You might be scratching your head, thinking, “ Hey, aren’t they both essentially online stores? ”
Well, while they may look identical to the untrained eye, they are based on distinct business models, each with their own unique features, benefits, and challenges.
Your choice between the two can significantly influence your initial investment, level of control and overall operational dynamics of your online sales channel.
What is a sales platform?
Before talking about sales platforms , it is essential to separate concepts.
First, an e-commerce or virtual store: a website for your brand, where you can display your products and control all aspects of the UX and UI .
Think of your online store special database as your territory, your own kingdom, where you are in control.
The sales platform is part of all this, the foundation of the operation. It allows you to maintain full control over your product listings, marketing campaigns, customer interactions, payment integration and, most importantly, the user experience.
It is the backbone behind the online store. You cannot have an online store without a sales platform behind it.
So make no mistake: the platform is extremely important .
What is a marketplace?
Imagine walking into a huge shopping mall full of stores. I’m sure that you’re not unfamiliar with this physical activity. Well, if you’ve ever how digital marketing keywords affect behavior accessed Amazon or Magazine Luiza, you probably did so digitally. These are perfect examples of marketplaces .
These are true online shopping centers, which bring together several sellers under the same “roof”.
From mega brands to small businesses, everyone can sell their products side by side.
Let’s be honest? They are virtual sales giants and attract millions of customers around the world.
Sales platform vs. Marketplace: which one to invest in?
That’s the million-dollar question! Which ship book your list should your business embark on in pursuit of online success?
As with many things in life, the answer is: “it depends.”
Let’s weigh up some key factors that may guide your decision.
Traffic
Marketplaces usually have natural and constant traffic. The larger the site, the greater the number of daily hits.
Yes, this can be a good thing: after all, it takes the pressure off of driving traffic to your store.
On the other hand, sales platforms require a more hands-on approach. You need to invest in SEO , advertising, and content marketing to attract customers.
However, it also means that the traffic you generate is entirely yours, not shared with competitors.
The infrastructure
With a sales platform, you will be responsible for building and maintaining your website, which requires resources but gives you full control over the user experience .
On the other hand, marketplaces relieve you of infrastructure concerns.
But remember: their house, their rules.
Which means you have to play to the marketplace’s tune when it comes to your website’s layout and functionality.
Brand awareness
If you want to build a strong and distinct brand, a sales platform may be your best bet.
It gives you complete control over your brand’s presentation, voice and image.
Marketplaces, while they offer exposure, don’t offer much room for individuality.
Let’s put it this way: you are a star in their sky, but not the only one that shines.