What is Hyperlocal Marketplace?
Ecommerce will continue to grow in 2021.
As per Statista’s prediction, global retail e-commerce sales hits $3.53 trillion in 2019, and e-retail revenues are projected to grow 6.54 trillion to $6.54 trillion by 2022.
If you are serious about the e-commerce business, you need a sound strategy you can implement to produce results.
“Build it and they will come” does not apply to your online store business.
Growing a business is not easy, it is one of the biggest challenges. To flourish your e-commerce business, it is important that you aggressively market your store. If you are genuinely serious about your business, grabbing customers while overpowering your competition also matters to a large extent.
You have to realize that there is always light at the end of the tunnel. The success of your business depends on your efforts to boost profits with different methods. Success doesn’t happen overnight, there are ways that help reap benefits. It takes time, effort, and strategic planning.
This is the best time for you to consider turning your online business into a marketplace. One very popular trend right now is the hyperlocal marketplace business. This is something that should be adopted by every online merchant.
Let’s just understand the hyper-local market.
What is Hyperlocal Marketplace?
Let’s break down this big word.
Hyperlocal means to move locally in your business. It means going local in the true spirit.
The delivery model of the hyper-local marketplace fulfills the on-demand requirements of the hyper locality customer. With the help of this hyperlocal market, you are focusing on a small targeted community or geographical area.
This hyperlocal model works on two primary factors:
- Geographical location
- Time
A successful hyperlocal model involves quick delivery and more extensive targeted geography.
Like various online multiple vendor marketplace, this is also an on-demand near me delivery model that allows the online merchants to sell their products via an online store.
In the hyperlocal marketplace, sellers are allowed to sell in targeted zones. Sellers earn by selling their products or offering services, on the other hand, store owners or stakeholders get commissions.
Near me, the delivery model is better known as the ‘hyperlocal market’. It requires the fastest possible delivery with strict time constraints. Well, this is possible when the local vendors are able to supply products or offer services in their nearby targeted regions.
What are the Benefits of the Hyperlocal marketplace?
The hyperlocal delivery model gives a plethora of benefits to consumers and retailers.
Key features of hyperlocal marketplace involve
1. Customer’s location auto-detection
2-Multiple online payment methods
3-Shipment schedules
4-Product filtering as per location
5-Social sharing options
6-Products and services reviews and ratings
Admin Features involve:
1- Admin adds multiple ship areas and postal codes
2-Filters can be set by admin. Here are the filters:
Filter products by distance
Filter products by zip code
Filtering based-on city, country, and state
Vendor Features in a Hyperlocal Marketplace:
1-Sellers are able to add multiple ship areas & zip codes
2-Sellers can edit/delete the ship location
3-Auto fetch the correct location of the vendor
Customer Features of a Hyperlocal Marketplace:
1-Auto geolocation detection of the customer
2-Filtering products based on the detected location
3-Facility to change already specified location
4-Validation at checkout
How does the hyperlocal marketplace work?
The hyperlocal marketplace has adopted an ‘omnichannel approach’ that delivers a seamless experience across different channels.
Customers can place orders from different channels like websites, mobile apps, or phone calls. The marketplace has a robust real-time back-end architecture. As a result of which the sellers receive orders from customers and ensure that the product is delivered within the promised time constraint.
The hyperlocal marketplace works in four different primary stages:
1. What will you deliver to your customers?
First of all, you have to start thinking about what products or services you will be able to provide to the customers locally. For this, you can target the local geographical locations.
2. Target the local group of audience
The next is to identify your target audience. Find out if the local audience is office professionals, college students, or the elderly who are either too busy or lazy to visit a brick or mortar store.
3. Collaborate with Home Delivery Partners or Local Merchants
Have you finally figured who your target audience is? Once that’s done, the next step is to pitch for collaborating with the local businesses and doorstep delivery companies.
However, you can build your business without an immediate partnership. It is completely up to you. But when you collaborate, it becomes easy for you to deliver the product in the nearby supermarkets.
4. Characterize Associations
The deal will be profitable when you get a considerable amount of delivery orders. You should give a fair amount to the delivery partner and know what remains is the delivery capital.
When you team up and partner with the nearby stores, notwithstanding acquiring commission, it will help to amplify the dispatch of the on-request delivery technique. This way, the delivery will be ready to ship so will be the delivery team.
5. Prepare a fix income model
Always partner with a nearby store that offers you a commission.
The trick is, you can charge clients a comfort expense over the delivery charges for the super quick delivery. Become smart and offer them a discount that still proves to be profitable somehow.
6. Develop a hyperlocal portable application
The best is to create your own hyperlocal application.
Build different apps for different characters like drivers, shippers, and clients.
How to create a hyperlocal marketplace?
First and foremost, it is important to have an online ordering platform so that customers can order products effortlessly. Make an integrated scalable software solution where the merchant can easily accept the order and then process for quick delivery.
A tracking solution is important as it allows you the merchant to know the order placed and delivery status, ensuring everything is completed within time.
Customers can order via the following channels:
- Online Store Website
- Mobile apps
- Progressive Web Apps (PWA)
Native Mobile apps
Native apps are built for iOs and Android. Every native app has a source code base and is developed with the help of tools. Every app has a separate source codebase and is created with the help of tools and languages as per the respected platform.
Native apps work seamlessly on different mobile devices ensuring high stability and efficiency, but native mobile app
Cross Platform
Cross platform has a single source codebase that works for both iOS and Android apps. They are built using React Native or Flutter. Being cost-friendly, they also have a low development curve.
Cross Platform also refers to the omnichannel mobile app development for the on-demand delivery marketplace that requires in-depth expertise.
PWA
Progressive web applications are lightweight and have the ability to work even when offline. The app-like interface improvises the user experience. Anyone can install the progressive web app on their device for later use.
Having a responsive design that works across different devices ranging from small screen to large screen gadgets. PWA can be uploaded on Google Play Store so Android users can directly download and install it.
Push notifications powered by PWA are very powerful. This helps in notifying about deals, offers, and other important updates/status.
All the aforementioned features make progressive web apps an ideal choice for hyperlocal near me delivery marketplaces.
Why is the Hyperlocal market flourishing in 2020?
We know 2020 has been the pandemic year and the world is going through a tough time as the economies have been massively hit.
Slow and steadily, life is getting back on track. In the meantime, hyperlocal marketplace businesses became a necessity. This is because home delivery was in full boom during lock-down as people feared moving out. The scenario connected customers with the sellers who are closer to them.
Customer satisfaction is the priority and online merchants, on the other hand, find it super easy to cater and deliver a customer in the nearest geographical area. The merchants understand the customers’ demand and urgency, and then create their business models accordingly. Costs drop appreciably for both aggregator and merchants at the end and this proves to be a win-win deal for both.
What is the future of hyperlocal marketplace?
Hyperlocal marketplace’s popularity has surged in recent times. Research estimates that hyperlocal marketplace startups have managed to raise $170 million from investors.
For the Hyperlocal Delivery Model you have to list different local store items. Then pick dedicated resources to deliver the products in the shortest time possible. The desired products should be acquired locally from the offline stores and delivered to consumers within a shortest possible time.
It should not come as a surprise if giant e-commerce marketplaces begin to acquire hyperlocals or start investing in them owing to the interesting concept they are built around and the attractiveness of their future prospects. This marketplace has a promising future in the years to come.
Must Read: 10 Key Ways LinkedIn Powers Your Business to Reach the Audience
