Globalisation and increased connectivity have led to new shopping trends and the boom of international eCommerce. In fact, internet sales accounted for 31 per cent of all official retail sales in November 2023 alone.
With more and more brands and retailers online, new vendors must compete for web space and try to feature their products as high up in the search results as possible so that potential buyers can discover them. It can be even more challenging if other companies list similar products with more recognised names. New sellers need to assert themselves fast to keep their business growing. Alongside search engine optimisation and advertising, online marketplaces can be trusted partners by providing a platform for sellers to reach new customers and grow their business in other regions with little to no risk.
Cutting through the noise
The methodology of shopping has evolved over time, and sellers need to adapt accordingly. For instance, approximately half (49 per cent) of consumers report that they use Google to discover or find a new item or product, and over 50 per cent of online shoppers surveyed say they use Google to discover or find a new brand. Many shoppers also use search engines to conduct research on purchases they make in-store or online.
Capitalising on search engine algorithms is therefore important in order for brands and retailers to be discovered. However, it can be harder for smaller vendors competing against other brands for the most visible listings.
By listing their product offering on reputable marketplaces, the platform’s algorithms work hard to find customers in the target demographic and display the product range in front of them. Boosting the visibility of the product range to the right audience generates incremental sales at zero risk to the seller.
Additionally, vendors can take advantage of the cross-selling opportunities provided within the marketplace itself, potentially reaching customers that are interested in complementary services or products.
Indeed, by being present alongside similar products, sellers can present their merchandise to shoppers searching the wide choice available in a particular category. This concentration of offers from multiple sellers is what makes shopping on marketplaces so popular with consumers, so sellers need to evolve to avoid being left behind.
Upping the ante
Being a big fish in a small pond is not usually a profitable approach in ecommerce. For brands and retailers to make the most of available demand for their products, a key strategy is selling overseas. However, setting up an international online store can be costly.
For example, when selling internationally, vendors need to translate their website and product pages for each of their target markets and review how the onsite search engine works. All advertising campaigns need to be translated, and traffic from those adverts needs to be directed to the respective localised website for each target market.
Rather than setting up and converting their own online store, sellers can take advantage of a marketplace’s existing infrastructure, saving on website development and the added maintenance costs. This allows them to scale their operations far more quickly, safely and cost-effectively.
For sellers entering a new region and looking to establish themselves quickly, it’s crucial to make their products available where shoppers are actively searching for them. Most shopping needs are common across markets, so a product that performs well in its home market is likely to attract similar customers in other regions. By using established online platforms, smaller retailers can effectively reach new customers without incurring significant operational costs.
Standing out from the crowd
Even when businesses have a great strategy in place, they cannot always afford to rely solely on their own websites to sell products to the volume of buyers required. Online market share is shifting, and the competition is fierce.
However, one thing is clear: the widest possible distribution of a product will yield incremental sales[1]. It is imperative that retailers and brands stay ahead of the game, focusing on maximising sales by boosting the visibility of their product range and how often it is being seen. It’s also important to regularly review their online performance and stay on top of wider market trends. Marketplaces can hugely simplify this by providing new vendors with a platform to grow and scale their business in new territories and build a larger customer base at pace.
[1] Sharp, B., ‘How Brands Grow: What Marketers Don’t Know’, Oxford University Press Australia, 2010
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