How to Use Third-Party Websites for Ecommerce

Third-party eCommerce sites exist in many forms and sizes, with varying benefits, functions, and features. The expenses and effort committed are already at their peak due to suppliers, staff, and the product itself. By the time you reach the distribution stage, keeping costs low while increasing product availability and visibility may be critical to you. And this is where outsourcing your distributor might become your company's most cost-effective strategy. In reality, setting up a seller account on a third-party website is unlikely to cost you anything.

In this article, we'll go through your third-party site alternatives and show you how to use them as part of your entire eCommerce marketing strategy to develop your brand.

What Is A Third Party Website For ECommerce?

Simply said, for a charge, third-party websites host and manage online sales for businesses. Third-party websites, for example, show your goods on their platform, process and collect orders, manage payments, dispatch orders, and track delivery. They then release money to the seller after taking a percentage of the total amount as a charge.

Distributing your goods is a full activity in and of itself, and you can't really escape it in this increasingly digitized age. Your company's success is almost entirely dependent on its web presence.

Third-party sites expedite the selling process by allowing you to avoid the difficulties of in-house development and instead utilize a ready-made platform designed for customer experience and conversions. Before deciding which third-party site is appropriate for your eCommerce business, it's important to understand the difference between eCommerce marketplaces and eCommerce platforms.

What’s The Difference Between An Online Marketplace And An ECommerce Platform?

People frequently use the phrases "online marketplace" and "eCommerce platform" interchangeably, although they actually signify completely different things. True, they're both places for internet commerce, but that's about where the parallels end. Recognizing the distinctions can assist you in selecting the best media based on your short and long-term objectives.

An online marketplace is a multi-vendor website where one may discover various brands of items from various dealers. Amazon and eBay are the most well-known internet marketplaces. Someone may be apprehensive to use an online marketplace because they believe their product will be drowned out by the competition, while in fact, online marketplaces are a terrific method to increase income by receiving exposure to a large client base. Keep in mind that the majority of these marketplaces charge varied fees.

E-Commerce Platforms

Using the software provided by an eCommerce platform, customers may create their own website. They aid with the simplification of processes such as website setup by providing pre-made templates, assuring appropriate security features, and scalability possibilities. Although more time-consuming, eCommerce solutions enable you to have complete control over your site.

We'll evaluate both online marketplaces and eCommerce platforms based on generally imagined aspects of an online selling experience in the sections below. I hope that this information helps you make a better educated decision.

Launch Time

The launch timeframes of online marketplaces and eCommerce platforms might differ, and your choice should be based on your degree of experience. If you're new to selling online, an online marketplace can help you get started. Because the infrastructure is already in place, using a marketplace saves time and effort.

eCommerce platforms may still be an option to explore if you are a more experienced vendor. For seasoned, tech-savvy salespeople, this might be a realistic choice. This would also benefit those who have enough personnel to handle a large site like an eCommerce site.

Customer Acquisition Costs

It's impossible to tell which medium yields the lowest client acquisition expenses. This is because the early expenses of obtaining a consumer on an online marketplace are naturally inexpensive, but this does not account for the fact that the majority of your customers will not identify who they're buying from. This results in fewer return consumers, lower brand recognition, and a lower customer lifetime value.

Gaining popularity on your eCommerce platform, on the other hand, takes a great deal more effort. To attract visitors, you may engage in organic SEO or sponsored advertisements, but both cost effort and money. However, the price here is that the brand awareness gained by selling on your own website will convert one-time purchases into recurring clients. Obtaining recurring customers can help keep customer acquisition expenses low with a strong brand recognition and remarketing and retargeting plan.

If you're deciding between online marketplaces and eCommerce platforms based on client acquisition expenses, the answer is largely depending on what's more essential to you: rapid, one-time sales or slower, recurrent purchases.

Marketing, Targeting, And Segmentation

Marketing, targeting, and segmentation all have the same goal: to reach out to interested customers as efficiently as possible given a company's limited resources. It is critical to differentiate between an online marketplace and an eCommerce platform while strategizing.

All of your traffic on eCommerce platforms comes from targeting buyers from the bottom up. As previously indicated, this costs time and money, but it is worth mentioning that consumers may choose to purchase in this manner. Visiting a site that offers one iteration of a product, rather than a website that sells your product and all of its rivals, simplifies the buyer's decision-making process. Not to mention the power you have over marketing, targeting, and segmentation when you create the guest user experience. You may create funnels for acquiring emails, establish your brand, and be as creative as you want with your pages. To me, this appears to be a win-win situation.

All of your traffic on eCommerce platforms comes from targeting buyers from the bottom up. As previously indicated, this costs time and money, but it is worth mentioning that consumers may choose to purchase in this manner. Visiting a site that offers one iteration of a product, rather than a website that sells your product and all of its rivals, simplifies the buyer's decision-making process. Not to mention the power you have over marketing, targeting, and segmentation when you create the guest user experience. You may create funnels for acquiring emails, establish your brand, and be as creative as you want with your pages. To me, this appears to be a win-win situation.

The control you have over the marketing, targeting, and segmentation process from an online platform is less centralized, but it is still achievable and lucrative as long as you stay up to date on consumer and product information.


Ecommerce systems give you the most flexibility and customization options. If your firm has unique demands and operations, an online marketplace is generally not for you (and is typically more expensive in the long run!). When done correctly, tailoring a site to your specific business may help expand your site and act as one of your company's most valuable assets. If you offer something that requires minimal upkeep, internet marketplaces make the process of establishing and maintaining your product simple.

To summarize, if your product is extremely distinctive, you should consider using an eCommerce platform. If your product is more standardized, you may avoid the development headaches by using an online marketplace.

What Is The Best Online Marketplace?

There isn't an one "best" internet marketplace, but there is a top marketplace for your individual business. I'll outline some significant aspects of each forum below so you can make an informed decision.


Amazon, as you may be aware, has a well-known brand. If you questioned 100 individuals on the street, chances are they are more familiar with Amazon than your shop. Aside from the title, Amazon has an unrivalled infrastructure - billions of dollars are invested on the purchasing experience, which is difficult to compete with on your own. And don't worry, selling on Amazon won't cut into your revenues with listing fees or high overhead expenditures. The money you receive from Amazon is only incurred when you sell anything. You can rely on Amazon's legitimacy as a marketplace because it is the world's largest retailer. All you have to do is be willing to put up with the competition...


eBay, the world's largest garage sale. Not exactly, although it is true that you may sell almost anything there, new or old. If your product is uncommon or arbitrary, eBay may be quite beneficial. Customers looking for such things frequently have to filter through a plethora of knock-offs, which might undermine their confidence in making a purchase. Using eBay to sell things like these, on the other hand, typically compensates for the lack of confidence that customers require before acquiring a product. eBay has a 79 percent customer satisfaction record and makes a point of safeguarding their customers from frauds and malware. Other attractions include the option to auction, reduced selling costs than Amazon (13% vs. 15%), shipping savings, and a massive market to grab.


Etsy has been dubbed the "global marketplace for one-of-a-kind and creative items." If your product is personalized and handmade, you'll find a market for it here. Because this may be a deal breaker, I should point out that Etsy only enables vendors to offer handcrafted goods. You cannot market on Etsy, which may be something you desire depending on your aims. If you don't intend to use it, you'll appreciate the platform and its benefits, which include built-in analytics, ease of setup and maintenance, and plenty of space to engage with and create relationships with clients.


Finally, Walmart serves as an online marketplace. This is for people who have a business that is very different from others on Etsy. Because of Walmart's limited competitive structure, highly marketed, branded items that make it onto the marketplace are typically profitable. Walmart promotes minimal competition by limiting the number of brands allowed on the market. While being a seller in this market is challenging, working for it will offer your company with the visibility and sales it has always desired.

Which Website Builder Is Best For ECommerce Platforms?

There is no one-size-fits-all solution, just as there is no one-size-fits-all solution for online markets. Ecommerce platforms are mostly determined by your tastes and will necessitate some investigation. Use the information below as a primer on some of the most common alternatives.


BigCommerce, which is targeted for small to mid-sized enterprises, handles a lot of the heavy lifting in getting your eCommerce store up and operating. It's all on the webpage, boasting 28 percent annual growth and 99.99 percent average uptime for 14 times the price of its competitors. Is it too wonderful to be true? That might be the case. This pricing point is based on their most basic plan. Monthly costs and add-on fees will cause their pricing to actually exceed those of their competitors, but reviews indicate that they make up for this in value. BigCommerce ticks a lot of boxes for sellers regardless of price, with endless tools to increase your skills as a seller and a no-hassle speed and security guarantee.


Magento, an eCommerce platform positioned to provide out-of-the-box and highly configurable capabilities, frequently wins over merchants that value this emotion the most. If your company has unconnected product lines, you should think about hosting many websites as one back-end admin. Magento gives you the option to do so. Even if you aren't contemplating more than one site, but your company needs a large-scale yet personalized shopping platform, Magento enables a seamless blend of both.


Shopify is a one-stop platform that allows you to sell online, on social media, or in person. Shopify is particularly adaptable for a shifting or multidimensional selling strategy as a business that may desire all of these things or isn't sure what form of selling would yield the maximum ROI. Sephora, Tesla, and Gym Shark are just a few examples of companies that use Shopify. This should speak volumes about their financial potential.


Squarespace has a lot going for it, but it also has a lot working against it. It boasts some of the market's most competitive templates, features, and value for money. However, it lacks an app store, leaving you entirely reliant on its built-in capabilities, and it isn't as straightforward to set up or become acquainted with the language used as it is with other sites. If you're experienced or have the time to learn, the design, versatility, and quality of the templates and features will benefit you.

3 Ways To Leverage ECommerce Platforms And Online Marketplaces To Grow Your Business

While many businesses selling online may begin by focusing only on an eCommerce platform or online marketplace, this does not have to be the case indefinitely. It is feasible to run your own eCommerce website and profit from its success by selling it on online marketplaces. Here's how you can make the most of both.

1. Use Online Marketplaces to Gain Useful Insights: Selling on an online marketplace may provide a wealth of information, especially if you haven't yet determined your target demographic. Demographics, where your consumers are coming from (direct traffic, organic traffic, referrals, etc.), and which goods are performing the best are all included.

2. Use Online Marketplaces to Put New Products to the Test: Keep in mind that you are not required to sell everything everywhere. Rather of wasting time on your own site, gauge product performance on a marketplace. Then, you can use that data to boost sales by replicating what works in the market on your own website.

3. Using Parcel Inserts to Encourage Repeat Purchases and Grow Your Email List:
Repeat purchases might be tough, especially from a marketplace buyer. If you customize your package and promote your brand, you're more likely to have the consumer distinguish the marketplace from your firm, and they'll buy from you again. Make exclusive discounts, promote social shares, and incentivize people to buy right away. Customers will return to your platform as a result, and your brand will remain top-of-mind.

When deciding where to sell online, there are several aspects to consider. What matters most is that your firm still feels like your company at the end of the day. If you get caught up in commercializing and lose sight of your brand, you risk jeopardizing your company's integrity. On the other side, if you play it safe or don't commercialize at the correct moment, your company's growth may be hampered.

Staying current on research and making informed judgments will benefit your business more in the long term than any fast sale. Prioritizing long-term successes will ensure your company's long-term growth.

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