10 Things to Consider When Choosing Marketplace Development Platform

Do you want to develop a marketplace platform? You need to be specific about the platform you choose. You need to be very specific about the comfort, convenience and ease of using your website for your customers.

You will be surprised to know that Amazon is the most used marketplace platform, and “ease of use” is the second top reason why people choose this platform over hundreds of others.

Developing a marketplace platform means you have significant competitors in the market, and you need to have an absolutely exceptional product, be it design, usability or performance.

In this article, we will discuss how to choose a marketplace development platform that gives you a competitive advantage and keeps your initiative thriving. Let’s explore.

A marketplace platform without a number of high-quality vendors is useless. An online marketplace with a wide assortment brings a competitive advantage. Even customers prefer to shop from your multi-vendor e-commerce platform as they get various options to choose their desired products and services.

How to Ensure a Seamless Onboarding Process

Not every marketplace comes with a smooth vendor acquisition process. You need to ensure that your marketplace does not consume lots of time from vendors. In most cases, successful vendors with excellent product ranges may not spend that much time.

Having an online marketplace with complex order management features will ruin your expectations and goals. It must be an easy and comprehensive order management feature. Vendors associated with the marketplace platform may not be so tech-savvy, and hence, a complex order management process may hinder vendors from managing their products in your marketplace efficiently.

How to Ensure Smooth Order Management

When you choose a marketplace platform, you need to ensure that the marketplace platform has easy order management features for Vendors to use. You can do this by selecting a good marketplace software with order management tools.

Vendor payout management is also crucial. You may have witnessed various marketplaces which did not show up much in the market. There may be multiple reasons behind failure, but “not having easy payout management” was one of them.

How to Address Payout Issue

When you choose your marketplace software, you need to ensure that the system comes with easy disbursing or paying out of funds received from a customer to Vendors. That means you need to build a marketplace platform that accommodates multiple fee types, including commissions, fixed disbursement fees, transaction fees, transaction fee surcharges, category commissions and more in regulation (region-wise).

Building an online marketplace without having multiple shipping options might hinder your vendors from selling products to a broader range of audience. This will impact the reputation of your marketplace, and even good sellers may abstain from joining your platform.

How to Ensure Multiple Shipping Options

Courier service integration is the first option you should look for while choosing a platform. Businesses associated with your marketplace platform must have the flexibility to select shipping options for fulfillment. You can choose from drop-shipping and centralized delivery or both if your marketplace platform is integrated.

When you choose the marketplace, you need to brainstorm over your requirements. You need to see if the marketplace platform fulfils your requirements or addresses all your business concerns.

How to Address This Issue

Ensure you have done your requirement analysis. For example, you have planned your business logic. It should include value proposition description, monetization and how the participants, such as vendors and sellers, will interact with it.

You can build your marketplace platform for $10,000 or $100,000. It all depends on what approach you take. For example, price differs from one platform to another. So, the type of platform you choose will impact pricing. You can select a cheap platform or the costliest one.

How to Choose a Cost-Effective Marketplace Platform?

The best way to choose an effective marketplace platform is to choose one that offers you comprehensive support at cost-effective rates.

Selecting the right marketplace platform depends on various things. First is your requirement, and second is marketplace trends. Explore all options properly before making a final call.

Now, you have selected a platform, but what about maintenance? Who maintains your platform? Will you need to hire experts to maintain the platform, or will you get support from a marketplace platform provider? If you own the responsibility to maintain your marketplace platform, you need to hire a dedicated team who will maintain your application.

The better way to ensure maintenance is to select the providers that provide maintenance services with each subscription plan. If you are supposed to hire a team to maintain the app, then it’s no use as you will have to spend good bucks hiring experts and maintaining the system or both —your platform and team.

If you talk about upfront investment, a custom marketplace may not be cost-effective, though it saves a great deal of time, money and resources in the long run. If you have a long-term vision, you can consider building a custom marketplace platform. Even though it can be costly, Codzgarage can help you build a marketplace platform cost-effectively.

We have our office in India with world-class infrastructure and a vetted team of engineers who dedicatedly work as your cavalry. We process that helps us clearly define the project scope and work directly using the agile development methodology. However, we have followed the software development model as required for the projects. They are

Final Thoughts

In this article, we have discussed the marketplace development platform. We have guided you on how to choose the best marketplace development platform by detailing all its elements. You can go through the features and find the best platform that you need. You can also connect with Codzgarage if you want to build a platform or wish to hire a dedicated web development team to make you a highly scalable platform. You can also connect with us for free consultation.