According to Lengow, over 60% of sales already happen through marketplaces, and some of the most successful companies worldwide (Airbnb, Amazon, Uber) operate under this model.
On the surface, it may seem like marketplaces are much more complex than other, similar businesses, due to their nature as multi-vendor platforms. The truth is the marketplace model is surprisingly lean and scalable for new startups.
You’ll understand it with an example.
A marketplace is a virtual shopping center that works as an intermediary between buyers and sellers.
Think about what a physical shopping center really is. It’s place where thousands of clients go because they find it convenient to shop in one place with a variety of stores. It’s also a place where, as a shop owner, I’m interested in being because there are lots of customers going there every day.
A marketplace is the same thing in the e-commerce world. Sounds intriguing
Amazon is the mother of all marketplaces and the must-mention benchmark when it comes to this topic.
Talking about marketplaces means talking about Amazon, the most famous one in the world. there is life beyond the giant that is Bezo’s famous shop.