An online marketplace is a digital platform that enables various providers to offer their products or services online and make them accessible to potential customers.
The online marketplace acts as an intermediary between providers and customers by offering them a central point of contact to obtain information about the products or services on offer, compare prices and purchase them directly.
Companies also have various options for advertising, such as sponsored ads, banner advertising, social media advertising, reviews and recommendations or promotions and discounts.
The major online marketplaces include Amazon, eBay, Etsy, Alibaba and Airbnb.
Retail media platforms belong to the online marketplaces, while online marketplaces focus on the merger of independent sellers and trade and a wide range of products for customers rather than advertising options.