from Ingo Röger
Despite subdued growth forecasts, absolute sales figures in e-commerce remain high. Ever since the pandemic prompted the entire retail industry to realign, even previously hesitant retailers have had to embrace online commerce and develop additional sales channels there. Increasingly, they are relying on the existing structures of established sales platforms and online marketplaces, whose reach promises rapid sales growth. Given that half of all online purchases are made on the major e-commerce marketplaces, this is certainly not a bad choice.
State of Shopping Behavior
Online shoppers have more options than ever before - and they don't hesitate to use them. They shop where it's most convenient, and even window shopping for inspiration is now largely done online.
Accordingly, the various marketplaces and sales platforms play an immense role here. For retailers, this creates a new, extended customer journey along which they must proactively position themselves at all touchpoints.
Understanding the „channel hopping“ of consumers and building corresponding presences is therefore of fundamental importance in order to increase one‘s own market share and survive in a competitive environment.
The Importance of Channel Diversification
Online marketplaces and sales platforms no longer function solely as trading platforms, but also serve as a guide in the purchasing decision. In light of this, it is essential for success in e-commerce to expand one's own channel strategy and be present where customers are active.
Being broadly positioned is crucial - and the equation seems obvious: More sales channels equal greater market coverage equal higher turnover. And the calculation works: Compared to using a single channel, expanding the sales network to multiple channels holds the potential for a 190% increase in sales. Retailers benefit from the generic reach and awareness of marketplaces to increase their own visibility and create product availability. Additionally, each platform offers its own unique advantages, allowing retailers to optimally respond to the wishes and needs of different end customers - a major lever for increasing customer satisfaction. Another not insignificant advantage lies in the wealth of collected data on interaction with profiles and offers, as well as on buying behavior. Through targeted analysis, insightful information about target groups can be extracted here, which provides significant added value for controlling internal processes.
More revenue, farther reach, satisfied customers - the advantages of multichannel e-commerce, when properly developed and managed, are immense.