Online marketplaces face the unique task of getting two strangers to transact with each other. If you are building a marketplace, you will inevitably face the question how to enable conversations within marketplaces.

This is because providing buyers and sellers on your platform with a safe and efficient channel to interact on is often one of the first steps toward generating transactions and enabling the lifeblood of marketplaces – liquidity.

Benefits of in-app marketplace conversations

1. Reduces friction in the order process

Sellers can address a buyer's reservations in real time and speed up the process of placing an order without having to disclose any personal information (phone, email address, etc.) via an embedded chat tool. Also, depending on the marketplace, buyers and sellers can negotiate deals like lower prices, free shipping, and local pickup via direct messaging.

2. Allows marketplace operators to intervene

For marketplace operators, support representatives can view direct messages between the buyer and seller to more efficiently handle order-related issues.

This can help provide context and a full timeline on the situation and better inform the customer service agent on how to resolve the issue. Additionally, these logs can also serve as incredible data points for product managers locate repeating pain points that may go unnoticed otherwise. Lastly, this is also a great touchpoint for operators to check for marketplace disintermediation.

3. Boosts trust between the buyer and seller

Trust lies at the core of successful marketplace transactions. When making a deal with a stranger, direct messaging allows the customer and merchant to manage any doubts directly. This process humanizes the buyer and seller.

Once a rapport is in place and a positive interaction has occurred, the buyer will likely feel more comfortable both with the seller and the platform itself in the future.

Tools

In order to facilitate this kind communication, marketplace builders tend to look consider tools such as:

• Waypoint – email API for notifications.

• TalkJS – API and components for in-app chat.

• Twillio – API for SMS notifications.

• Zapier – no-code automation tools to chain together multiple services.

Final Thoughts

An online marketplace requires an efficient channel for its users to communicate directly and safely. Use the right tools for the job and start increasing marketplace transactions and liquidity within your marketplace.

This article was originally published on Marketbase (a Waypoint product).