A marketplace is a venue or a specific location where a market is held. With the development of the internet, a website where a specific type of product or services are selling to their customers are also known as marketplaces as well.
The history of marketplaces goes way back from the time of barter exchange. During the time of barter exchange, a specific time of the week was established by popular consideration when people used to bring their products into a single place to get something else in exchange. As the currency system overwhelmed and replaced the barter system, the concept of marketplace developed into a broader concept ultimately becoming getting classified into various kinds.
Depending on the characteristics of the transactions, there could be two types of marketplaces. One is retail marketplace and the other one is wholesale marketplace. A wholesale market place is a specific venue where products are sold or bought in bulk. The customers of such marketplaces are mostly retailers or manufacturers of an end product. And retail markets are the place where a customer can buy a product in any size and quantity as he/she wishes. Normally, the core customers in a retail market are end customers, who buy a product for their personal use.
With the development of a currency system and the introduction of online payment methods, besides having a general marketplace; we have online marketplaces as well. Like a general marketplace, online marketplaces are of a different kind. The broader aspect of this evolved industry consists of numerous online marketplaces, which is known as the e-commerce industry. From talents to products, you will find all sorts of items in an online marketplace. Here are two major reasons why people chose to shop from online marketplaces over a local marketplace.
- Easy shipping: Most of the reputed online marketplaces provide the facility of home delivery, which is a very attractive offer for a buyer. With this option enabled, a customer can easily get their product delivered at home within 1-2 workdays (depending on that marketplace’s delivery system).
- Best price: Because of low operating cost, a product is cheaper in an online marketplace, then what it is worth in a local market. Leading e-commerce sites like amazon and ebay have made this benefit so popular that now most people prefer online marketplaces as their one and only option for buying products to satisfy their demands.