Marketplace platforms allow businesses to increase their revenue by acting as middlemen and pairing buyers with sellers. To get the most out of the marketplace opportunity, brands and retailers need a clearly defined customer proposition, practical strategy, and a tested formula for success.
Not having a carefully crafted proposition is a sure way to jeopardise your marketplace strategy. And when it comes to actually implementing your marketplace strategy, there is a wide range of features and functionality available on most marketplaces. Those are there to assist you present your products in the best light possible.
Failing to use these is a common mistake we see too often when it comes to marketplace selling. Ecommerce outpaced its growth averages last year and it’s an excellent way to improve revenue, extend brand reach and offer an improved customer experience. These factors make marketplaces an extremely competitive arena.
A+ listings are crucial for standing out. Failure to take advantage of all the features that fully support the buying process will lead to a loss of brand equity, squeezed margins through reduced profitability, a lower percentage of returned customers, a higher percentage of returned products, and a poor reputation on every channel.
Elon Musk once said: “If you’re entering anything where there’s an existing marketplace, against large, entrenched competitors, then your product or service needs to be much better than theirs. It can’t be a little bit better, because then you put yourself in the shoes of the consumer… you’re always going to buy the trusted brand unless there’s a big difference.”
Needless to say, we should seize the opportunity to automate. Automation and smart product search capabilities are making customer experiences more intuitive and competitive. But as with everything else – too much is not good. Finding the happy medium between AI and human touch is of great significance as it makes the difference between deal and no deal. And to be honest, you can do it comfortably with well-trained customer support and sales agents involved.
Testing your ideas and strategies whenever you can is an excellent way to intrigue your customers and acquire purchase data, which is more valuable than gold if handled the right way. A mistake will only stay as one if you don’t learn from it. As Seth Godin, author of The Dip said: “In a crowded marketplaces, fitting in is a failure. In a busy marketplace, not standing out is the same as being invisible.”
And if you want to be more secure – consult as much as you can with the people and businesses who have the experience you need. Your mentors and partners will help you not only with their knowledge and experience, but they’ve also been walking this path for a while and have their own networks of knowledge and contacts. They can help your decision-making, make recommendations, and put in place the right teams to cover all aspects of the ecommerce equation.
ecommotors is the only provider of integrated ecommerce business services and software systems for brands, manufacturers, distributors and resellers of car parts, tools and accessories who want sustainable online sales growth.