7 Major Challenges of Multi Vendor Marketplaces

Ecommerce store playbook

7 Major Challenges of Multi Vendor Marketplaces

  • April 5, 2022
  • April 5, 2022

Entrepreneurs across the globe launch multi vendor stores for massive profits and growth after successfully running an online store. It’s true that shifting from a simple online store to a multi-vendor marketplace brings more sales but it also brings a lot of challenges. And without understanding the challenges, it becomes hard to fix them. 

That’s why Techosquare - the leading ecommerce development company in India - decided to share the major challenges of running a multi vendor store. 


Challenges of running a multi vendor store

Here are the challenges of running a multi-seller platform: 

More than one vendor: Running a multi vendor store usually means handling multiple vendors. The number can be anywhere between tens and hundreds! The truth is that it becomes hard to manage inventory, sales, and shipping of all vendors if you don’t have the right tech support. 



Control of quality: Multi vendors store owners have to control product quality, product images, shipping, reviews, and a lot of other details to ensure growth. The truth is that controlling the quality of products (usually in thousands) listed in the multi vendor store becomes hard. 

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Pricing of products: Vendors often slash down low prices to compete with their rivals and earn customers. While the customers of your multi vendor store will be more than happy, it may put a negative impact on the profits of the marketplace. Maintaining the price and margin of products is one of the major challenges faced by multi vendor store managers.


Store performance: Hosting thousands of products is not easy. Your customers will get disappointed if they are facing more page loading speed, accessibility issues,  and other technical issues. This may move your potential customers to alternative stores. 

Pro tip: use optimized images and videos in your multi vendor store to maintain optimal speed.



Payment gateway hassles: Payment gateways are critical in processing payments and completing purchases. And different customers prefer different payment options. Hosting so many payment options often becomes an expensive challenge for multi-seller shops. 


Ignoring analytics: Many managers face struggle with business growth since they are not aware how to capitalise on analytics data. Analysing the performance of your multi vendor store helps take critical performance, marketing and UX decisions. Build your multi-vendor platform on a builder that guarantees powerful analytics. 


Mobile friendliness: This is something no customer wants to compromise on. Keeping the mobile experience smooth can become a challenge when there are so many product, category, and information pages. Work with your developers to ensure a UX rich mobile experience. 


Multi vendor store challenges

The above mentioned are the major challenges faced by multi vendor store managers. Technology is the most important element for the smooth function of the multi-seller store. So, make sure you pick a solid one. 

Got any queries to ask? Send them to info@techosquare.com and have them answered by our experts.

Here are our recent blog entries about multi vendor marketplace: 

Top multi vendor marketplace ideas

Major benefits of multi seller online store

Everything about multi vendor vs single vendor store

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