Online marketplace have become very popular and needed in the prevailing market scenario and have seen exponential growth in last 10 years. There has been rise in marketplace in almost every domain, and we are witnessing establishment of new players very frequently now than ever before. This blog is a guide to how you can create your own marketplace and our strategy on how you can have a quicker and better go to market strategy for your product.
This blog assumes by this time you would have figured out your marketplace model and looking for support on how to achieve the overall product development. Our blog will cover the following:-
- What is a Marketplace
- Minimum Viable Product(MVP) for a Marketplace
- Technology Stack Recommendation
- Cost & Time taken for Marketplace Website Development
- Suggested Approach for Development of your Marketplace
1. What is a Marketplace
Marketplace is a platform which enables buyers and sellers to transact with each other. Buyers are generally your end customers who would like to buy a particular service or a product from the platform either from a specific seller or pre-defined seller.
Buyers also termed as the demand side users in marketplace model, who would like to come to a marketplace platform to avail more alternative choices at one place rather than a single option. Example: For shopping a TV, instead of going directly to the website of the brand we generally go to e-commerce shopping platforms to explore various brands and more options.
Sellers also termed as the supply side users in marketplace model, who would generally come to the platform to sell their service or product as there are high chances of finding better customer base.
Domain Level Example of Marketplace:-
|Food Apps||Swiggy, Zomato|
2. Minimum Viable Product(MVP) for a Marketplace
Based on our experience and market study along with hands on development approach, there are few sets of feature which are minimum necessary before taking your product live to the market. Following is the list of minimum features which are generally recommended for a marketplace:-
Also, based on our experience we have observed businesses focusses on their external users but forget about their internal users i.e. their employees who are the backbone of the whole execution and support of the entire product. It is important to have an admin interface for the internal users to operate, which will in turn help provide better customer support. Here is the list of features needed for admin interface, which we will later addressing on how our pre-built solution can help achieve this quickly
3. Technology Stack Recommendation
We study and understand the latest trends to analyse the most efficient new tools for implementing tech solutions. Every project is unique and comes with its own expectation and challenges, following is the technology recommendation we advise and some of which have been used by our team for implementation:-
- Amazon Web Services
- Google Cloud
4. Cost & Time taken for Marketplace Website Development
Being a startup or an early stage marketplace, cost and time place a significant factor in taking your product live to the market. There is a huge decision to take when it comes to having a full time team in house or outsource partial or full development to other technology experts in the market for a shorter go to market. Based on our experience, following are the project stages along with approximate time of development in each phase:-
|Project Requirements & Analysis||60-120 hours|
|UX & UI Development||100-300 hours|
|Frontend Development||400-600 hours|
|Backend Development||300-500 hours|
|Quality Assurance & Bug Fixing||240-360 hours|
Also, below are the followings roles generally required in making your own team:-
- Business Analyst
- UX/UI Designer
- Frontend Developers
- Backend Developers
- Manual or Automation QA Engineers
Overall, any marketplace development will cost you around $10,000 and upwards. With the help of our hourly estimation provided above, it will help you calculate the cost based on your geographical location.
Note:- The above doesn’t include any server cost. It has to optimised additionally as per business need and server plan
5. Suggested Approach for Development of Marketplace
There are 2 approaches which we would recommend for developing your marketplace
a. Custom Marketplace Development:
Development from Scratch based on the MVP defined, hire a team to develop a tailored solution as per your business requirement. Above point 4 can help you plan your time and team requirement accordingly for a successful implementation in-house.
b. Customise ready to use platforms:
There are many open source platforms available in the market which can be either be purchased on a subscription basis or on one time cost. Each of this strategies has its own pros and cons. If you are running on a budget and a timeline then you would have to definitely look into avoiding re-doing some of the phases of the development like UI-UX etc.
Building up on ‘Ready to Use Solutions’, our MVP solution built for a travel marketplace would provide a good base for most of the marketplace model out there in the market. Further, we can customise and tweak the existing solution based on your specific needs which will enable faster go to market time. Our platform already covers the features of an MVP for a marketplace, which gives a good base for creating a new features on top of the existing solution. Our solution comes with a built in Admin interface which is very much a necessity to start operations on day 1 of your launch.
Our platform is built with lot of thinking to make the end user experience more convenient which could be either your external customers or even your employees, ease of usage and backend scalability is the base on which the whole solution is built. Do reach out us for a quick demo of the product to help you understand our marketplace and get an idea on how your use cases can be covered using our product.
Reach us at email@example.com or call us @ +1-647 868 0986 or fill the form below for quick Enquiry or demo!