Footwear marketplaces are booming. The last decade has seen the launch of new specialized marketplaces with millions of different users. Among them are Spartoo, Sarenza and Farfetch, portals with international reach. Their main value is that they unite hundreds of footwear brands, as well as offering clothes and accessories. Although each has its own characteristics, they are all vertical marketplaces, i.e., they focus on a specific area, and their sales categories are interrelated. For sellers, these portals provide an opportunity to expand sales channels and drive the globalization of their e-commerce business. We explain how to sell on these footwear marketplaces so that you can assess whether they align with your plans for the future and then start defining a possible pricing strategy.
Start by defining your product catalogue
Due to their impressive size and the millions of customers they mobilize, these fashion and shoe marketplaces insist that you have an extensive product catalogue. For example, Spartoo requires at least 150 different items uploaded to your window. This marketplace wants a continuous rotation of featured products and cross-selling carousels to motivate customers to buy.
At the same time, footwear marketplaces feature highly-tuned search engines and filters that make it easy for users to search for products. However, they require the brand or retailer to conduct thorough keyword research to include in their product pages. On Sarenza, the user can search the more than 39,000 pairs of shoes by filtering by size, colour, style, materials or season, among other criteria.
Monitor competitors’ catalogues
Selling items on a marketplace is not necessarily as profitable, especially for international sales. Therefore, you need to select which products you will sell through these channels. Your company can introduce a competitor catalogue analysis tool to help you choose. It will give you an insight into what other companies are selling, their categories and prices. This will help you spot new business opportunities.
Pricing strategy adapted to each marketplace
Selling on marketplaces must also go hand in hand with a specific and differentiated pricing strategy for each portal. They all aim for different target markets and competitors vary from one to another. Going back to footwear portals:
- Sarenza’s audience is mainly young. They buy on mobile phones and follow the brand on social media. For them, offers and discount campaigns are key.
- On the other hand, Farfetch is a luxury brand marketplace where sellers are independent boutiques from all over the world. Prestige prices prevail on Farfetch to portray an image of quality and exclusive products.
Depending on your objectives, you may need to adapt to the different realities of marketplaces. You will need a pricing tool to speed up price changes and monitor competitors’ prices. You will need to know the selling prices of similar or substitute products to design a competitive strategy to go up against them. Thanks to software such as Minderest you can achieve this while respecting your profit margin and strengthening the e-commerce’s profitability.