Online marketplaces have become increasingly popular shopping destinations in recent years, primarily thanks to wide product catalogs and shoppers perceiving marketplaces as offering low prices. Selling on marketplaces is also becoming more popular among independent retailers, as they offer a wide customer reach and relatively lower fixed costs, especially when compared to physical stores. The popularity of retail marketplaces over the globe has largely been driven by players like Amazon, Alibaba, JD.com along with a shift toward online shopping amongst customers that has encouraged smaller players to launch their own marketplaces and leverage on the benefits associated with the marketplace model. The report goes on to provide an overview of the marketplace model in retail, players in the retail marketplaces' space, trends (including technology trends, macroeconomic trends, industry trends, and regulatory trends), industry analysis (through the use of key use cases) and outlines companies engaging with retail marketplaces and mergers and acquisitions associated with retail marketplaces theme.
GlobalData provides insight into the business framework of marketplaces within the retail sector. The report provides an overview of the business model of retail marketplaces, calls out the players who are leading in retail marketplaces' space, while also highlighting technology, macroeconomic, industry, and regulatory trends set to impact the retail industry over the next 12 to 24 months. The report also highlights how the marketplaces' concept is being utilized by brands and provides specific brand examples while also reviewing mergers and acquisitions and strategic partnerships associated with the retail marketplaces theme.
COVID-19 has significantly impacted the retail industry, specifically for retailers trading in product categories deemed non-essential such as clothing, footwear, jewellery and electronics. The unprecedented store closures due to nationwide lockdowns have contributed significantly to retailers’ woes and placed significant pressure on retailers to re-strategize and restructure their businesses to adhere to the trading climate brought about by the pandemic.
Retail marketplaces managed to avoid the impact of the COVID-19 pandemic due to its popularity amongst shoppers as it offers a plethora of alternatives for a product from various retailers to choose from, along with the growing smartphone usage in recent times and shopper's preference for online channel especially during the period of the COVID-19 pandemic that has led to marketplaces finding ways to engage more with customers.
With an abundance of information about various products available instantly to consumers, retail marketplaces are under great pressure to provide an experience that is unique to each customer as a tactic to appeal to consumers and ensure loyalty and engagement with retailers.
Personalisation and frictionless shopping are becoming increasingly important to consumers. The goal of personalisation within retail is to make certain that both physical stores and online channels cater to the distinct and differing needs of retailers’ shopper base in terms of various parameters, while frictionless shopping relates to the creation of a seamless shopping process by decreasing the time and hassle associated with buying products. With an abundance of competition within the retail space and consumers appreciating convenience and ease, it is pivotal for retailers to enhance both personalisation and ease of shopping.
Reasons to buy
Provides an overview of the business model of marketplaces, including its origins, advantages, and timeline within the retail market.
Provides an overview outlining the issues faced by the retail sector as a consequence of COVID-19.
Gain insight into players engaging with marketplaces and identify the leading retailers/brands within this space.
Better understand the key trends – including technology, macroeconomic, regulatory and industry trends – impacting the retail market over the next 12 to 24 months.
Learn about specific examples of retailers/brands adopting the business model of marketplaces and various marketplace related mergers and acquisitions within the retail space.
Table of Contents
Key use cases
Mergers and acquisitions
Thematic research methodology