Difference between vertical marketplace and horizontal marketplace in ecommerce

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Difference between Vertical Marketplace and Horizontal Marketplace in Ecommerce

Transcript of Difference between vertical marketplace and horizontal marketplace in ecommerce

Difference between Vertical Marketplace and

Horizontal Marketplace in Ecommerce

To suceed in ecommerce business, you need toknow the difference between vertical marketplaceand horizontal marketplace.

In ecommerce, we can find two different types ofmarketplaces such as vertical marketplace andhorizontal marketplace. In general, horizontalmarketplace is a platform where you can findproducts on various categories whereas verticalmarketplace is a platform where you can findspecific category products.

You may have come across many ecommercebusinesses that follows horizontal marketplace tosell their products. But the time has changed whichhas paved way for vertical marketplaces as it offersunique and personalized shopping experience.

In Horizontal marketplace, the seller offers differentcategory products focusing buyers belonging tovarious sectors. As it covers many industries itcannot cover every product in a particular category.In simple terms it means selling everything toeveryone. It is a one stop shop for various needs ofcustomers. For example it is like walking into a mallwith different stores.

In Vertical marketplace, the seller offers products ona particular category focusing the specific sector.This will cover the industry from top to bottomoffering products that falls on the category. It goesfurther by targeting niche markets. The sellers inthis marketplace are termed as specialists retailers.For example it is like walking into a shoe showroom.

Choose the suitable marketplace and start doingyour ecommerce business.