Every brand understands the allure of selling on marketplaces like Amazon. With hundreds of millions of unique site visits monthly, Amazon and other marketplaces offer a way for brands to maximize customer reach and drive additional sales.
Despite the obvious benefits, myths about shattered brand image, lost customer information and fraudulent product information have deterred some brands from selling on marketplaces.
But in reality, the benefits of selling on marketplaces usually far outweigh the risks, and most potential pitfalls can be avoided with the right strategy. As Amazon and Walmart dominate retail sales and online foot traffic, brands cannot afford to miss out on an opportunity to capture their share of the pie.
Three common myths about marketplace selling
The following commonly cited concerns about selling on marketplaces are actually myths, and we’ve busted them for you:
- Myth: I won’t be able to maintain my reputation on marketplaces. It’s common for brands to fear that third-party sellers can resell their products alongside incorrect product information, improper branding or poor customer service. Brands also fear that third-party sellers can underprice products, leading to a lower perceived value for their brands.
But with a formal marketplace relationship, you have the power to work with the marketplace to report sellers that are untrustworthy or submit claims on counterfeit products.
Owning your brand’s presence on the marketplace also gives you complete control over your reputation. By providing excellent customer service and offering accurate product information, you can earn more customer trust and ultimately drive additional sales.
- Myth: Marketplaces leave me in the dark about customer information. In today’s data-driven world, brands want to have full insight into any and all customer browsing and purchasing data. But, admittedly, marketplaces like Amazon do not give brands complete access to this information.
However, with a robust digital marketing campaign, you can still gain insights into your customers’ behavior on Amazon, learn their preferences over time, and optimize strategies accordingly.
- Myth: It’s too hard to stand out among competing sellers on marketplaces. With millions of sellers, Amazon certainly is a site with significant competition. However, standing out among competitors is actually relatively simple if you optimize your product information with relevant, searchable keywords and ensure that your products are listed in the right product categories. Additionally, paid search campaigns can boost your brand’s appearance in relevant search engine queries.
CommerceHub makes it easier to manage marketplace sales
One of the best ways for brands to add additional revenue is by selling through marketplaces. While working with Amazon, Walmart or other popular sites certainly comes with challenges, the benefits usually far outweigh the risks.
And the best way to manage the risks is to invest in the right technology. Many brands find that using a central hub to manage marketplace sales enables them to take advantage of the upsides while limiting the downsides.
CommerceHub helps to ensure that product information, pricing and images are optimized for each marketplace, and we suggest tailored catalogs for each marketplace based on competitive analyses. CommerceHub also offers a digital marketing component, which helps you boost your brand’s visibility across channels and maximize sales.
Learn more about CommerceHub’s marketplace and digital marketing strategies for brands today.