Martin Kolm
Freelance Business Development Consultant,
MK Business Development & Digital Transformation for the Chemical Industry, Maastricht, Netherlands.
Introduction
The global chemical industry generates over USD 4.7 trillion annually, yet its commercial infrastructure remains largely analogue. Procurement is still often conducted via phone or email, product data sits in PDFs, and sales depend heavily on long-standing personal relationships. While this reflects genuine complexity—regulation, hazardous goods, and technical qualification—it also creates inefficiencies.
Two forces are now challenging this model. A generational shift is bringing digitally native buyers into procurement roles, while the COVID-19 pandemic accelerated remote business practices, forcing companies to adopt digital tools. In response, digital B2B marketplaces have emerged as a focal point of innovation, promising to connect buyers and sellers, streamline compliance, and generate valuable commercial data.
Marketplace models and evolution
Chemical marketplaces vary by ownership and function. Early efforts took the form of producer-owned portals that digitised ordering for existing customers but offered limited strategic value. More ambitious producer-led marketplaces opened participation to third parties, aiming to become shared infrastructure for the sector.
Independent platforms have introduced a more disruptive model, focusing not just on transactions but on structured product data, technical specifications, formulation guidance, and application insights that accelerate material discovery. At scale, such platforms demonstrate the potential for high supplier and product density.
Distributors, recognising the risk of disintermediation, have developed their own digital hubs, often combining marketing and aggregation functions. Alongside these, a newer category has emerged that prioritises direct communication. In chemical procurement, particularly for specialty products, purchasing decisions depend on technical dialogue as much as price. Platforms that enable immediate, direct interaction between buyers and suppliers address a key weakness of earlier marketplace models, which often replicated offline inefficiencies through slow, fragmented communication.
Marketplaces as digital infrastructure
The significance of marketplaces extends beyond transactions. Their most important contribution is forcing product data harmonisation. Much chemical product information remains fragmented across PDFs and legacy systems. Preparing products for digital listing requires standardisation of technical, regulatory, and commercial data, often through Product Information Management systems. This structured data can then be leveraged across ERP and CRM platforms, enabling more effective sales and customer engagement.
Marketplaces also generate valuable behavioural data, search activity, downloads, and enquiries, that can be integrated into CRM systems. This enhances sales intelligence, allowing companies to identify and prioritise opportunities. For organisations with broad portfolios and limited sales bandwidth, such data-driven insights are particularly valuable.
In addition, digital platforms improve supply chain transparency. By integrating inventory visibility, logistics data, and multi-supplier access, they enable faster responses to disruptions and better coordination across procurement and pricing decisions.
Barriers to adoption
Despite their promise, digital marketplaces remain at an early stage, with only a small share of transactions conducted online. Cultural resistance is a major factor: the industry’s reliance on relationship-based selling means digital tools are often seen as threats rather than enablers.
Data fragmentation presents a significant technical barrier. Preparing accurate, compliant product listings requires substantial effort, particularly given regulatory obligations around safety documentation and classification. Regulatory complexity itself adds another layer of difficulty, as differing frameworks across jurisdictions complicate cross-border transactions.
Finally, specialty chemicals remain challenging to digitise. Their qualification processes involve extended technical dialogue, testing, and regulatory approval, which do not easily map onto simple transactional platforms. While demand for digital solutions exists, platform functionality must evolve to accommodate these complexities.
Outlook and conclusion
The next phase of marketplace development is likely to involve consolidation and deeper integration. Platforms organised around specific customer segments or applications may prove more effective than today’s fragmented landscape. At the same time, advances in AI and cloud technology are expected to enhance the value of digital tools, improving sales performance and operational efficiency.
Marketplaces that integrate logistics, financing, compliance, and sustainability into unified ecosystems will be best positioned to succeed. However, competition from large horizontal platforms presents a credible long-term threat, particularly for companies without established digital channels.
Digital marketplaces are therefore not just another sales channel but a core component of industry digitalisation. While adoption remains limited due to structural challenges, the trajectory is clear. Generational change, shifting customer expectations, and competitive pressure will continue to drive the transition. Companies that invest in structured product data, integrate digital platforms into their commercial systems, and adopt a diversified marketplace strategy will be best positioned to compete in an increasingly digital and interconnected industry.
This topic was explored further in a session at Chemspec Europe 2026 at the Koelnmesse, Germany which took place between 6-7 of May 2026. For more information visit: https://www.chemspeceurope.com/en-gb.html
References and notes
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About the author
Martin Kolm
Senior leader in change management and business development with a track record of building high-performing teams and driving market strategy. A dynamic executive known for cultivating creative, energised work environments where people do their best work.
