Do you need E-Commerce or Marketplace? www.pixelcrayons.com
Content ●
Introduction
●
10 common differences ○
Level of investment
○
Technological difference
○
Inventory catalog
○
Scalability
○
Customer relationship
○
Benefits of marketing
○
Breakeven and Cash flows
○
Search & Navigation
○
Tracking metrics
○
Sales volume
●
Important factors in choosing a web technology provider
●
How we can help?
Introduction In the common sense, we often consider an e-commerce store and an online marketplaces the same thing. But there are some underlying differences that differentiate both of them.
10 Common Differences Level of investment Technological difference Inventory catalog Scalability Customer relationship Benefits of marketing Breakeven and Cash flows Search & Navigation Tracking metrics Sales volume
To read in detail, follow next slides...
1. The level of investment: In general, an e-commerce website demands a larger investment, as you need to invest significantly on products to maintain your inventory. With a large stock, you will be in a position to offer a great range of offerings to your customer. On the other hand, you can start a marketplace with a low investment where your sellers are responsible for the inventory and you just provide them with the storefront to carry out the business.
US Number: T: +1 347-630-9630 (0400 – 1330 HRS EST)
Australia Number: T: +61 2-8015-5687
UK Number:
(1300 - 2300 HRS AEST)
T: +44 1923-606-162 (0900 – 1900 HRS GMT)
Continue Reading From Next Slide..
2. Technological Difference: For building an e-commerce website, there are different solutions available, which include Magento, Shopify, Prestashop and others. But for building a marketplace, different technologies are required.
Building a marketplace often requires more comprehensive efforts and there are very few solutions available on the market. There are various plugins/extensions available in the market for Magento, Shopify and others which can be integrated to make the ecommerce store to marketplace. You would require experts who can help you in online marketplace development and help you in integration of extensions as well.
Example : Fresh Fashion – Designed & Developed By : PixelCrayons.com
3. Different Inventory Catalog: In case of an e-commerce website, you may have to maintain a large inventory in order to offer your customers more choices. Since you own the products in your inventory, you may come across the issues related to unsold goods and may have to throw stock clearance sale
to get rid of the unsold stock. But a marketplace offers you a more flexible choice and you can just deactivate the products that are not selling for a long time, and you never bear a cost to maintain your stock in a marketplace.
US Number: T: +1 347-630-9630 (0400 – 1330 HRS EST)
Australia Number: T: +61 2-8015-5687
UK Number:
(1300 - 2300 HRS AEST)
T: +44 1923-606-162 (0900 – 1900 HRS GMT)
Continue Reading From Next Slide..
4. Scalability: When adjudged on the scale of scalability, a marketplace seems to be a more stable model. Since the
investment level is low and products are not owned by you in a marketplace, it has less financial risks as compared to a traditional ecommerce store.
5. Customer Relationship: The success in the online domain lies in building your reputation with your customers. In an ecommerce business model, you own the products and hence can respond to customer queries in a speedy manner.
On the other hand, in a marketplace, your role is more like a mediator and you rely more on your sellers to provide information to your customers.
6. Benefits of Marketing: A marketplace enjoys more marketing benefits, as it indexes a large range of products from a particular sector. It allows sellers to market their products individually and which adds to the promotions of the marketplace itself. On the other hand, an e-commerce stores rely on Google Adwords and promote specific product categories where the competition is crucial among different e-commerce players.
US Number: T: +1 347-630-9630 (0400 – 1330 HRS EST)
Australia Number: T: +61 2-8015-5687
UK Number:
(1300 - 2300 HRS AEST)
T: +44 1923-606-162 (0900 – 1900 HRS GMT)
Continue Reading From Next Slide..
7. Break even & cash flow: An e-commerce store generally requires a larger setup investment and hence the break even time may be quite longer despite a significant cash flow. But in case of a marketplace, the profit margins are higher and the cash generated could be invested again to diversify the business.
8. Search & navigation: In a marketplace, the products are offered by multiple vendors and are organized in a catalog. While in an e-commerce sites, products are arranged based on categories. Thus, there is a difference in navigation patterns and the search filters are designed using different parameters in both the cases.
9. Tracking metrics: A marketplace can better track its sales and also the performance of the vendors. Thus, it can have a better insight to choose the product portfolio and enhance its sales.
9. Sales Volume: A marketplace needs to sale a larger volume in order to earn the same profit margins that an ecommerce site earns. Since a marketplace has to handle more number of transactions, it needs to focus more on the automation.
US Number: T: +1 347-630-9630 (0400 – 1330 HRS EST)
Australia Number: T: +61 2-8015-5687
UK Number:
(1300 - 2300 HRS AEST)
T: +44 1923-606-162 (0900 – 1900 HRS GMT)
Continue Reading From Next Slide..
Important factors in choosing a web technology provider While choosing a technology partner for an e-commerce site development, the focus should be more on choosing a company that has experience in the e-commerce domain. From designing a storefront to the shopping cart solution, the developing company should
have the desired expertise. One can check the portfolio of the company and can get to learn about the e-commerce stores or the marketplace developed by it. This will give you an idea about their capabilities and technological expertise.
How we can help you? PixelCrayons is a best digital agency that has a vast experience in the e-commerce and online marketplace domain.
The company has a team of developers who are well versed in the new technologies and can build multi-vendor sites in affordable budgets. We can help you in making online marketplace as per your requirement and budgets.
Key Features of our Online Marketplaces Ability for users to quickly and easily list their products Online Payment Integration with all payment gateways User friendly administration console which allows you to keep track of bids placed, auctions won, prices, commission charges, user details etc Advanced search filters and functionality allowing the customer to specify additional criteria when comparing items Easy to use product management system Instantly generated reports and statistics for all your sales Reliable, robust and 100% secure system Development of customized UI themes Dedicated support and maintenance
What We Offer? Dedicated support and maintenance Development of customized UI themes Reliable, robust and 100% secure system
Ability for users to quickly and easily list their products Instantly generated reports and statistics for all your sales Easy to use product management system Online Payment Integration with all payment gateways
US Number:
Contact Details
T: +1 347-630-9630
(0400 – 1330 HRS EST)
Australia Number: T: +61 2-8015-5687
UK Number:
(1300 - 2300 HRS AEST)
T: +44 1923-606-162 (0900 – 1900 HRS GMT) Reach Us At :Facebook : https://www.facebook.com/PixelCrayons Twitter: https://twitter.com/PixelCrayons Google+: https://plus.google.com/+Pixelcrayons/posts LinkedIn: https://www.linkedin.com/company/pixelcrayons
www.pixelcrayons.com
Thank You!