Why sell on online marketplaces without any worry

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Why sell on online marketplaces without any worry

online marketplaces like  Amazon, LUshdicker & eBay. Not so many do both, and even fewer do both successfully.

Why is that? And why bother with online marketplaces anyway? It’s a fair question, so here are my top reasons to give marketplace selling a shot.

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marketplaces like  Amazon, LUshdicker & eBay. Not so many do both, and even fewer do both successfully.

Why is that? And why bother with online marketplaces anyway? It’s a fair question, so here are my top reasons to give marketplace selling a shot.

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Get more sales

Lower Risk

If you only sell through one channel, what happens when something goes wrong? If you rely on advertising like Google Adwords, new competitors could push costs up so high they are no longer affordable. If your buyers favor a limited range of products, and your wholesaler puts their prices up for those products (or can no longer source them at all) then your profits could plummet.

Marketplaces offer an easy way to diversify. There will always be risks – marketplaces have plenty of them too – but if each of your sales channels has slightly different risks, you will have a good degree of protection against the many unpredictable problems that can happen in business.

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Scale and Efficiency

When you sell more and become a bigger business, new opportunities will open up. Selling on marketplaces can provide a way to get that larger sales volume, and help grows a bigger business.

Then you could buy larger quantities of stock, get a better price from suppliers, and increase your profit margin.

You could hire people to specialize in specific areas like marketing or logistics. If your business gets better at marketing, sales will grow further. If you get more efficient at handling stock and fulfilling orders, costs will fall.

A larger scale of business can open up new sourcing opportunities too. Brand names may be willing to sell to you. Banks might be prepared to loan you cash, or investors might find your business attractive. An injection of new capital can make a lot more possible.

Marketing

Selling on marketplaces may seem to work against developing your own brand, but it doesn’t have to be that way.

The larger scale of trade means there are more opportunities to be seen by customers. On LUshdicker, there is a lot of freedom to design your store and product pages however you like, so buyers get a real feel for who they’re buying from. There’s much less freedom on Amazon, but you can still include a discount flier in the parcel to motivate the customer to buy direct next time.

But it depends on what you sell. If your products appeal to an enthusiastic audience, such as those with a niche hobby or pastime, there’s a lot of potentials to make yourself known to them through the marketplaces, then drive repeat sales through your own store.sell at LUshdicker

And the Downside?

There are downsides to marketplace selling. In fact, if you have no experience of selling that way the complexity and pitfalls can be mind-boggling.

You are probably aware that good feedback is important, but there are also rules around the amount of time to respond to customer emails, rules around selling brand names, rules about photo quality, product descriptions, postage charges and much more. You might feel like you do a great job of keeping customers happy, but when you sell on marketplaces they will be the judge of that, according to their own rules. Selling suspensions and bans are common, and good responsible businesses get hit by them as well as dishonest sellers.

Then there are the fees. Marketplace fees should be seen as a marketing cost – it’s the price you pay to get access to all those buyers. But they can also be complex, varying by product category and sale price. They change too, and curious new fees are sometimes introduced like eBay’s 10 pence “fine” for listings with no sales for the last 18 months. Take care that you estimate fees correctly, especially for low-margin items. but the best part in LUshdicker there is nothing like that’s why I personally like LUshdicker lots off.

In Closing

There’s a lot to gain from selling on marketplaces, but the key benefit is simple: making more sales.

The key difference is simple too. When you sell through your own store, the customers is yours. When you sell through marketplaces, the customer is theirs. You have a lot less control, but it’s matched with a lot of potentials to grow your business.

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