Online Shopping and Niche Marketplaces

The future of online shopping and niche marketplaces in the UK

Online marketplaces continue to grow in popularity in the UK, providing a convenient way for buyers and sellers to connect and offering a wide range of products and services. However, niche marketplaces are also growing from strength to strength, and these platforms are becoming increasingly popular with buyers and sellers.

Niche marketplaces offer several advantages over traditional online marketplaces:

1. They provide a more focused experience for both buyers and sellers.
2. They often have lower costs than conventional online marketplaces, making them more affordable for small businesses.
3. Niche marketplaces typically have a more engaged user base, leading to better seller sales.

As online shopping continues to grow in popularity, niche marketplaces are poised to become an important part of the UK online economy.

￡250 billion?spent online in 2021 - Statista

The benefit of niche marketplaces

A niche online marketplace is a platform that connects buyers and sellers of a specific type of product or service. By catering to a particular audience, niche marketplaces offer buyers and sellers several benefits:?

1. For businesses, niche marketplaces can be a cost-effective way to reach new customers.?
2. They can also be an excellent growth opportunity, as companies can expand their reach and increase sales by tapping into new markets.?
3. For buyers, niche marketplaces offer the convenience of being able to find everything they need in one place.?
4. They can also be a great source of information and inspiration, allowing buyers to discover new products and services they may not have come across before.

There are many successful niche marketplaces in the UK, proving that there is significant demand for online marketplaces that cater to specific audiences, and as a result, they have enjoyed considerable success.

What is the growth in UK online shopping?

In recent years, the growth of online shopping in the UK has been meteoric. According to a recent report, the value of online retail sales grew by 15.9% in 2018, reaching a total of?￡167 billion. This trend shows no sign of slowing down, with?￡250 billion?spent online in 2021 (statista.com). Several factors are driving this growth, including the rise of personalised shopping experiences and the popularity of small businesses.

UK online spend is forecast to increase 29.6% between 2019 and 2024 - Retail Insight Network

The Covid-19 pandemic has had a significant impact on UK online shopping habits. Before the pandemic, e-commerce accounted for 19% of all retail sales in the UK. However, during the height of the pandemic in January 2021, this figure rose to 37%. It now sits at 25%. (figures taken from ons.gov.uk). The increase in online shopping is likely due to a combination of factors, including lockdowns and social distancing measures, which made it difficult for people to shop in physical stores. In addition, many people were concerned about contracting the virus in crowded places such as supermarkets. As a result, they turned to online shopping as a way to get the items they needed without leaving their homes. The pandemic has also led to a change in what people are buying online. During the pandemic, categories such as food and drink saw a significant increase in sales, while other categories such as fashion and beauty decreased. This is likely due to a combination of factors, such as people spending more time at home and less worrying about dressing up to go out. Overall, the Covid-19 pandemic has significantly impacted UK online shopping habits, with more people shopping online and buying different types of items than before.

How online shopping affects retailers

Online shopping has profoundly affected retailers, both large and small. Perhaps the most obvious impact has been the migration of shoppers from brick-and-mortar stores to e-commerce platforms. This shift has caused many retailers to close their doors, particularly small businesses that are struggling to compete with the deep discounts and convenience offered by large online retailers. The loss of retailers has, in turn, hurt city centres, with a growing number of vacant storefronts. Local councils have had to rethink their strategy and look for ways to bring footfall back to city centres. Looking to the future, it is clear that e-commerce will continue to grow to some expense of brick-and-mortar retailers. Online shopping offers consumers greater convenience and choice, and retailers must adapt their business models to survive in the digital age.

How online shopping affects customers

The rise of e-commerce has profoundly affected customers, especially in recent years. Online shopping has become the norm for many people, thanks to its convenience and the vast array of available products. However, this shift has also impacted small businesses, which find it increasingly difficult to compete with larger e-commerce retailers. It can be a challenge for small businesses that may not have the necessary infrastructure. In addition, customers are becoming more demanding, expecting faster delivery times and greater flexibility regarding returns and exchanges. Customers will only become even more reliant on online shopping as delivery and shipping become faster and more efficient. As a result, businesses need to be prepared to adapt to the changing landscape of e-commerce to stay competitive in the future. Ultimately, the convenience of online shopping is likely to have a significant impact on how customers behave and make purchase decisions. This is why niche marketplaces such as DesiCity.com offer an excellent way for SMEs to utilise growing, relevant marketplaces that target their seller's products at their ideal customer base.

Go Niche

The e-commerce landscape is constantly evolving, and online marketplaces are at the forefront of this growth. As more and more consumers shift their buying behaviour to the internet, niche marketplaces like DesiCity.com are becoming increasingly crucial for businesses of all sizes. If you're not already selling on a niche marketplace, it's time to consider one as part of your e-commerce strategy. At DesiCity, we have zero joining, listing, and subscription fees, only taking a small commission at the point of sale. We can even remove all time constraints and set up your shop for you! Contact us today to learn more about us and how you can join the UK's only south-asian marketplace.