Published Feb 15, Adevinta's latest report “The State of Online Marketplaces 2023” in collaboration with DealRoom highlights a tech-driven shift in marketplaces, fueled by fintech, SaaS, and AI. Conclusion based on analysis of over 35,000 platforms across 30+ sectors. Here's a summary of their insights:
VC funding for marketplaces hit a nine-year low, totaling $31.6 billion in 2023—a decline to levels last seen in 2014, with a noticeable drop in late-stage investments. The focus shifted towards SaaS solutions, marking the smallest share of global VC in over a decade.
Specialization isn't just for coffee shops anymore. Vertical marketplaces, especially in fintech and food, attracted 90% of VC investments in recent years (2020-2023), with B2B platforms securing $6.3 billion (20% of 2023 funding), showcasing a record interest in focused sectors. Who knew B2B could be that sexy? Adevinta and Pachkelp did, apparently. :)
Exits increased, driven by acquisitions and buyouts, despite a downturn in public listings. Reliance on debt financing grew, hitting a record $14 billion (30% of total private financing in 2023, up from 22% in 2022 and 14% in 2021).
Real estate marketplaces faced a 76% funding drop to $1.7 billion in 2023, the largest annual decrease across industries worldwide. Fintech and food sectors also saw significant declines, receiving $5.6 billion (-73% YoY) and $5.2 billion (-53% YoY) respectively but they still received the most across all the different marketplace verticals.
❓ What other insights you think are critical from the report?
Each week we select most important sector news and statistic
so that you can be up to speed