In line with the FDI policy guidelines, “Marketplace label of e-commerce means providing of your information technology platform by an e-commerce entity over a digital and electronic network some thing as a facilitator between seller and buyer.”

The primary feature of this marketplace model is that the e-commerce firm, like Amazon, Flipkart, Snapdeal, etc. provide a platform for purchasers to interact using a great number of sellers onboard to buy an item online. Thus, when a product from amazon is bought, you might be actually acquiring it coming from a registered seller by using it. Therefore the merchandise isn’t directly sold by amazon. Here, amazon is simply a website platform which facilitates a gathering area for a consumer to meets a lot of seller and gives various options and expense levels to get a services or products.
Whereas the Inventory-led websites have specialized but limited selection and also the serious customers may signing in to the telltale website to get a specific selection, like caratlane.com for precious jewellery, booknest.in to 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 will be either their subsidiary entities or possibly a large enterprise who may have applied for privileged deals with them which helps them offer great deals or discounts to the customers. This could incorporate a higher discount on products, Free postage, compensation for sales returns etc. The losses incurred on these deals /services are compensated by the Marketplace Player within pre-agreed arrangement.
You frequently discover that some goods are entirely on the web site at 40% -60% discounts that is even hard for the manufacturer to provide. You frequently discover that there are 40-50 sellers to get a books online cheap but excepting one anchor seller, fat loss to provide such exciting discounts or offers. They even mask other seller completely and corner almost entire interest in the products, thereby also frustrate these multiple genuine sellers to achieve the shoppers making use of their honest pricing offers.
Nearly all e-commerce players take presctiption the verge of re-discovering their business models and wish to become profitable sooner. The reality 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 on account of unsustainable losses and lots of have already been sold out to other people. Year 2017 would see more to lock belts and keep solve this riddle lest they perish from the race to the survival with the fittest.
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