Introduction to an online marketplace
An online marketplace is an e-commerce platform where products and services are listed by multiple sellers and third parties for selling. The transactions done are processed by marketplace operators.
These online marketplaces are basically a type of multichannel ecommerce that bring large sellers and buyers together by enabling customers to choose form the large variety of products.
The Difference Bnext V/s Marketplaces
Primarily, marketplaces are tech aggregators that connect varied buyers and sellers on their digital platform.
Sellers use marketplaces to look for new buyers in both B2B and B2C sectors. One of the biggest advantages that sellers get on the marketplace is they do not have to invest much into marketing and promotion of their product. Marketplace serves as a good branding activity to the sellers and gives them a great reach. Additionally, buyers also get connected with the new sellers at zero risk.
As the marketplace acts as a mediator with several policies that covers buyers risk. However, all that glitters is not gold these marketplaces have a downside too.
Competition – Sellers face huge competition from varied other sellers and sales predominantly acts as the function of two factor.
Brand name – Most buyers tend to prefer buying only from the brands that are well-established and popular in the market.
Pricing – In case if the brands are not well known enough, the selling is reduced and the price tends to become the determining factor.
There is almost no communication between the seller and buyer. Thus, developing a loyal customer base on these marketplaces is next to impossible.
The trust is the key
Trust is the crux of Indian General Trade System and it acts like the oxygen for buyers and sellers as the Indian B2B market largely functions on it.
Customers are neither loyal to sellers and nor to marketplaces in Indian B2C setup. They are only loyal to discounts and offers that lure them. While in B2B setup, marketplaces largely lack in generating trust among both, the buyers and the sellers.
Perhaps, these marketplaces will never be able to move these SME buyers and sellers unless and until they provide the oxygen to the system.
Bnext, b2b wholesale distribution software differs from marketplaces on countless factors.
The b2b e-commerce distribution software helps sellers in generating better revenue through their existing set of customers. These are the connections where sellers and buyers already know and trust each other to an extent. Bnext boosts this trust further and makes it stronger.
The wholesale distribution software for small business helps SME sellers to increase basket size of their existing customers and to keep them engaged.
Unlike marketplaces that aim at connecting only buyers and sellers i.e. 2-node transaction, Bnext focuses on developing a multi-node transaction chain. The SAAS software is designed to permeate and empower the SMEs and organize the much unorganized general trade network of India.
Bnext understands the supply chain process starting from manufacturer to distributor, distributor to wholesaler and wholesaler to retailers and enables every node to share, sell and re-sell products using a common inventory so that there is no duplicity.
Going a step ahead the b2b wholesale software India has a feature called private mode. With this feature manufacturers can give restricted access of their products and catalogs to specific customers.
Thus, Bnext is a B2B Wholesale Distribution software and not a market.