25.09.21

What is C2C marketplace?

Do you know what the eBay marketplace platform is? The history of the creation says that back in 1995, Pierre Omidyar put up a broken laser pointer for $14.83 at an auction. This man is the founder of eBay, which has grown from a small second-hand auction to an e-commerce giant used for B2C, C2C, and P2P trading
Whom do C2C marketplaces focus on?
First of all, these trading platforms are needed by ordinary users. Each of us has things that are a pity to throw away because we do not use them, and we cannot return to the store or give them to someone. This is where C2C sites come to the rescue. There are no difficulties in registration and authentication because they are aimed at the average user. To get started, you need an email, photos, and a description of the product being sold. With this data, you can quite successfully sell stale "valuable" second-hand goods that are likely to serve faithfully to the next owner for several more years.

In modern realities, these sites are used by freelancers and service providers, both household and professional. The abbreviation C2C means "consumer to consumer", i.e., work without intermediaries at the best price. The main categories of services on most trading platforms revolve around IT, maintenance (repair and adjustment of equipment), household work (housewives, cleaners, etc.), and professional (to some extent, job search services are duplicated here).

Flexibility is a distinctive feature of the C2C model. In addition to the range of goods and services, there is an important factor that affects the final price. Previously, this factor was the “auction” model, but now it is communication. Сommunicating with the seller, you can reduce the price or negotiate bonuses and gifts. It makes C2C stand out from the background of other models (possibly similar to P2P). All this comes at a price. The administration usually sets a fixed percentage of ~2-3% of the value, which is withdrawn as a commission upon a successful transaction.
The nuances of working with C2C platforms
Like other platforms, there are risks at C2C. First of all, they arise due to unscrupulous sellers who have occupied the marketplaces. Most often, they offer goods at a very attractive price, sometimes 2 times cheaper than the market price, ask for an advance payment, and then disappear. Due to the abundance of scammers, a rating system was introduced to provide screening of users.

What does it mean for beginners? Difficulty getting started. Since sellers without high ratings are viewed with suspicion, the demand for their goods/services will be underestimated. With the first successful sales and gradual gaining of rating points, it will end, ensuring trust and demand for the goods.
Pros and cons of C2C marketplaces
The pros and cons of C2C sites are similar to other models with a difference only in the participants.
Advantages:
Moderate competition.
Rating system as motivation for sellers.
Low entry threshold.
Communication without intermediaries.
Price flexibility.
Unique offers.
A wide range of products and services.
Disadvantages:
Risk associated with scammers.
The rating system as a barrier to the entry of new sellers.
No partnership with logistics companies.
Slow promotion at the beginning of work.
In general, anyone can work on C2C sites. Even despite the initial difficulties, this model gives a good profit: it is not in vain that brands and small retailers have moved to C2C.
How to successfully sell on the C2C marketplace?
To create a competitive offer, you will need creativity in product design, USP, STA, and a bit of luck. It means that you need to analyze competitors' offers, create your design (a pretty unique photo), a unique product description with the most detailed characteristics, and an enticing text that says why the user needs to buy here, not from a neighbor.

Most of these marketplaces provide advertising services. For a little money, the seller gets a place in the top lines of the search, which guarantees views that increase the chance of a successful sale.

Would you like to find out more about transformation into marketplace? Please fill in the form and our team will respond to you shortly.