Marketplace Business Models

In the mid-90s, the Internet started to take over, transitioning and morphing into the commercial web, which today we call the web; one business model became among the defining ones of this era, and that’s the marketplace!

A marketplace is a platform where buyers and sellers interact and transact.

Yet here, the transaction and interaction are only instrumental to creating an ecosystem of users (usually buyers and sellers of a service or product) that will operate according to a flywheel logic!

The platform acts as a marketplace that will generate revenues in fees from one or all the parties involved in the transaction.

Usually, marketplaces can be classified in several ways, like those selling services vs. products or those connecting buyers and sellers at the B2B, B2C, or C2C levels.

And those marketplaces connecting two core players or more.

Below, I’m breaking down in a single graphic what we’ll cover in this issue!