Online Marketplaces are Largest Shopping Malls in the World
Don’t have an Amazon or eBay store yet? You should!
If you’re a small online retailer and you aren’t in marketplaces yet, you may want to take a look at a recent article in Internet Retailer. The post titled “Online marketplaces help Second 500 e-retailers reach a broader audience” makes some great points as to why you should consider offering your products through a marketplace such as Amazon or eBay.
Let’s face it. It’s not easy to compete with larger, more established retailers for market share. As Internet Retailer points out, one of the biggest benefits marketplaces like Amazon and eBay offer small retailers is their ability to level out the playing field. If you have competitive pricing and good seller reviews, you’ll find that consumers will select your store over larger competitors to make their purchase.
Online marketplaces are the largest shopping malls in the world, so why wouldn’t you want your products included in these high-traffic locations? We’d like to address two of the most common objections we’ve heard from retailers:
Commission fees are too high: Amazon typically takes a commission fee between 6% and 15%. If you weigh this against the amount of exposure your store will receive, the increased number of products sold, and the ability to compete with larger retailers, this fee is actually quite reasonable. Simply said, for most online retailers, the return outweighs the expense.
Complexity of set-up and management: For businesses looking to open up an Amazon or eBay store, the task can be daunting. Correctly setting up your product data feeds and inventory uploads takes time and knowledge of the marketplace systems. Many busy retailers don’t have the time or the experience to set-up their store to generate optimal results. Lucky for you, Vertical Rail can help!
Our clients are seeing great returns from their inclusion in Amazon and eBay marketplaces, and we believe that this is a great move for most any retailer, regardless of size.
If you need help getting started in marketplaces, we would love to hear from you. Our expert team is standing by!