Tag: Ecommerce trends

ecommerce-platform-vs-marketplace

eCommerce Platform vs Marketplace: Which is Right for Your Business?

Posted on | by devops

In the world of eCommerce, the decision between using a platform or a marketplace can be a daunting one. Both options have unique advantages and disadvantages, and choosing the right one for your business can make or break your online success. In this blog, we’ll break down the key differences between eCommerce platforms and marketplaces and help you determine which option is best for your business goals.

Getting Started with eCommerce

Ecommerce platforms and marketplaces are the two most popular options for merchants and sellers to start an online business. Each one attracts a different consumer base with varying capabilities, so understanding which is better suited for your business is essential before going online.

eCommerce Platforms

E-Commerce or eCommerce is the buying and selling activities over the web. In contrast, an eCommerce platform is a software application that facilitates product purchases between the buyer and the seller.

eCommerce platform services involve website design and development, inventory management systems, and customer service and navigation infrastructure. eCommerce web design agencies like Agency Partner Interactive LLC can create features customized for your business, like convenient checkout, in-app analytics, product catalog navigation, personalized notifications, and optimized, responsive design for multiple screens.

It can be a website or app for your online store that enables customers to discover your products, add them to their cart, and check out. Online stores involve one seller who handles the manufacturing, storing and distribution of goods to the buyer.

This eCommerce channel is ideal for merchants launching an online store or as an addition to brick-and-mortar locations. Some of the most popular eCommerce platforms are Shopify, Magento, WooCommerce, OpenCart, and BigCommerce.

Advantages

  • Easily collect customer data, performance, and feedback for future eCommerce marketing strategies.
  • Fewer restrictions and rules
  • Total control over your website’s design, functionality, and navigation
  • Ability to adopt a ready-made approach to website creation or go with a custom solution

Disadvantages

  • Greater investment in time and money to build and maintain your eCommerce website.
  • More financial risks as you scale your business
  • Bringing in traffic and customer engagement takes substantial effort, and results won’t be immediate.
  • Requires eCommerce hosting services

An eCommerce platform will be your best option for small businesses, startups, and small to medium-sized companies with the time and resources to develop a unique presence and build brand awareness over time.

Marketplaces

Marketplaces are eCommerce sites or apps where multiple vendors sell products. Buyers can purchase products from different brands and pay for them all at once at checkout. The marketplace owner does not own third-party inventory; instead, they show these products to customers and facilitate transactions while taking a cut of the profit. Online marketplaces also handle the storage and logistics aspects of distribution.

Advantages

  • Extend sales reach
  • Save money on startup and initial investments
  • Quick and easy setup
  • Less financial risk for expansion
  • No need to manage inventory and shipping processes

Disadvantages

  • Highly competitive
  • Lack of access to customer analytics, data, and communications essential for eCommerce marketing campaigns
  • Unable to build brand awareness

The COVID-19 pandemic led to the proliferation of eCommerce out of necessity, and it shows no signs of slowing down. Today, online marketplaces like Amazon, eBay, Facebook Marketplace, Google Shopping, Walmart, and Alibaba, to name a few, are expanding services and offerings at lightning speed.

In 2022, marketplaces accounted for more than two-thirds of the global online retail market, with $3.23 trillion spent globally on the top 100 online marketplaces. This rapid proliferation comes with increasingly tough competition for individual vendors to stand out. However, putting your business where customers want to buy from can increase revenue.

eCommerce Platform and Marketplace Differences

Time, effort, and money

eCommerce platform – building an eCommerce website for your brand is more expensive upfront and requires effort to maintain a fully functional site or app. However, the ability to customize your online presence, get insight into customer data, and deliver personalization and experiences rather than just products can be extremely valuable for your brand.

Online marketplace – creating a seller profile and online shop on Amazon or Google Shopping is quick, takes minimal technical skill, and you can start generating sales and profits immediately.

eCommerce Marketing

eCommerce platform – direct access to your customers allows you to reach out to customers for promotions and campaigns and can help you deliver better customer service through personalization.

Online marketplace – limited access to customers makes it difficult to build engagement. Even if you’re selling unique products, you’ll have to rely on offering lower prices to attract customers and stand out in a competitive market.

Brand growth and scalability

eCommerce platform – greater risk and financial investment is required to scale as your business grows, and it takes more time to do so. Instead of having to get more inventory and hire more employees to handle the increased workload, companies should invest more in their website development and ensure they deliver excellent user experiences and customer service.

Online marketplace – since there are fewer financial risks and no need to manage inventory or storage, businesses can see higher sales volume and revenue faster.

Platform vs Marketplace Key Takeaways

According to Statista, online retail sales will reach $6.51 trillion by this year. By 2025, eCommerce retail sales are projected to reach $8.5 trillion globally. While online retailers have a significant profit opportunity, choosing the right option depends on your business needs, goals, and unique product niches.

Online marketplaces are an excellent way for merchants to start selling goods online because the time, costs, and risks are significantly lower. For brands that want a custom solution without sharing profits and customers, the versatility of eCommerce platforms can enable long-term scalability and eCommerce marketing advantages, helping you achieve your long-term goals.

Dallas eCommerce Web Design Agency

If you’re looking for a partner to work through your eCommerce ideas or help with choosing the best platform based on your needs and budget, get in touch with Agency Partner Interactive.  

As a full-service digital marketing and web design agency, we work with clients spanning multiple industries to create award-winning eCommerce websites and apps that drive results. Our transparent process ensures you’re in the loop every step of the way, from your website kick-off call to successful deployment and maintenance. Speak with a strategist and get your free personalized proposal today!

ecommerce-trends

10 Ecommerce Trends You Need to Know in 2023

Posted on | by devops

The internet has transformed the way we shop. In fact, you may already shop online for most of your needs. But as an eCommerce entrepreneur, knowing the latest trends coming down the pipeline is essential to staying competitive and offering excellent customer experiences. Here are 10 eCommerce trends that will have a significant impact on your business by 2023: 

  1. Omnichannel Retailing

Omnichannel is the integration of online and offline channels. It’s about creating a seamless experience for customers, who are increasingly expecting to pick up where they left off across devices and platforms. As omnichannel becomes more critical in eCommerce strategy, the customer experience has become more relevant than ever—and it’s here that you can make your mark on the industry. 

The future of eCommerce will be shaped by how well companies deliver on a streamlined shopping journey that provides convenience, speed, and personalization at every turn—not only when you’re making a purchase but also before it occurs. The key factor in this future? The customer experience. 

  1. Social Commerce

Social commerce is the new customer experience. With 153 million people engaging in social media daily, it’s no surprise that social media has become a lucrative marketing channel for brands. When you consider how many people share their shopping experiences on social media, it’s easy to see why social commerce is quickly becoming an essential part of any eCommerce strategy.

This trend will only grow as more consumers use social platforms like Instagram, Pinterest, and TikTok to discover products they want to buy – sometimes before they ever walk through your doors or visit your website! Social commerce is also becoming increasingly important because consumers are influenced by what other shoppers say about products or services before making purchases themselves. 

  1. Customer Service

Customer service is one of the most important aspects of online retail. It’s not just about providing a good experience; it’s about being able to do so in multiple languages and ensuring you can handle customer inquiries, returns, and other issues quickly and efficiently. 

The more automated your customer service is, the better. You don’t want to spend time manually responding to every single customer inquiry. This type of automation can be implemented through chatbots on your website or social media channels. 

  1. Mobile Shopping

Mobile shopping is on the rise, and it’s here to stay. According to a recent study from Google, more than 55% of people say they frequently browse products on their phones when in-store. If you’re not using mobile technology to sell your product, you’re likely missing out on a major opportunity. 

Mobile shopping can be convenient for customers, including those who are searching for Glock mags and scope optics, because it allows them to shop anywhere at any time without waiting in line. It also provides an opportunity for greater personalization: your customers are more likely to spend more money with companies that cater specifically to their needs as individuals. 

  1. Subscription-Based Shopping

Subscription-based shopping is another trend that you should familiarize yourself with, as it’s a growing part of eCommerce. Subscription services are predicted to account for $904.28 billion in sales by 2026. 

With this model, customers pay a monthly fee for ongoing service and get access to products or services without having to pay extra each time they want something new.  

  1. Visual Search

Visual search is a hot topic in eCommerce, with an increasing number of retailers using it to improve their search engine results. It’s easy to see why: visual search allows consumers to find products based on the image they provide, rather than having them type keywords or use other traditional search features. 

In the past year or so, we’ve seen this technology from brands like Amazon and Pinterest, where you can use pictures of items to find similar ones that might fit into your life seamlessly.  

  1. Live Shopping in Augmented Reality

In the past, augmented reality (AR) was primarily used for gaming. But now, live shopping in AR is becoming a reality. 

AR allows consumers to experience products and services in their environment using digital graphics overlaid on top of real-world images captured by a camera. With AR technology, customers can see how your product or service will look in their home before they purchase it. 

  1. Contactless Payment

Contactless payment is the future of payment processing. In fact, contactless payments are growing faster than any other type of financial technology in the market today. 

If you’re not familiar with contactless payments, they allow you to pay using your phone or other NFC-enabled device without having to use cash or credit cards. Contactless payments are easy to use and convenient, making them ideal for today’s mobile-first world where time is money. 

  1. Buy Online, Pick Up In-Store (BOPIS)

BOPIS allows customers to choose between having their products shipped directly to them or picking them up in person from a nearby retail location. This option gives shoppers greater convenience and control over their purchases. They can decide whether they want the product immediately or later. In some cases, BOPIS also allows retailers to offer additional discounts for products picked up at physical locations instead of purchasing online only; this encourages a higher rate of foot traffic into stores while still providing easy access for those who prefer online shopping. 

  1. Curbside Pickup

Curbside pickup involves face-to-face interactions between customers and sales staff but doesn’t require shoppers’ physical presence inside an actual store. It simply requires that they notify the store via app or online that they’ve arrived, and staff members will bring items out to the customer and place it in their vehicle. This option stuck around after COVID-19, and we see it becoming even more popular in the future! 

Agency Partner Interactive  

The COVID-19 pandemic spearheaded the global eCommerce surge out of necessity, and since then, it has continued to evolve to meet the needs of modern consumers. While these eCommerce trends are critical to know for any online business, they’re just the beginning. If you need help developing a compelling, conversion-driven eCommerce marketing strategy, Agency Partner is here to help. Our internet marketing team has worked with brands of all sizes and industries to drive engagement, web traffic, customer loyalty, and revenue. Ready to optimize and future-proof your eCommerce business? Schedule your consultation today!