‘Change is the only constant.’
We have all changed and evolved to the extent that our entire behavior has altered. People don’t have the time as before to go shopping at the store.
After COVID, we all used to buy products online using platforms like Amazon. And more sellers are adapting to this change by moving their stores online.
And as an entrepreneur, you had this beautiful idea in mind to create a buy sell marketplace app like Letgo, Amazon, etc. We are so happy about your decision, and through this article, we would like to help you gain as much knowledge about online marketplaces as possible.
Stay till the end for crazy knowledge bombs! Let’s get started.
What is an online buy-and-sell marketplace?
An online buy sell marketplace app is an online platform that connects buyers and sellers of various products. Sellers or merchants can list their products on the platform, and the buyers can surf through the product list and purchase it directly from the platform.
The online marketplace makes money from each transaction that happens on the platform and through other subscriptions. There are different online buy sell marketplace app models available. Let us discuss that in the next section.
Types of online marketplaces you should know
Online buy and sell marketplaces differ based on the product they offer and the customers they serve.
B2B marketplaces: As the name suggests, B2B marketplaces connect businesses with each other. Examples are Alibaba and Amazon.
B2C marketplaces: B2C marketplaces sell products directly to end consumers. Businesses list their products on the marketplaces like Amazon, eBay, Etsy, and Letgo.
Other marketplaces: Some other marketplaces differ based on their offerings, such as 99 acres for homes, Fiverr for services, etc.
So while building your online buy and sell marketplace, you have to understand all the open markets and pick the one you know or want to explore. (which we will discuss in the later parts of this article)
How to build an online buy and sell marketplace app?
Creating an online marketplace is difficult unless you have a good plan.
This section of the article will help you with the action plan that you have to take to complete the buy-and-sell marketplace app development process.
Pick a niche
As we already discussed, there are a lot of options when considering an online marketplace app development. So you have to pick a niche you want to serve and be a master of it.
It could be a fashion clothes marketplace, auto parts marketplace, housing marketplace, etc.
Identify your target audience
If you consider everyone as your customer, then you haven’t understood your business completely. Every business has a target audience whom they want to sell their products.
To create a successful buy sell marketplace like Letgo, you have to find your target market and create a better product to attract them.
Conduct competitor analysis
Before building your marketplace, find all the things that your competitors offer and how you can differ from them. Also, while doing this, read the customer reviews of your competitors to understand what your competitors are lacking and how you can fix them.
Translate market study into features
You have a list of things that you can offer to your customers after the market analysis. Now, you have to list the findings of the analysis, prioritize them, and turn them into workable features.
Here are some features that you can incorporate;
- Account registration.
- Search filters.
- Performance analytics.
- Instant live chat.
- Multi-currency and language support.
- Ratings and reviews.
- Coupons and codes.
- Multiple payment options.
- Product listing and management.
- Admin dashboard.
- Orders management, etc.
Choose a revenue model
Revenue is the outcome of any business. You have to be careful with how you want to earn from your business. Choosing the best revenue model helps you measure the business’ long-term profitability.
Also, the revenue model you choose should complement the product or services you offer. So choose wisely. You can choose a recurring subscription model, advertising model, or commission model to earn from your business.
Find a suitable tech stack
The tech stack you choose to build your buy sell marketplace app can contribute to a lot of factors like app development time, cost, scalability, longevity, maintenance, and more.
Choose a tech stack that will help you address all these factors and launch your platform successfully into the market.
Design the marketplace app
Create a simple yet beautiful user interface for your online marketplace platform. Your platform’s design should provide a better user experience and guide customers throughout their journey.
Start building the app
You have the features, tech stack, and designs for your buy sell marketplace. Now you have to put all the pieces of the puzzle to build a complete solution.
Make sure your team is equipped with all the resources to get started and complete the development process in time.
Publish it into the stores
Create the marketing plan
Now, you have to attract more users to your platform. Create a marketing plan that includes all the channels and budgets to market your marketplace app to your potential customers.
How much does it cost to build a buy-and-sell marketplace app?
The cost of building a buy sell marketplace app can vary significantly depending on several factors, including the complexity of the app, the features it includes, the technologies and tools used to build it, and the rate at which the development team works.
In general, it can cost anywhere from a few thousand dollars to hundreds of thousands of dollars to build a buy sell marketplace app. Some of the main factors that can affect the cost of building such an app include:
The complexity of the app: A simple buy sell marketplace app with a limited number of features may be cheaper to build than a more complex app with a large number of features and integrations.
The features included: Adding additional features to the app can increase the cost of development. For example, if you want to include features such as real-time chat, custom payment gateways, or integration with external APIs, this can add to the cost of development.
The technologies and tools used: The cost of building a buy sell marketplace app can also be influenced by the technologies and tools used to build it. For example, using more specialized or advanced technologies may increase the cost of development.
The rate at which the development team works: The cost of building a buy sell marketplace app can also be affected by the rate at which the development team works.
Overall, the cost of building a buy-and-sell marketplace app will depend on the specific requirements of your project and the resources needed to build it.
It is recommended to consider the readymade solutions that are available in the market. You can use the readymade platforms like ours to create any type of buy and sell marketplace apps instantly at 60 to 70% less cost compared to creating an app from scratch.
Let’s build the app together!
In conclusion, creating a buy sell marketplace app can be a complex and time-consuming process, but it can also be a rewarding and profitable venture for entrepreneurs like you looking to enter the e-commerce market.
With the right planning and execution, your business can be the go-to place for your customers.