How An Entrepreneur Sells Products Through Marketplaces

By Author: Sophia James
Total Articles: 4
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The spring of 2020 sparked a lot of interest in online shopping and it is clear that the largest marketplaces have grown significantly during this time. It is believed that consumers will continue to actively buy on the Internet. Let's figure out how to make this interest in online shopping work for a business and how to sell to an entrepreneur through marketplaces.

What are the advantages of marketplaces for entrepreneurs?

Any marketplace is a ready-made showcase: they have their loyal audience and convenient search through catalogs. Many sites help promote goods and take on all the work of payment and delivery. An entrepreneur does not need to worry about minor troubles, only register on the site and earn money.

Marketplaces can also be used as the only sales channel. Some brands work only through online platforms and do not use other promotion tools. Everyone chooses the strategy that is most convenient for him.

How to choose a marketplace

Now in Pakistan, there are five largest marketplaces: Ozon, Yandex.Market, Wildberries, Goods.ru, Lamoda. Each of them offers their terms of cooperation: ...
... someone asks to ship goods to their warehouse, and someone can take a fine for long delivery. How to choose your site for the sale of goods?

We propose to act according to the following scheme:
See what category of products the marketplace specializes in.
Get acquainted with the necessary documents for cooperation.
Study all the conditions: marketplace commission, delivery cost, terms of mutual settlements, penalties.

Determine which marketplace analytics you need.
We have studied the terms of cooperation with the largest marketplaces for you and collected them in a convenient format to make it easier for you to make a decision.

Ozon

Commission from 5% to 20%, depending on the product category. There is a special calculator where you can calculate the exact commission.
You can deliver goods from the marketplace warehouse or your warehouse.

The cost of placement is calculated using the formula:

Cost of placement for the reporting period by category = Average daily volume of goods in the warehouse by category (l) × number of calendar days in the reporting period (days) × Placement rate by category (rubles / l / day).

Shipping and return fees will be charged.
If the goods turn around on average in more than 60 days, then the placement is charged from 0.1 rubles per liter per day.

Additional conditions:

Electronic document management is required.
Certain products require certificates to be downloaded to prove that you are eligible to sell brand products.
Site moderation takes 3 business days.
Ozon will transfer funds to the company's account twice a month.

Yandex Market

Sales commission: 2% for all product categories.
You can store goods in your warehouse, in the warehouse of the marketplace, or both there and there.
Order processing costs from 15 to 150 rubles, depending on the size of the product.
The marketplace takes 1% for the reception and transfer of finance.
Delivery cost: 30-50 rubles for a small product and 150 rubles for a large one.

Additional conditions:

Yandex. Market transfers fund the next day after the purchase.
Analytics tools can be used.

Wildberries

The commission is from 1% to 30%, depending on the category of goods.
If the conditions are not met, the marketplace can increase the commission by 10%.
Marketplace charges a fee for storing goods.

Additional conditions:

If you take a long time to deliver the goods, the marketplace may issue you a fine.
Wildberries pays out money every week.
Constant monitoring of the situation online. There is no need to visit the office.
The marketplace offers tools for analytics of sales and movement of goods.
Wildberries does not set minimum requirements for sellers; you can sell at least one product on their site.

Commission from 3% to 33.5% and depends on the category of goods.
Marketplace charges 1.5% for receiving and transferring finance.
Delivery costs 50 or 150 rubles, depending on the weight. If the order value is less than 500 rubles, delivery is free.

Additional conditions:

Marketplace transfers funds twice a week.
You can place goods in your warehouse or the warehouse of the marketplace.
Lamoda

Commission from 35% to 70%, calculated individually for each client. Storage of goods, packaging, acceptance, shipping, and delivery are already included in this cost.

Additional conditions:

Marketplace specializes in clothing and footwear.
You must have at least 50 different items.
For cooperation, electronic document management is required.
Product labels must be designed by the law and a quality certificate is required.
Marketplace puts forward additional requirements for published content.

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