Our Australia team recently joined forces with Power Retail to host a webinar on the Trade Me marketplace and the e-commerce opportunities to be found in the New Zealand market. Trade Me’s Georgina McGowan and Hamish Macdonald, as well as ChannelAdvisor’s Mark Gray, offered insights and best practices for retailers looking to get started on Trade Me. Didn’t make the webinar? Here are five takeaways you’ll want to know:
1. Why sell on Trade Me?
With 3.4 million members and approximately 700,000 visitors each day,1 Trade Me boasts the largest online buying channel in New Zealand. While eBay and Amazon are behemoths on the world’s stage, neither has a large presence in New Zealand. In fact, 46% of New Zealand buyers who were asked ‘What website do you think of when you go to buy online?’ answered ‘Trade Me’.2 The country itself is experiencing huge e-commerce growth, with 54% of New Zealanders having shopped online within the last 12 months3 — and April spending up 11% on the previous year.
2. Can international sellers list on Trade Me?
Yes! ChannelAdvisor has been integrated with Trade Me since 2012 and currently supports retailers from across Australia, the US, Europe and Asia. Overseas sellers will need to go through an application and vetting process before listing on the marketplace. This is to ensure commercial selling viability and to weed out any safety concerns.
Encouragingly, offshore purchases made from New Zealand are growing at almost three times the rate of local e-commerce buying.
3. Does Trade Me partner with a fulfilment service?
No, Trade Me doesn’t partner with fulfilment companies, but can offer advice to retailers based on individual requirements and types of items.
Retailers in the US or UK who already have a Fulfilment by Amazon (FBA) agreement can use FBA to ship items to New Zealand locales. Given New Zealand’s small geographical mass, the shipping logistics can be easily navigated.
4. How can retailers increase their visibility?
Trade Me’s search is largely driven by product titles. By comparison, eBay’s search algorithm utilises a larger amount of product data alongside account ratings and performance. To this extent, optimising your data for the specificities of a marketplace is paramount. With the help of ChannelAdvisor’s business rules, titles can be tailored for each marketplace, ensuring that the most relevant information is included in your listings and increasing the chance of items being displayed within search results.
5. What products will perform well on Trade Me?
Branded goods are undersupplied in New Zealand, and buyers are looking for products that don’t currently exist on Trade Me. Retailers that are able to fill these supply gaps stand to win a large portion of the market. Top-performing categories include fashion and accessories, health and beauty, sports, and home and living.
For retailers with sizable inventory, Trade Me and ChannelAdvisor can advise you on which of your products are likely to sell best on the marketplace.
Blog post by Shani Flynn, ChannelAdvisor marketing copywriter, APAC
1 Trade Me monthly stats
2 Perceptive Research
3 New Zealand Retail Association
Want to learn more about Trade Me and find out whether it’s the right fit for your business? Check out our Trade Me tip sheet for all the important information.