Marketplaces As Retail's New Front Door

New Report: How Online Marketplaces Can Capture The $129 Billion Small Business Seller Opportunity The pandemic has Main Street businesses turning to online marketplaces to boost sales, but for sellers dealing with cash flow shortages, marketplace payout speeds are not cutting it — and more than 60 percent of small sellers will switch marketplaces for real-time payout options. PYMNTS' new Marketplaces As Retail’s New Front Door report, in collaboration with Visa, surveyed 1,049 small sellers and found that real-time payouts can translate into a $129 billion market opportunity for online marketplaces that offer it.
Inside the August study:
  • Eighty-eight percent of all business sellers are paid by their marketplaces. The same is true for 35 percent of all individual sellers.
  • The average business seller waits just over three days for funds to settle. Small businesses and individual sellers wait just over two days, on average.
  • Offering real-time settlement drives incremental volume for marketplaces. Marketplaces that offer real-time settlement could capture a collective $129 billion to $216 billion per year in sales from U.S. sellers who say they would be willing to switch.