section of small and medium sellers who were feeling left out after the emergence of the eCommerce market into mainstream digital commerce. Both the eCommerce website and the sellers share mutual benefit thus creating a win-win situation for all. 5. Provides you space for technological advancement: By cutting time that gets wasted in making procedural arrangements, it allows you time to make technological advancement based on market trend so as to keep yourself updated on the market front. Final thoughts The expanding nature of eCommerce has a wider potential to cater a large chunk of the audience. Marketplace module is one such extension which provides a wider reach to this market. With customer satisfaction at the helm, the importance of marketplace model can’t be neglected, also with most of the eCommerce websites in developed countries going the marketplace way the developing countries can’t wait for longer. To adopt the marketplace model for your website you just need to install a plugin based on the CMS platform that you are using for your website. Magento marketplace extension is one such extension for eCommerce websites based on Magento CMS. Keeping in mind the potential and scope of the marketplace model adopting the feature for your eCommerce venture would be a valuable addition to your conversion rate optimization strategy.