Why many online marketplace businesses fail: The unsung reasons

Top reasons to analyze why an online marketplace fails at any level

The first reason why eCommerce marketplaces fail is that founders want to launch a multi-vendor marketplace. At the early stage, you have to be focused more on what kind of problem you’re going to solve and how is your solution better than anything that already exists. People do not need the marketplace. People need a solution to their problems. If it eventually becomes a digital marketplace or SaaS or any other fancy words, that’s fine.

Why many online marketplace businesses fail: The unsung reasons

What does the recent market research say about the online marketplace business failures?

According to this new research, it will require more resources. It will be a little painful or sometimes even a lot painful. However, eventually, you can take existing software, platform or extension, and it will still have some functionality in place that will help you to better and faster test your idea.

Examples of failure of any eCommerce marketplace business

It also the primary reason why marketplaces fail is. Because founders see that their marketplace is for everyone, even Amazon doesn’t sell to everyone; Amazon is not available in many countries.

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store