Report • 04.07.2019

Of local heroes and global players

An overview of online marketplaces

Amazon and eBay – many retailers heavily rely on these top names. Yet there are other online marketplaces that could offer useful features. After all, the easy solution isn’t necessarily the perfect fit for everyone. 

Rakuten 

The Japanese company is among the top ten e-commerce sites and largely targets the Asian market. Rakuten does not sell any products itself but provides a platform for online stores. Vendors and sellers can add their own high-quality images and videos on the site, directly send newsletters to customers, offer products and sell them via the system with their own email distribution list. Another bonus: Rakuten does not charge any listing fees to put items up on the site but charges a membership fee and - depending on the product category – a commission between five and nine percent.

Hands on a tablet labeled e-commerce.
Finding the right online marketplace is an important part of the e-commerce strategy for retailers - research is worthwhile.
Source: PantherMedia / Rawpixel

Yatego

There are three different pricing models for merchants on Yatego, which vary based on the number of products and integrated services. Merchants can sell their goods on their own online store: They can create their own subdomain and link their store to external websites. However, this is still a smaller platform that does not offer sellers the option of corporate branding.

Alibaba

Alibaba follows a strategy much like the eBay business model and acts as an intermediary between sellers and buyers, offering a large product selection that includes electrical goods, mechanical parts, textiles, jewelry, skin care and beauty products. Even though China's largest online business-to-business marketplace is not yet well-known and popular in Europe, it is nevertheless one of Amazon’s biggest competitors. Thanks to its broad reach and user community, it offers sellers great access to new markets, though they are mostly located in Asia.

Flubit

The largest UK-owned marketplace guarantees the lowest prices. Essentially, selling on this fully fledged marketplace works the same way as other similar platforms. Merchants must specify the minimum price for the products they list with the platform. Based on supply and demand, an algorithm subsequently calculates the price point. Users shop around, decide what product they would like to buy, then copy and paste the URL of the product into flubit.com. There are no commission charges or product listing fees.

Avocadostore

Still somewhat flying under the radar, this marketplace is the right platform for sellers of eco-products to connect with consumers conscious about fair trade and eco-friendly merchandise. On the product pages, vendors can use standardized labels to indicate vegan suitability, specify products made in Germany, refer to the use of organic materials or point to cradle-to-cradle design. Vendors can also create their own online store, albeit there are not many customization options. The fees are somewhat higher, while products are summarized by product on respective webpages and not by vendors, potentially resulting in competitive pricing pressure.

Real

This open marketplace is a merger of the real,-hypermarket and the online marketplace Hitmeister. Vendors and sellers can create their own custom stores and product selections. The site charges a monthly membership fee of 39.95 Euro and links online and offline settings: marketplace sellers can send packages to brick-and-mortar stores for pick-up at the customer's request. Customers can also make returns this way.

Otto

The retail company is fast becoming a marketplace without competition from China and firm contracts for commissions. As an affiliate partner of Otto, the marketplace includes the company’s online store and platforms such as About You, myToys, the logistics companies Hermes and Liefery, the financial services EOS and Risk Ident, as well as other brands such as Witt, Bonprix or the U.S quality home furnishings and decor retail chain Crate & Barrel. The site provides special services for retailers, which includes assistance by the predictive analytics company Blue Yonder, the advertising platform Otto-Group-Media or IT service provider Otto Group Solution Provider.

Woman shopping online on her laptop
For traders, it is worth looking outside the box when it comes to researching the marketplace.
Source: PantherMedia / Andriy Popov

Groupon

This portal not only targets bargain hunters that look for an amazing daily deal, but has long since also focused on consumers searching for "lifestyle" options. The marketplace offers coupon deals for restaurants, beauty and wellness venues, recreational activities, hotels and travel, as well as service and event deals. The benefits for vendors and sellers: they can reach a broader audience, create customized marketing solutions and campaigns, attract new clientele to their business and have the deal-of-the-day handled by Groupon employees. Potential drawbacks are the marketplace fees and charges, plus the fact that the Groupon deal might not be profitable in the end as Groupon buyers might not actually turn into regular customers.

Etsy

In mid-2018, Etsy took on the German marketplace DaWanda. The site primarily features handmade items, art supplies and vintage products, allowing sellers to offer one-of-a-kind merchandise. The platform is available in eleven languages, which helps to bring in a wider audience. The competition is getting fiercer with individual sellers now also increasingly facing professional sellers.

Hood

In addition to the original range of products, vendors can create their own "hood shops" and benefit from the flexible listing of products. Private sellers pay no sales commission, yet fees are also low for commercial sellers. German users benefit from national support.

CDiscount.fr / C le Marché

With more than 15 million active users, this marketplace targets both French and Belgian consumers and is the largest and most powerful online marketplace in France. Vendors who want to sell items via this platform need to create French product descriptions. The site charges a monthly fee and commission rates between five and 20 percent.

Allegro

Allegro boasts nearly nine million active users and represents roughly half of e-commerce sales in Poland, making it the country’s undisputed top marketplace. Thanks to Allegro, neither eBay nor Amazon was able to gain a foothold in Poland. Here is a valuable tip for vendors: you must list your products in Polish and preferably provide a local (Polish) return address as well. Commission fees range between two and ten percent.

Fyndiq

This online marketplace for bargains has over one and a half million active users in Sweden and other Northern European countries. Nearly two thousand sellers offer their products and services via this platform. The commission fee is 15 percent.

Compiled by Katja Laska

related articles:

popular articles:

Thumbnail-Photo: Textile recycling system ’Looop’ by H&M
14.10.2020   #sustainability #fashion

Textile recycling system ’Looop’ by H&M

Transforming unwanted garments into new fashion favourites

H&M offers customers in Sweden the possibility to transform unwanted garments into new fashion with the help from their new garment-to-garment recycling system ‘Looop’. This machine visualizes to customers that old textiles hold a ...

Thumbnail-Photo: Social commerce opportunities on TikTok for merchants...
31.10.2020   #online trading #social media

Social commerce opportunities on TikTok for merchants

Partnership between Shopify and TikTok

On TikTok, businesses of all sizes are empowered to grow their brands through creative content and storytelling. Since we launched the TikTok For Business platform, we've seen brands around the world make real connections with our users by ...

Thumbnail-Photo: iXtenso newsletter – Never miss a story!
01.08.2020  

iXtenso newsletter – Never miss a story!

Always the latest retail news delivered directly to your inbox – every two weeks

Thumbnail-Photo: Can social media campaigns drive long-term sales?...
13.10.2020   #marketing research #sales promotion

Can social media campaigns drive long-term sales?

Study challenges view of social media marketing as only short-term effective

Nepa announced the findings of a study using data from 1,660 retail campaigns in Sweden. The results show that campaigns on social media are – when done right – effective in driving long-term sales, challenging the prevailing perception ...

Thumbnail-Photo: Event: E-commerce Berlin Expo 2021
28.08.2020   #online trading #e-commerce

Event: E-commerce Berlin Expo 2021

E-commerce Berlin Expo is the biggest pure-play e-commerce event in the (tech) capital city of Germany. Over 9,000 visitors and 200 exhibitors are expected every year.

E-commerce Expo views itself as a community and a meeting point for all major decision-makers in the e-commerce sector. We bring together leaders in the e-commerce industry to offer online sellers and retailers the opportunity to develop their ...

Thumbnail-Photo: Merchants can build their own businesses by choosing the right daily...
10.08.2020   #e-commerce #online platform

Merchants can build their own businesses by choosing the right daily deal platforms

Bargaining and the three-way transaction that defines the daily deal market

Researchers from the University of Maryland and Harvard University analyzed the bargaining process between the daily deal platforms Groupon as well as LivingSocial and merchants to identify the trade-offs made by both parties during the transaction ...

Thumbnail-Photo: Better customer care on Twitter leads to increase in customer...
18.09.2020   #customer satisfaction #customer relationship management

Better customer care on Twitter leads to increase in customer satisfaction

Responses to queries on social media impact service quality perception

Social media has forever changed our society and how people do business. A 2013 report by J.D. Power found nearly two-thirds of customers have used a company's social media site to connect with customer service. New research in the INFORMS ...

Thumbnail-Photo: Shopping in social media streams?
16.11.2020   #e-commerce #app

Shopping in social media streams?

Further steps towards social commerce

The fact that retailers and brands offer their products online where consumers spend their free time – on social media channels as well as on image and video portals – is nothing new. There have been many advertising campaigns on these ...

Thumbnail-Photo: 3 steps to personalisation in e-commerce
04.08.2020   #online trading #e-commerce

3 steps to personalisation in e-commerce

How retailers can build trust and foster customer loyalty

The COVID-19 pandemic has left a visible mark on the retail sector, and companies have had to find new ways to reach consumers effectively in a very short time. Many companies that had previously focused on stationary retail have expanded their ...

Thumbnail-Photo: Face coverings to be mandatory in shops from 24th July...
23.07.2020   #security #brick and mortar retail

Face coverings to be mandatory in shops from 24th July

Guidance and information for retailers

The Government announced that wearing a face covering will be mandatory in shops from Friday 24th July. Penalties for not wearing a face covering will be enforced by the police, who can issue fines of up to £100 (reduced to £50 if paid ...