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In-house Monitoring vs. Third-party Monitoring — What You Need to Know

in-house monitoring vs third-party monitoring

Ensuring the safety and compliance of online marketplaces is more critical than ever. The increasing volume and diversity of products being sold, coupled with ever-changing regulations, pose significant challenges for marketplaces. To address these challenges, many platforms turn to LegitScript Marketplace Monitoring. Read further for a quick summary of what’s inside LegitScript’s Marketplace Monitoring Buyers Guide. Then, download the guide.

What do You Need to Know About In-house Monitoring vs. Third-party Monitoring?

One of the first decisions to make is whether you’ll develop an in-house solution or opt for a third-party provider. Both options have their pros and cons, and understanding each option will help you make an informed choice. Let’s explore both options.

What are In-House Solutions?

For smaller or niche marketplaces, in-house monitoring may be a viable option. It allows for greater control and customization, especially during the initial stages when the number of listings is manageable. However, in-house monitoring can become resource-intensive as the marketplace grows. The cost of growing a monitoring staff, maintaining custom tools, and keeping up with regulatory changes quickly adds up. Furthermore, in-house solutions are difficult to expand into new industries and geographies.

What are Third-party Solutions?

Third-party monitoring solutions offer several advantages, particularly for marketplaces experiencing growth or facing compliance challenges. These solutions often have faster implementation times, scalability to accommodate marketplace growth, and regulatory expertise to navigate complex compliance requirements. A reliable third-party provider can quickly scan and flag problematic products, saving time and reducing the exposure window for violative listings. However, selecting the right third-party provider can be a challenge, and cost may be a concern for smaller marketplaces.

Download LegitScript’s Marketplace Buyers Guide for an In-depth Breakdown of In-house Monitoring vs. Third-party Monitoring

Are you an e-commerce marketplace looking to avoid BRAM and VIRP fines, regulatory scrutiny, and more for problematic listings? Download the Marketplace Monitoring Buyers Guide for a comprehensive cost/benefit analysis of using an in-house monitoring team vs a third-party solution.

Smelting words into subject matter expertise since 2020, Thea Le Fevre specializes in B2B SaaS Content Marketing. She believes in embracing innovation and produces AI-assisted content along with organically crafted content. Take a deep dive into her work for up-to-date industry news surrounding issues in trust & safety, payments risk & compliance, healthcare, and more.

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