B2B
Marketplace
Critical criteria forchoosing your B2B
Marketplace softwarep.1

What is a
B2B eCommerceMarketplace?

p.2

A B2B eCommerce Marketplace isan ideal solution for organizations
to easily network and trade withother companies. It also delivers
the ability to consolidate andstreamline their communications
and business transactions
on to one online platform.
With digital platforms and tools that
support B2B eCommerce functions, a B2B
marketplace processes orders and transactions
entirely online, creating a simplified andstreamlined transaction process.
A B2B marketplace is defined by its digitaleCommerce or software, that enables
companies to securely connect with otherorganizations and conduct business all in one
place. Similar to a traditional B2C platform, B2B
eCommerce marketplaces are where companies
buy and sell products, usually in bulk.
However, the main difference between a B2B vs. a
B2C platform is that the buyers and sellers in a B2B
marketplace are brands, manufacturers, suppliers,
wholesalers, and other businesses, whereas,in a B2C platform (like Amazon, for example),
individual consumers are the main buyers.

p.3

What are themain featuresof a B2B
eCommercemarketplaceplatform?
p.4

There are many featuresand functions to a B2B
eCommerce platform thatwork to increase efficiencies
and reduce business risk.
But, the most successful B2B marketplaceplatforms all have one thing in common —they understand the competitive advantage
they provide and implement the most
cutting edge digital tools to maintain it.
While the world of business can vary
greatly, most of the best functions of B2B
eCommerce marketplaces are similar acrossmost platforms. At the base is the desire
to create an enjoyable experience built on
ease-of-use and strategic advantages that
help you get ahead of your competitors.
However, there are certain key functions
you need to keep in mind when choosing
which B2B ecommerce platform to trust.

p.5

Six criteria to look forin a B2B eCommercemarketplace platform:
1

2

Multi-vendor capabilities — a key
function of a good B2B marketplace4

Easy-to-use search navigation — a key
aspect to a B2B eCommerce Marketplacesolution is that it allows you to control

is the ability to filter and search foryour company page and information.

specific vendors and businesses. The

You should have access to manage

right marketplace platform has easy-to-

your profile, content information,

use search functions that enable you to

contact details, pricing pages, andfilter sellers by brand, price range, andyour team’s role management.

product availability quickly and accurately.

Self-service functions — it’s often thecase that individuals prefer to place orders

5

Fast, flexible workflows — flexibility
and speed needs to be a cornerstone ofthemselves rather than have to interact

your B2B marketplace. We’ve all seen

with customer service representatives.

how quickly markets and industries canTherefore, a solid B2B eCommercechange, and your eCommerce functions

marketplace has features that enable

need to be able to adapt alongside

this self-service model if companies

them. Buyers and sellers need to be ablechoose to do so. B2B marketplaces needto rely on a flexible and customizable

to be highly responsive and intuitive toplatform that allows them to personalize

create an enjoyable user experience. For

onboarding strategies, change order

example, when buyers seek out solutions

submission and processing practices,

for their business, they often have toand replenish supplies when necessary.

ask for quotes, submit orders, or track
shipments – the B2B marketplace you
choose should support these functions.

6

Integration options — the best
technologies can work alongside yourexisting apps and tools. Make sure that

3

Information security functions — justyou find a B2B eCommerce marketplace

like with any digital platform, data andwith functions that seamlessly collaborate

information security and confidentiality

with any other software solutions

are essential for organizations to feelyour organization uses. This leads to asecure and comfortable using the platform.

more streamlined process and a better

Ensure that the B2B marketplace you

experience for both buyers and sellers.

choose places emphasis on protecting
your private information so that you don’t
need to worry about data breaches.
p.6

p.7

What are theadvantagesof using a
B2B eCommerceMarketplace?
p.8

A B2B marketplace canbe a powerful resource fororganizations looking totransform and optimize
their business processes.
With the support of a B2B ecommerce platform,
companies can streamline their business
functions and interact with like-mindedorganizations to quickly grow their businesses.
By reducing your marketing costs, you
can focus your efforts on securing larger• Higher profit margins— typically, B2B
businesses sell their products at a wholesale
price, incentivizing bulk orders. These larger
order quantities mean that businesses cansecure higher levels of revenue faster. Withso many buyers and sellers on the same B2B
eCommerce platform, you can cut spending onmarketing because it’s easier to connect with,and advertise your product to other companies.
• Better sense of security — many orders throughB2B ecommerce marketplaces are conducted
through pre-established contracts. This grants
a sense of security to both buyers and sellers

orders and growing your bottom line.

because both parties are much more inclined

Some common advantages
you’ll gain from utilizing a B2B
eCommerce marketplace include:

more, many B2B platforms are fully digital,

to follow through on their promises. What’s
meaning that there is a digital trail for eachorder that you can track and monitor along theway. This gives you peace of mind in that you
have a transparent view of the entire process,• User-friendly solution — B2B marketplacesfrom order placement to invoice processing.

make it easier than ever for organizations toconnect with other companies and conduct• Greater market potential — B2B marketplacebusiness. With a fully digital online platform,

platforms allow companies to quickly andour B2B Marketplace makes it easy foreasily target a large number of buyers andbusinesses to advertise their products andsellers across a larger variety of industries.

services and secure bulk orders. And, with

And, with the flexibility that comes with mostdigitization and automation being a priority

B2B ecommerce platforms, your business canfor most forward-thinking organizations,showcase its expertise and leadership within

implementing B2B software that supports

your given field. Instead of researching andvirtual and secure business transactions will

searching for new potential customers, thehelp you get ahead of your competitors.

B2B Marketplace connects you instantly.

p.9

What are thedisadvantagesof using a B2BMarketplace?

p.10

While there are great benefits
to joining a B2B marketplaceplatform, you may benefit fromunderstanding ahead of timesome of the common challenges
businesses face when first joining
an eCommerce platform.
Below are four common challenges you
can expect when you begin to conductbusiness on a B2B Marketplace platform:• Complicated set-up — when first getting• Highly competitive — Online B2B marketplaces

started on a B2B platform, it can be difficult toare competitive landscapes by their very nature.

understand how to find and retain customers.

With thousands of buyers and sellers all in one

It may take plenty of research and exhaustive

place, the competition can be tough. On any given

work to understand how to appeal today, there are numerous businesses offering

customers on the marketplace, and getting

similar solutions as your own, so finding a way

to the point where orders are consistent

to be unique and stand out to buyers is critical.

enough and large-scale enough to support
your business functions may take some time.

• Limited sales — B2B businesses can havevery high levels of sales, but by their nature, the• Most B2B eCommerce marketplace

available pool of consumers on an eCommerce

solutions are expensive — in most cases,

platform is somewhat limited. When you takeorganizations may face an expensive andindividual consumers out of the equation, it

time-consuming process when gaining

reduces the number of potential buyers you

your first initial leads on the marketplace

can advertise your products and services to.

platform. This means that you may have to

What’s more, is that with high competition

factor in high costs for marketing budgets infor B2B sales, negotiations and contracts

addition to the cost of joining the network.

can put a restriction on your profit margin.

p.11

How Tradeshift
helps yourbusiness growp.12

Tradeshift isn’t just a SaaS,B2B eCommerce marketplaceplatform, or a fintech solution;
we’re all three of those wrapped
up into one comprehensive
solution that is built to support
your organization where andwhen it needs it most.

Tradeshift covers over 160+ countries, giving
us the largest global reach of any online B2B
platform. Giving you access to collaborative tools,
expanded connections, and insightful analytics, ournetwork is the one solution you need to connect
with hundreds of buyers and sellers. Not only do
suppliers gain instant access to potential new
buyers on our platform, but our seamless, digitalinteractions showcase clear value for both parties.

Our B2B Marketplace focuses on offering you
the best-in-breed digital tools and support you
need to take your business to the next level.

Through our online B2B Marketplace platform,
we’ll help you make B2B automation thedefault for all aspects of your business: frommaking orders, to invoicing, to other transactions
and communications that take place between
your buyers and sellers. Tradeshift has applied
the ease and convenience of using B2C
platforms and networks to deliver an experiencethat rivals, if not exceeds, the sites we areaccustomed to using every day in and out of
the workplace. The current workforce, which islargely comprised of millennials, can now havea larger say over what is spent in business andTradeshift provides a
B2B trade platform thatconnects your complete
supply chain ecosystem.
This connectivity isa crucial component
to transforming our
procurement organization.
Bruno Stock,
VP Procurement Operations
Danonehow they want to approach procurement.

p.13

We put yourrelationships first

Sophisticated but
easy-to-use

At Tradeshift, we’ve created an online

We believe that your B2B

B2B eCommerce platform that enables

Marketplace experience should

you to communicate with potential

be enjoyable. What’s the point

sellers, create global connections,of investing in a solution that isand still maintain personal contact.

too complex to understand? Our

Our B2B marketplace platform

platform gives you control overkeeps communications on the one

all the important aspects of yourplatform so that you can conduct

experience: what you sell, who you

real-time interactions and follow

sell it to, and at what price. You’reorders every step of the way.

in control every step of the way.

Our platform issecure and trusted

Our tools integrate
seamlessly

Our platform is filled with

Supply chain digitization isthousands of verified users.

our focus. Our digital tools

And, thanks to our extensive

all work together to help you

network of partnerships, all ourcreate a comprehensive,transactions are secure and trusted

resilient, digital supply chain.

by millions of global companies.

p.14

p.15

B2B
Marketplaces FAQ

p.16

What is B2B (Business-toBusiness) eCommerce?
B2B (business-to-business) eCommerce is definedby a commercial transaction that is carried out ona digital marketplace platform for the purpose ofpurchasing products, services, or data, carried out
between businesses (as opposed to transactions
between businesses and consumers which are
known as B2C transactions).

How does a B2B eCommercemarketplace work?
A B2B marketplace is an online platform thathelps businesses to connect with customers inother organizations in order to conduct buying andselling activities. These transactions are usually

Steps in the B2B eCommercebuying process:bulk transactions for large quantities of goods. The
platform helps buyers browse and buy from a wide
range of pre-vetted vendors.

What is the B2B eCommercebuying process?

1

Need evaluation

2

Solution research3Supplier selection

4

Internal approval

5

Purchase decision

5

The B2B eCommerce buying process, at its
simplest, includes five steps that begin withrealizing that there’s a need, then conducting
research and evaluating potential ways to fill that
need, and finally selecting the best supplier toprovide that need and obtaining internal approval
before purchase.

p.17

What are the top financial
benefits of using a B2B
eCommerce marketplace?
There are several financial benefits your business

What is the difference between
B2B, B2C, and B2G eCommerce?
The difference between the three main types of
eCommerce are:can gain from using a global B2B eCommercemarketplace or platform including:• Straightforward pricing and terms comparison:Marketplace platform software enables you tosend inquiries to the sellers of your choice andthen compare their offers to their competitors.
• Standardized, automated purchasing
processes: Automation and standardization

B2C = Business to consumer (businesstrading with individual consumers)

B2B = Business to business (businesstrading with each other)

B2G = Business to government (businesstrading with local, state, or federal
governments)

can help you save time, increase efficiencies,
and lower costs. B2B platforms have thecapability to check alternate offers and prices
in real-time, execute a deal, and conclude
and validate a contract—all in one place.
• Forecasting and spend monitoring: Today’s
top-performing B2B platforms have built-in
tracking and monitoring tools to help predict
future purchasing costs. The right B2B
marketplace platform can enable forecasting
and automation so you can be sure you’re
getting the best pricing and terms.
• Access to thousands of products offeredwith negotiated pricing: With Tradeshift’s

What is the B2B ecommercemarket size?
At the latest estimate, the global B2B
eCommerce market was valued at USD$6,883.47 billion in 2021. The market is
expected to grow at a Compound Annual
Growth Rate (CAGR) of 19.7% from 2022 to2030. Source: Grand View Research

How do I get started with
Tradeshift’s B2B eCommerce
platform?

platform—and subsequent network that you

Getting started with Tradeshift’s B2B marketplacebuild once you’re on the platform—every

platform is easy. Join more than 1.5M mid-market

supplier you connect with is pre-vetted

and enterprise customers across 190 countries byaccording to your preferences. All you have tocollaborating through Tradeshift. Find out how by

do is choose the ones that are right for you.

requesting a customized demo today.

p.18

Is the B2B Marketplace easy
to use?

• Digital transactions reduce errors and speed

As a new generation of digitally-native• Greater access to buyers means less possibility of

employees join the workforce, they bring thepayment

loss of profitability during economic downturns

expectations of their consumer life into theworkplace. They expect tools that are simple,
intuitive, collaborative and allow them to achieve
frictionless outcomes. We realized that One of the

For Buyers:• Procurement is an expensive operation.

biggest drivers of rogue spend is frustration with

Marketplaces work for you as competition

existing purchasing systems.

produces economic efficiency and value
one buyer cannot yield alone.

Tradeshift’s Marketplace’s Merchant ofRecord (MoR) SaaS provides a human-centric
eCommerce solution enabling a Marketplace
Operator/Facilitator to invite Vendors and Buyers
to their curated Marketplace network/platform totrade goods and services.

How do I make a businesscase for switching toTradeshift B2B Marketplaces?

• Control the user experience and spend
management by establishing what
end users see and don’t see.
• Buyers using existing P2P solutions canintegrate easily to access these controls, newcurated content from Marketplace Operators• Economic efficiency reached faster by efforts
beyond the Buyer’s own efforts, throughgrowth of network of marketplace

Outlining the high-level benefits to your decision
makers may assist you in making the businesscase to try Tradeshift Marketplace:
For Sellers:• Increased efficiencies in invoice automation
reduce invoicing cost - contributing
to lower cost of doing business• Fully digitalized transactions reducerisk and increases efficiencies

p.19

What is the idealorganization for Tradeshift’s
B2B Marketplace?
• Global enterprise companies who would• Companies who would like to directly offer

like to leverage and monetize their well-financing (i.e. factoring) solutions to theirestablished network of either Sellers or

network of Sellers and/or Buyers as a partEnterprise Buyers–or both.

of the Marketplace integrated Services (i.e.

• Companies who would like to be leaders in

Banking & Insurances).

B2B eCommerce and understand the value• Distributors who are willing to expand theirof the network effect by providing B2C-likeproduct portfolio to the market exponentiallyuser experience in the B2B supply chain

without upfront investment in the inventory.

controlled environment.

Also those well established distributors who• Companies who would like to play a BPO
role for their large Enterprise Buyers and arewilling to facilitate transactions as a Reseller

are looking at operational cost optimization via
cutting on order and goods handling process
and transportation.

(i.e. BPO, GPO).

p.20

At Tradeshift,
we realize thatshift happens.
With turbulent markets and quickly changing industries, organizations
need the reliability of a strong, secure platform that can adapt alongside
their needs. As software built for adaptability, Tradeshift is the reliable
partner that you can count on throughout periods of disruption.

To learn more about our B2B
Marketplace and network ofverified buyers and suppliers,
reach out to our team of experts.

p.21

About Tradeshift
Tradeshift is a market leader in e-invoicing and accounts payable automation
and an innovator in B2B marketplaces and providing access to supplierfinancing. Its cloud-based platform helps buyers and suppliers digitize
invoice processing, automate accounts payable workflows and scale quickly.
Headquartered in San Francisco, Tradeshift’s vision is to connect every
company in the world, creating economic opportunity for all. Today, theTradeshift Network is home to a rapidly growing community of buyers andsellers operating in more than 190 countries. Find out more at: Tradeshift.com© 2022 Tradeshift Holdings Inc. or a Tradeshift affiliate company. All rights reserved.
The Tradeshift Global Health of Trade Index and this report are copyrighted works. This document
is protected by U.S. and international copyright and intellectual property laws. It may be linked
to and referenced with the following attribution “Tradeshift © 2022 Tradeshift Holdings Inc.”
Tradeshift is a registered trademark or trademark of Tradeshift Holdings Inc.
in the United States and/or other jurisdictions. All other marks and names
mentioned in this article may be trademarks of their respective companies.
This report is intended for information purposes only, is based on a segment of industry
data and may not prove to be an accurate representation of total trade volumes. Tradeshift
makes no warranty or representation as to the accuracy of this information.

p.22