Major online marketplaces no longer need third-party sellers on their platforms, according to marketing analyst Chingiz Musin. In a post on Instagram, he said major e-commerce platforms relied on outside sellers only to build out their infrastructure.
Musin, a marketing expert who previously worked for several large Russian retail chains, believes major marketplaces will soon begin phasing out independent sellers.
He said sellers were essential in the early stages, when platforms used their capital to develop logistics networks, expand delivery services, and open warehouses and distribution hubs. Sellers also helped e-commerce companies gather valuable data on consumer behavior.
«Now that all of this is in place — the resources, the money, and most importantly, a massive database of your customers — it’s time to get rid of you because you’re no longer needed,» Musin said. «They now know better than the sellers what products move, at what price, at what time, and to whom. So the same listings will remain, the same items, but they’ll be sold by the marketplace itself. And sellers will be squeezed out gradually through higher rates and fees.»
