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Home News & Articles Selling goods online: through an online store or on a marketplace

Selling goods online: through an online store or on a marketplace

Online store or marketplace, marketplace or online store? Where is it more profitable to sell, where is there more profit? These are the questions that most business owners ask themselves.

 

 

Online trading occupies an impressive part of the market, so let's figure out what a business needs: sales through a marketplace or an online store?

 

 

 

 

Pros of trading through the marketplace

 

 

The main advantage of such sites is the presence of a huge number of buyers. If few people know about your site, then on the marketplace the chance to become more noticeable is several times higher (due to the search for the right product). And even more so if a person has already bought something on the marketplace, then, most likely, he will return there again so as not to waste time looking for the right store on the Web. There are a couple of buns that many markets give.

 

 

  • The site takes over the logistics. You do not need to think about where to store, how to sort, pack, transport and return goods.
  • Pick-up points provide fitting. Large marketplaces have a developed network, that is, there are many branches. In one of them, a person can come for a product and decide on the spot whether a thing suits him or not. Moreover, the buyer will choose the item that is closer and more convenient.
  • Prompt delivery. The buyer himself receives his goods as quickly as possible. And at the same time, he does not pay for delivery.

 

 

 

 

Cons of trading through the marketplace

 

 

Not everything is as simple as it might seem. Let's consider the disadvantages of cooperation with marketplaces.

 

 

  • There are many rules and difficulties in work. Each site has its own requirements. And for the buyer to place orders is as convenient as possible, but the seller will have to try not to violate any regulations. You need to be responsible and disciplined, and also ready to invest in creating photos and descriptions for cards.
  • Concentration of warehouses in some cities. Not every locality has a storage space from a specific marketplace. For this reason, you may have to spend extra on transporting goods to sorting centers.
  • Users are looking for a product, not a brand. This is most often the case. A person wants to buy a dress, a bag, a suit, a frying pan, a pillow or a blanket, but not something specific. Yes, brands are looking for purposefully, but mostly those that can give a good discount.

 

 

 

 

Pros of trading through an online store

 

 

  • Only you control the entire sales process. Thus, you or your marketing department are free to choose how to sell, what to sell and, relatively speaking, to whom.
  • Brand loyalty increases. They find you by chance or by recommendations, but after a successful purchase they remember the brand and want to return. On the marketplaces, many do not even look at what brand the goods were purchased. Also, in the case of an online store, you yourself control the packaging of the goods, their shipment and other nuances.
  • You can communicate with the buyer directly. When a person places an order directly through the online store, then you have his contacts. Therefore, if the buyer consented to the processing of personal data and the distribution of promotions and news, then you can send the buyer e-mails or SMS. You will also be able to more clearly know who your target audience is with the help of pixels.

 

 

 

 

Cons of trading through an online store

 

 

  • You need to invest in advertising and website promotion. On marketplaces, demand itself gives rise to supply, but with an online store, unfortunately, everything is not so simple. To be known about you, you need to advertise and develop the site. It costs money and time.
  • We'll have to compete with marketplaces. This point is true if at the sites one of the dealers or the manufacturer himself sells the goods that you offer. Since the markets love to arrange promotions and discounts on a compulsory and voluntary basis, you will have to come up with original ways to attract customers to your site.
  • It is necessary to think over the work of an online store to the smallest detail. You will need to buy a place for a warehouse or rent it, arrange logistics and delivery, hire couriers if necessary, decide whether they will have a non-cash payment, etc.

 

 

Output

 

 

Whether to go to marketplaces is up to you. Excellent profits can be made through this channel, but under certain conditions. What is unequivocally clear is that now you can hardly do without your own online store. A high-quality and user-friendly website is the face of your company.

 

 

By the way, if you do not have a website, we will help you create it. If you need integration with marketplaces - contact us, we will do that too.

Date of publication 27.10.2020
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