A Marketplace can be defined as a platform that brings members together for the purpose of exchanging goods or services with each other. Specifically, a B2B Marketplace is based on bringing multiple sellers and buyers together on a single platform and trading with each other; in contrast, a B2C Marketplace is usually a single seller to multiple buyers. What we are interested in talking about are B2B Marketplaces.
We are witnessing a growing trend in the creation of B2B Digital Marketplaces with the goal of reaching a type of customer that, perhaps, would not be reached otherwise and to have, in a single place, the possibility of consolidating a relevant variety of suppliers, through a simplified process of participation in the Marketplace and a reliable record of commercial transactions. The Marketplace can be vertical with the offer of a specific type of products and services or horizontal with the offer of several products and services.
In the Marketplace, each member has at his disposal a webshop where he presents his company and has a list and description of his services and products, and the way of operating is like the normal commercial relationship; that is, there is a contract between the parties, invoicing of services and products, and payments are made directly between client and buyer. The Marketplace manager provides the promotion space, directory, webshop for members and the transaction record, and in some cases, presents credit information and experience rating to all members, to give credible information about the entities that are part of the Marketplace.
We can highlight some of the main benefits of the Marketplace for its members:
- A new channel to attract new customers and a different way to do commercial prospecting.
- A customer loyalty system, providing a better experience to each customer.
- Additional information about services and products, in a targeted way and that can be complemented with studies, analyses, references, etc.
- Information about the market and the competition in an open way, promoting price transparency and allowing the comparison between the various offers available.
- Reducing intermediation costs, simplifying the commercial process and the entire value chain.
- Test the acceptance of new products and services and serve as a means of market research and study.
If for large and medium-sized companies these are the main advantages, for micro and small companies it should be noted that many of them still have a low digital visibility and this is a way for them to access e-commerce and have a tool to communicate with the market and promote themselves - which given the reality of this type of company, is not a negligible feature.
If in the last decade we have seen a strong growth in e-commerce and marketing strategies via this channel; with Covid-19 this digitalization has taken over many areas of companies and turned into a disruptive process accelerated by the weaknesses that the health crisis has revealed, in terms of protecting workers, customers, and partners - safeguarding that business flows by minimizing contact between stakeholders.
Thus, it is expected that B2B Marketplace will be one of the rising digital tools and will progressively become a very important channel for commercial exchanges between companies in an increasingly digital world.
Focusing the focus of companies, investors, and start-ups on the development of B2B Marketplaces in the coming years, Bartercard with its business model, currently allows to meet all the stated needs and characteristics of a B2B Marketplace and even adds a very important possibility: the possibility to operate the exchanges without using fiat money.
So, what Bartercard has to offer to an existing B2B Marketplace or to new B2B Marketplaces that may be created, is the possibility for its members to make part of their commercial transactions direct and cashless; which will allow member companies to benefit from a complementary system that allows them to save fiat money; improve cash flow; mitigate their credit risk; benefit from an interest-free line of credit and still get paid immediately when the transactions are made (when the sale is processed the seller receives the value in credits that can be used in commercial exchanges with any adhering members and the buyer is left with a debt that is amortized, through sales to any adhering members).
Our proposition for those who want to invest in a B2B Marketplace is simple and straightforward:
- Why create a Marketplace from scratch when you can have a full-featured B2B marketplace in Bartercard?
- For those who already have a B2B Marketplace in operation, consider adding the features of the Bartercard model.
We have the necessary tools to create and develop a B2B Marketplace quickly and successfully:
- Cashless business transaction management platform.
- Online access technology for customers via web and app.
- Directory of companies and services and/or products.
- Training and support documentation.
- Support in operationalization and credit risk management.
For us, it is one of the fastest and most effective ways to launch a Bartercard Europe operation in every European country.