Choosing an eCommerce platform to sell on

I have been asked this question over and over again and I keep repeating myself like a broken record.

In the eCommerce world, there are broad players

• Retailers
• Classifieds
• Classifieds with logistics options

The simple answer to finding a platform to sell on is to choose what player fits your business model in relation to your business size/type. Three business types (according to size) have been addressed below. Find you!

I am a Big Boy

If you are a major distributor, manufacturer, supplier and everything in big terms, then you want to be heading the way of the retailers. These players have huge logistics models that allow them to house your goods and deliver them on your behalf from predefined and agreed terms while you mind your business and do other things. They have reconciliatory plans (usually every month) where both parties balance out outstanding payments/reimbursement. 9 out of 10 times, they handle everything from upload to delivery of the final product(s).

Nonetheless, some retailers, with specific focus like fashion, may have vendors who are not 'big boys' sell on their platform. These are exceptions.

Here, buyers may never contact you directly. Don’t think of it. Why? Because they make money from sale of products. If sellers contact you directly, that percentage of sale is gone. Your brand is not projected.

Mind you, ‘in big terms’ as earlier used does not necessarily mean brand reach. Volume of merchandise is what I am referring to.

I am a teenager

If you sell one or two things here and there, trust me, you have no business with a retailer. First of all, bear it at the back of your mind that retailers charge percentages on sales and if you want to thrive on their platforms, you must compete by embarking on profit slashing sales routines. Hello? I didn’t think you took selling serious enough to lose before gaining. You may also think that you will get some extra publicity. Well, sorry, your business name will never be mentioned in their publicity, free of charge.

Find a classifieds player. On a classifieds site, your products are advertised as coming from your brand and so your brand gets some projection.

My advice is, find a classifieds platform that gives you more control, has near zero or no participation fees and lets you be the boss. Users can contact you directly and you negotiate terms. The only disadvantage here is you get to work out your logistics and delivery options. The ‘badder’ news is because most users feel classifieds site is home to a large number of scammers, you may be getting many inquiries but sales may be sluggish. Erm, I thought you seller instinct wasn’t a business yet? Why bother. Just sell, will ya?

Dad, I’m a grown as* man

If you sell some items here and there, own a shop/own many shops but you are simply not a ‘Big Boy’, in the definition of it, and you probably are not sure you can handle the sales and commissions pressures from retailers but still you want more than just a place to list your items, then there are a few classifieds sites (like www.mycliqit.com) that offer more flexibility by giving you logistics options. Be sure to identify them by their key strategy.

There are retailers who pose to be classifieds. There are also classifieds who have logistics options. The core business model of the eCommerce platform determines its ability to mix strategies and models. The easiest way to identify classifieds sites like this? Design. Yes I said so. They let you post but they look clean and neat like a retail site. Mixed strategy.

Retail sites run into a problem later on when they begin to accommodate many vendors outside the intended wholesale reseller program their embarked on. So what happens is they begin to ban upload of certain brands by vendors other than the key distributor of such a brand. Err, some retailers are so big they rebelled into a mix strategy and their initial vendors still stick. Or better put, they are classifieds who refuse to wear the tag. All hail Amazon.

Ok continuing. Here, you may discover that some of such sites because of their classifieds program, offer brand projection options for their vendors which is a good bargain if you ask me. You should also note that they may charge a premium for certain users who will get to benefit from the logistics packages but usually this charge is not pocket depleting.

The key is to know who you are before finding who will marry you.

As for publicity, the bitter truth is you still have to make a conscious effort to put your brand and products out to be noticed. None of these sites will give you the amount of publicity you need for free. And on all of these sites, you most often come to them with your customer base and gain about 3-5% of new users at most on a basic ‘diet’. Except ofcourse you are a big player on any of the platforms by way of the merchandise you bring or ad spend.

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