October 10, 2018
The State (and Future) of Digital Marketplaces
Marketplaces are unique properties for a variety of reasons—one of which is the fact that the platform operators need to engage with multiple parties at once. With traditional businesses, the seller can focus solely on providing an exceptional experience to the buyer. On the other hand, marketplace operators need to focus on simultaneously delivering exceptional experiences for buyers and sellers. Failing to do so, will cause buyers and sellers to transact elsewhere.
Although effective engagement might seem like a lofty goal, we’ve broken down the process into a few actionable steps. Below are 3 core elements to focus on:
Without the right onboarding procedures, a marketplace can easily become like a virtual Wild West. That’s why developing anti-fraud protocols, helping sellers provide great first impressions, and using personalization to enhance the buyer/seller journey—are all components of a successful marketplace.
In order for a marketplace to be successful, marketplace operators need to ensure that buyers and sellers are provided with a quality experience. This involves moderating titles and descriptions to ensure they’re relevant to the actual product/service being offered. Using anti-harassment protocols such as AI chat moderation balances privacy with the need to protect users.
For a marketplace to be successful long-term, the platform operator needs to develop an effective retention strategy by helping buyers connect with sellers and vice versa. It requires thinking beyond the initial purchase, and taking steps to ensure both parties are happy post-transaction.
This can be done by reminding buyers to provide seller feedback, and by encouraging sellers to stick around by listing new inventory/services.
For more information about how you can effectively engage with buyers and sellers within your marketplace, check out our brand new checklist on the topic. Simply click the button below!
A Bi-Weekly Newsletter Focused Exclusively on Online Marketplaces