In 2019 marketplaces accounted for 50-60% of the global eCommerce, showing that the majority of customers want to buy on a single platform with all their brands presence.But shifting to marketplaces is not a simple choice for a lot of brands. Losing a sense of control over your brand marketing, brand content and brand value has been a huge blocker for many.
We recently brought together a select group of retailers to discuss marketplaces as a vehicle for digital growth, drive brand value and ultimately generate revenue for their business.
The group consisted of luxury jewellers, baby fashion, footwear brands and FMCG retailers, and contained a mixture of marketplace veterans and novices to establish the reasons for marketplaces, the next step strategies, identifying the challenges and how to manage conflicts between internal channels.
Retail brands will never escape specific customer segments who like having all their favourite brands in one place when they shop. Customers are more comfortable going to a trusted marketplace for this which, some members believe, is driven by price points. One retailer, has found that around 25% of customers that have transacted on the platform have also now transacted on their own website. These same customers spend up to five-times more on the brand website than they do on the platform.
To read more, download the report to view the full findings.