Multivendor Ecommerce Marketplace Platform

An online multivendor marketplace software is a turnkey solution with plug-and-play capabilities. The best marketplace software is coded with essential features. For entrepreneurs considering starting their own online business by launching an eCommerce website like Amazon or Etsy, this is an easy way. It empowers them to launch an eCommerce website where multiple sellers sell their products to the buyers.

The correct answer to this question depends upon multiple variables. Firstly, the approach you take to build a multivendor marketplace. If you start from scratch, i.e. you hire a team to build the eCommerce website from the ground up, the process takes longer. The team conceptualizes, plans, designs, codes, and tests, till you get the prototype version. Moreover, also taking into account the complexities in your project, the features required, and finally integrations needed to execute your business plan, the project times would vary. Since the time taken is longer, the costs will be higher. So the ballpark estimate can range anywhere from $10,000 to $500,000.

If, however, you choose to use a multivendor eCommerce software, you can get running with your eCommerce website much quicker. The costs involved will be lesser and more predictable. For instance, YoKart, a multivendor eCommerce solution, starts at just $1249 (currently). This is the price for a rich featured solution, which is pre-integrated with multiple business APIs. This in itself covers multiple eCommerce use cases and has found application in numerous scenarios with its default configuration. So if you build using a capable online multivendor marketplace software, the costs are lower but if you develop your eCommerce website from scratch the costs will be between the above-mentioned figure.

According to Forbes, online sales will account for 20.1% of all retail sales taking place in 2024. This number jumps to 23% in 2027. This means that 1 out of every 5 things sold, will be via an eCommerce website somewhere. So these are exciting times for eCommerce. The industry is growing globally and is expected to do so.

Online marketplaces are generally classified based on the business model they run on. While there can be multiple business models, but three are popularly adopted. On a fundamental level, there are three entities, i.e. the buyers, sellers and the the marketplace operator. But the type of users and how these interact defines the business model of a marketplace. These are the three main types of marketplace.

• B2C Marketplace: In this marketplace third party vendors sell to the buyers in the eCommerce website. Marketplace operations are managed by the marketplace operator. For instance, a vendor selling a fashion product like a shoe to a buyer on Amazon.
• B2B Marketplace: On such an eCommerce website, businesses sell to other businesses. Operations are managed by the marketplace operator. For instance, a manufacturer from China selling a consignment of shoes to a retailer on Alibaba.
• C2C Marketplace: On a C2C website, consumers sell to other consumers. This means that sellers here are not typically businesses like retailers, rather users who are looking to sell their products or some possession of their own, directly to other individuals. This type of marketplace allows users to engage in peer-to-peer transactions. For instance, a user selling a shoe to another user on eBay.