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Description: Do you want to create a marketplace app? How much does it cost and what type of features must-have for your marketplace app?

Marketplace App Development Costs

Marketplace apps are a vital part of any man’s life today. You use them even if you think you don’t. Amazon, Uber, Booking, Airbnb, and many others. All these apps are marketplaces for someone to sell, and for others to buy something.

2021 is a special year for such apps. It is expected that this year more than a half of all purchases will be completed through such mobile apps. This is a tendency that will only continue, even when the pandemic ends. That is why you shouldn’t lose your chance. If you have a shop, or some goods/services to sell, create an app, and gain more customers through all the networks.

Today, you will find out what types of marketplaces exist, their differences, how to create your own marketplace app, and how much it costs.

Types of Marketplaces

There are several types of marketplaces. The differences between them are important, because they will help you determine how your marketplace app must operate, and who will be the customer.

1. Vertical.

Such a type of a marketplace can be described as “one product – many sources”. Vertical marketplace is about operating in just one category of products. You choose a specific niche, and collect sellers, who operate just in this one sphere. A bright example, car parts. Different sellers can present different types of parts, but they all operate within the same market niche.

1. Horizontal.

Horizontal marketplace is familiar to usual markets you can find around your city. Here you can find different kinds of products, almost everything you may need in one place. Still, here uniqueness and detailed characteristics become less important than on the vertical marketplace. So, such a marketplace is described as “lots of products, less uniqueness”.

1. Global.

Global marketplace is a unique achievement of 21th century’s market. The development of the Internet leads to an increase of such marketplaces every new year. It’s main feature – a buyer and seller shouldn’t see each other or even know each other. A customer from France can order a product from Japan, and it will arrive with no problem. This is a marketplace most modern international corporations and companies used to gain a big number of customers.

How To Create A Marketplace?

When you decide to build a marketplace app, you have two options. The first one is to use a ready platform, the second one – create a marketplace from scratch. Here you can learn about each of these options, and what factors may affect your choice.

●      Ready platform

Ready platform, or white label app, is a common name for a mobile application that the company creates in order to sell it to other businesses. It is fully operational, but just requires a simple rebranding to match the company’s style.

A price for such an app strongly depends on a team of developers, who sell it, how often they will update it, etc. The reasonable price is usually around $6.000 excluding additional costs.

Such an option looks quite promising, doesn’t it? Still, this fast path has its own advantages and disadvantages you need to be aware of. Let’s look through some pros and cons of using such an app as a foundation for your marketplace.

●      Marketplace From Scratch

Another path you can take is creating your own marketplace application from scratch. For this, you will need to find a good team of developers to build a marketplace app you desire. In order to create such an app, you need to go through such steps:

1. Think about your strengths and weaknesses. You need your app to show the first, and hide the second one to gain more users;
2. Think what this app should look like, what features it will have. According to statistics, over 60% of online customers find an easy and understandable search system the most vital aspect of such apps;
3. Find the app development company. While doing so, pay attention to company’s reputation and price of an app development;
4. Present developers your plan and ideas till the point you understand each other. It is important to also stay in touch with developers after the meeting, in case new questions arise.

Creating a new marketplace app usually takes more time, and requires bigger investment. With Purrweb, it takes up to 3 months and $30.000 cost limit to create and launch an MVP, which will develop in a fully operational application.

How Much Does it Cost To Build a Marketplace?

Now that you know about the marketplace app, its types and how it can be created, it is time to talk about the costs. Here you can find a list of features, common for a marketplace app, and how expensive it is.

Taking into account all information presented in this article, you can make a decision what kind of marketplace app you need, and who will develop it. Remember, every app development is a unique process, which may influence the total costs and time period required for the whole development process.