An independent e-commerce website can be described as a seller runs, where buyers purchase products directly from the website belonging to the business owner. Whereas a Marketplace can be defined as a third-party site that may include product listings from many sellers across product categories. Examples of such online marketplaces may include Amazon, eBay, Walmart Marketplace, and Etsy.
The predominant differences between marketplaces and ecommerce websites are simple, however it rely on who are and what you’re selling. Marketplaces will make hundreds of thousands of visitors available to you, but you’ll also be fighting with thousands of sellers and buyers to be seen. An ecommerce website is a way to differentiate yourself, but you’ll need to put in serious effort to drive traffic towards your site and make sales.
The online marketplaces like amazon have significant advantages such as its success is driven by many of the small and medium-sized businesses. They use this marketplace as a third party because of its powerful logistic capability and its huge audience. Many online retailers prefers online marketplaces because it can be easy selling products on it and it might be more profitable.
Although these online marketplaces have many positive aspects but there is more to it. The drawbacks may involve a high level of competition that might be hard to fight. Not only this but most marketplaces require fee for product listing, so that you will have to pay a few costs even earlier than making a single sale. Also, there may be a fee for each transaction.
All these benefits and drawbacks of digital marketplaces are confusing but would I prefer these marketplaces over my very own website? The answer is no. There can be so many reasons of why creating your own e-commerce website is more beneficial than online marketplaces. Some of the reasons are stated below:
- Your Brand Recognition
Moving away from selling as a third-party seller on Amazon or eBay means taking greater control of your brand as you expand your business to new platforms. When you solidify your brand on your own website, you’re telling customers that they’re buying from you, not an ecommerce platform. This gives you more opportunities to drive brand loyalty because you own the sale, and therefore the purchaser.
When you make a sale via your website, the purchaser is buying directly from you and they know your website. However, when they shop from your store on such online marketplaces, it makes their market to grow more and not your brand.
- Control And Authority
Your E-Commerce websites are completely managed by you. Be it the look, design, layout, content material or navigation, the whole lot to your control. Though your website is made on an E-commerce platform, you run it. The customer is aware of existence of your brand. Your reputation and your products bring the customer on your website. Therefore, the success or failure rests on your shoulder. Hence, make it as good as it can be so that the customer experiences a ‘wow’ factor whenever they visits.
The one thing that we all have learned from amazon is that it is essential for brands to move from single channel to Omni-channel model. Moving your ecommerce business multi-channel allows you spread risk around, so if anything goes wrong, your business is still protected and you are still generating revenue.
- Customer Satisfaction
Another advantage of owning an e-commerce website may include that you have direct access to your shoppers. You can provide better client service and you can analyze purchaser’s behavior and do relevant marketing activities including abandoned shopping cart recovery etc.
- Emerge And Gain The Freedom
Other benefit is that you have the full liberty to customize your website or online shop in order to look and stand out from the crowd. You can use ready-made templates for your future online store or hire an e-commerce team to develop a custom design. It will help you to provide clients with an exceptional experience on your website.
Your own ecommerce website does not only will make sales but it will create a loyal audience, drive trust and providing increased marketing opportunities. With the right strategy and potential, one can make their own website just as successful as any online marketplace.