… According to WEPay ‘s new data on marketplace payment volumes this year.
Are platforms driving the economy?
The company’s research finds an estimated $25 billion will have been processed by marketplace platforms in 2013 (from Uber and Etsy to TaskRabbit) What’s more, the company predicts that number will nearly double by 2016.
We define a marketplace as a 2-sided platform that connects buyers and sellers.
A marketplace is a platform that facilitates the interactions and transactions between two parties. In order to classify as a marketplace, the platform must serve a two-sided market with multiple vendors and consumers. Traditionally, marketplaces contained goods, often referred to as ecommerce. eBay and Etsy are just two examples of the traditional sense of a marketplace. However, modern online marketplaces have made it possible to sell services and labor online as well. For example, 99designs makes it possible to get graphic design work done on a budget, and TaskRabbit makes it easy to hire anyone to do anything at the click of a button.
WePay did extensive research on marketplaces. Using our internal knowledge of payment volume through years of conversations with prospective and current customers, as well as public data – we were able to estimate and categorize payment volume and payment volume growth of marketplaces.
WePay is leveling the playing field for the new, bottom up economy by disrupting traditional payment models. Through its platform API, WePay empowers marketplaces to enable transactions on their platforms.