Building a Multi-vendor Marketplace on Magento – What Should You Keep in Mind?

In addition to developing an export plan, one of the most important factors for export success is market research. With quality market research, you save time, money, and effort and reduce potential risks. It is key to understanding the opportunities that are provided to you and the ways in which you can take advantage of them. The information you gather about the structure of the sector, competitors, the nature of demand, and ways of doing business will help you make informed and reliable business decisions.

Source: Medium

The importance of information technologies in economic development

The strong development of information technology in the last 15 years has conditioned its impact on economic development. New market processing opportunities have been created, the need for new products and services, reduced costs, increased efficiency, and quality of products and services. Classical economics starts from deductive thinking. The problem is identified first and then choose the best possible solutions. Information technology allows the opposite way of perceiving business problems. First, new technology is created, and then an application in solving is sought existing business problems. Such a way of thinking and applying logic is the “culprit” for the strong expansion of information technology and the creation of new needs in the market.

Source: NsThemes

How do I create a multi-vendor marketplace?

Joining e-Commerce is a big step in this business. This way what you are actually doing is sharing the audience and costs with those running a similar business. A multi-vendor marketplace is a “showcase” where you can see multiple vendors in one location. Magento is one such platform. SOFTLOFT offers you a solution on how to become as successful as possible in internet sales.

Even without the current pandemic, e-commerce is recording a significant growth rate from year to year, although due to the coronavirus, this increase was particularly felt last year. If you are convinced that this is only a momentary positive effect, think twice. After customers have experienced all the key benefits of online shopping, such as a wide range of goods, shopping at any time of the day or night, payment by card or cash on delivery, and home delivery, will they really return to traditional retail shopping?

If you are already in sales or planning to start, there are some things you need to know.

Marketplaces are online stores where different retailers, large and small, are represented. Instead of developing your own webshop, you can use an already well-established sales platform, which has its own promotion channels and often offers a discount on additional services that you may need, such as delivery. You join them as one of the merchants and usually pay a basic fee as well as a percentage of sales. In return, you get a range of services and benefits.

Online sales make good money from home. The development of smart technology and the transition of high-speed internet to mobile phones has enabled people to access online stores and do shopping in a second from their pockets at any time, which has actually created millions of new regular “instant” customers. It is also important that you do not need previous experience to be successful in sales. Starting a website for sale provides you with earnings without much investment, yours is just to attract as many service providers as possible.

A virtual store for the sale of products of all kinds, according to the end consumer is known as a marketplace. There are several types of marketplaces, the most common being the general marketplace and the auction marketplace. The general marketplace is one that offers the sale of various products, while the auction marketplace, in addition to the sale of consumer goods, also offers antiques of interest to collectors.

Source: Medium

How to start selling online?

Before you start selling online, you need to focus on a narrowly specialized area of the market. If you are planning to sell a wardrobe, focus on that, do not add dishes, appliances, or anything else that has nothing to do with clothes. If you plan to expand sales, you can include footwear, bedding, and other textiles. In case you don’t have your product or merchandise ready for distribution, the other option you have left is to sell someone else’s. Online sales of other people’s products is a method called “affiliate sales” and is very popular among Internet sellers because it allows you to make good money without much worry about the product.

Choose a good name

A good business name is a trademark of your business. Try to find a name that will at the same time allude to the type of product you are selling, but will be audible to attract new customers.

Is it better to have your own web store or sell through a platform?

We can’t give a simple answer to this question, but what we can say is that marketplaces provide an additional channel to promote products through their search engines. In addition, they allow sales in the international market, and we know that rarely any webshop provides this service. In addition, buyers have more confidence because they are established platforms on which you can always read reviews that help the sample to judge whether the seller is reliable or not. As for the method of payment, they are already integrated.

On the other hand, we have several shortcomings, such as high competition and charging a fee for using their services. Many sales platforms limit communication with customers, and if you do not describe the product you are selling properly, your autonomy as a seller is completely limited.


Final thoughts

In a physical store, you can hold the product, feel the material, smell it, and evaluate the size, color, and appearance.

In an online store, things are completely different. Here, images and product descriptions are the only resources from which potential customers can make a purchase decision. The best product description directly addresses your ideal customer on a personal level. Through the product description, you ask and answer questions as if you were talking to them. Use terms and vocabulary used by your ideal customers. When writing a description of a product or service, keep in mind how buying the product improves the customer’s life or solves the problem they had. Present the positive results of using your product!

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