Online selling has experienced significant growth in the past decade. Because of ever-changing consumer habits, the rapid shift to digital, and other notable trends in eCommerce, research estimates that eCommerce will take up 22% of global retail sales by 2023.
Thanks to the surge of websites and social channels, small and medium-sized enterprises (SMEs) in the Philippines will never run out of opportunities to sell their products.
If you’re planning to start an online business, building a strong website and acquiring a proven eCommerce platform in the Philippines will be essential to your success. But while optimizing your site is a must, basing your sales on a single channel may lead you to miss out on growth opportunities.
As you get started with eCommerce, you should know that online marketplaces can provide numerous growth opportunities for your brand. To give you a better picture, it’s estimated that 47% of online purchases worldwide come from online marketplaces. Moreover, consumers are no longer fond of downloading apps from one retailer to another. They prefer a one-stop channel for their needs.
If you aren’t convinced, this guide will discuss the benefits of joining an online marketplace which might just give your business the extra boost it needs.
An online marketplace is a third-party website or an application that allows you to shop from different brands without jumping from one website to another. It’s a type of multichannel eCommerce platform with the primary goal of letting people shop with utmost convenience. Think of an online department store that doesn’t need to own its inventory.
Online marketplaces primarily build trust among their dedicated audience, and that trust may translate to your brand as well. They provide exciting deals, discounts, and well-optimized features to help you connect with your customers.
Some familiar examples of online marketplaces are:
According to Forbes, there are three types of online marketplaces, and all serve various purposes.
Vertical: A vertical marketplace sells products or services under one category only. Think of online clothing shops like Zalora!
Horizontal: A horizontal marketplace sells products that share the same characteristics. They don’t need to be in the same product category but are related to customer behavior or preference. As an example, marketplaces such as BeautyMNL sell all closely related products such as cosmetics, wellness products, and the like.
Global: A global marketplace has it all. It’s where customers can find anything from auto supplies to pet shampoos.
Undoubtedly, online marketplaces changed the game for online shopping, and their popularity won’t dwindle anytime soon. People love convenience, the main selling proposition these channels provide, so hopping on these channels will be in your brand’s best interest.
If you’re planning to join an online marketplace, consider GLife as your first option. As a premium Rush user, you’ll be happy to know that our eStore Bolt and eStore Dash solutions comes with a free GLife store! Interested? Make sure to book a demo with our eStore champs to learn more!