Best Buy Launches Marketplace

Best Buy launched its third-party digital marketplace this week in the US and Canada. The move is designed to dramatically expand Best Buy’s assortment and offer customers access to hundreds of new brands and categories beyond its traditional tech focus. Best Buy have partnered with Mirakl, seamlessly integrating third-party seller products into BestBuy.com and the app.

Best Buy have faced slower sales in recent years and increased competition from marketplaces like Amazon and Walmart. Best Buy sees its new third-party marketplace as a strategic step to diversify its product offerings, drive higher profit margins, and attract more advertising revenue.

The new marketplace more than doubles the number of products on Best Buy’s platforms and introduces entirely new categories - from seasonal décor and licensed sports merchandise to musical instruments and kitchen essentials. Purchases made via the marketplace can be conveniently returned at any Best Buy store, ensuring a seamless omnichannel experience.

The Best Buy marketplace is another example of traditional retailers extending their catalogue to drive more sales, increase traffic to their website and consequently increase ad revenue. We expect to see more vertical marketplaces as retailers seek more growth and use their omni channel offering to offer customers a better experience than they can get with Amazon.