B2B Marketplace Platform: How to Build Wholesale Marketplaces

B2B multi-vendor marketplace business models are emerging as a force multiplier to cold calling and offline marketing like trade shows, conferences, etc.  

The B2B eCommerce landscape estimated by Digital Commerce 360 reveals the number of global B2B Wholesale marketplaces to cross over 1,000 in 2025.  

Wholesale eCommerce is a part of the B2B marketplace where bulk trade happens between vendors at a discounted price before the retailers sell the products to the ultimate buyer. Some of the biggest B2B marketplaces are Alibaba and Amazon Business.

This ultimate guide to B2B marketplaces presents you with the right marketplace solution — the essential features that leading B2B marketplace offers and a step-by-step guide to creating an online platform that matches your unique business needs.

1. What is a B2B Multi-Vendor Marketplace?

A B2B multi-vendor marketplace is an online platform where multiple businesses (vendors) sell their products or services to other businesses (buyers) in a centralized digital environment.

Unlike B2C marketplaces that cater to individual consumers, B2B marketplaces focus on bulk transactions, long-term relationships, and complex pricing structures such as tiered pricing, minimum order quantities, and custom quotes.

B2B marketplaces streamline procurement processes, enhance B2B supply chain efficiency, and provide features like request-for-quote (RFQ) systems, bulk ordering, payment terms, and integration with enterprise systems (e.g., ERP and CRM).

2. Must-Have Features in a B2B Marketplace

The most significant feature of a business-to-business marketplace platform is the integration of supplier management software as it:

• Automates and manages product, vendor, order, and payout modules.
• Consolidates all supplier-related information into a single platform, allowing for streamlined processes like automated purchase order generation, real-time order tracking, invoice processing, and payment initiation.
• Improves efficiency and reduces manual data entry across the entire procurement cycle.

A successful B2B marketplace platform includes:

I. Product module

A robust product module ensures a seamless product listing experience for vendors and better purchase visibility for buyers.

Key Features:

• Product Listing & Management: Vendors can upload product specifications, images, and pricing, creating a centralized catalog accessible to buyers.
• Inventory Synchronization: Real-time visibility into supplier inventory levels, enabling buyers to check availability before placing orders.
• Approval Workflow: Marketplace owners can review and approve new products before they go live, ensuring quality control.
• Bulk Upload & Editing: Vendors can update multiple products at once using bulk upload features via CSV or API integrations.
• Advanced Search & Filters: Buyers can easily navigate the catalog using filters like categories, pricing, and availability.

II. Vendor module

This module facilitates seamless vendor onboarding and ongoing management to ensure compliance and operational excellence.

Key Features:

• Vendor Onboarding: Vendors can create profiles, submit necessary documents, and upload product catalogs quickly for approval.
• Performance Tracking: Merchants can monitor vendor KPIs such as delivery times, order accuracy, and customer feedback.
• Compliance Management: Automated document verification ensures vendors meet marketplace compliance requirements.
• Multi-Tier Vendor Management: Supports different vendor roles, allowing for hierarchy-based access and permissions.
• Communication Tools: In-platform messaging for vendors and buyers to collaborate and address inquiries efficiently.

III. Order module

Efficient order processing is critical to ensuring timely delivery and customer satisfaction.

Key Features:

• Automated Purchase Order Generation: Orders are automatically generated based on buyer requirements, reducing manual entry errors.
• Order Tracking: Real-time order status updates from placement to delivery with notifications for both buyers and sellers.
• Shipping & Logistics Integration: Seamless fulfillment through third-party logistics (3PL) and delivery partner integrations.
• Multi-Channel Order Management: Consolidates orders from various sales channels (e.g., online store, B2B portals, offline orders).
• Split Order Handling: Allows buyers to place a single order with multiple suppliers, with separate invoices and shipments.

IV. Payout module

An efficient payout system strengthens vendor trust and ensures timely financial transactions.

Key Features:

• Automated Invoice Processing: The system generates and validates invoices automatically, reducing errors and ensuring compliance.
• Seamless Payment Processing: Integrates with payment gateways (Stripe, Payoneer, bank transfers) and accounting systems to initiate supplier payments on time.
• Flexible Payment Terms: Supports various payment options such as credit terms, partial payments, and milestone-based payouts.
• Transparent Financial Tracking: Vendors receive automated notifications for completed payments, outstanding invoices, and financial reports.
• Commission Management: Enables automatic deduction of marketplace commissions before vendor payouts.

You should also consider the following features for a scalable B2B marketplace:

• Buyer Management Module:
  • Custom pricing for buyers based on negotiation history.
  • Contract management and bulk order discounting.
• RFQ (Request for Quotation) System:
  • Buyers can request quotes from multiple vendors to compare pricing and availability.
  • Vendors can submit customized quotes based on buyer needs.
• Analytics & Reporting:
  • Data-driven insights into sales performance, supplier efficiency, and customer buying trends.
  • Predictive analytics for demand forecasting and stock planning.
• Marketing & Promotions:
  • Built-in tools for running vendor-specific promotions and bulk discounts.
  • Integration with CRM for lead nurturing and customer retention campaigns.

Successful B2B Marketplace: Building PRX Market with Shipturtle

PRX Market is a trailblazing marketplace dedicated to the buying, selling, and trading of paper rolls. This B2B marketplace connects suppliers, buyers, and traders in the paper industry, offering a centralized hub for surplus and stock paper rolls. PRX Market emphasizes efficiency, transparency, and sustainability by reducing waste and maximizing the value of unused resources.

3. Types of B2B Marketplaces

B2B marketplaces can be categorized based on their business models, industry focus, and the types of transactions they facilitate. Here are the key types of B2B marketplaces:

I. Based on the business model

• Vertical Marketplaces
  • Focus on a specific industry or niche, offering specialized products and services tailored to that sector.
  • Examples:
    • ThomasNet (Industrial goods)
    • ChemNet (Chemical industry)
    • Textile Connect (Apparel and textiles)
• Horizontal Marketplaces
  • Serve multiple industries by offering a broad range of products across different categories.
  • Examples:
    • Alibaba (Global multi-category trade)
    • Amazon Business (General B2B products)
    • IndiaMART (Diverse product offerings)
• Product-Based B2B Marketplaces
  • Specialize in the sale of physical goods, raw materials, or finished products, facilitating bulk orders and wholesale transactions.
  • Examples:
    • Global Sources (Consumer electronics, apparel)
    • Udaan (FMCG, electronics, apparel in India)
• Service-Based B2B Marketplaces
  • Focus on connecting businesses with service providers, such as IT services, logistics, and professional consulting.
  • Examples:
    • Fiverr Business (Freelance services)
    • Upwork (Professional services)
    • Flexport (Logistics and supply chain solutions)
• Hybrid B2B Marketplaces
  • Combine both product and service offerings, catering to businesses that require both physical goods and supporting services.
  • Examples:
    • Tundra (Wholesale products with logistics support)
    • Alibaba (Products + logistics services)

II. Based on transaction model

• Buy-Side Marketplaces
  • Businesses aggregate demand and invite suppliers to bid or quote for their needs, optimizing bulk procurement.
  • Examples:
    • SAP Ariba (Enterprise procurement solutions)
    • GEP (Sourcing and procurement platform)
• Sell-Side Marketplaces
  • Businesses list their products/services, and buyers browse and purchase directly from suppliers.
  • Examples:
    • Amazon Business (Direct product listings)
    • IndiaMART (Supplier-driven product listings)
• Peer-to-Peer (P2P) Marketplaces
  • Businesses buy and sell directly to each other without intermediaries, often facilitating resale and surplus inventory liquidation.
  • Examples:
    • GoDirect Trade (Aerospace parts resale)
    • Kinnek (SMB-focused wholesale trade)
• Managed B2B Marketplaces
  • The marketplace operator plays an active role in facilitating transactions, ensuring quality control, and managing logistics.
  • Examples:
    • Faire (Curated wholesale marketplace)
    • Tundra (Wholesale with fulfillment support)

III. Based on industry focus

• Manufacturing Marketplaces
  • Cater to raw material suppliers and manufacturers in sectors like automotive, electronics, and construction.
  • Examples:
    • MFG.com (Manufacturing parts procurement)
    • ThomasNet (Industrial and manufacturing supplies)
• Wholesale & Distribution Marketplaces
  • Help wholesalers and distributors connect with retailers, resellers, and small businesses.
  • Examples:
    • Faire (Retail wholesale marketplace)
    • Udaan (India’s wholesale trade platform)
• Agricultural Marketplaces
  • Focus on trading agricultural products such as crops, fertilizers, and farming equipment.
  • Examples:
    • Agribazaar (Agri-commodities)
    • FarmLead (Grain trading platform)
• Healthcare & Pharmaceutical Marketplaces
  • Facilitate the supply of medical devices, pharmaceuticals, and healthcare services.
  • Examples:
    • Pharmaoffer (Pharmaceutical ingredients sourcing)
    • Medline (Medical supplies)
• Construction & Real Estate Marketplaces
  • Provide construction materials, equipment, and services related to real estate development.
  • Examples:
    • Procore (Construction procurement and management)
    • BuildSupply (Construction materials marketplace)

5. Importance of Ecommerce Platforms

Ecommerce platforms provide essential features such as product listings, payment processing, order management, and customer support tools. You can establish a robust online presence, catering to both direct customers and B2B sales.

If you are looking to scale quickly, leveraging established eCommerce platforms like Shopify, WooCommerce, Magento, and BigCommerce offers significant advantages. These platforms provide:

• Pre-Built Functionalities: You can access features like inventory management, automated tax calculations, and shipping integrations right out of the box.
• Security and Compliance: Built-in security measures ensure compliance with industry standards, reducing risks related to data breaches or fraud.
• Seamless Customer Experience: Ready-made storefront templates, responsive designs, and user-friendly checkout processes enhance customer satisfaction and engagement.
• Scalability: Whether serving a small customer base or expanding globally, these platforms can scale operations with ease.

Types of eCommerce platforms

E-commerce platforms can be classified into two major categories:

I. Cart-based platforms:
These platforms are primarily designed for single-seller stores, offering features like product catalogs, shopping carts, payment gateways, and customer management tools. They are ideal for businesses looking to establish a direct-to-customer (DTC) model. Popular cart platforms include:

• Shopify: A widely used platform with intuitive tools for store management and extensive app integrations.
• WooCommerce: A powerful WordPress plugin that transforms websites into full-fledged online stores.
• BigCommerce: A scalable solution with extensive built-in features and third-party integrations.

II. Converting cart platforms into marketplaces:
Many businesses start with cart-based platforms and later transition to a marketplace model, allowing multiple vendors to sell through their platform. This transformation can be achieved through off-the-shelf software solutions or native plugins, which extend the functionality of cart platforms. Examples include:

• Shopify Multi-Vendor Apps: Apps like Shipturtle allow Shopify stores to onboard multiple sellers and manage commissions, payouts, and inventory.
• WooCommerce Multi-Vendor Plugins: Solutions such as Dokan help convert WooCommerce stores into full-fledged marketplaces with features like vendor dashboards and order splitting.

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6. Building a Successful B2B Wholesale Marketplace using Shipturtle

Building a global marketplace is challenging because, without the right software solutions, the marketplace can't function efficiently and achieve success.

A step-by-step guide to building a B2B marketplace model using Shipturtle

Step 1: Set up your online store using a cart platform like Shopify. Create a user-friendly website with intuitive navigation, advanced search filters and secure payment gateways.  

Step 2: Install a multivendor marketplace plugin like Shipturtle with 400+ prebuilt workflows for vendor onboarding, order routing, payment and shipping. It's a no-code software that facilitates 5000+ integrations, including 200+ shipping integrations and is suitable for building a marketplace in any niche.

Step 3: Invite vendors to sell their products on your marketplace. Shipturtle connects stores across platforms like Shopify, Woocommerce, Magento and even offline store, allowing vendors to integrate inventory and sales across platforms. The Vendor Sync feature prevents underselling and overselling.

Step 4: Utilize the prebuilt workflows and modules. The specialized product, order, payouts and shipping modules of Shipturtle help to streamline the marketplace's operations.

• Discover how to simplify product listings and inventory management – Watch Now!
• Effortless vendor onboarding and compliance made easy – Watch the Video!
• Streamline order processing from start to finish – Watch in Action!
• Ensure smooth and timely vendor payments – Watch How it Works!

Step 5: Customize your marketplace quickly using Shipturtle's API infrastructure and utilize 400+ prebuilt workflows that integrate seamlessly with other systems.

Contact us to schedule a free demo and understand how Shipturtle can help you build a thriving marketplace that provides value to vendors and customers.