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OnBuy ramps up offerings in lead up to TV campaign

Laura  Barnes
OnBuy ramps up offerings in lead up to TV campaign

Online marketplace OnBuy has announced it has reached a milestone in its bid to take on Amazon as it lists its 200,000th product.

OnBuy launched to sellers in November 2016 with the aim of “offering UK online traders a credible and ethical alternative to Amazon and eBay, where they often struggle with high commission fees”.

The online rival to Amazon now has 200,000 products live and promises the cheapest online price for Ed Sheeran’s new album. It is also launching a major TV campaign on May 29th on ITV1 and ITV2 and has signed a two-year partnership deal for hosting and support with leading online cloud services provider UKFast as it prepares for a surge in traffic.

The consumer launch comes as OnBuy continues to work closely with its sellers – existing and prospective – on its cost-effective packages.
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After listening to feedback from sellers, OnBuy has developed packages designed to give them the best value depending on their requirements. Sellers can switch between the following two account types at any time:

– OnBuy Seller – Ideal for smaller traders. Sellers pay a subscription of £19 a month and a selling fee of just 6% on products sold – compared to an average of 15% on Amazon and 10% on eBay. Sellers of many electronics items will pay just 3% commission.

– OnBuy Partner – a premium offering suited for traders with large numbers of products to sell. Again, OnBuy charges these sellers 6% commission on sales –significantly lower than other major online marketplaces. For an £89 monthly subscription fee they receive all the benefits of the OnBuy seller category plus access to a dedicated account manager, prominent placement of products and on-site advertisements. Sellers of many electronics items will pay just 3% commission.

“OnBuy’s driving force is to treat sellers fairly, giving them an alternative to the existing platforms, which clobber them with huge selling fees and force them to take lower and lower margins,” said Cas Paton, managing director at OnBuy.

“We believe in our model, which is that straightforward, low-cost options for sellers translate into better prices for consumers. It’s a concept that sellers have bought into enthusiastically, and we now have hundreds of sellers signed up offering hundreds of thousands of products at highly competitive prices.

“After our initial launch to sellers, we are now entering the next phase of the journey to becoming a credible alternative to Amazon and eBay.

“As part of that process we have listened to the feedback from sellers and, in close consultation with them, we have developed these seller packages to match their needs.

“The response so far has been very positive and sellers are making a seamless transition to the new structure.”

OnBuy has also launched a recruitment drive at its Bournemouth and Manchester offices to handle sellers’ accounts and product lines as the platform grows, and is seeing daily leaps in website traffic as awareness grows.

Paton added: “The feedback we’re getting from sellers is that we are precisely the kind of marketplaces they have been looking for as they become jaded with the high fees and the practices of other platforms.

“We really are about putting sellers and customers first. Some were sceptical when we launched but our rapid growth is demonstrating that there is a real need for this product and huge opportunities ahead. We are very excited about the future of OnBuy.”

Tags: Retail , OnBuy , online marketplace , Cas Paton

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