Online Marketplace Sales Worth £282bn To UK Economy

Online marketplaces like eBay and Amazon might be the first step many small businesses take on their online retail journey, but that doesn’t mean the scale of the opportunity isn’t significant.

According to a recent report in Internet Retailing, the UK is home to approximately 882,000 businesses selling on online marketplaces, turning over a staggering £282bn a year. That’s the equivalent of 6% of all UK business turnover, and that figure is set to grow.

Online Marketplaces: A Growth Industry

The report suggests that revenues for companies selling on online marketplaces are growing at a rate of 9.4% a year, compared to just 7.4% growth enjoyed by other online sellers.

Much of this growth can be attributed to the global pandemic, with just 48% of retailers using online marketplaces in 2019, compared to 61% in 2022.

It’s perhaps because of this growth trajectory the online marketplace landscape continues to evolve. Challenger brands like OnBuy have entered the market, joining more established online sales venues like eBay, Amazon, and Etsy. There is also a growing number of niche marketplaces promoting specific verticals, including ManoMano (DIY), Decathlon (Sport), and the recently announced Superdrug (Health and Beauty).