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How to create a marketplace platform in 3 easy steps

Although the entire global market is teeming with multiple ecommerce marketplace platforms, a perfect and a complete ecommerce marketplace script is still a rarity. It is difficult if not impossible to find a quality ecommerce marketplace script. I surmise, the major reason is that vendors do not lay utmost emphasis on the factors that make a marketplace all the more flawless and consummate. To prevent the risk of mediocrity becoming the standard of ecommerce business jargon, here is a sweet list of factors to be considered before creating a marketplace platform:

Size of Market:

A common quibble from ecommerce business industry is that the size of market is not an important factor. Sorry to denigrate the views of exponents of this idea, the size of market can either mold your business or disfigure it beyond expectations. It is extremely important to identify who the target audiences are. If your target audiences are as diverse as a saltine cracker, the size of your market is humongous. Depending upon the market size, different web hosting services can be provided. For instance, if your venture is the next Amazon or next Alibaba, your ecommerce marketplace script should eventually rely on cloud hosting service providers.

Liquidity:

To put in simple terms, liquidity can be defined as the lifeline of any business platform. In our context, it can be defined as the lifeline of ecommerce marketplace platforms. Liquidity is characterized by the presence of minimum number of sellers and costumers with very high expectation of successful business transactions. Understanding the finer lines of difference between liquidity and critical mass will do a world of good to vendors. Critical mass is characterized by the presence of sufficient number of sellers and costumers with realistic expectation of potential business transactions. This is the metric to watch out for- assess the liquidity of your marketplace platform. List the sellers and vendors by solving the ‘chicken and egg’ problem. Get the required sellers and buyers on board and strike a sweet deal. To have an understanding of ‘chicken and egg’ problem, please navigate to the following link to read more.

marketplace platformFrequency of transactions:

To increase the liquidity of your marketplace platform, you must try your best to increase the frequency of transactions. Higher frequency implies higher customer engagement and vice versa. Higher customer engagement leads to increased reliability of your marketplace platform. Higher reliability implies better brand awareness. Remember, if your platform is still striving to find its feet, frequency of transactions can become a key differentiator.

Value-added features:

Personal opinions and perspectives run amok when it comes to this key consideration. While some opine that marketplace scripts should be well stocked with a host of features such as newsletters, email configuration managers, admin panels, smart search features, intelligent browsing options, multi-level affiliate marketing system etc., a few opine that the one shouldn’t go overboard and complicate the UI by stuffing it with endless apps. While both the considerations seem to have a good amount of truth, it is eventually the vendor who has to take the decision before embarking on the creation of ecommerce marketplace platform.

Fragmentation:

When it comes to fragmentation, it is all about having a global market that is characterized by high fragmentation. In other words, it is all about having higher buyer and higher seller engagement. A low fragmented place is characterized by cartels where a few sellers determine the prices of goods and services. This is highly undesirable. When there isn’t any healthy competition, your chances of survival are worse than bleak. Customers tend to lose their faith. Low fragmentation inadvertently stymies your growth.

Differentiating factors:

More often than not, buyers prefer purchasing only the crème de la crème marketplace script to hedge against the risk of a bad choice. In the perceived series of developments, a few differentiating factors will go a long way in etching your name in the minds of customers for eternity. The differentiating factors can be:

  • Life time validity
  • Onetime payment
  • Free professional installation
  • Multiple payment gateways
  • Reasonably priced themes
  • Latest templates
  • Reliable customer support
  • Round the clock service
  • Mobile compatibility
  • Responsive design

The above furnished list of differentiating factors allows you to move ahead in the pursuit of loftier goals. After doing ample market research, I can confidently assert that Admire from Ecommercemix has the perfect blend of all such differentiating features. I would like to quote that marketplace scripts with afore mentioned differentiating features are as scarce as a hen’s teeth.

Seamless flow of payments:

To realize the essence of a seamless flow of payments, support to multiple payment gateways is all the more imperative. From the sellers’ perspective, your marketplace platform should be a source of revenue. From buyers’ perspective, your marketplace platform should be a source of quality products. Transactions should be processed with lightning speed. Dashboards should be provided to each and every seller to keep track of inventory. Having a thorough understanding of credit card processing model will serve your purpose.

Automation:

Just force feeding the customers to be tech savvy doesn’t make any sense. Integrate all the necessary modules and embed all the needful APIs to automate each and every task. For instance, rather than asking customers to write a few lines of code, develop a plugin. Ask them to download the plugin and integrate the same to the ecommerce marketplace script. Similarly, mass email marketing system can be developed. Automation takes your venture to a whole new level. There is nothing better than having an automated system at one’s disposal.

Predictive Analytics:

Ensure that your ecommerce marketplace script is provisioned with predictive analytics software. This enables you to distinguish between genuine visitors and fake visitors. By leveraging the features of this software, you can save a lot of time and effort. Fake sellers and dubious registrations can be dispatched. Other extra benefits include elimination of click fraud, optimization of ad campaigns and perfection in ecommerce activities.

Customer Relationship Management Software (CRM):

Without this feature, your ecommerce marketplace script is toothless and baseless. To ensure that customer satisfaction is your ultimate reckoning, both in letter and spirit, policy and execution, integrate CRM software in the marketplace platform. CRM automatically qualifies leads based on the users’ history and activities. Email marketing messages can be targeted at such leads. Never wonder if your list of admirers keeps getting big. CRM wields the baton of magic!

SEO for eCommerce marketplace:

To create an ecommerce marketplace platform that would service the needs of millions of customers, it takes something more than sheer passion and courage. It takes the ability to pitch the idea and make it viral. Thoroughly overhaul the available SEO automation tools. Pick over the curated ones and zero in on to the best one.

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Communication:

Communication is a double edged sword. Create your marketplace platform is such a way that sellers and buyers can negotiate and reach a consensus. Map your intended target audiences with potential vendors. Have a ‘Buyer and Seller’ discussion board. Keep the following considerations in mind-

  • Communication should trigger sales and not disputes
  • Buyers and sellers should maintain good rules of conduct and higher standards of etiquette.

Flawless Process Flow:

First time users often start-off with drudgery, making their way up. To prove your marketplace platform’s prowess at every level, ensure a flawless process flow. If the users are to be broadly categorized into Administrators, Sellers and Buyers, follow the below furnished hierarchy:

Admin:

Administrators have complete access to all the features. Administrators can configure and manage both sellers and buyers. An admin can grant permissions and revoke the same as per his discretion. Additional categories of products can be added. Apart from this, he can track the activities of sellers. During festivities and special occasions, special features such as “Coupons and Promotion” can be enabled. Admin has the privilege to alter newsletter templates and themes. Additional payment gateways and shipping costs may be provisioned. In addition, he can manage static pages and modify gift guide recommendations. In one word, he is the ultimate “Big-boss” of his ecommerce marketplace platform.

Buyer/User:

Strictly speaking from a user’s point of view, users can perform the following activities:

  • Register
  • Signup via social profiles
  • Use ‘Smart browse’ feature to browse through the list of available products and categories
  • Add his/her wish list of products.
  • Display the newly added wish list of products.
  • Access to dashboard.
  • Update his/her profile.
  • Upload his/her profile picture.
  • Furnish links that directs others to his/her social channels.

Seller/Merchant:

  • Strictly speaking from a seller’s point of view, sellers can perform the following actions:
  • Buy new products as a buyer
  • Sell his/her products
  • Can sign-in as a buyer and seller with the same profile
  • Split payment
  • Negotiations with customers
  • Negotiations with admin regarding commission
  • Conflict resolution
  • Fix genuine price rates

Trendy Revenue Model:

Whatever you do, it all boils down to earning a fat commission. A heavy wallet can rejuvenate your spirits and motivations. Here are few important business pointers while configuring the revenue model:

  • Set a fixed commission- be it a known seller or an unknown one.
  • Automate the marketplace platform by using robust APIs and earn revenue
  • Attract advertisers and place banner ads.
  • Built-in affiliate system allows you to charm your way through a crowd of admirers.

All the above considerations give you a well-rounded perspective of the key factors that form the ultimate Holy Grail for an effective ecommerce marketplace platform. However, it is easier said than done. To develop a consummate and an exemplary ecommerce marketplace script, you require a very good team of developers, growth hackers and web hosting service providers. In addition, you require other intangible virtues such as patience, perseverance and risk taking capacity.

Here are a few wise words of counsel- When it comes to meeting your expectations, Admire from ecommerce-mix stands second to none. You can try, experiment and experience the thrill. It addresses all your concerns and aids you in every walk of your ecommerce business.

Here are three simple steps to create marketplace platform:

Buy Admire marketplace script

Install the software. You may watch video tutorials for a better perspective.

Load the products. In case of any queries, you may pitch your concerns on community forums. Start selling your products in your characteristic style!

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