Why open a Marketplace?
Now if E-commerce is a virtual store, the Marketplace is the virtual shopping mall, of products, but also of services, which is where the main business opportunity lies.
Stop for a moment and think: the services market repr Chinese Overseas Asia Number Data esents more than 50% of companies active in Brazil. MEIs, microentrepreneurs, are the majority of CNPJs created in Brazil. The class of small companies is the one that generates the most jobs and drives the national GDP.
In other words, it is a fact that there are a large number of service providers in Brazil. And these professionals or companies are looking for ways to promote their services online and attract new customers.
That's where the Services Marketplace comes in , which is a place that brings together service providers from a specific market niche and allows customers to hire online in an easy and secure way.
So even if you are a company that sells products, see the main differentiators for you to think about opening a Services Marketplace:
Blue Ocean on the Internet : there are still few Service Marketplaces, which is why competition is low. So with a relatively low investment in digital marketing (compared to the amount invested in platforms for selling products), you can achieve a return on investment in a shorter period of time.
No problems with Logistics : as you are intermediating services, there is no problem with the delivery of the physical product, and therefore issues such as shipping costs are not a problem. Of course, you need to create mechanisms to ensure good satisfaction and security for your customers, so features such as Professional Assessment and Guarantee Payment, which retains the value until the service is provided, are necessary.
Local Model, Global Scale : Of course, you can create a Service Marketplace that operates only in your city, state or national level. But the point is that unlike E-commerce, as you are just intermediating business between buyers and service providers, scalability is greater, as it does not depend on having warehouses to store products or any physical structure. But of course, good local marketing strategies are necessary in the region where you are creating your Marketplace.
Selling Services in Product Markets : even if you sell products, it is possible that there is some provision of services in your market. For example, think of a construction material company that sells taps. Despite being a product, it is very common for the customer to need to hire a service provider to carry out the installation. And the same occurs in several markets that sell products, and fail to see the opportunity to intermediate services and earn money from it.
If you are thinking about a long-term business, with the potential to be truly scalable, using technology to your advantage, the Marketplace is certainly a good alternative to E-commerce.
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The difficulty with the Marketplace is that you need to take very good care of both ends of the scale: the sellers and the buyers. And this requires a good marketing and customer retention strategy, as a Marketplace usually becomes a valuable business when it has a high volume of transactions.
And just like in E-commerce, the tip is to always think about a specific niche of services that you already have experience in, or that is a market that you can access with some ease. This will increase the likelihood of your Marketplace having a higher conversion rate and bringing results in less time.
Conclusion
As we have seen, there is no right answer: you can create an E-commerce or a Marketplace to grow your business on the internet, and have significant results with both strategies.
However, we see that the opportunity to create a Services Marketplace is currently much greater and may be something that no one has seen yet in your market.
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