In accordance with the FDI policy guidelines, “Marketplace type of e-commerce means providing of the it platform by an e-commerce entity on the digital and electronic network some thing being a facilitator between seller and buyer.”


The key feature of this marketplace model is that the e-commerce firm, like Amazon, Flipkart, Snapdeal, etc. give a platform for purchasers to get using a great number of sellers onboard to buy something online. Thus, every time a product from amazon is bought, you’re actually acquiring it from your registered seller from it. As a result the merchandise isn’t directly sold by amazon. Here, amazon is only a website platform which facilitates a meeting location for the consumer to meets numerous seller and gives various options and expense levels for any products or services.
Whereas the Inventory-led websites have specialized but limited range of products and the serious customers may join about bat roosting website for any specific range of products, such as caratlane.com for precious jewellery, booknest.straight into buy books, swiggy.com for ordering food, 1mg.com for medicines etc.

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Anchor Seller and a Level Stage
Almost all of the marketplace players have anchor sellers on panel, who are either their subsidiary entities or perhaps a large enterprise who may have applied for privileged relates to them which helps them offer bargains or discounts for the customers. This will likely will include a higher discount on products, FREE shipping, compensation for sales returns etc. The losses incurred on these deals /services are compensated from the Marketplace Player with a pre-agreed arrangement.
You often see that some items are available on the site at 40% -60% discounts that is even hard for the maker to supply. You often see that you will find 40-50 sellers for any books online cheap but excepting one anchor seller, no one is able to supply such exciting discounts or offers. They even can mask other seller completely and corner almost entire need for they, thereby also frustrate these multiple genuine sellers to succeed in absolutely free themes using honest pricing offers.
Nearly all e-commerce players are saved to the verge of re-discovering their business models and aspire to become profitable sooner. The fact is, none have already been able to see anything in profit up to now. Many big and promising e-commerce and unicorn players have perished due to unsustainable losses and many have already been out of stock to others. Year 2017 would see a lot more to lock belts and keep solve this riddle lest they perish in the race for the survival in the fittest.
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