In a dynamic shift in consumer behaviour, three out of four shoppers are now exploring multiple online marketplaces before making a purchase. The surge in popularity of challenger marketplaces has resulted in consumers now visiting an average of three marketplaces every time they shop online.
These findings come from Rithum, the global e-commerce giant encompassing CommerceHub and ChannelAdvisor, which published its global Online Consumer Behaviour Report, which surveyed 6000 consumers worldwide.
The study delved into evolving shopping habits and found while consumers are increasingly open to diversifying their options, Amazon remains the most trusted platform. Nearly half of consumers (42 per cent) trust Amazon, compared to 34 per cent who trust a brand’s own website and 21 per cent who trust other private marketplaces like Ebay. This underlines the critical role of brand trust in a world dominated by digital marketplaces.
Alongside trust, fear of missing out on a better deal has emerged as a significant influencer, with 51 per cent of respondents confessing to abandoning a purchase if they suspect a better price elsewhere or anticipate a future decrease.
Marketplaces wield significant influence, with 41 per cent of shoppers using them to discover products and 45 per cent engaging with sponsored products while on these platforms.
E-commerce brands expanding presence on marketplaces
In addition to the consumer research, Rithum also surveyed 250 e-commerce executives asking about their performance last year. Those that reported better-than-expected results credited marketplace diversification and expanding sales channels as key drivers.
Looking ahead to this year, Amazon and Ebay top the list of marketplace strategies, followed by Temu and Shein. The role of marketplaces in the coming year is crucial, with marketplace distribution and product listing emerging as areas already being outsourced by brands and retailers.
As businesses prepare for the challenges of this year, concerns about price pressure from competitors, meeting consumer sustainability expectations, and attracting new customers take centre stage. Brands and retailers need to join consumers in their multichannel approach, using a diverse set of tactics to remind shoppers of their brand across various platforms.
In the evolving landscape where marketplaces are replacing traditional department stores, e-commerce sellers are urged to craft strategies that adapt to the changing dynamics. Marketplaces, with their wide product selection, secure transactions, and reliable shipping, have set a standard that major retailers are now striving to replicate. The key for e-commerce sellers lies in finding the best environments for selling products across multiple marketplaces, thereby embracing the multichannel approach that defines modern consumer behaviour. For more insights into the evolving e-commerce landscape, visit rithum.com/au.
