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~ Newegg/WorldFirst ~

THE DIRECT-TO-CONSUMER

MOVEMENT IS TRANSFORMING

THE E-COMMERCE LANDSCAPE

WHY ARE GLOBAL

BRANDS JOINING

MARKETPLACES?

Photo: iStock

Modern e-commerce is shaped by the wealth of information and purchasing options
available to consumers at any given moment. The growth and variety of these purchasing
options are largely due to the evolution of mobile technology. In this new era, where
connectivity is key, and customer satisfaction is paramount, many manufacturers are making
the decision to sell direct-to-consumer (D2C) online in order to increase their presence, and
develop a deeper bond between their brand and the customer.

n an effort to gain exposure while also retaining to consumers fired up by tech, but other marketplaces may
brand control, major global brands such as Lenovo speak better to consumers interested in handmade goods,
Iand Noctua have turned to marketplaces to bolster furniture, or other categories. Brands who know their audi-
their D2C efforts. While these brands still maintain ence and their shopping behaviours have a lot of potential in
a strong presence in traditional channels, their adop- diversifying into the right marketplaces.
tion of direct-to-consumer e-commerce has ensured
growth in audience, all while maintaining brand and Participation in an established ecosystem
pricing integrity. • Marketplaces strive to offer their sellers the most all-encom-
passing business solutions within their ecosystem. It makes
Manufacturers who choose to go direct report significant sense that sellers and marketplaces share in their success, so
improvement in customer engagement, awareness, acquisition, marketplaces strive to offer a variety of perks, services, and
satisfaction, mindshare, and profitability. partnerships to meet their sellers’ business needs, as well as
to encourage growth.
What Can Marketplaces Offer Brands?
A diversified revenue stream • Marketing - Marketplaces have the best insights into what
• By accessing new channels, brands are able to reach the their customers are looking for. Many platforms have dif-
locked-in audience of a marketplace. Many marketplaces ferent views on how to market their products. Some look to
have developed their own niche audience demographics deliver the lowest price to the consumer, while others look to
who could be prime customers for a brand and its product curate unique product offerings. There is no right or wrong
offerings. It goes without saying that Newegg speaks directly way to run a marketplace, but Newegg takes the approach

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