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Ecommerce : Single vendor vs Multi vendor

The eCommerce business does have various models. Each of them contains its own features and benefits. With a decent knowledge of your customer base, market research, e-commerce type, and the right goal it’s easier to choose the suitable one for your business. If you have decided to start as new to the market then it’s crucial to select the right one. Is it seems complicated? Don’t worry, we are discussing single vendor and multivendor in detail to choose the right fit one for your business.

Single Vendor

As the name suggests a seller or brand sells its products to multiple types of customers through the single vendor eCommerce website. It’s popular among brands who would like to sell their goods without a mediator. Therefore, the seller or brand is liable for product sourcing or producing, storing, and distributing till order completion.

Let’s say Nike sell their own product on its official website. Hence this is a single vendor eCommerce model.


Strong Relationship with Customer:-Since single sellers manage all the customers, therefore it’s a great opportunity to make a strong relationship with them.

Vendor product mange:- The vendor or brand knows about their product quality, stock, and altered product list therefore it’s easier to manage them accordingly.   

Faster Workflows:- Due to the attachment of a single vendor manufacture/sourcing, the supply, stock, & delivery process are easier.


  • Offers a limited range of products. This is because single vendors can not source a wide range of products.
  • Risk of vulnerability or interruption of supply
  • Dependency to the supplier 


In a multi-vendor model different sellers sell their products to the customers. So, multiple sellers display their goods under a mediator website. More seller generates the opportunity to gain high-profit margin. Besides customers can buy products from many sellers under the same storefront. 

Such as Amazon, eBay, Walmart, Flipkart, and so on. 


Large scale economy:- As the multi-vendor has multiple vendors and customers, therefore, the transaction & commission percentage can generate a healthy amount daily. 

Stable Product price:-Competition among the sellers limits fluctuations of product price.

Product variety:- Wider range of products are from different vendors.

Reduce Supply disruptions:- A few suppliers will ensure supply whereas one or more are unable to continue it. 


  • When it comes to operating a multi-vendor business continuous cooperation with different parties is involved. Therefore tasks and order processes could be delayed.
  • Product components produced by the various company which can cause extra cost and endeavor

To Summarize

Finally to select a  business model you must research that how your competitor is performing. After considering various models you should select that will be the best fit for your business. The right decision can lead your business to the next level to gain success.

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