Digital Marketplace Market by Platform (Desktop, Mobile, and Tablets), by Model Type (Business to Business (B2B), Business to Consumer (B2C), and Consumer to Consumer (C2C)), and by End User (Commercial and Personal) – Global Opportunity Analysis and Industry Forecast, 2024–2030

Market Overview

The global Digital Marketplace Market size was valued at USD 521.91 billion in 2023 and is predicted to reach USD 1064.90 billion by 2030, with a CAGR of 10.6% from 2024 to 2030. Digital marketplaces, also known as online marketplace or digital e-commerce platforms where buyers and sellers converge to trade goods, services, or information. It includes platforms serve as intermediaries, facilitating transactions among various parties, such as buyers and sellers, within a centralized space tailored for product discovery, purchase, and delivery.

These marketplaces capitalize on technology to enhance transaction efficiency. They ensure smooth and secure payment processing, safeguarding the financial details of both buyers and sellers. Moreover, they extend their services by providing features such as customer reviews, ratings, and mechanisms for resolving disputes that may arise during transactions. They play a pivotal role in the contemporary economy, bridging businesses and consumers across geographical barriers, and facilitating seamless and convenient commerce on a global scale.

Global Expansion of E-Commerce Sector Boosts the Market Growth

The global expansion of the e-commerce sector is driving the digital marketplace market growth on a worldwide scale through various interconnected mechanisms. As e-commerce continues to proliferate across different regions and industries, online marketplaces emerge as essential platforms that aggregate diverse products and services from numerous sellers, providing consumers with convenient access to a wide range of offerings.

According to the data provided by the International Trade Administration (ITA), the global retail e-commerce sector is expected to grow at a CAGR of 11.16% between 2023 and 2027. This expansion is fueled by factors such as increasing internet penetration, rising smartphone ownership, and advancements in digital payment systems, which collectively contribute to a growing pool of online shoppers.

Furthermore, the globalization of trade and the removal of geographical barriers enable businesses to reach international markets through digital marketplaces, fostering cross-border transactions and market expansion opportunities. Thus, the global expansion of the e-commerce sector catalyzes the growth of online marketplace by creating a dynamic ecosystem that connects buyers and sellers worldwide, driving innovation, competition, and economic growth.

The Growing Adoption of Smartphones Drives the Market Growth

The proliferation of smartphones worldwide has been a key driver in the exponential growth of the digital marketplace market. As reported by the International Telecommunication Union (ITU), there were over 8.58 billion mobile subscriptions globally in 2022, surpassing the global population of 7.95 billion. This widespread adoption of smartphones has transformed them into indispensable tools, granting users seamless access to online platforms from virtually anywhere.

Consequently, this heightened accessibility has broadened the potential customer base for e-commerce online marketplaces, enabling a larger segment of the population to participate in online commerce. Furthermore, smartphones offer a range of features, such as mobile applications and user-friendly websites, which enhance the overall browsing, purchasing, and selling experience on e-commerce marketplaces. Consequently, the growing reliance on smartphones has spurred the expansion of the virtual marketplace market, leading to heightened transactions, revenue, and global market penetration.

Cybersecurity Threats and Consumer Trust Issues in Digital Marketplaces Hinders the Market Growth

Cybersecurity threats, such as data breaches and fraud, pose significant risks to online marketplaces by undermining consumer trust. When consumers perceive digital platforms as vulnerable to cyberattacks, they hesitate to share personal information or conduct transactions online, fearing potential privacy violations or financial losses.

This deterioration of trust can lead to reduced usage of virtual marketplaces and reluctance to engage in online shopping activities, hindering the digital marketplace market growth. Moreover, instances of data breaches or fraudulent activities can damage the reputation of digital marketplaces, deterring both consumers and businesses from participating in the online ecosystem.

Integration of Augmented Reality (AR) and Virtual Reality (VR) Technologies Creates Future Opportunities for the Market

The integration of AR and VR technologies in online marketplaces is expected to create lucrative opportunity in the market. By leveraging AR and VR, digital marketplaces can offer users more immersive and engaging shopping experiences. 

These technologies enable consumers to visualize products in real-world settings, virtually try them before purchase, and explore interactive virtual environments. Such immersive experiences enhance customer engagement, build brand loyalty, and ultimately drive sales.

Additionally, AR and VR empower businesses to showcase their products more effectively, providing detailed information and personalized recommendations to users. Therefore, the integration of AR and VR technologies holds significant potential to revolutionize the future of digital e-commerce platforms industry by offering innovative and captivating shopping experiences.

Asia-Pacific Region Dominates the Market 

The Asia-Pacific region dominates the global digital marketplace market share due to rising disposable income in the region. According to the Government of China, China’s per capita disposable income increased to USD 5,511 in 2023, reflecting a year-on-year increase of 6.3% in nominal terms.

As consumers' purchasing power rises, there is a greater propensity to spend on discretionary items, including those available on digital marketplaces. With more disposable income at their disposal, consumers are increasingly turning to online platforms to fulfill their shopping needs and desires. This heightened demand for goods and services drives traffic to digital marketplaces, leading to increased sales volumes and revenue.

In addition, the increase in government initiatives in the region serves as a significant catalyst for driving the digital marketplaces market in the region. The Government of India launched a network named “Open Network for Digital Commerce (ONDC)” in 2022 with an aim to provide equal opportunities to Micro, Small, and Medium Enterprises (MSMEs) to thrive in digital commerce and democratize e-commerce.

By providing a platform for MSMEs to showcase their products and reach a wider audience, ONDC stimulates innovation and entrepreneurship. This initiative enables MSMEs to participate more effectively in the digital marketplace ecosystem, thereby increasing competition and diversity in the digital marketplace market.

Moreover, the increase in the purchase of mobile phones serves as a significant driver for the growth of the digital marketplaces market in the country. According to the International Trade Administration, purchases on mobile phones in South Korea increased from USD 134 billion in 2021 to USD 134.3 billion in 2022.

Additionally, according to a 2023 Ministry of Science and ICT report, 99.96% of Korean households had access to the internet in 2022. This heightened mobile phone ownership and internet connectivity enables seamless integration with various e-commerce apps and platforms, facilitating smooth and convenient shopping experiences for consumers, further propelling the digital marketplace market expansion within the region.

North America is Expected to Show Steady Growth in the Market

North America is expected to witness an increased demand for the digital marketplace market share due to the growth of the e-commerce industry in this region. According to the International Trade Administration, the U.S. e-commerce industry is expected to grow at a compound annual growth rate of 11.22% by 2027.

As more consumers shift towards online shopping, there's a growing demand for convenient platforms that offer a wide range of products and services from various sellers. Digital marketplaces serve as centralized hubs where businesses can connect with consumers, streamline transactions, and expand their reach. With the rise of e-commerce, digital marketplaces are expected to flourish, providing opportunities for businesses of all sizes to tap into new markets and enhance their online presence.

Moreover, the presence of key players in North America, such as Amazon and eBay, significantly influences growth of the market. These industry giants have demonstrated a commitment to innovation and adaptation, continually evolving their strategies to remain competitive in the dynamic digital commerce environment. 

With their expansive reach, advanced technology infrastructure, and deep understanding of consumer behavior, Amazon and eBay have established themselves as leaders in the North American market, which in turn boost the growth of the digital marketplace market.

For instance, in January 2024, Amazon partnered with Meta to integrate ecommerce features into Meta's platforms, including Facebook and Instagram. This collaboration aimed to enhance the shopping experience for users by enabling seamless product discovery and purchasing directly within Meta's ecosystem.

Competitive Landscape  

Several market players operating in the global digital marketplace industry include Amazon Inc., Walmart Inc., eBay Inc., Alibaba Group Holding Limited, Rakuten Group, Inc., Sea Limited, MercadoLibre, Inc., JD.com, Inc., Etsy, Inc., Allegro.eu, Kogan.com, Seek, Carsales, REA Group Ltd., Airtasker Ltd., Freelancer Ltd., Hipages Group, and others. These market players are adopting strategies, such as product launches and partnership to maintain their dominance in this market.

Source: Primary Research, Secondary Research, Next Move Strategy Consulting

Note: In others we have also analysis the companies such as Kogan.com, Seek, Carsales, REA Group Ltd., Airtasker Ltd., Freelancer Ltd., Hipages Group, and others.

By continuously innovating and launching new offerings, they aim to meet the evolving demands of customers and also enables them to capture new opportunities and expand their market share.

Digital Marketplace Market Key Segments

By Platform

• Desktop

• Mobile

• Tablets

By Model Type

• Business to Business (B2B)

• Business to Consumer (B2C)

• Consumer to Consumer (C2C)

By End User

• Commercial

• Personal

By Region        

• North America    

  • The U.S.

  • Canada

  • Mexico

• Europe

  • The UK

  • Germany

  • France

  • Italy

  • Spain

  • Denmark

  • Netherlands

  • Finland

  • Sweden

  • Norway

  • Russia

  • Rest of Europe

• Asia-Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

  • Indonesia

  • Singapore

  • Taiwan

  • Vietnam

  • New Zealand

  • Thailand

  • Rest of Asia-Pacific

• RoW

  • Latin America

  • Middle East

  • Africa

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