This study investigates two kinds of channel performances, including electronic and traditional transaction markets, under consignment with revenue-sharing contracts for newsvendor models. A retailer, acting as a leader in the channel, offers a manufacturer a revenue-sharing contract under consignment, who specifies the percentage allocation of sales revenue between her and the manufacturer. The manufacturer, acting as a follower in the channel, retains ownership of the goods and decides the goods quantity and retail price. The numerical results show that the solution generated by the electronic markets outperforms that by the traditional markets in maximizing profits of the channel, retailer and manufacturer.