Interactiv4 is Mirakl's solution partner, driving the digital transformation and evolution of its clients into the future of e-commerce.
What is the Marketplace model?
In the “Hype Cycle for Digital Commerce” of 2020, Gartner defines it as follows:
Marketplaces allow organisations to change their business model from linear digital commerce where they sell directly to end customers to a business platform where they facilitate transactions between sellers and buyers. When done properly, companies can enrich their product offerings, reduce sales or acquisition costs, test new items or categories before adding them to the product catalogue and improve the customer experience by making the process more transparent and efficient. When markets become more sophisticated by connecting a large number of ecosystem partners, organisations can make a smooth transition to digital business by owning their digital ecosystem and generating digital revenue.
McKinsey & Company predicted that digital ecosystems could account for more than $60 billion in revenues by 2025, or more than 30% of global corporate income. By providing companies with the tools they need to build their own digital ecosystems, Marketplaces become a critical accelerator, where manufacturers, distributors or procurement providers scale up their digital businesses.
With a marketplace any company can open its e-commerce activity to this opportunity and take advantage of its scalability with a triple virtuous scenario.
In a Marketplace model, three parties are involved:
The marketplace operator expands its offer and receives a commission on sales made without incurring extra costs (logistics, storage, services) and is guaranteed not to lose any sales opportunities due to a break in stock.
Partner salesman benefit from an additional sales channel and increased visibility of their products.
Marketplaces are suitable for all types of retailers – from large multi-channel distributors to the most modest pure-players, B2C and B2B environments – as they improve the customer experience by offering a good range of products that is always available.
The final customers are the ones who gain the most, as they can access a wide variety of products at more competitive prices and thus become loyal.
Low risk model
It allows to increase the offer without the need to manage logistics, stock or product supply, making it more profitable than traditional eCommerce.
They improve visibility, audience and brand awareness.
They generate commission income.
They make a wide range of products and services available quickly.
Increase average order value
By having more references, by exploiting more information and with crossell and upsell actions.
They offer secure transactions and drive and improve the customer experience.
Limitation of responsibilities in customer service: as it is managed by the seller.
Companies that embark on a Marketplace model are twice as profitable, growing 100% faster than their competitors.
Companies that adopt this model will be able to be competitive in the future against giants such as Amazon or Alibaba.
Advantages for the seller
Additional sales channel
Offering products in a marketplace is a great option as a complementary sales channel. Retailers see their sales multiply by up to 50% when they start to publish their products in a marketplace.
Customers pay directly to the marketplace and the marketplace pays the seller. It is the platform that takes care of all the infrastructure.
Ability to reach more customers and open up new countries and markets
They cover a much larger audience than the retail trade. It is a simple, fast and low-cost way to reach more people in less time.
Martketplaces occupy the top positions in organic or paid online searches and have a good reputation on the web, so companies avoid costly and time-consuming marketing strategies.
They bring confidence
Marketplaces, as they have a large volume of visits, also tend to have a higher volume of ratings and reviews, which generates more confidence among new customers when buying a product they have never bought before.
Mirakl provides the technology, expertise and partner ecosystem needed to launch an eCommerce Marketplace. Over 300 clients in 40 countries rely on Mirakl’s technology and experience.
Founded in 2012, Mirakl is the only SaaS marketplace that enables B2B and B2C companies to launch and grow a large-scale marketplace. With the Mirakl Marketplace Platform, both B2B and B2C companies can offer more, learn more and sell more: increase the number of products available to buyers, increase the lifetime value of their customers and anticipate the needs and preferences of buyers. Committed to the user experience, Mirakl Marketplace Platform is a turnkey solution that is easy to integrate into any e-commerce platform and Mirakl Catalog Manager simplifies the management of product data quality.
Mirakl’s unrivalled market experience is key to client success. Mirakl employs a team of over 60 managers who help clients adopt best practice and achieve their goals.
Over 300 companies in 40 countries rely on Mirakl’s proven technology and expertise, including El Corte Ingles, Carrefour, PcComponentes, Tiendanimal, Coperama (NH Group), ABB Electrification, Siemens and Toyota Material Handling USA, Inc.
The SaaS platform “Mirakl Marketplace Platform” reduces the complexity of managing a Marketplace by automating operations such as vendor onboarding, catalog integration, distributed order management and billing and payment. All of this guarantees the operator complete control over the quality of processes and product information.
B2C: More products, more sales, more information
With a Marketplace you will exponentially increase your catalogue of available products, providing more information for personalization engines and boosting omnibus strategies.
- Quickly expand your product catalogue, without managing inventory, and reduce your operational overheads.
- Make onboarding new sellers in days, adapting offer to new trends and market needs
- Combine complementary products or services and increase the average order value.
Faster client acquisition
- Improve SEO and increase website traffic organically for lasting results.
- Avoid losing sales, opportunities and reduce Out Of Stock
- Expand your offer with new products and categories.
Build customer loyalty
- Optimise and improve the user experience across all channels
- Allow more flexibility with home delivery or “click and pick up”
- Make better recommendations, upsells and crossells with the unified data from your Marketplace.
B2B: Simplified purchasing without channel conflict
Marketplace platforms for B2B can drive the transformation of digital retailing and generate greater customer satisfaction.
- Integrate catalogues into a single centralised sales platform.
- Give your customers the shopping experience they expect: more products, more suppliers and competitive prices
- Maximise your sales : empower customers to find what they need with 100% visibility of inventory
- To offer a digital experience that a final client, distribution channel and manufacturer around the same ecosystem managed as marketplace.
- Get information about the end customers to adjust the business and product strategy
- Digitise your distribution channel, supporting it and not conflicting with it.
Interactiv4 + Mirakl + Magento
Magento and Mirakl have a common goal: to maximize their turnover and profitability. Magento makes it easy to be successful, integrating the physical and the digital through unparalleled shopping experiences. Mirakl focuses on dramatically increasing the product offering, generating more traffic in the shop, exponentially multiplying the number of new customers and their loyalty, with the consequent increase in revenue and profits.
At Interactiv4, as partners of Mirakl, we specialize in the integration of your shop to start operating as a Marketplace.
Evolve and prepare for the eCommerce of the future, which is already here.
If you would like to receive more information or would like a demo, please contact us.