One of the most important customer resources in e-commerce is global marketplaces. Global marketplaces with constant online marketing activities and high brand awareness as well as high online traffic volume are the most secured step for e-commerce move. Because instead of an unknown e-commerce website to customers, it is more logical to e-commerce on an already trusted marketplace with higher brand awareness and to convince customers. You can make a detailed research on global e-commerce marketplaces with a large audience and select a suitable marketplace for your sales targets.
Marketplaces for Countries
The most preferred and popular marketplaces among consumers change depending on countries. This change is impacted by a regional investment of a marketplace as well as consumer habits. Therefore, when you plan to enter a new market, you need to search the popular marketplaces in that region in detail.
Popular Marketplaces in the US
In the US, the most commonly used marketplaces are Amazon, eBay and Walmart.
Amazon was found in 1996 and operates in 13 countries including India, North America, Brazil, Turkey, Canada, France, Japan, Italy, Australia, Netherlands, United Kingdom, Spain and Germany and has almost the half of e-commerce market volume in the US. Amazon has high traffic and high on-site staying rate and any seller who wants to plan to do e-commerce on this platform must be extremely careful about product content as well as consumer comments and customer satisfaction. Amazon has membership and commission fees and it is important to understand marketplace dynamics good and analyse consumer behaviour on this website to make the correct moves.
eBay which was found in 1995 first started its operations in North America. Today, this marketplace is active in Canada, Poland, Austria, Italy, Germany, UK, Spain, Netherlands, Switzerland, Ireland, Belgium, France, China, Hong Kong, Australia, Japan, Philippines, Indonesia, Singapore, Thailand, Taiwan and Vietnam. However, this marketplace has a large global audience with subsidiaries. Gittigidiyor in Turkey, Vivanunerios in Mexico, DBA in Denmark, Gumtree in South Africa and Manula in Argentina and Colombia are subsidiaries of eBay brand. eBay is a marketplace with millions of users and lists billions of products where the main business model is product listing, bids and product sales. Individual users do not pay any subscription fee on eBay and this marketplace requests certain listing price per product from the seller after 50 products. Additionally, commission rates change based on product categories. In addition to listing, additional payment is collected that provides special and extra visibility services such as storefront, bold title or subtitle. eBay mainly has Far East product with affordable prices that are popular among consumers. Therefore, competition is a giant marketplace like eBay is fierce. You need to offer competitive prices to be successful and to distinguish yourself from your competitors. Of course, it is extremely important not to compromise your service quality when you decrease your prices to a certain number.
Walmart which is the largest and the most preferred retail chain store in the US was found in 1962. Walmart started online storing and e-commerce activities in 2007 and entered the market as a formidable rival. But Walmart is only operating in the North American market. Walmart lists millions of products in the online store and the monthly visitor number is high as well. Therefore, it is possible to say that in North America, Walmart is a strong competitor and marketplace.
Popular Marketplaces in Europe
European-based marketplaces have a high market share in the cross border market. Amazon is the largest market in Europe just like the US. But when we consider markets that are the only operation in Europe, the Zalando brand will rank first. German Zalando is followed by British Fruugo, Asos and Farfecth marketplaces. The fifth rank in the largest marketplace list is French brand Carrefour. Marketplaces in Europe that are in the top 20 use B2C in at least two of payment, storage, and logistic services.
In the European marketplace where the competition is fierce, future insights include opening niche marketplaces. Niche marketplaces are highly popular in the US and the UK ad it is predicted that these will expand to entire Europe in the near future. This will turn into a big advantage for sellers who will make an e-commerce move and sell special products that can make a difference. For example, Newegg selling electronic-specific products, Reverb which is a marketplace for musicians, Zibbet that has independent artists and Wayfair that sells home accessories and furniture has found a new place on the market in the short time with their niche structure.
Things to Consider When Using E-Commerce Marketplace
Before starting to sell on a marketplace in a region where you plan to do e-commerce, you need to research and learn marketplace rules and dynamics. You can only succeed and do good sales in e-commerce when you correctly understand marketplace operation system. Before entering the marketplace, you need to check the equivalent products on the marketplace and set your price accordingly. Also, it is beneficial to add product details suitable to region in realistic and detailed manner. You need to be careful about the suitability of your inventory to selected region and marketplace. Because each product in your inventory might not be sold on every market with the same performance even though there was a high demand for that product in a market. If you have such a niche product, you might prefer marketplaces where products are sold under a niche category.
The marketplace you are in will provide periodical or constant offers to highlight your products. You need to evaluate these offers by considering the sales performance of your competitors and act with the periodical correct timing. Spending most of your investment with these offers might not always be a move for extra sales or profitability. When you decide on product prices, you need to consider the prices of similar products on the marketplace as well as important items such as expenses and inventory costs. By considering all these in detail and you can start your e-commerce activities in a better way and increase your sales in the global market. No matter what condition you are under, it is important to do detailed research and benefit from consultancy by working with correct business partners before e-commerce activities. Thus, you can eliminate or minimize short or medium-term risks at the beginning of your journey.