What is Online Marketplace?
An Online Marketplace is a type of e-commerce website where product and inventory information is provided by multiple third parties, though transactions are processed by the marketplace operator.

Significance
Online marketplaces have transformed the way individuals purchase, sell and dumping goods.

  1. For Example, in the past, if somebody had old garments they wanted to dispose of their first stop would be the local charity shop. However today there are heaps of websites that allow individuals to sell vintage garments, or the dress purchased last season yet never worn.
  2. Let’s take an alternate example of those who create hand tailored items, they no longer have to depend upon craft fairs and verbal marketing. They are able to sell their artworks to people around the globe utilizing distinctive marketplaces.

Why Online Marketplaces are Rising?

Number of online marketplaces are raising each year. The real explanations for this are:

  • Free as well as Open Source development platforms are easily available so that it gets to be easy for programmers in order to develop an e-commerce site.
  • Increasing interest of customers
  • Market Competition
  • Worldwide Ease of access
  • Profitability
  • Straightforward cost system
  • Unmatched traffic

Platforms for building e-commerce Websites

  1. Magento:
  • An open source development platform used for building e-commerce websites.
  • Content Management System (CMS) which offers adaptable and extendable e-commerce solutions designed to help you grow and succeed online.
  • This is the cost savvy platform that makes it possible for you to control functionality, look and feel and content of your online store.
  • It supports a Web Template System that generates multiple similar looking pages and developers can customize them.
  • More such developer friendly features draw attention of developers to use this platform.
  • According to 2013 e-commerce survey, Magento covers largest market share by 26%.
  1. Drupal Commerce:
  • Drupal commerce is a free open source e-commerce software.
  • Content management framework that displays items for purchase, walks customers through the payment process, keep track of invoices, receipts, orders, payments, facilitates shipping and performs other functions needed by merchants.
  • It sets aside less time for development since there is no need to develop and maintain a custom integration between two separate systems.
  • Ongoing administration and maintenance of a Drupal commerce site is easier.
  1. Shopify:
  • Shopify is an e-commerce development platform that allows individuals and businesses to create online stores.
  • Developers recommend Shopify because of its ease of use.
  • Over a hundred free and premium templates.
  • Since platform is hosted online, you do not require to download or install anything.
  1. WooCommerce:
  • WooCommerce is the most popular free open source e-commerce plugin for WordPress.
  • A broad characteristics, user friendly experience and huge flexible.
  • It is more than e-commerce since it doesn’t drive users to go beyond their comfort zone when building their online stores.
  • There is a lot of room to customize and tweaks an online store to a level of uniqueness.
  • It has built in analytics system that makes a wide exhibit of statistics crystal clear.

A summarized result of each platform is show below:

eCommerce Platform Stores in Oct 2012(amongst top 100K) Stores in Feb 2013(amongst top 100K)
Magento 8087 9064
Shopify 573 826
WP e-commerce 800 799
Drupal Commerce 28 68

All these platforms are proposed by industry experts to build E-commerce websites and due to their far reaching features online marketplaces are expanding.

You’ll be able to discover much bigger concerning online marketplace and industry by simply studying following info-graphic, designed by Nine Hertz.

Increasing Online Marketplaces 2014
Image courtesy: Nine Hertz