What are the points that need to be considered before building Shopify Marketplace app?

shopify marketplace app

Do you want to create your multi-vendor marketplace? Shopify is the eminent platform to develop eCommerce websites. It is an easy-to-use eCommerce platform for small businesses and entrepreneurs who wish to sell their products online. No doubt, marketplace retailers are different from eCommerce stores and still have additional pain points. In the Shopify marketplace, several sellers make the shopping cart, shipping methods, order fulfillment, and commission rate sophisticatedly. It is due to the availability of copious goods from multiple merchants. Why not get a customized Shopify marketplace app from a well-known development agency?

Shopify is a marketplace platform through which you can quickly build your multi-vendor marketplace. However, it lacks multi-vendor capability out of the box. If you want to use the eCommerce platform to create a Shopify multi-vendor, you’ll need the Shopify Multivendor marketplace app. Moreover, you can work with a development partner to set up custom marketplace features on your Shopify website. On a development partner account, you can easily add your multi-vendor marketplace app and enjoy its features. But before diving deep into it. Let’s discuss the pain points to be considered by the business owners.

The Important Aspects Marketplace Owners Should Evaluate

Supporting numerous seller profile pages, providing excellent customer support, and assuring accurate and fast order fulfillment are just a few of the challenges that the marketplaces face when compared to eCommerce websites. To manage a Shopify Multivendor Marketplace properly, marketplace owners must address the following main pain points:

  • Payment 
  • Commissions 
  • Shipping
  • Customer support 

These key areas don’t have to be a source of the intrusion. But when you have numerous merchants using a Shopify marketplace, problems might arise. 


Payment should divide between the seller and the marketplace on marketplace websites. In most cases, the marketplace will receive a fee and then distribute the funds to the sellers after deducting any costs and commissions.

When it gets to excellent connections with your vendor partners, make sure the payment process runs smoothly, openly, and regularly. Customers can buy items from many vendors in one order on marketplace websites which makes it more difficult.

Moreover, Marketplace admin may use add-on apps like Stripe Connect to manage payments, seller revenues, and commission fees. Therefore, you should also think about payment options. You can conduct more business if you offer a variety of payment options. 

When you add more suppliers and approved payment methods, then keeping track of payments becomes more difficult. The prime step to start your multivendor marketplace should be decided on your payment process.


The majority of the money that marketplace websites generate comes from commissions on products sold on their platform. If you are going to start a Shopify Multivendor marketplace, you need to figure out what your commission rate is going to be. You must evaluate orders along with products from several suppliers, whether it will influence your commission rate or not.

When policies are not clear and implemented correctly, then commissions can become a problem on marketplace platforms. Sellers should be aware of their commission rate when it will be applicable.

Also, make sure that your commissions are distributed well and equitably across your marketplace. Vendors may become angry if they learn that you charge certain sellers more or less than others, and your business relationship with them may suffer as a result. Customers and merchants must be satisfied on marketplace websites, which is a unique issue.


One of the best advantages of running a best Shopify marketplace is that you do not need to worry about holding inventory and shipping products to customers. However, shipping costs and policies need to be clear and cohesive in your marketplace. So that you do not annoy or anger your customers. While you won’t be the one shipping or fulfilling orders, you can ensure that the shipping methods used on your marketplace are aligned. 

However, your customer can buy different products from multiple vendors within their single order. Thereby, you will need to make sure your shipping methods are synced across your marketplace to avoid confusion for the customer. With Shopify marketplace, you can keep your policies and shipping rates aligned across all the vendors. It is easier to manage the tracking orders and on-time delivery if the shipping methods are uniform.

Customer Support 

When you encounter a problem in a typical retail environment, you can seek help and support from the business or vendor. In a marketplace, who do you contact for customer service? The most demanding problem that marketplace administrators confront is coordinating customer support efforts with their vendors. 

Who will handle the issues of customers like order fulfillment, charge disputes, returns in a marketplace? The marketplace admin makes the most sense to fix the problem. But the admin might not be aware of the detailed information of the vendor’s products. Therefore, it is necessary to determine the customer services policies and apply them to your website to deliver a quality experience to customers before creating a Shopify Multi-vendor.  

Why Go With Shopify For Multi-Vendor Marketplace App?

Using Shopify to create a multi-vendor store is an eminent method to manage your business even if you don’t have any products in stock. You’ll be able to devote more time and resources to scaling and increasing sales on a high-quality marketplace.

Starting a Shopify multi-vendor store is an immense way to get started with your multi-vendor eCommerce app. 

The Shopify platform is ideal for business owners who wish to open an online store with a small initial cost and in a short amount of time. Aside from that, Shopify offers a wide range of themes and widgets to aid in the automation of numerous operations and the improvement of business performance.

Prime reasons:

We know that Shopify does not offer any default Shopify marketplace app for any eCommerce stores. But still, people prefer this platform for the multi-vendor marketplace. We have listed the few keys reasons why business owners select it:

  • Ease
  • Experience
  • Reputation
  • Cost
  • Additional tools

In essence, Shopify has been the industry leader in the eCommerce sector. Also, it proffers people with little technical expertise and the ability to build a flexible and responsive online store.


People with little technical knowledge can use the Shopify platform easily. Simplicity is also one of the prime reasons why it has become the first preference for eCommerce businesses, whether it is big or small. Although it is hard to create a multi-vendor marketplace. But still, it is easy to do on this platform. So, to develop your Shopify Marketplace App, you can work with a development partner. By working with them, you can get great solutions and tools to manage your needs.


Experience is just as important as reputation, and these two things often go hand-in-hand. 

Over a million business owners use Shopify to set up their successful eCommerce stores, including the marketplace. It is specialized in E-commerce websites and develops the product offerings required by business owners. This is because Shopify has experience in building online stores and helps in setting up a multi-vendor marketplace. However, Shopify does not offer any default capabilities for a marketplace.


As mentioned before, millions of business owners use Shopify for their business. Even including the giants like Staples and PepsiCo. Shopify has gained the trust of business owners and entrepreneurs around the world. The platform is getting powerful day by day as most people are choosing it for their eCommerce needs. It provides better tools for development and has improved the UI. You will be hard-pressed to know that Shopify has a better reputation than any other e-commerce platform.

Additional Tools 

With Shopify, you get plenty of additional tools for your multi-vendor marketplace. The merchants can install and take advantage of those tools easily. Here is the list of tools that are available for:

  • Functionality
  • Product Integration
  • Design
  • Inventory Management
  • SEO

The add-on apps and tools delivered by Shopify allow people to create a decent and professional-looking eCommerce website. If you want to set up your Multi-vendor marketplace on Shopify, then you will need to use an additional app. It has a suite of apps and tools through which business owners can customize their websites.


Cost-effectiveness is another important reason why entrepreneurs and business owners pick Shopify. Shopify is an excellent eCommerce platform to use if you have an idea that you want to develop quickly and cheaply. Many firms use Shopify to create an MVP to see if they have a potential business opportunity.

Final Thoughts

Even though Shopify does not provide eCommerce stores with default marketplace solutions, still, it’s a robust eCommerce platform intended to set up a clean, professional online marketplace. Marketplaces have a variety of drawbacks that single-vendor eCommerce stores do not have to deal with.

Although Shopify provides tools to help alleviate these issues. It may be more cost-effective if you engage with a development partner to create unique solutions that meet your specific requirements. Moreover, you can also get your own customized marketplace app on Shopify with the help of developers who are experts in coding.


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