The Hidden Cost of Free Marketplace Listings: A Digital Entrepreneur’s Honest Opinion

I want to share a story from my day-to-day experience as a digital entrepreneur.
It began with a simple phone call from a business owner—something many MSME owners, service providers, and local vendors can relate to.

He asked me, “Swapnil sir, customers are saying they tried calling… but I never received a single call. How is that possible?”

I asked him where he had listed his business.
He proudly replied, “IndiaMART, JustDial, Sulekha… everywhere. Free listing gives visibility, right?”

And that one sentence perfectly captures the misunderstanding that thousands of businesses across India are living with.


The Day I Realised Free Listings Were Not Really Free

Some years ago, I checked a client’s business listing on a major marketplace.
To my surprise, I found a virtual number instead of his actual contact number.

Curious, I dialed the virtual number.
The “hello” I expected from my client never came.

Instead, I heard a system-generated greeting.
The call was being recorded, tracked, and routed by the marketplace—not by the business.

That moment made me understand the real model behind free listings:

The customer thinks they are calling your business.
But the marketplace thinks the customer belongs to them.

This is where the story starts for many business owners… and where their control quietly ends.


The Lead Gating Problem No One Tells You About

Most marketplaces in India operate with a hidden mechanism:

When an inquiry comes through your free listing:

  • They capture the customer’s number

  • Save the requirement in their CRM

  • Categorize the lead by location, need, and urgency

  • And then sell this same lead to businesses that buy premium plans

Meaning:

Your customer interest becomes someone else’s paid opportunity.

Your competitors may receive your leads—often before you ever know they existed.

This is the part that shocks most business owners.


Marketplace Listings: Where Businesses Think They Win, But Actually Lose

The marketplace looks like it’s working for you.
But in reality, it’s working for itself.

Here’s how it hurts your business:

1. You Lose Direct Customer Calls

Customers who genuinely want you never reach your real number.
Their calls are intercepted and redirected.

2. Your Market Demand Is Visible to Competitors

Your competitors who pay for premium membership get access to the same category of leads—sometimes even the same customers who tried to call you.

3. You Become Dependent, Not Discoverable

Free listings create dependency.
When you don’t control the lead, you don’t control the business.

4. Your Brand Identity Gets Weak

Instead of ranking your own website and Google Business Profile, you rely on a third-party platform that controls your visibility.

This is where most businesses unknowingly lose long-term growth.


What I Told the Business Owner Who Called Me

When I explained this system to him and showed him how virtual numbers work, he finally understood.

He said, “So I was losing customers without even knowing it?”

I nodded.

Not to scare him—but to show the truth:
Free listings can quietly cost you the customers you deserve.


A Message to Business Owners

If you are listing your business on marketplaces only because it’s free, take a moment and reflect.

Ask yourself:

“Am I getting real leads, or is someone else getting paid for my customers?”

Because every time a customer calls through a masked number, you lose:

  • Data

  • Control

  • Insights

  • Trust

Your business deserves better.


A Message to SEO Executives

I know many SEO professionals add dozens of marketplace listings under the name of NAP citations.

But not all citations help.
Some citations steal customer data.

As an SEO expert or agency, your responsibility is not just ranking—it is protecting the brand’s digital identity.

Focus on:

  • Google Business Profile optimization

  • Local SEO

  • High-quality backlinks

  • Website content

  • Review management

  • Building brand search

Your client hired you for growth, not data leakage.


I Am Not Against Marketplaces

Marketplaces have their place.
They offer visibility, discovery, and expansion—especially for small businesses.

But transparency matters.

A business owner must know how their leads are being handled, filtered, and monetized.

My opinion is simple:

Use marketplaces for reach,
but build your business on channels you control.


What You Should Do Instead

If you want real, sustainable digital growth:

1. Build a strong website

This is your digital headquarters.

2. Grow your organic SEO

This gives long-term, stable visibility.

3. Use your own contact details everywhere

Never let your customer journey be controlled by someone else.

4. Track and own your leads

Use your CRM, your analytics, your call tracking.

Because…

When you own your lead, you own your business.


Final Opinion: The Real Cost of “Free”

One truth I have learned in my journey:

Free is the most expensive word in digital marketing.

Free listings can cost you:

  • Customers you never knew you lost

  • Data you never agreed to share

  • Opportunities you never got to convert

This article is not to criticize marketplaces,
but to awaken business owners.

If even one business owner becomes aware and protects their digital identity because of this article, the purpose is achieved.

This is my opinion, built from real experience, real observations, and real conversations.

Swapnil Kankute
Digital Entrepreneur | SEO & Performance Marketing Expert Disclaimer: This post reflects my personal observations and professional experience as a digital marketer. All marketplace names mentioned (IndiaMART, JustDial, Sulekha, etc.) are respected platforms. The intention is to create awareness for business owners, not to criticise or defame any company.

Swapnil Kankute

Shaping the Future of Digital Marketing & Brand Growth
Strategic Digital Marketing & Branding Professional | Expert in SEO, PPC, Meta Ads & Growth Leadership | Digital Thought Leader & Industry Speaker

About Author

Swapnil Kankute Photo

Swapnil Kankute

Certified Digital Marketing Expert

I’m Swapnil Kankute, India’s Leading Certified Digital Marketer with over a decade of mastery. My journey spans digital marketing, research, and business development. Certifications from Google, SEMrush, Great Learning, and HubSpot affirm my growth marketing passion.

Certified digital marketer with a decade of experience. Specializing in delivering profit-driving solutions through strategic digital marketing techniques. 

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