E-commerce versus Online Marketplaces: Understanding the Subtle Difference Between the Two

IONIXX TECHNOLOGIES E-COMMERCE VS ONLINE MARKETPLACES TARGETING THE AUDIENCE E-commerce solutions focus on a target audience filled with buyers and individual merchants. However, in an online marketplace, the platform includes a network of both buyers and sellers. MARKETING STRATEGY Marketplaces have sellers who will advertise and FLS promote on their own. E-commerce has buyer audiences and individual sellers have to spend on drive traffic to the website. ENGAGING THE AUDIENCE Marketplaces push buyers towards more purchases and sellers towards the listing of more services or products while it's costly to engage the audience through an e-commerce platform. SCALABILITY Marketplaces take fewer financial risks, thus more scalable as they don't have to sell or buy any products. E-commerce websites need regular investing and selling may take forever. INVENTORY SIZE For E-commerce, large inventory will allow your buyers to find what they need but it must have room for stocking extra products. Marketplaces don't need inventories, so there are no additional costs. TIME AND COST REQUIRED Building an e-commerce website needs a lot of time, work and initial investments whereas marketplaces don't need to spend extra time and money as everything is set up already. Looking for an online marketplace solution? www.IONIXXTECH.COM | [email protected] |+1 (909) 757 - 3707