Marketplace out is an e-commerce business model in which a digital entrepreneur like you sells your e-commerce products on third-party platforms. That is, this model allows you to use the structure of other companies like Amazon for online commerce.
Marketplace out is, therefore, the opposite of marketplace in . To help you understand better, a marketplace in is when your company creates an online shopping mall where third-party companies can sell their products.
CHARACTERISTICS OF A MARKETPLACE OUT
The main feature of a marketplace out is its ability to aggregate a multitude of sellers on the same platform. In this way, it makes it possible to create an online shopping center much like a mall.
This is possible thanks to a technology called payment splitting , which distributes the payment made by the consumer to various stores, marketplaces, payment gateways, carriers, and other parties and institutions involved in the purchase process.
In general, the marketplace out is interesting especially for smaller companies, which still don't have the money to set up their own store. But it is also great for medium and large companies, as it allows them to increase their sales channels and reach new audiences.
Another important feature of a marketplace out is its high capacity to generate traffic. This, in turn, provides more visibility for sellers' products without the need for them to invest in advertising.
Furthermore, an external marketplace is responsible for the technological infrastructure, so sellers can use the site without having to worry about Information Technology . In many cases, this type of marketplace also takes care of the physical infrastructure, including fulfillment and delivery services.
Anyway, a marketplace out does not offer all this structure for free. The company that owns the marketplace charges each seller a fee, which is usually a commission per product sale. It is up to the seller to assess whether it is better to have their own virtual store or to pay a marketplace out fee.
HOW TO MAKE THE INTEGRATION?
The first thing to do to become a seller and start selling your products on a marketplace out is to read the marketplace instructions. Soon after, you must register and wait for approval, which may take a few days.
However, if you already have an online store on an e-commerce platform like VTEX , things become much easier. This is because VTEX has native integrations with major marketplaces such as Amazon, Mercado Libre, and Walmart, among others.
Furthermore, it's possible to outsource the integration. That is, you can hire a VTEX agency like Agência e-Plus, for example, to do the service. Agência e-Plus has already produced more than 300 online stores for clients in Brazil and countries such as Argentina, Portugal, and Costa Rica.
Either way, joining a marketplace out can help you design and scale your e-commerce brand. Through this business model, you can use the strength of big brands like Amazon to gain more credibility in the market.
As soon as you can, click on “ VTEX Marketplace ” and learn more about this solution!
