March has been a whirlwind of movement and news within the marketplace sector. In fact, we started the month with one of the main events of the marketplace ecosystem, the FBAShow, where we were able to meet agencies, integrators, logistics solutions and a long etcetera in the same space.
In a very summarized way, the FBAShow was a meeting space for professionals and amateurs passionate about their sector seeking to exchange knowledge, opinions and tricks to get the most out of and profitability possible from these platforms. One more edition and for the third consecutive year, Década was present at the eShow, the largest e-commerce fair. In addition, I was able to participate in two presentations focused on allowing marketplace sellers to continue growing and maximizing results through these platforms. In the first one, I talked about Amazon ads and strategies throughout the product life cycle. The second was focused on how to expand to the US market through marketplaces, from the legal implications involved to the most recommended platforms to make this leap. The USA is a huge market and with a broad growth projection, it undoubtedly represents a great opportunity for marketplace sellers. In case you could not attend or if you wanted more information, I would like to leave you here the presentation of it.
In one of my last post, you can find a summary of the most outstanding moments that I lived at the fair.
But the activity has not stopped there. As I said before, throughout the month we have witnessed various news and movements in the world of marketplaces, starting with changes in Amazon’s logistics fees. These changes occurred on March 1 in the UK, Germany, France, Italy and Spain. While in the Netherlands, Sweden and Poland, the changes in the rates will come into effect from May 15 of this year.
Some of the biggest changes are the addition of new weight classes, the continued establishment of fuel surcharges and inflation, and also changes to the FBA Small and Light program. I recommend you visit the official Amazon announcement to see these changes in more detail.
Not only has this change in logistics fees been on everyone’s lips in recent weeks, but so has Amazon’s statement to its Vendors.
In order to focus its strategy in Europe on greater cost control by offering marketplace users the best prices, Amazon has decided to purchase products for its European stores directly from brand owners, leaving distributors in a difficult situation.
In a letter sent to the distributors with whom Amazon has collaborated until now in its Amazon Vendor modality, the marketplace makes it clear that as of 2024, it will only purchase products directly from brand owners. On the other hand, he recommends that, if they want to continue selling on their platform, they bet on the Amazon Seller model.
In one of my last post, you can find a summary of the most outstanding moments that I lived at the fair.
What does this Amazon move mean? The fact that the marketplace stops trading with distributors and wants to work only with brands arises from the need to purchase products directly from manufacturers as a way of cutting costs. In this way, Amazon gains greater control in its relationships with brands and also greater control over pricing and product selection. Be that as it may, Amazon made it clear that it would continue to work with vendors as long as they were direct owners of the brand or had an exclusive distribution agreement.
But this is not all, what else has happened in the Amazon universe in recent weeks? Keep reading and don’t miss a detail.
Amazon makes sales data public
Continuing on the Amazon stage, the news that Amazon has made part of its sales data public in an initiative to increase transparency and customer trust has also given much to talk about. This measure provides information about the best-selling products on Amazon, the most successful sellers, and the overall performance of the platform.
The data can be found in the “Amazon Selling Coach” section within the Seller Central platform, where sellers can see how their sales and performance compare to the industry average and the best sellers.
The decision to make this information public comes at a time when Amazon has been criticized for its opacity regarding its business practices and its impact on the market. This initiative shows a commitment by Amazon to be more transparent and provide customers and sellers with useful and detailed information about the platform.
Publishing this data can also help sellers improve their marketing and sales strategies, as they can see which products are most successful on the platform and how they compare to other sellers.
Overall, Amazon’s openness to sharing its sales data is a positive step toward greater transparency and trust. What do you think of this change in the platform?
Amazon Digital Marketplace will be released in April
Amazon has announced the launch of its new digital sales platform, Amazon Digital Marketplace, which is expected to be available from April this year.
This platform will offer a wide variety of digital products, such as applications, games, e-books, music and software, among others. Sellers will be able to list and sell their digital products through Amazon’s platform, allowing them to reach a global audience and take advantage of the company’s marketing and promotional tools.
In addition, Amazon Digital Marketplace will offer a safe and simple shopping experience for users, since the platform will be in charge of processing payments and delivering digital products automatically.
With this new launch, Amazon hopes to compete in the digital products market, which is currently led by other platforms such as the Apple App Store, Google Play Store and Microsoft Store.
Amazon Digital Marketplace is expected to have a significant impact on the digital goods industry as the company has a wide customer base and extensive experience in selling online.
But Amazon’s innovation doesn’t end here…
Amazon works to create its own web browser
Amazon is in the process of developing its own web browser, according to sources close to the company. This move would allow Amazon to have greater control over the user experience and make it easier to access its services and products.
The browser, which does not yet have an official name, would be based on the Chromium open source project, which is also the basis of Google Chrome. However, Amazon is expected to add unique features and tools that are specific to its platform.
Building its own web browser is an important step for Amazon, as the company currently relies heavily on third-party browsers for users to access its online services. With its own browser, Amazon could offer a more integrated and personalized experience for its customers.
Additionally, a proprietary browser could give Amazon a competitive advantage over rivals in the e-commerce space, as the company would have greater control over how users interact with its products and services.
At the moment, Amazon has not officially confirmed the development of its own web browser, but more information is expected to be revealed in the coming months.
What are the oldest sellers on Amazon? Is there a lot of competition today?
Amazon is one of the largest online marketplaces in the world, and has enabled millions of sellers from around the world to reach a global audience. However, not all vendors have the same longevity on the platform, as some have managed to stick around for many years and others have quickly disappeared.
According to a recent study by Marketplace Pulse, the oldest sellers on Amazon are those who have been active for more than 15 years on the platform. They include renowned companies like Cymax, which has been selling furniture online since 2004, and NetRush, an online sales and marketing company that has been active on Amazon since 2006.
In addition to these veterans, there are also many sellers who have been active on the platform for more than 10 years, which shows Amazon’s ability to keep sellers satisfied and engaged.
The study also revealed that most active sellers on Amazon have only been on the platform for a couple of years, suggesting that competition in the marketplace is intense and many sellers fail to survive for long.
Overall, the study shows that longevity on Amazon is an impressive achievement and that sellers who have been around for many years have a competitive advantage over newcomers. These sellers have managed to maintain a positive reputation and have established a loyal customer base, allowing them to stay afloat even in a highly competitive market.
Amazon has given a lot to talk about, but the other marketplaces have not been left behind.
Source: Marketplace Press
Vodafone Spain becomes the first operator in the country to launch a Marketplace of products for its customers
With the aim of continuing to offer a unique digital experience that meets all the needs of its users, Vodafone will launch this Marketplace before the summer of 2023. What makes it a great novelty is that it will be able to anticipate the needs of users. customers and recommend new products that they might be interested in.
This new Vodafone space will offer a worry-free, easy and fluid experience, thanks to the seamless integration of the new items into the current interface of the My Vodafone App. Customers will be able to view, compare and purchase thousands of products from more than 100 vendors, which are being carefully selected by a team of experts and all follow the quality and social responsibility criteria pursued by Vodafone.
The growth rate of marketplaces continues to increase, and Vodafone has not been immune to this trend. Currently, through its Mi Vodafone App, one in three terminal renewals is carried out, allowing users to choose between smartphones, tablets, smartwatches and more.
The sellers that participate in the project will have the support of a dedicated Vodafone team that will accompany them during the different phases of the Marketplace, in addition to recommending business levers to improve their results month after month. Vodafone has enriched the product offer through new categories such as Home, Security, Health, Urban Mobility, Sports and Toys; and has expanded the offer of electronic products already existing in its online store.
The My Vodafone App has become the main point of sale for Vodafone and accumulated more than 120 million visits last year. The Marketplace will be integrated into the App to offer a complete experience to customers and consolidate the operator’s position as a pioneer of digital commerce in the telco sector.
Changes to Zalando's commission policy
The leading online fashion marketplace, Zalando, has announced major changes to its fee structure that will affect sellers associated with its platform. The most significant change is that, from July, a mandatory basic monthly fee of 40 euros will be introduced for first-time sellers on Zalando. This means €480 per year.
In addition, there will also be a restructuring of sales commissions, which will directly affect sellers subscribed to the Connected Retail program, who until now had more favorable conditions. Currently, Zalando charges a commission of between 5 and 18 percent of the gross sale price for each sale, from April it will take between 5 and 22 percent.
In addition, when Zalando is the only sales channel for an exclusive item, the platform will take a larger part of the operation, which could be between 7% and 25%.
All these changes in the structure of fees and sales commissions could significantly affect the margins of Zalando partner sellers. That is why it is important that they analyze their pricing and margin strategy within the marketplace.
ManoMano is committed to used and second-hand products
ManoMano, the popular marketplace for DIY and gardening products, has recently announced its entry into the market for the sale of used and second-hand products. This new category of products joins those already existing on the platform, such as tools, construction materials or lighting.
With this movement, ManoMano seeks to expand its product offering and offer its users a cheaper and more sustainable alternative for purchasing DIY and gardening items. In addition, the company is committed to promoting the circular economy and reducing the environmental impact of the production and consumption of goods.
The second-hand goods section will be available to both individuals and professionals, covering a wide range of items from hand and power tools to heavier machinery and garden equipment. Users will be able to filter by category, brand, product status and seller location, to find the item that best suits their needs.
Regarding the safety and guarantee of the products, ManoMano ensures that all sellers must meet certain requirements before publishing their articles, and that the platform offers a secure payment system and a 14-day return policy. In addition, the company is in charge of verifying the identity and history of the sellers, to avoid fraud and bad practices.
With this initiative, ManoMano joins other platforms for the sale of second-hand products such as Wallapop, Milanuncios or eBay, which have experienced a great boom in recent years due to the growing social awareness of sustainability and the circular economy. The offer of second-hand products at ManoMano is expected to continue to grow in the coming months.
The Leroy Merlin marketplace is stomping
Leroy Merlin, the company specializing in DIY and construction, is going strong with its marketplace in Spain, after its success in France and Italy. The brand has focused on omnichannel as a formula to satisfy the demands of its customers and improve the shopping experience.
Fernando de Palacio, director of Omnicommerce, Ecosystem and Business Development at Leroy Merlin Spain, explained that 74% of people who buy from the company have visited the web before and customers are increasingly demanding omnichannel. The company’s goal is to offer more relevant products, better prices and more satisfactory service for the customer.
Leroy Merlin has more than half a million products for sale on its website, but the company seeks to increase this number to improve offers and prices. In addition, the company focuses on offering good customer service and adapting the business to their needs.
The company also has plans to boost the phygital model, uniting the online worlds and physical sales. Leroy Merlin is currently the fourth most visited e-commerce in Spain, with more than 25 million visits to its website. The marketplace will help increase these figures and expand its offer of value products at a good price and with careful service. Undoubtedly, this is a great opportunity for sellers of products that fit within Leroy Merlin’s categories to start working within this platform and maximize their benefits.
Carrefour and Mercado Libre join forces to improve services in Brazil
The French retailer Carrefour and the Argentine marketplace Mercado Libre have joined forces to improve their services in Brazil. Until January, Carrefour was present on the Mercado Libre platform in the electronics, bazaar and textile categories.
The recent alliance extends this presence to food products.
Kael Lourenço is Director of Marketplace at Mercado Libre. The manager acknowledges that food products make up the least mature category in electronic commerce, but also the one with the most potential.
The director of Carrefour Brazil, Alexandre Gyurkovitis, insists on this idea. In his opinion, even among digital native customers there is still not much of a culture of purchasing food products through this channel. For this reason, they want to bet on this segment and create a buying culture in this category. We’ll see how it plays out in the coming months.
Primor joins Miravia, the Spanish marketplace that connects brands, consumers and content creators in the same digital space
Miravia, one of the most popular marketplaces since its inception just a few months ago, has announced an alliance with Primor, the leading company in the beauty sector in Spain. This union will allow Miravia to expand its catalog of beauty and health brands, offering consumers new options such as Jean Paul Gaultier, Guerlain, Max Factor, Calvin Klein, Bioderme, Avéne, Origins or La Roche Posay.
According to the CEO of Miravia, Yann Fontaine, this alliance is one more step in its goal of becoming one of the favorite online shopping and entertainment destinations for Spanish consumers, especially for those looking for trends and beauty and fashion products.
For its part, Primor Perfumeries, with more than 150 stores throughout the country and 70 years of experience, reinforces its presence in the online channel and offers its consumers a unique space where they can satisfy their beauty and personal care needs.
Miravia has more than 300 beauty and health brands, and offers brands and businesses the possibility of having their own virtual stores with the freedom to design them, select products, define prices and promotions, interact directly with customers and apply their own marketing programs. loyalty. Another great example of a marketplace that represents a new opportunity for sellers.
As you can see, March has been full of news and, as everything points out, this spring will be moved within the marketplace sector.