What is an online marketplace?
Save major effort, but get right into e-commerce
Successfully selling through a marketplace
Definition: What is an online marketplace?
Entrepreneurs looking to get started in e-commerce often have a lot of work to do to list their products online. so why not leverage existing opportunities and take advantage of a marketplace?
Marketplaces offer e-commerce sellers the opportunity to use an existing system without having to create their own store or design a complete online presence. You are ready to go in no time at all.
The marketplace: pros and cons
Advantages marketplace
Greater reach: An online marketplace offers sellers the opportunity to make their products accessible to a larger target group. A merchant can thus reach more potential customers than if he has to work hard to find his target group.
Lower costs: Compared to physical retail stores, the cost of participating in a marketplace is typically lower. Sellers save costs for rent, staff, electricity and water.
Fast market entry: By getting started quickly and easily in an online marketplace, merchants can quickly sell their products without investing a lot of time and resources in creating their own website or online store.
Marketing support: Online marketplaces often offer their merchants marketing support through advertising, targeted promotions or recommendations to interested customers.
Simple administration: The administration of the sales process is usually simple and efficient on an online marketplace. Order and payment processing is often automated.
Disadvantages marketplace
Dependence on the marketplace: Sellers on an online marketplace are often heavily dependent on the rules and decisions of the marketplace operator. Changes to the fee structure or rules can affect a merchant’s sales success.
Less control: Sellers have less control over the customer’s shopping experience in an online marketplace, especially in terms of product design, brand messaging, and customer experience.
Higher competition: In online marketplaces, sellers compete with a large number of competitors. This can lead to pricing pressure that affects the seller’s profit margins.
No direct customer contact: Sellers in an online marketplace typically do not have direct contact with their customers. This can lead to problems in resolving issues or building customer relationships.
Fees: Online marketplaces typically charge a fee for the use of their platform. These fees can vary greatly depending on the marketplace and can affect the seller’s profit margins.
Questions related to the marketplace
Selling via marketplace is a suitable entry into e-commerce for many entrepreneurs. Existing structures can be used directly and helpful marketing tools support the development of online sales.
How does a marketplace differ from an e-commerce system (online store)?In a marketplace, several sellers sell their own products. In the e-commerce system, only one seller sells his products and has no competition on the same platform.
Is selling through a marketplace worth it?If the focus is on being able to offer products quickly online and generate sales, it is worth using a marketplace offering. However, the target group and the company’s own products should be examined to determine which marketplace is worthwhile.
Can I reach my desired customers internationally?Especially the already existing marketplaces in Europe are designed for a broad target group. If your focus is on reaching customers within the EU, many marketplaces are designed for this and offer the corresponding opportunities.
Which marketplaces can currently be connected to easybill?Currently, easybill supports connections to Amazon, eBay, Kaufland, OTTO, Etsy, Mirakl, BrickLink, ManoMano, CDiscount and Bol.com. Further connections will follow.
