In January of this year, Gartner called out marketplace management as one of the hot topics in digital commerce for 2017. Marketplaces are a foundational element of any eCommerce strategy, underpinning and optimizing other projects such as omni-channel and personalization. Too often, though, retailers look at marketplace management as just another project, which is unfortunate when you consider the success other retailers have had with marketplaces:
I’m an 8.5 month pregnant lady. It’s fair to say I’m in perma-crisis-mode. When I received a wonderful gift of a 3-month subscription to Birchbox from my sister-in-law, I was thrilled. To have something show up monthly that gives me beauty products that make me feel better about myself, as I cross over 30 lbs weight gain, is really a blessing.
Running online promotions can be a powerful way to boost sales. Having a Marketplace where 3rd party sellers can offer promotions to your customers will increase sales even further. Not only are online sales sensitive to pricing, but a Marketplace is unburdened by the constraints of retail. Without worrying about inventory stock, or the pressure of profitability, you can run Marketplace deals, sales, and marketing campaigns that drive real impact - surprisingly significant impat. The first time a Mirakl customer in the fashion space applied promotions on Marketplace products using the strategies outlined below, they realized a 272% growth in month over month sales revenue.
On every retailer’s to-do list in 2017 is surely a series of technology initiatives meant to improve efficiency, maximize opportunity, and ultimately grow revenue.
In a time when brick and mortar retailers are seeking new ways to attract new customers, and create loyalty among existing shoppers, the concept of a Marketplace has emerged as an ideal way to optimize a business’s cross-channel strategy.