Single Vendor Vs Multi-Vendor – Which Marketplace Model Is Right For You?
In the past decade, we’ve seen a great boom in the eCommerce industry. Following the improvement in technology, it is expected to achieve more growth and offer massive returns on investments to the global business owners. No doubt, e-commerce is the best choice that small businesses can make to take their business online, but there remains a huge question – Which one to choose from a single vendor or multi-vendor eCommerce platform?
Simply speaking, both Single Vendor and Multi-Vendor business models are great. You just have to be clearer about your business and the type of marketplace online will suit your business needs to make the better choice.
In this article, we’ll discuss the differences between single vendor and multi-vendor stores so you can make the better, more calculative decision.
Single Vendor Marketplace
This is the most commonly used business model by global e-commerce business owners. In simple words, this is a website where the website owner will list the products to sell online. With the single-vendor online websites, there are only two parties involved – the buyer and the seller. They are also known as Stand-Alone Website.
Generally, the single-vendor platforms are the ones single vendors sell their products to several customers. There is only one master admin through which the products are uploaded on the website for sale. The seller can manage the product list through the master admin backend.
Advantages of Single Vendor Marketplace
If you are a small business owner and would like to take your business online, developing a single-vendor marketplace is an ideal choice as it is cheap and easy to develop.
- Creating and maintaining a relationship with one supplier is easy
- Administrative and other supplementary costs are decreased
- Customers can bargain to receive small, regular deliveries
- Maximize the volume leverage to achieve attractive pricing
The Multi-vendor marketplace is another type of online shopping platform where multiple sellers can register and sell their products, resulting in producing a high profit. Following the great demand among buyers from different vendors, creating a multi-vendor eCommerce platform is an ideal e-commerce platform for small businesses.
The website owner here serves as a mute spectator and would only jump into the scene when there is a dispute related to the quality of service, unresponsive customer support, etc. The online buyers deal directly through the multiple vendors and get the chance to buy the product from varied sellers or brands.
Start your business online with GetMeACart to allow multiple online resellers to deal with global online shoppers. The multi-vendor websites are designed to handle the huge numbers of online visitors so they are robust enough to handle the traffic on your site.
Advantages of Multi-vendor Marketplace
Creating a multi-vendor marketplace can be a smart choice when you are planning to target the wider audience with resellers present across the world.
- Supply is always there as multiple vendors are selling the same products
- Demand fluctuations can be more controllable
- The websites are more robust and advanced to handle the technical complexities
- Having two or more suppliers will ensure dealing with supply disruptions
So, these are the most important differences between a single-vendor and multi-vendor eCommerce platform. Go smart with consultation from the experts before you make the final decision to start your business online with GetMeACart.