With the growing dominance of internet and technology, online market places have become busier than ever. Ease, cost-effectiveness and reliability has made this mode of purchasing a frequently used one. As the popularity of e-commerce grows, every seller has a lingering question which needs to be answered. How do I evaluate an online market place before selling my product? Each marketplace caters to specific target customers and the learning curve can be steep. For example, in one of the most popular ecommerce marketplace, to succeed there needs to be an understanding of the algorithm that is used to increase a product’s visibility and sales conversions. This can be challenging indeed!
Customer traffic in the market place
As one of the foremost perk of selling on a marketplace is the ready-made customer base that particular online marketplace holds. Before anything else, it is highly recommended that sellers check the site’s traffic and customer base. While the quality of visitors is arguably more important, understanding the quantity of website traffic is still worthwhile, particularly if you’re looking at the less-established, niche marketplaces. The more visitors to the page, the more number of valuable customer get to know your product. So make sure you evaluate the traffic of the ecommerce website.
When selling on an online marketplace, there are incurring fees and costs that you will need to take note of. Begin by researching the site’s fee structure and determine whether they solely charge on selling commission, whether they have a listing fee, or have an entirely different structure. You will also need to consider any potential additional fees including shipping fees, marketing fees and any other costs that could be incurred through the use of optional or compulsory support. Analyze multiple platforms based on the fee and arrive at the best online market place that suits you.
How supportive the online market place ?
It’s worth being aware that the majority of marketplaces offer support to help merchants get the most from their site, whether this be in the form of tools for marketing and sales, or having access to a dedicated manager. Many online market places give you a dedicated vendor manager, who takes care of your marketing, sales and promotions. While this may or may not be a requirement for you, we would recommend that you research what support is provided and whether or not it comes at an additional cost. Recommendations, cross selling and upselling on your products is an added advantage.
The market place showcases one-of-a-kind products
One-of-a-kind products with little competition, where you can charge a premium, are perfect for marketplaces. They will only generate additional revenue for your business. The marketplace fees will not impact your business as your margins should be able to cover the fees and desired profit. When an online market place hosts multiple products of the same kind, your chance of landing in the customer’s hands becomes a challenge.
To all sellers, do a lot of analysis and research before choosing the correct online platform to sell your products. Your best products have to reach your target customers.