The digital marketplace significantly impacts traditional retail by shifting consumer behavior towards online shopping. This transition offers consumers greater convenience, wider product selection, and often better prices, leading to increased competition for brick-and-mortar stores. Traditional retailers are now compelled to adopt e-commerce strategies to remain relevant, integrating online and physical shopping experiences. Additionally, local businesses struggle to compete with larger online retailers, which can leverage technology to operate more efficiently. Thus, the digital marketplace reshapes the retail landscape, forcing innovation and adaptation across the industry.