In a recent survey of more than 200 U.S. and U.K. online retailers, 90 percent reported selling on marketplaces. The ChannelAdvisor Multichannel E-Commerce Study also revealed that at least 21 to 30 percent of retailers' online sales came from international marketplaces.
More than three-fourths, 84 percent, are selling their products on Amazon, while more than half, 63 percent, are selling on eBay. The retailers reported that the most challenging aspects of selling on these marketplaces was maintaining competitive pricing.
However, marketplaces have allowed for cross-border sales. In fact, global marketplaces are the number one point of sale for international transactions. Thirty percent of those surveyed reported that 21 to 30 percent of their online sales came from international marketplaces.
Online marketplaces are successfully driving sales around the world. Flipkart, India's largest online retailer, recently received $1 billion in funding—the largest venture investment ever attained by an Indian company—as it agressively tries to compete with Amazon.
"It's critical that retailers evaluate what the rest of the industry is doing so they can stay on top of innovations," said Scot Wingo, CEO, ChannelAdvisor. "Finding success in a crowded e-commerce landscape is all about being visible on multiple channels. Our survey results show that retailers are taking a multichannel approach to increase their exposure in every stage of the consumer's path to purchase."
In keeping pace with technology, 40 percent of surveyed retailers reported that 21 to 30 percent of their current Web traffic comes from mobile devices. And most retailers, 86 percent, think that traffic from mobile will increase in the next few years. In anticipation of mobile's increasing popularity, retailers expect to increase their mobile advertising budget over the next two years.
Not forgetting the importance of social media, retailers' top three goals for the channel were to increase brand awareness, reach a new generation of shoppers and drive conversions. However, "sales" did not make the list of a top priority for social media, although many of these channels are now looking to monetize. Twitter, Facebook and Pinterest are all experimenting with "buy now" buttons within their platforms.
See this ChannelAdvisor press release
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