Ecommerce industry is noticing various changes with passing years. All because of the changing consumer behaviour which is quiet difficult to track. With changing trends in ecommerce industry, Multi-vendor marketplace is gaining edge over the generic ecommerce shop. The reason being convenience and ease of selling. Many small and medium sized retailers have already adopted selling on marketplaces due to various reasons.

As per a research, 63%of sellers solely sell on marketplaces.

Also, as per an online marketplace survey, it has been found that around 63% of sellers only sell on marketplaces while 55% have more than 20% profit margins.

The above figures clearly states that why sellers opt for selling on marketplaces. Not only the statistics, there are numerous reasons why marketplace are chosen over an ecommerce shop. Below listed are few of them.

1. Sell huge variety of products: Owning your own ecommerce store restricts you to sell only the products which are available in your stock while when you club with multiple vendors, they can add more varied products for your customers to choose from thus decrease in bounce rates and increase in sales ratio.
2. Lower investments: You get more customers if you provide huge variety but for an ecommerce store owner, it is quite difficult buy huge set of products as it may incur huge investments but for a marketplace, each and every vendor/seller would be providing their own collection thereby more products on your e-store with lesser investments and the best part is each and every seller has to manage their own products therefore less staff required for management.
3. No logistics and shipping management: Owning an online store requires managing many things like logistics, inventories, shipping and various other details that requires manpower and efforts. Multi-vendor marketplace facilitates you to shift your all the mentioned tasks to your and you just have to sit and monitor the flow.
4. No inventory: You are really out of maximum issues relevant to delivery and warehouse management. Also manpower management costs you a lot. Developing a multi-vendor marketplace will take your headaches of managing of these inventories. Also there won’t be any risks that your products won't be sold or there would be a huge loss.
5. Earn extra income via commissions: You can add sellers/ vendors to your store and charge them commissions on their sales. You can define your own rules of charging commissions like fixed amount earned on per order or fixed percentage commission on certain order value. Every time your seller gets an order from your marketplace estore, you automatically get a percentage of commission out of it.
6. More traffic: More products hence more people will visit and thereby more click rate. Any online store that provides ample amount of variety of products need not to worry about the bounce rate as with such a quantity you get more traffic and sales quiet easily. Multiple vendors on your marketplace multiply your order value too. It also contributes in increasing your visibility.
7. HigherROI: Multi-vendor marketplace have a lot of potential in generating high ROI as with more product range, the sales are quiet fast and obvious while for ecommerce store owners, the sales are relatively confined, thereby lowering the ROI generation.

Now that you are thorough with the advantages of Multi-vendor ecommerce store in comparison to your own online store. Think on developing the marketplace rather than e-store and leverage the advantages of it. If you already own an ecommerce store, try converting it in to multi-seller marketplace.

There are many marketplace developers or solution providers available in the market. List down your requirements and search for the one which is highly scalable and robust and which perfectly fits in to your business needs. Get smart enough and stay hand in hand with technological advancements and latest ecommerce trends if you want to rule the ecommerce market.