What Are The Challenges Involved In Selling On Online Marketplaces?

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Online marketplaces use digital platforms to connect buyers and sellers. The middlemen sell a variety of goods and services, and their customers include local buyers and international consumers. The challenges on online shopping marketplaces are also dynamic, diverse, and challenging.

Thankfully, technology provides solutions just as it poses new risks. If you are a start-up, it is best to know the seller related challenges and take corrective measures. The best advice for any seller is to focus on repetitive tasks and automate them for better productivity. It would help if you also considered making recurring processes more convenient.

Top challenges

E-commerce businesses do not survive and thrive on complacency. The online marketplace challenges are one too many for sellers to take it easy. They face existential troubles from diverse sources. These generally relate to customers, products, software tools, and holistic marketing plans.

Customer satisfaction

Customer Satisfaction

Satisfying the digital shopper is not an easy or convincing task, and if you rely on netizens for your business, your online marketplace problems tend to multiply. Retaining customer loyalty is also an enormous challenge for vendors. Remember, it costs five times more to get a new buyer than to retain existing ones. You can use Desertcart to attract more consumers to a product. But honoring the sale and delivering goods on time is paramount. Delays and competitors pose a massive risk to online sellers. And if you want to create a brand name, then a unique, personal channel is a must.



Google is the portal to pretty much everything related to shopping on the web. Your online marketplace concerns will only increase due to mobile usage. Being a part of an online marketplace will indeed give you good exposure. But, it would help if you also focus on better SEO.

Yes, without search engine optimization, you will lag behind others. Remember that the customers get bombarded with numerous options from all sellers. Thus, competition is cut-throat. Extend SEO from links and content to social media posts and multi-channel advertisements. Make sure all your sales options work on various devices. The product catalogs, shopping carts, and chatbots have to be mobile-friendly. Also, take note of the increasing use of voice-based searches. A full-scale web and SEO audit is also necessary to make productive decisions.

Data security

data security
Hispanic woman using a digital tablet


Big data has increased the volume, velocity, and veracity of information. One of the leading online marketplace issues is a data breach. Hackers have even successfully compromised top web services. So, investing in highly secure technologies is essential for online sellers.

Some of the solutions include HTTPS in URL and SSL access. You can also depend on 2-factor account access authentication procedures. Encryption can ensure safe and secure online payments. You can get top software tools and technologies to prevent data leaks. Select e-commerce platforms or marketplaces that are highly secure like Desertcart. Sign up only if the website can protect the orders and secure privacy details. Follow an integrated approach to prevent technical breaches of the marketplace.

Pricing policy 

One of the significant challenges on online marketplaces is pricing models. It is inevitable for you to be dynamic and change costs frequently. As an online seller, you have to honor distributor costs and other related expenses. Besides, tariffs and real-time advertising also costs a lot of money.

Hiring influencers to write brand-related blogs is also becoming expensive. Some brands end up increasing marketing spending by as much as 25%. However, you can address some of these issues through customer research. Conduct an in-depth study of how and why buyers spend. Study the customer’s entire shopping journey and alter the content strategy. Eliminate losses due to redundant processes. Retain relevant information and earn higher conversion rates.

Inventory management


The significant online marketplace challenges also extend to stocks. Even if you have the best warehousing deal, honoring deliveries is difficult. And a 2-day shipping option is now a business standard in e-commerce. So, there is less room for backorders and longer shipping times. Install the best warehousing software to stay up-to-date. Know your stock count in real-time and engage the customers. Select a comprehensive, integrate e-commerce solution to improve services. Rely on analytical tools and predictive solutions to lower inventory costs and delays.

Study market trends and customers’ online behavior. Stock up on trendy and demand-rich products and proactively push innovative deals. Say goodbye to traditional slow times with a robust, reliable, and automated system. 

Returns and refunds 


The customer’s journey does not end with placing an order. They want the product or service delivered on time. And they will get dissatisfied if there is no return, replacement, or refund policy in place. It is one of the main online marketplace problems that can affect your brand value.

Experts assert that close to 70% of customers check the return policy before purchase. And they get dissatisfied if the package gets broken, damaged, or just plain wrong. If you wish to overcome these hurdles, a return and refund policy is a must. Be transparent, fair, and ensure proper order fulfillment without errors or delays. Study the business processes and rectify mistakes before they happen. 

Insecure economies 

Economic uncertainty plagues even the best-branded products. The online marketplace concerns also include recession and consumer habits. Competitors can undercut your sales through a better pricing policy. So when faced with market volatility, try and consolidate data first.

Do not think of business expansion in an ad-hoc fashion. Please factor in expenses like customer satisfaction, product quality, research, and development. Improve marketing processes by eliminating inconsistencies and flaws. Revise your relationships with partners, associates, and other business stakeholders. Improve on core strengths and then consider expansion plans.

To sum up, online marketplace issues are diverse and ever-changing. As an online seller, you have to be dynamic and respond in time. Deliver customer satisfaction and rely on low-cost automation solutions to stay afloat in this market. Gather business insights using data-intensive methods and overcome uncertainties. Live up to the customer’s expectations by delivering a wholesome shopping experience. Ensure the right volumes of stock to prevent failure. Become an SEO expert or hire one and attract more buyers to your platform. Handle all the issues, including returns and refunds, without any delay or extra costs.




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