Marketplace expansion – thinking outside of Amazon
2022 is well underway, fresh objectives have been set, and plans have been made. One opportunity businesses should be looking into is marketplaces.
From a consumer perspective, the convenience of shopping on a marketplace is driving an increase in customers using marketplaces. Not only are they the place that shoppers go to buy goods online,
but they are also becoming the main part of their product research and discovery process.
Choosing the right marketplace can be challenging. Whilst Amazon has the benefit of a large customer pool of over 90% UK shoppers, the expensive fees and high levels of competition can prove challenging for sellers.
There is, however, an alternative option to consider - introducing OnBuy, the 4th largest Marketplace in the UK.
Launched in November 2016, OnBuy is the fastest-growing marketplace in the UK - attracting 10 million buyers every month and selling over 36 million products. They aim to create a fairer and more transparent marketplace - putting its customers, both buyers and sellers, first. Their traffic overlaps with both eBay & Amazon and is at a rate of 35% and 50%, providing an opportunity to target users who don’t purchase on either platform. OnBuy serves several categories, including:
- Home, Garden & Pets
- Health and Beauty
- Toys and Games
- Electrics and Technology
- Tools & DIY
More details on their categories can be found here.
Whilst OnBuy is growing, it’s the perfect platform to start your marketplace journey, being an increasingly popular destination for customers to shop - but having low fees which go alongside selling on the platform with OnBuy's fees sitting at 6.9% to 11% compared to Amazon's fees of up to 17%.
Driven by the fast customer growth seen on the platform, OnBuy Founder and CEO, Cas Paton, commented, “we’re delighted to be working closely with 26, connecting customers with the services provided by our platform. OnBuy was born out of a need to support retailers who were often finding themselves competing with marketplaces - rather than working in partnership with them. Since its inception, OnBuy has continued to scale at speed, and we’re proud to now be partnered with over 11,000 trusted retailers - connecting them with the millions of consumers using the website”.
Ready to start your marketplace journey? Speak to our team today and we can discuss your targets for the new year.
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