Marketplace solutions work to enable online retail brands to expand their reach without needing to invest in manufacturing, warehousing and logistics. Brands have used marketplaces to increase margins and test extended product ranges.
VidaXL, which is currently up and running in 27 European countries, the U.S. and Australia, looks to grow its retail categories and the number of markets, as well as streamlining its eCommerce operations. To do so, the online retailer will leverage Mirakl’s B2C Marketplace Platform.
“There was no doubt that we would need a marketplace one day — it was just a matter of when to make that move,” said Kijo Oudshoorn, vidaXL’s chief commercial officer. “It has always been in our strategic planning and will allow us to continue supporting the rapid growth we have experienced to date. A marketplace model allows us to do this without substantial capital investment in manufacturing, warehousing or logistics, because products are held and delivered directly by our sellers.”
VidaXL currently reports receiving 3.5 million unique visitors a month and seeing revenues grow to €178 million ($193 million) since it went live in 2008. Mirakl’s Marketplace Platform hosts online transactions between buyers and sellers of products and services.
“Marketplaces across Europe are freeing up online retailers to focus on the growth of their businesses and brands,” said Eric Chemouny, senior vice president for EMEA at Mirakl. “Buying marketplace technology and completing the technical integration is only part of the implementation process. Choosing a partner that understands retail, and that will work with you to understand and adapt your business, will be the true mark of success.”
The new marketplace already has 120 active sellers, vidaXL said, offering some 18,000 products. The company reports plans to add an additional 100,000 products shortly.