Friend or foe, online marketplaces exist. For brands, this presents both a challenge and an opportunity. Marketplaces offer widespread exposure and easy customer acquisition, but they also own the customer relationship—not you. The real question is: Why do shoppers turn to marketplaces, and what can brands do to shift the narrative? It’s time to rethink how brands build trust, loyalty, and direct connections in a world where marketplaces dominate. Let’s dive in.
How Brands Can Compete for Marklet Share
Unfortunately, marketplaces are the de-facto for online shopping for many consumers. Why? Convenience and variety. Marketplaces offer an endless selection, competitive pricing (thanks to multiple sellers), and a seamless shopping experience—all in one place. No need to hop from site to site; everything is right there, ready to ship. But here’s the interesting part: Younger shoppers are starting to shift their loyalty. 33% of Gen Z actually prefer to shop directly from brands, edging out the 31% who favor marketplaces. That’s a sign of changing consumer expectations—and a big opportunity for brands willing to lean in.
For Gen Z, it’s all about authenticity and exclusivity. These shoppers want more than just a transaction—they want a connection. Brands should invest in direct-to-brand storytelling, offering behind-the-scenes content, limited-edition drops, and sustainability-driven messaging. Making shoppers feel like insiders? That’s the key to winning them over.
When it comes to older consumers like Gen X and Boomers the data is clear – familiarity and ease matter most. These consumers love the simplicity of marketplaces, so if brands want to compete, they need to double down on retailer partnerships and maintain strong visibility where these shoppers already feel comfortable.
Bottom line? Consumer habits are shifting and brands that play their cards right can start pulling shoppers away from third-party giants and into long-term, direct relationships
How Brands Can Change the Narrative
So, why do shoppers choose to buy straight from a brand instead of hitting up a marketplace? The answer isn’t one-size-fits-all. Trust, value, and ease play a huge role, but the reasons vary across different age groups and demographics.
The good news? These insights give brands a clear game plan to boost direct-to-consumer sales. Let’s break down what really matters to shoppers—and how brands can use that to their advantage.
– Leverage Competitive Pricing to Attract Shoppers: Highlight pricing advantages in direct-to-brand campaigns. Use promotions, loyalty rewards, free shipping and bundling strategies to reinforce the value proposition and encourage repeat purchases.
– Power Personalization with First-Party Data: Marketplaces control customer data, but brands have an opportunity to personalize experiences in ways that marketplaces can’t. AI-driven recommendations, exclusive early access, and personalized offers can make a direct purchase more enticing. With its ability to deliver cost-effective, highly personalized, timely, and relevant content, email campaigns should be leveraged to engage your visitors. Trigger them based on individual browse and click data for maximum engagement.
– Build Loyalty Programs That Drive Retention: Shoppers will buy directly if there’s a strong incentive. Better loyalty rewards were cited by 12% of shoppers as a motivator for choosing brand websites over marketplaces. Implementing tiered rewards, referral incentives, and VIP perks can encourage long-term engagement.
– Optimize the Direct Shopping Experience: A frictionless shopping experience is crucial. 16% of shoppers abandon purchases due to complicated checkout processes, and 20% abandon due to stock issues. Improving site speed, payment flexibility, and inventory transparency can help retain direct buyers.
Final Thoughts: The Time for Brands to Act is Now
Marketplaces aren’t going anywhere, but brands can still shift consumer trust by focusing on value, convenience, and personalization. This is where identity resolution can be your secret weapon against marketplaces.Identity resolution empowers brands to recognize shoppers across devices and sessions, allowing them to deliver triggered, personalized emails and texts—ensuring every interaction builds trust and strengthens customer relationships.
With the right strategy, brands can turn marketplace shoppers into loyal, direct customers.
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