A marketplace is a trading portal through which third parties sell, and which provides ready-made traffic, customer trust, and a payment and delivery solution. For entering a new market it is the fastest route, because the company does not have to build its own online shop, brand or logistics, and can test demand within weeks. The price is a commission on every sale, tough price competition within the portal, and the fact that the customer belongs to the platform – the company does not gain the contact or the relationship. Dependency is also a risk: a change of rules or a suspended account can cut off the entire income. A sensible strategy is to use the portal to validate the market and gradually build your own sales channel, to which customers will transfer once they know the brand.
See also: VAT registration abroad, Market testing before entry, Price comparison website.
