There are many places to advertise your products, so why is everyone talking about marketplaces like Amazon and Walmart?
The biggest single reason is that over half of all product searches start on Amazon in the US.
Despite this fact, marketplaces have been traditionally difficult for merchants to get onto due to two major hurdles:
1. Manually listing products in bulk is very difficult
2. Now you have to fulfill orders in multiple disparate systems
We solved both of these two challenges with FeedAMP, so the entire manual process is taken care of for you.
Below you’ll find some of the largest marketplaces that you should be on.
- Amazon is the most popular marketplace by far, with Walmart/Jet poised to grow significantly in the near future.
- Over 55% of all product searches originate on Amazon
- Amazon accounted for 43% of US online retail sales in 2016 and continues to grow.
- Amazon accounted for the majority (53%) of the growth in US e-commerce sales for 2016.
- Roughly 80% of sales happen through the buy box. Seller’s have a better chance of earning the buy box with clean product info, great reviews and customer response times, fast shipping times, and competitive prices
- 300M users
- Costs: Usually 15% of selling price + shipping. Other fees may apply, depending on industry
- Massive brand attempting to compete with Amazon
- Less saturation, and therefore less competition for sellers
- 27% increase in eCommerce sales from Feb 2016
- Purchased marketplace Jet.com to expand reach
- Sellers on Walmart are by invitation or application only
- Recently introduced 2-day shipping
- Costs: 8-15% depending on product category
- Less saturated than Amazon, and generally SMB businesses
- Although Ebay allows used products, 81% of Ebay products are brand new
- 167M users
- Ebay still has more international countries available.
- $0.30 insertion fee, 10% of sale
The Feedonomics Experience
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Brian Roizen is the co-founder and chief architect of Feedonomics, a full-service feed optimization platform that optimizes product data for hundreds of channels. He has been featured on numerous podcasts and eCommerce webinars, and regularly contributes to Search Engine Land and other industry-leading blogs. Brian graduated summa cum laude from UCLA with both a Bachelor’s and Master’s degree in Mechanical Engineering.