Stories by JONAH NWOKPOKU
Online market is a type of e-commerce site that provides opportunities for online businesses to transact businesses relying primarily on sites other than theirs.
It refers to a type of e-commerce site where product and inventory information is provided by multiple third parties, whereas transactions are processed by the market place operator.
In an online market place, consumer transactions are processed by the market place operator and then delivered and fulfilled by the participating retailers or wholesalers.
Compared to vendor-specific online retail stores, selection is usually wider, availability is higher, and prices are more competitive. Examples of online market places include eBay or our own Kaymu.com.ng or Online Exchange, OLX in Nigeria.
Entrepreneurs who do not have the resources to build, host and maintain websites for their businesses can leverage on this type of platform to not only create a web presence for their business, but to also grow profits as they would make their products and services available to a wider range of customers.
Speaking on how entrepreneurs can take advantage of this type of platform to grow businesses, the Managing Director of Kaymu.com.ng, Massimiliano Spalazzi, noted that online market place fosters entrepreneurship by strategically positioning small to medium scale businesses before a large homogeneous audience to generate sales.
He explained that business savvy entrepreneurs have embraced the online market place as a mechanism for transforming their business operations, adding that added value of the online market place include opportunities to increase revenue, ability to open 24 hours a day, seven days a week and the capacity to use the internet’s interactive nature to enhance customer service.
According to him, “How an entrepreneur exploits the opportunities the online market place presents to transform relationships with customers is crucial to his or her success as the online market place is changing the face of entrepreneurship.”
Spalazzi further explained that in Nigeria, Kaymu.com.ng has created a meaningful presence for entrepreneurs by committing to an integrated marketing plan focused on creating maximum exposure to small and medium scale sellers on the platform.
He said, “Owning a shop on the online market place is essential to maximising exposure to a mass customer base. Entrepreneurs can take advantage of the marketing channels, huge customer base and resources implemented by online marketplaces to build their businesses.
Through the online marketplace, small to medium scale businesses can market their products and services globally and reduce the expense of marketing, advertising and staffing.”