How to Become a Successful Seller on Coupang
Coupang is one of South Korea's largest
e-commerce companies, often compared to Amazon. It was founded in 2010 by Bom
Kim and has grown rapidly, becoming a dominant player in the Korean e-commerce
market. Coupang offers a wide range of products including electronics,
household goods, groceries, and more, with a focus on fast delivery. They
operate their own logistics network, allowing them to offer same-day or
next-day delivery for many items, which has been a key factor in their success.
Before delving into this article, it might be
beneficial to refer to the following piece.How to sell in Coupang Marketplace
How to Become a Successful Coupang Seller?
To boost conversion rates on Coupang,
sellers can employ two strategies: 1) Ensure their product is easily
discoverable by customers, and 2) strive to become the top choice for a given
item. Your product must appear prominently when customers search for it,
ideally on the initial search results page. In cases where multiple sellers
offer the same product, yours should be positioned as the preferred choice,
featured above competing listings. Coupang favors sellers who consistently
receive positive feedback from customers, as a satisfying shopping experience
is paramount to buyers. To understand the specific elements that contribute to
a positive shopping experience, refer to the checklist provided below.
1. Does
your product match what customers are searching for?
Ensure that your product aligns with
customer demand; selling sought-after items gives you a competitive advantage.
Listing your full inventory is advisable to provide bundle delivery and
maximize benefits. Additionally, if a product sought by customers isn't listed
on Coupang, being the first seller to list it can position you as the top
choice. Coupang often notifies sellers via email about brands or products in
demand yet unlisted; regularly check your registered email for insights on
which products to list.
2. Can customers easily find your products?
Emphasizing the importance of search cannot
be overstated. Typically, customers search, click, and make purchases. They
locate desired products, compare options, and proceed with buying. To ensure
your products appear in customer searches, consider the following questions:
- Have you utilized effective search terms?
- Have you configured both purchase and
search options?- Have your categories been precisely specified?
With filter search becoming more prevalent,
it's crucial to expand search options by including product details like
material, quantity, and color. Omitting these details, even if they're not
mandatory, diminishes your chances of being found by customers. Remember:
providing more information increases your visibility.
3. Is your inventory supply enough?
Do you maintain adequate inventory levels?
Regardless of a product's popularity, if it's out-of-stock (OOS), customers
can't purchase it, and Coupang won't designate it as a top item. Maintaining
appropriate stock levels is crucial to retaining your item's top status.
Monitor your inventory status by accessing WING > Manage Products >
Product Notifications and reviewing the [Out-of-Stock] and [Almost
Out-of-Stock] tabs. Ensure you replenish stock for products expected to
experience increased sales.
4. Does your ultimate price offer competitiveness?
If you believe customers are solely seeking
inexpensive products, you're mistaken. It's a common misconception that
lowering prices is the only path to securing the top spot for your product.
Customers aren't solely focused on low prices; they seek value. While they may
opt for the cheapest option when presented with similar products, they
prioritize a reliable shopping experience over minor price differences. Coupang
designates sellers who offer stability and customer support as item winners,
even if their prices are slightly higher. To gauge the price disparity between
your product and the item winner, navigate to WING > Product Notification
and review the [Non-Item Winner] tab. Remember, the final price encompasses
shipping costs. Lowering product prices but inflating shipping fees can deter
customers and harm sales, as shoppers are highly sensitive to shipping charges.
5. Do you offer free shipping?
Through experimentation conducted on
Coupang, we made an intriguing discovery. Transitioning from paid shipping to
conditional free shipping resulted in a notable uptick in sales by 32%, with a
concurrent increase of 38% in average visitor numbers. (Test duration: 5 weeks
spanning June and July 2018; involving 233 Coupang sellers) This suggests a
significant portion of customers are inclined to add additional items to their
cart to qualify for free shipping. However, to prompt customers to take this
action, it's essential to have a diverse array of products available. If there
aren't other items to add to the cart for free shipping eligibility, customers
may abandon their purchase altogether. This underscores the importance for
sellers to offer free shipping and list their full inventory.
6. Have you responded promptly to
customer inquiries?
As a seller, it's essential to recognize
that customers can be quite demanding. This underscores the importance of
promptly addressing issues to avoid potential problems like stock shortages or
defects. Responding swiftly to customer inquiries is just as vital as ensuring
your product detail pages are visually appealing. Typically, customers rely
more on product reviews than the details provided on the page when making their
purchasing decisions. Therefore, it's crucial to actively manage product reviews.
Your dedication will ultimately lead to consistent sales and payoff in the long
run.
Conclusion
In
conclusion, becoming a successful seller on Coupang involves a strategic
approach that focuses on meeting customer expectations and optimizing various
aspects of your selling process. By ensuring that your products are aligned
with customer demand, easily discoverable through effective search
optimization, and competitively priced while offering value, you can enhance
your chances of success on the platform. Additionally, maintaining sufficient
inventory levels, offering free shipping options, and providing prompt
responses to customer inquiries are essential elements for maximizing sales and
maintaining a positive seller reputation. As your company endeavors to sign up
as a global seller on Coupang, implementing these strategies will help you
navigate the platform effectively and achieve steady sales growth.
For further
assistance or inquiries, please feel free to contact us.
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