Advertising and promotion on marketplaces

Competition in almost all e-Commerce niches is growing rapidly. At the same time, the costs of online promotion are also increasing. Creating and promoting your own online store costs tens, and sometimes hundreds of thousands of hryvnia. And these investments usually pay off rather slowly.

For a new business today, a much more profitable solution is to place an ad on a turnkey marketplace. It is much cheaper and, at first, really more profitable. Although there are also disadvantages of this format. Today we will talk with you not only about why placing and promoting on marketplaces is the right decision, but also about how to more effectively make sales through such platforms and attract more target audience.

The Main Thing About Marketplaces

A marketplace is an online showcase where special database different sellers can place their goods and services. And buyers, in turn, get the opportunity to conveniently choose between different offers.

Currently, marketplaces account for about 62% of all online sales worldwide. And the number of sellers working in this format is actively increasing. Judging by the trend, in a few years the share of marketplaces in online sales may exceed 70%. And classic branded online stores will remain a relic of the past. And, despite many common features, there are several nuances in how to promote on marketplaces and why traditional promotion methods are not always effective.

Principles of marketplaces

special database

By and large, such platforms are huge product catalogs from many sellers. At the same time, the products themselves can be duplicated, since they are available from different sellers. And this is the key point for our article today. After all, it is not enough to simply place your product in the catalog and set the price. You also need to promote your products on marketplaces so that the platform recommends your products first to a potential buyer. Especially if you work in the most popular niches.

Marketplaces are convenient for both parties. Buyers can compare offers from different sellers in one place and choose the best one. Stores get convenient tools for trading and, most importantly, access to the multi-million audience of the chosen platform.

Pros and cons of selling through marketplaces

For businesses, entering marketplaces is top 5 strategies for marketing a salon still a compromise solution, because there are both advantages and disadvantages.

The advantages of such trading include the following:

  • you have at your disposal a fully prepared trading platform with a well-developed design, excellent optimization and well-established sales schemes;
  • you gain access to a large marketplace audience and benefit from its authority;
  • A significant part of the work with clients can be automated by the platform’s tools. In addition, some platforms are ready to take responsibility for delays or loss of orders.

With all this, listing on the marketplace is b2b fax lead very inexpensive. However, keep in mind that you will have to pay a commission on sales. And in some cases, the amount ends up being quite significant.

High commissions are not the only disadvantage of trading on marketplaces. We can name at least three more disadvantages:

  • here you cannot dictate your terms and effectively implement your own marketing strategy. One way or another, you will have to follow the rules of the chosen platform;
  • the competition on popular marketplaces is simply huge. Buyers always try to find the most advantageous offers here, so sometimes you have to literally dump;
  • You will have to carefully comply with all the terms of the platform and monitor the quality of the product, and the platform itself reserves the right to change the rules at any time.

Among other things, proper and well-thought-out promotion on marketplaces is required to achieve results, attract customers and stand out from competitors, of which there may be many. But we will return to this issue a little later.

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