Largest marketplace sellers account for 88% of GMV
Large marketplace sellers play an essential part on online platforms. They contributed 88 percent of marketplaces’ Gross Merchandise Value during the first quarter of this year. But small and medium-sized sellers are on the rise: they doubled their contribution in that same period and even tripled in the past year.
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Small to medium-sized sellers will continue to be a force in the coming years.
That’s one of many conclusions from the 2021 Enterprise Marketplace Seller Report by Mirakl. It examined the activity of 50,000 third-party sellers on more than 70 ecommerce marketplaces worldwide.
36% of sellers joined a marketplace in last 15 months
One of its top findings is that marketplace momentum is attracting sellers: 36 percent of them joined online marketplaces in just the last fifteen months. Mirakl thinks that small to medium-sized sellers will continue to be a force in the coming years, as retailers look for unique product selections.
“The acceleration of the enterprise marketplace model is expanding opportunities for incumbent retailers and third-party sellers alike to come together and thrive in a highly competitive ecommerce environment”, co-CEO Adrien Nussenbaum says. “In addition to gaining new GMV from each new third-party seller, sellers are key to retailer marketplaces expanding their assortment faster, with greater differentiation, and higher customer satisfaction than through traditional ecommerce models alone.”
Marketplaces can expand fast with third-party sellers.
Mirakl states there are three primary types of sellers on enterprise marketplace, representing three main business models. There’s the marketplace native seller (generating 63 percent of GMD across all marketplaces in the first quarter of this year), the brand seller (20 percent) and the ecommerce retailer (17 percent). “This variety allows retailers to more precisely tune and curate the composition of their marketplaces to better serve the needs of their shoppers.”
47% of sellers cover multiple marketplaces
Another finding from the report is that almost half of all sellers are active on multiple marketplace. “Cross-marketplace coverage is on the rise, as sellers are seeking – and finding – expansion opportunities by partnering with leading retailers.” These partnerships often happen with different catalogues per marketplaces, as sellers proactively differentiate their assortment to match the needs of each partner.
Third-party sellers are popular among online shoppers.
Third-party sellers are popular among online shoppers. This is shown by the fact that they outperform traditional ecommerce benchmarks when it comes to assortment quality and customer service. These sellers earn a 4.5 out of 5 rating from shoppers, have lower refund rates (50 percent lower than traditional ecommerce) and fewer customer service inquiries per order than first-party sellers.