API-enabled marketplace models are unlocking out-of-the-box opportunities for all types of businesses

Marketplace 2.0 is all set to up the game for businesses looking to scale product and service offerings to new markets through the platform business.

BANGALORE, KARNATAKA, INDIA, March 7, 2023 /EINPresswire.com/ — Heading into 2023, the ecommerce industry looks firmly set to continue its tremendous growth streak. Despite a weakened Chinese economy, Alibaba.com reported better-than-expected revenue for the fiscal third quarter of 2022. Its revenue rose by 2% to $35.92 billion, beating analysts’ expectations. Cross-border sales make up a sizable portion of their revenue, with a report by the International Post Corporation revealing Amazon and Alibaba / AliExpress as the leaders in cross-border ecommerce, with 26% and 19% market share, respectively. So, let’s take a closer look at the marketplace model that makes this possible.

Digital marketplaces have completely revolutionized the online commerce space as we continue to witness an unprecedented rise in ecommerce sales. While the initial iterations of online marketplaces were primarily a digital outlet for businesses to extend the reach of their products via a digital marketplace platform, subsequent models have shifted their focus to creating and curating a digital ecosystem to thrive in this fast-paced industry. This digital ecosystem is the greatest achievement of the marketplace 2.0 model, allowing businesses to not only showcase their own products but also empower their customers to build their own marketplaces, expanding their reach from B2B or B2C to B2B2X.

APIs are quickly becoming a key component of the digital ecosystem enablement strategy, as businesses look towards acting on and monetizing the marketplace data to build a more engaging consumer and vendor experience across the marketplace ecosystem. With robust API enablement and management, marketplace leaders are tapping into millions of data points generated throughout the product and customer management lifecycle, allowing them to optimize price plans, sub-product packages, and group customers into clusters to configure group-based recommendations. A diverse ecosystem of marketplaces separated into multiple hierarchical categories is proving to be a fundamental part of identifying high-performing cross and up-selling opportunities for ecommerce businesses.

Third-party vendors and suppliers are an integral part of digital marketplace ecosystems, and API strategy and implementation is proving to be critical to their success as well. With APIs communicating critical vendor information and streamlining the onboarding process, it has become significantly easier to vet and prep potential vendors onto the platform and bundle existing products with new offerings with minimum resistance or conflicts.

For example, HomeJini used DigitMarket by Torry Harris Integration Solutions (THIS) to connect local vendors offering buy, sell and rent services for home utilities with potential customers. It provides an end-to-end service within the marketplace platform, complete with reviews, recommendations, payment gateways combined with a robust API gateway and developer portal to scale future offerings.

Similarly, a British telco used an API-based approach to onboard more than 100 partners with the help of THIS.

AI/ML are making huge inroads into the marketplace 2.0 model, delivering insights based on historical purchasing patterns, consumer behavior, marketplace trends, etc. As the competition within the online commerce sphere heats up, it’s definitely worthwhile to keep an eye on digital marketplaces to see how it shapes up in the coming years and how much impact it has on the overall trajectory of global commerce.

About Us

Torry Harris Integration Solutions (THIS) is a leading provider of API-enabled solutions, including DigitMarket digital marketplace, which is an end-to-end online marketplace platform. We are specialists in marketplace strategy, design and implementation. Over the years, we have worked closely with many businesses to deliver a tailor-made marketplace solution for specific industry verticals, helping them expand their scope to reach their full potential.

Richa Dash
Torry Harris Integration Solutions
+91 80 4182 7200
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