Selling successfully and profitably on About You: A Guide for Fashion Brands
The world of e-commerce offers fashion brands a variety of ways to sell products. One of these promising ways is through online marketplaces, where millions of potential customers search for trendy clothes, shoes and accessories. In this article, we will take a closer look at how fashion brands can successfully and profitably sell on the ABOUT YOU marketplace.
ABOUT YOU: A promising marketplace
Over the past few months, our marketplace experts at Nakoa have taken a close look at the performance of many of our fashion customers on the ABOUT YOU marketplace. The results were extremely promising and offer valuable insights for brands looking to expand their presence on marketplaces.
- Lower cost per click (CPC) – More visibility: One of the outstanding features of ABOUT YOU is the comparatively lower cost per click (CPC) compared to other marketplaces such as Zalando. On average, CPCs on ABOUT YOU are about four times lower. This means that fashion brands can gain more visibility and traffic here at a fraction of the cost. A lower cost base makes it possible to use marketing budgets more efficiently and achieve greater reach.
- Impressive Return on Ad Spend (ROAS) – Maximum profitability: Return on Ad Spend (ROAS) is a key measure of advertising campaign profitability. For some of our clients, we achieved impressive ROAS results on ABOUT YOU – often more than double that of Zalando and sometimes even in the four-digit range. These figures illustrate the enormous potential of ABOUT YOU as an efficient advertising platform for fashion brands. Here, investments in advertising can generate a significant profit.
- Challenges of scaling – Sponsored Products: While ABOUT YOU undoubtedly offers many benefits, there are also some challenges, especially in terms of scaling. One of the challenges is that the algorithm usually favors wholesale brands. This means that smaller fashion brands have to work harder to increase their visibility in the marketplace. In addition, there are fewer ad placements overall on ABOUT YOU compared to other platforms.
- Our conclusion: ABOUT YOU as a promising marketplace: our experience with ABOUT YOU shows that this marketplace is an excellent option for fashion brands to achieve impressive performance even with a limited budget. The lower CPCs and high ROAS values make ABOUT YOU a promising marketplace and advertising channel for fashion brands.
Tips for success on marketplaces
In addition to the specific advantages of ABOUT YOU, there are some proven strategies that can help fashion brands market successfully and profitably on marketplaces:
- Optimization of product information: A detailed and appealing product description, high-quality images, and correct pricing are critical to gaining customer trust.
- Targeted advertising: Use the advertising options on marketplaces to increase your visibility. Be sure to use the right targeting to best appeal to your target audience.
- Manage inventory: Efficient inventory management is essential to ensure high customer satisfaction and avoid negative reviews due to delivery issues.
- Customer Service: Provide excellent customer service to resolve customer questions and issues in a timely and professional manner.
- Leverage feedback: Analyze customer reviews and use feedback to continuously improve your products and services.
- Multi-channel strategy: Consider a multi-channel strategy that includes building your own e-commerce website in addition to marketplaces. This provides additional flexibility and independence.
- Regular analysis: Monitor the performance of your products and campaigns on marketplaces continuously and adjust your strategy accordingly.
Selling successfully and profitably on marketplaces like ABOUT YOU requires a well thought-out strategy, clear positioning and continuous adjustments. The lower cost per click and impressive ROAS values make ABOUT YOU a promising option for fashion brands. Through a combination of targeted advertising campaigns, high-quality products and excellent customer service, fashion brands can successfully take off on marketplaces and grow their business.
Patrick is our Head of Retail Media. With many years of experience in selling on marketplaces, he advises you on marketing and content. He also supports you with the right marketplace setup to accelerate the growth of your business. Contact him by mail or by phone at +49 89 215 276 60.