By According to Statista, e-commerce sales worldwide amounted to $4.3 trillion in 2021 and this number is anticipated to reach $7.4 trillion by 2025. Marketplaces play a significant role in the growth of global e-commerce.
As per Statista, 47% of online purchases around the world happened via online marketplace platforms. Looking at the thriving phase of online marketplaces, many aspiring entrepreneurs are coming forward to capitalize on the trend.
To take the same thought forward, this post will bring light to the best online marketplace ideas for entrepreneurs.
But before we get to that, let’s first have a quick overview of what an online marketplace means.
What is an Online Marketplace?
An online marketplace is a kind of e-commerce platform wherein various third-party sellers provide a diverse range of services and products to buyers.
Typically, online marketplaces connect buyers and sellers via the platform. They act as a middleman bringing together buyers and sellers to make transactions online. Popular websites like Amazon, eBay and Etsy are perfect examples of online marketplaces.
Why Do Consumers Love Marketplaces?
The latest survey by Mirakl reveals that 43% of consumers in the USA shop online via marketplaces. In the future, a whopping 92% of consumers in the USA expect to rely on marketplaces at the same rate or more.
It’s not just that even other countries such as Brazil witnessed a 71% increase in consumer usage of marketplaces and Singapore saw 54%.
So, let’s now deep dive into the reasons why consumers turn to online marketplaces for online shopping:
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Competitive Pricing
Today, many domestic and international brands are striving hard to win more and more customers with high-quality products/services at competitive pricing.
With online marketplaces, buyers get the option to browse a wide range of options via a single platform and choose what’s best for them at an affordable price range.
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Convenience
Convenience is one of the primary reasons more and more online consumers are turning to online marketplaces.
Marketplaces are wowing the customers whether it is the great ease that they provide to consumers for availing products/services while on the go, various payment options to choose from or fast delivery at their doorstep.
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Trust
Online marketplaces take the responsibility to verify sellers before they can sell to buyers via the platform. Due to this, buyers feel more comfortable browsing and buying products and services from sellers via an online marketplace.
Great Online Marketplace Ideas for Entrepreneurs
An online marketplace is a sort of e-commerce platform wherein customers can purchase items from different sellers in one place. This convenience to compare products and prices from a single source is what truly drives consumers toward marketplaces.
When entrepreneurs decide to launch an online marketplace platform, the biggest challenge they face is to come up with a great idea.
If you’re one of them, then below is the list of some of the best online marketplace ideas you can think of launching.
1. Online eCommerce Marketplace
As per the findings of Digital Commerce 360, the leading e-commerce marketplaces around the globe sold $2.67 trillion in 2020. And sales on platforms like Amazon, eBay and others, accounted for a whopping 62% of global web sales.
Thus, launching a platform like eBay is indeed the right move for aspiring entrepreneurs and startups alike who strive to go global.
2. Online Rental Marketplace Idea
Did you know that studies found that 70% of millennials and Gen Z find renting better than buying? Moreover, people see renting out as an additional money-making opportunity.
That’s why launching an online rental marketplace platform that empowers individuals or companies to rent out different sorts of things from the platform itself or each other is a lucrative business decision.
You can also go specific by targeting only one sort of item such as equipment rental marketplace or vehicle rental marketplace.
To get off the ground, you can take inspiration from key players in this industry such as Lyft i.e., car rental marketplace platform. The Lyft business model as a car rental service is similar to the ones that traditional car rental companies have.
3. Online Grocery Delivery Marketplace
The next one on our list of top online marketplace ideas is the grocery delivery platform.
Accelerated by the pandemic, online grocery platforms have witnessed significant growth. In 2020, the online grocery market clocked sales worth $95.8 billion in the USA alone. And it is anticipated to grow only in the future.
This means that there is an immense opportunity available for entrepreneurs in this sector.
The online grocery delivery market is highly competitive with many strong players like InstaShop and new players striving hard to gain market share. You need to do thorough market research to build a successful marketplace app like InstaShop.
4. Online Fitness Marketplace
You can think of a platform that brings trainers and trainees together in one place. Or you can launch a platform that helps people track their workouts and recommend the best training tools.
There are key players like Cult and TrainHeroic enjoying tremendous success in this sector and especially after the global pandemic.
As this sector is not highly competitive as compared to others, you can easily gain traction by launching an online fitness platform that provides an exceptional fitness experience to the target audience.
5. E-learning Marketplace
Did you know that according to GlobeNewswire, the worldwide e-learning market is anticipated to reach $374.3 billion by 2026 from $144 billion in 2019?
E-learning platforms like Udemy and Coursera have witnessed significant growth due to the convenience they provide learners to engage in online courses anytime and anywhere.
Thus, you can also think of launching an online e-learning platform like Udemy wherein you can provide online courses to learners around the world.
6. Online Service Marketplace
When it comes to the top online marketplace or startup app ideas, this one can’t be missed.
Online service marketplace platforms are the ones that enable the buying and selling of services between seekers and service providers.
The leading examples are UpWork i.e. the biggest freelance marketplace platform that connects businesses with independent professionals and UrbanClap and TaskRabiti.e. an online marketplace for local services.
You can take inspiration from the UrbanClap/TaskRabbit business model and launch your own service marketplace platform with the niches you want to cover such as plumbing, and salon services.
7. Telehealth and Telemedicine Marketplace
Studies found that the telehealth and telemedicine industry worldwide was worth $38.7 billion in 2020. And it will hit $191.7 billion by 2025.
So, without any doubt, launching a telehealth and telemedicine marketplace platform that allows people to avail themselves of services related to their healthcare such as consultation with a doctor is indeed a profitable business idea.
Make sure to go through the key players in the sector such as Doctor on Demand and MDLIVE to find out what you can do to stand out and gain traction. And partner with a strategic software development partner to materialize your idea.
8. Online Food Ordering and Delivery Marketplace
It’s no secret that the online food delivery industry is booming due to the huge demand among people for getting their favorite meals at the doorstep.
Even a recent study highlighted that the industry is forecasted to clock $320 billion by 2029.
There are many key players in the industry with new ones trying hard to gain traction. But when it comes to taking inspiration to enter this booming industry, the DoorDash business model is a perfect example to look at.
With its platform-to-consumer mode, DoorDash is a leading food delivery app in the USA.
9. Online Travel Activity Booking Marketplace
According to Rezdy, 40% of all tour and activity bookings are being made via online platforms.
Even online travel activity booking faces less competition as compared to other industries covered here, it is a promising one because people who love to travel for engaging in adventure activities.
When it comes to taking inspiration to start your own travel activity booking marketplace, look no further from Booking.com and Viator.
10. Online Furniture Marketplace
With more and more consumers showing great interest in purchasing technology-driven furniture via online platforms, the online furniture retail industry is booming.
In 2021, the e-commerce furniture market size was worth $27.74 billion and is forecasted to clock $40.74 billion by 2030. The industry has many mature strong players such as IKEA Systems, Ashley Furniture, and La-Z-Boy.
However, the rising growth of the industry means it’s high time for entrepreneurs interested in this niche to launch their own online furniture marketplace.
11. B2B Marketplaces
As its name suggests, B2B (business-to-business) marketplaces facilitate transactions between businesses.
As per findings by Digital Commerce 360, online sales on B2B marketplaces, e-commerce websites, and log-in portals increased 17.8% in 2021. It’s pretty clear that B2B e-commerce is booming and so you can also think of launching your own B2B marketplace.
When it comes to taking inspiration, we have key players such as Alibaba and Amazon Business to look at.
However, you should know that many marketplaces today are hybrids of B2C and B2B and a great example is Amazon and Etsy.
12. Second Hand Goods Marketplace
A recent study highlights that consumers are likely to spend a whopping $353.9 billion on secondhand items by 2030. This accounts for 153.5% growth from 2020.
It now goes without saying that launching a second-hand goods marketplace is a great idea for aspiring entrepreneurs who want to do something big. The key players to look at in this niche are eBay Marketplace, Poshmark Marketplace, and Tradesy.
Know more: How to Hire Remote Developers?
Conclusion
With this, you now know some of the trending online marketplace ideas you can think of launching this year.
After you decide on an online marketplace idea you want to launch, the next important thing is to find a software development partner who can help you turn your vision into a reality. You can either outsource complete development to a software development company or hire dedicated remote developers.
Outsourcing is risky as it restricts your control over development, which can result in low-quality service.
On the other hand, if you hire pre-vetted remote developers from a software development company, then you can expect full control over the team and development.
And you don’t need to invest your time in screening & training candidates and infrastructure.
Moreover, your vendor will manage the administrative part as well such as payroll and compliance of your remote developers, enabling you to fully focus on turning your marketplace app vision into a reality.
Share your opinion about this list of online marketplace ideas in the comments section below.
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