Selling on Online Marketplaces and the Role of Product Information

This article is a short reflection on how the pandemic has accelerated the process of moving from brick and mortar shops to online shopping and marketplaces. What are the reasons and the benefits of selling on a marketplace? How to make the most of product information to simplify internal processes and boost sales? Read on to find out.

Migration to online shopping

Over the past couple of years, the economy has undergone enormous changes. We have seen the fastest evolution in the e-commerce sector, growing exponentially due to the pandemic and the consequent lockdowns that have affected the world. In this period, people have had to adapt, and some habits have changed radically, especially regarding purchases. It was no longer possible to leave the house to go shopping; the shops were closed. Even the purchase of essential goods has undergone changes and restrictions. 

At the beginning of the pandemic, large companies adapted quickly and easily to online migration because they already had the financial resources and tools to do so and a trusted clientele. As far as small and medium-sized companies are concerned, it was not as easy. Numerous companies have had to close their doors; many others, on the other hand, have significantly benefited because they have seen an increase in sales.

But what has determined the success or failure of small and medium-sized enterprises? The two greatest factors were:

• speed in adapting to new trends
• how time and resources have been invested.

The e-commerce world is ever-growing, therefore, in constant evolution. Hence a company must always be at the top of the game.

This rapid evolution of e-commerce has led to a significant reduction in boundaries. It made it possible for customers to buy anything from anywhere in the world, or almost. This situation has therefore led to greater competition. A company that sells specific goods finds itself competing with others that sell the same product. Marketing strategies and a fabulous website play a fundamental role here, but often it's not enough.

The increasingly tough competition and the breaking down of borders have often made it difficult for one company to stand out among the others, which is why many SMEs have begun to take the path towards multi-channelling and marketplaces.

But what are some of the main reasons that lead companies to use marketplaces like Amazon?

Product discovery hub

Let's take the example of offline shopping. When you want to buy a specific product of a particular brand, you go to the respective store you trust or know it sells that one product. But when you don't have a precise idea of ​​what you want to buy or you want to compare the same product with different brands or different prices, you opt for a more generic store, right? So in a shop that offers you a wider choice. And the same is true for marketplaces. 

By now, most shoppers who are looking for a product go directly to the Amazon search engine, for example. When you want to give a gift to a loved one but have no idea what to buy, what's easier than going to the gift ideas section and finding yourself in front of a wide selection of products?

Get traffic on your webshop

Through Amazon, the customer can find a particular company's product, intrigue them, and then visit the website to see more products of that same brand or retailer. Displaying your merchandise on a marketplace increases the chances of attracting a greater number of visitors to your site.

Fear of missing out

If a company today is not yet selling on a marketplace, it is most likely losing on competitors. If yours is not a very famous brand or you are not the only retailer of your products in the whole country, your competitors are probably already selling on Amazon; therefore, you could lose a large part of possible sales.

Small things determine how to be successful: The role of product information on marketplaces

Competition on Amazon and, more generally, on marketplaces is a great challenge because you find yourself selling products on platforms with thousands of other sellers who sell the same product as you at more or less competitive prices.

The information of the products on sale plays a fundamental role here.

In general, it is very important that the product information is:

• Accurate and complete (meta title, meta descriptions, meta tags, keywords for SEO, etc.)
• Consistent and in line with the brand (on all sales channels to create a brand identity and to make your brand or shop recognizable)

Better communication with the customer

In this era of e-commerce, communication with the customer is often lacking; individually communicating with each customer has become almost impossible. Through detailed and rich product information, it is possible to convey the characteristics of your product and the values ​​of your brand in an ideal way.

A centralized solution

Amazon itself includes various marketplaces, which vary from country to country, with different lengths, different regulations and customers with different needs. Choosing a centralized and multilingual solution is always the best choice to avoid mistakes and save a lot of time.

Attributes

Obviously, we want to know the material, measures, colours, and related specifications when we buy something. It is, therefore, reasonable to enter as much information as you have about the product. As for the inclusion of specifications on marketplaces, however, not all work in the same way. Amazon, for example, requires certain specifications that are mandatory for each product. A solution like Katana PIM allows you to create groups of attributes in advance to automate a process that would take days, if not weeks, of manual work, saving you and your team time and errors.

Inventory management

Organizing and controlling inventory can be an absolute nightmare when selling online, especially when using different marketplaces. Most PIM solutions will not give you the opportunity to distribute your stock updates to different channels. This is one of the extra benefits that Katana PIM gives multichannel sellers.

Conclusion

As we have said, selling on marketplaces can be a big pro for a business, but you have to do it by relying on the right tools and investing in suitable solutions. A product information management tool is what you need if you want to have a simple life on marketplaces and avoid many headaches. Customers will be satisfied with their purchases and will come back to buy your products!

About Katana PIM

Katana PIM  is a centralized, powerful and flexible solution with the emphasis on scalability, realized to create a more efficient way of managing your product data. With Katana PIM, you have all your products in one system, and you can see at a glance how complete your product information is and where there are still opportunities to enhance your data. Reducing time-to-market, enhancing your customer’s experience, improving the internal workflow and growing your online business are only some of the benefits that Katana PIM brings to your company. If you’d like to discover more about all our features and benefits you can contact us, we will be happy to meet you!