It has become very popular among retailers, vendors, and manufacturers to sell their products on marketplaces in the last few years. Marketplaces allow them to reach a wider audience of potential shoppers than they could possibly reach with their website alone. With so many marketplaces to sell on, it can quickly become challenging to manage all of them while increasing your sales. Here are a few tips we have put together to help you grow your sales across all marketplaces
Choose Wisely
There are countless marketplaces out there today, but it is not a great strategy to go for as many as possible unless you have the staff to manage all of this required work. Instead, you should look into each marketplace and determine whether or not it is a good fit for your brand and products. Some marketplaces like Etsy or Newegg are great for some sellers while not so much for others. Do your research and find the marketplaces that are best fit for you; attempting to sell on channels that are not fit for you will only result in frustration and a loss of time and effort. If you are ever unsure as to whether or not a marketplace is right for you, just give it a try for a set amount of time and discontinue it if it doesn’t seem promising.
Rules and requirements
Every marketplace you come across will have different rules and requirements from the next. Take the time to understand the rules of each one to ensure you do as well as possible. Making sure you are in compliance can be the difference between doing well or not. Some marketplaces have simple requirements that control how high up in the search results in your products appear.
Costs and Fees
Most marketplaces will have costs associated with selling or listing your products. It is critical that you be aware of these fees to ensure you are making a healthy profit. Some marketplaces like Amazon have fees that can be a bit complicated or not very obvious. Make sure that the fees you are paying still leave you enough room to make a profit.
Product Prices
In addition to the costs of selling, you should consider the prices you are setting for your products. Take time to look at the prices your competition is setting as you will want to be competitive. If your items have a higher price than your competitors, they are not likely to sell much. While it is important to be competitive in your pricing, you also want to make sure you are leaving yourself enough room to make a profit. Slashing your prices might get you more sales, but it will be pointless if those sales are not generating a profit.
Images and Details
Each marketplace will have different requirements for pictures and product info that you can provide, but you should always try to provide as much as possible. When it comes to product images, it can make a big difference to invest in high-quality professional product photos. Having high-quality images for your products can make a big difference in your sales. The better a shopper can see and understand your product, the more likely they are to complete the purchase. Most marketplaces allow you to upload your products with a spreadsheet template; you must fill out all of the fields you can for your products to make them easier to find for customers. Be sure to use accurate information to describe your products to avoid poor ratings and returns.
Inventory Management
Properly managing your inventory is critical when selling on marketplaces, especially if you are selling on multiple marketplaces at once. You want to make sure your customers are happy, and this means having the inventory when they want it. The last thing you want to do is have to cancel an order because you don’t have the inventory to fill it. Canceling an order will result in an unhappy customer and possibly even hurt your metrics or ratings. You should make sure you always keep popular items in stock so that customers don’t have to wait for items to be restocked. A customer that can’t place an order for your item when they want it can easily find a similar product from one of your competitors.
Shipping
All marketplaces have their own rules for shipping. For example, Amazon is very strict about their shipping times, and they even require that you purchase a portion of your shipping directly from them. Other marketplaces are more relaxed, but it is still important that you follow whatever rules they have in place.
Returns
Much like with shipping, some marketplaces have more strict return policies than others by which they expect you to abide. Whenever you sign up for a new marketplace, be sure to take the time to read and understand the return policy, you have to use with their customers. While you may have your own return policy for your company, most marketplaces will require you to comply with the one they have in place.
Be Ready To Adjust
Once you have been selling on a marketplace for some time, you will be able to see what seems to work and what doesn’t. Some marketplaces may draw more sales for one type of product or category than others. Make necessary adjustments based on the sales you have generated. Perhaps add more advertising to products that seem to be selling well. You may have some products with a high return rate, consider adjusting your product information to more clearly explain your product to cut down on returns.
Solutions For Sellers
Selling on marketplaces can be an excellent move for many companies, but it is crucial to set yourself up for the best results. At Right On Tech, we offer solutions to help you stand out from your competition. Contact Us for more information.
