4 Questions to Help You Choose the Right Online Marketplace
By: Kemal Sidar
Tags: Amazon, Retail, Sales, Ecommerce, Marketing

4 Questions to Help You Choose the Right Online Marketplace

Photo by Christian Wiediger on Unsplash

There are so many different online marketplaces available for you to sell your products and you may even want to sell on all of these, however, this can be overwhelming or not appropriate, depending on what you are selling. We have put together 4 key questions to ask yourself so that you can figure out which marketplace is the best and therefore make you the most profit.

1. What type of product do you have to sell?

Is it handmade, is it unique or has mass-market appeal?

The product is one of the most determining features in helping you decide where you are going to sell your product. Some platforms allow you to sell without major limitations (within reason) such at eBay and Amazon, however, others have very strict conditions associated with what type of product.

For example; Etsy provides a place for people to sell handmade or vintage items and supplies as well as unique manufactured products. This means that if it does not fit into this description it is not the marketplace for your product.

However, if you are selling these types of products you are not limited to only selling here as Amazon has a “Handmade” section that sells handcrafted home decor, jewelry, accessories, and gifts.

If you have a product that is different or unique and is something that you would not generally find walking down your high-street then Not the High Street may be the place for your products.

Not on the High Street is a popular alternative online marketplace specific to the UK specialising in original articles and sells creative items from hair accessories to handmade delicacies.

All sellers are handpicked before they go into this marketplace, therefore, this is a platform for a very particular seller. eBay is an online marketplace makes a wide variety of products available to customers; the range of products includes household appliances, apparel, and children’s toys, therefore, a platform open to all sellers.

2. Who do you want to sell to — who is your customer?

Knowing your customer is linked to the type of product that you are selling.

Understanding who the person is who is going to buy your product will help you figure out where they are currently shopping and therefore where they are more likely to buy your product.

Understanding the customer is an art and a science.

Generally, some basic demographics will help you understand where your customer is shopping and how they are shopping.

For example, Generation Y and Millennials are looking for alternative products so are shopping on Etsy and they are also shopping on multiple e-commerce channels.

3. Why is the customer buying your product

Understanding why the customer is buying your product follows from what you are selling and who is your customer. T

here are multiple reasons for buying any product and answering these sub-questions will really help you know where to sell your product.

Does your product address an immediate need or desire?

Is it an item that is needed occasionally or on a regular schedule?

Does the customer shop around every time they buy?

Is the customer loyal to a particular brand or store?

Are they buying the product because it is cool or trendy?

Is the priority the lowest price possible or bargains?

Do they need flexibility around returns?

Are they looking for high-quality products?

By working through this and building a picture of your customer it will help you identify where your customer shops and where you should sell the product.

If they are looking for trendy, high-quality products then Etsy may be the best platform.

If they shop around and need it on a regular basis then Amazon may be better; Amazon is the preferred online marketplace for many people as it is often the first one that comes to mind when you mention online sales

4. What tools and budget do you have for sales?

The amount of time and resources that you have available will also help in deciding which marketplace to use.

Amazon can expand your business through its popularity and accessibility to millions of customers and can assist in meeting sales goals as well as expanding sales to other countries.

However, to reach the top-selling position you will need to be technically savvy or take the time to learn how to maximise the use of SEO’s (Search Engine Optimisation) and you may need the assistance of an online sales management service.

eBay has some excellent tools for sellers and can help you understand the dynamics of your business through built-in tools that allow you to easily analyse your sales, track your sold products, and develop your own brand.

Etsy has a lot of helpful tools for artisans looking to sell their products that have a personal touch, for example, the ability to let customers know when an item is back in stock.

These 4 key questions are the beginning of unlocking the answer to where to sell your product and the differences between the different marketplaces, however, if these questions remain unanswered then an online sales management service can also be of assistance.