What do you mean by 1P vs 3P?

Typically, 1P refers to a direct relationship between the marketplace and the brand, where the marketplace is actively purchasing product from the brand. The classic example is Amazon Vendor Central.

3P on the other hand is a marketplace model where the brand is selling directly to the consumer, using the marketplace as a transaction platform. Amazon Seller Central is the best example of a 3P model. It’s important to note that selling 3P can also be done by resellers and retailers, not only brands.

In many cases, a single product might have as many as one hundred 3P sellers, while there will only be one Vendor Central offering.