Advantages Of Selling In A Digital Marketplace As in any business and entrepreneurship, there is a positive side and another that may not meet your needs or adjust to your investment possibilities or objectives. The advantages within these digital markets are diverse, and here we list the following: Advantages Of Selling In A Digital Marketplace
- Less investment: one of the significant advantages is that you do not have to pay someone to create an eCommerce page to start selling your products. The platform is now available for you and your merchandise. Some marketplaces have a monthly fee for providing the service, but it is a much lower investment than hiring and paying a programmer might imply.
- Secure payment management: e-commerce platforms, by providing the digital infrastructure, are responsible for verifying the payments and making them before sending the merchandise. The buyer pays the Marketplace and later deposits your account for sale achieved.
- Savings in positioning: positioning in a Marketplace does not represent a concern for sellers since the same platform is responsible for displaying the content to obtain more income and continue with the circle of sales to retain the most significant number of people and thus beat the competition. But if you want a little edge, it is possible to pay for advertising so that the articles are the first to be seen. Despite the natural positioning provided by the pages, you can invest a little extra to attract more customers. Advantages Of Selling In A Digital Marketplace
- Possibility of cross-selling: in a Marketplace, cross-selling is common. Advertising on pages with the specific area of the niche you want to reach can generate more interest in the articles and more successful sales. For example, if your business is electronic items, such as smartphones, you can cross-purchase with an SD memory to expand storage capacity or better mobile headphones.
Similarly, suppose another seller offers computers, and you sell the peripherals. In that case, the platform can recommend your related products such as a mouse, keyboard, or even chairs that can be useful to the customer, and thus both of you earn an income.
- Greater reach: the reach can be a sufficient reason to sell your products more efficiently and faster than selling in small markets, where perseverance and patience must be more significant. In the same way, you have different pages where you can publish your article and have double or triple the reach of local or traditional sales.
Disadvantages Of Selling In A Digital Marketplace
Now, let’s talk a little about the disadvantages that could arise if you decide to start a business in a Marketplace. Advantages Of Selling In A Digital Marketplace
- You do not generate clients, but only buyers: entering the world of the Marketplace, you must consider that, although you may have many sales and be classified as one of the sellers with the best reputation, the clients will not be merely yours, since the lead is from the platform. This means that you are only selling a product or service without generating a client of your own.
- You must generate other efforts: If you want to create a database of potential customers, you can take action so that the buyer considers you more. For example, add cards or labels of your business attached to the merchandise with contact information or social networks. Remember that this does not guarantee that you will generate leads to grow your brand.
- Your store does not belong to you 100%: selling in a Marketplace is equivalent to renting a space for your business or brand; therefore, the platform is not yours, and the tools or adjustments are not mainly up to you. So, if you decide to migrate the platform and start directly with your eCommerce, you will have to attract and win potential customers from scratch.
- It is recommended to use your online store simultaneously: to avoid this possible loss, it is recommended to simultaneously start your sales through a Marketplace and your official e-commerce store. This way, you can generate your community when you no longer want to belong to a Marketplace.
- Your earnings are not immediate: it is often believed that the user will make a deposit as soon as a sale is made, and the money will arrive in your pocket in a matter of seconds. This is not like this. Some platforms take between seven or fifteen days to deposit to your account, and even then, there are some regulations to have a positive balance.
Many marketplaces have revenue policies that withhold payment for up to several days after delivery is complete. In addition, the platform must visualize that you, as a supplier or seller, have enough capital to face a refund that the client could request. Your balance will remain negative until the stipulated period has passed. In case of facing a return, the platform will see through your credit if you have enough money to return the money. Otherwise, the same company could withdraw the amount from your card and pay the customer to maintain its prestige. Advantages Of Selling In A Digital Marketplace
You Do Not Have Much Flexibility In The Face Of A Customer’s Disagreements:
keep in mind that for a Marketplace, the customer will be right most of the time. Usually, if your product is returned due to a suspected defect, the platform will do the necessary for you to exchange the item or make a refund.
As a seller, you can claim that the product was delivered in optimal conditions and returned in the worst way. However, this process could take longer to resolve, and finally, the platform could decide that you’re mistaken, and you will have to return the total amount of the purchase
Also Read: Advantages And Disadvantages Of Selling Through A Marketplace
