Ebay, Amazon & Co. – Are they good for your business?

Many online retailers are offering their products on eBay, Amazon and other similar websites. They are great tools to get started to sell online, but are they good for your business in the long run?

The main two drawbacks for your business are:-

  1. No Business Branding – while you may sell your products the branding for your business is minimal, online and offline. Internet traffic to your own website would give branding and ranking.
  2. Extremely High Fees – which reduces your own profit margines, often to almost zero. Even if you still make money it will stop you from expanding, due to margine pressure.

But what can you do, should you stop selling on these websites? IMO, absolutely not, but you should use the expensive exposure you are getting to build your own brand in a cost-effective way and increase your margines.

Here are two simple things you can do to achieve these goals:-

  1. One-Page Website or Blog – setting up your own domain with a simple website or a blog will greatly enhance your brand and customer engagement/loyalty.
  2. Online Shop – add a cost-effective online shop, offer better prices to your customers from your shop, or send them a ‘Loyalty Coupon’ redeemable at your website/eShop to introduce your branding stronger.

Over time more and more business will be done over your website with better margins. Now you can expand your product range with lower margine products and still make a profit.

Keep on using eBay & Co to bring new customers to your business.

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