Many sellers understand that scaling a business is no easy feat, from selecting the right expansion channel to fulfilling customer demands to crafting an effective sales strategy, sellers have concluded that an all hands approach is necessary. However, devoting more resources to that endeavor is costly. How does a seller grow their bottom line while minimizing costs? Al Miller, Director of Remarketing for U.S. Micro shares how selling online with the right marketplace grew his business beyond the numbers.
Partnership & Growth
In 2014, U.S. Micro partnered with Newegg, the marketplace for everything tech. By partnering with Newegg, Al Miller, Director of Remarketing, immediately recognized Newegg’s impact. Al notes, “Newegg has a well-established track record and continues to be an influential e-commerce leader, as they have been for the past decade. They have millions of educated consumers, which matches who we are looking for and who we wanted to sell to.” Often what deters sellers like U.S. Micro from selling on marketplaces is the amount of time it takes to integrate. Newegg’s partnership with ChannelAdvisor-an ecommerce integration platform- alleviates this problem. “U.S. Micro found the onboarding process quite simple as we effectively managed everything through one of Newegg’s trusted partners, ChannelAdvisor. With very little effort, we effectively were up and running within a matter of days. We sent a single product data feed containing products’ pricing, imagery, and information to their system, where it’s transformed and optimized to sync with their system making it a one-stop shop for all our needs. Without this, U.S. Micro would have had to build its own system and expend more resources just to transmit information to Newegg,” says Al.
After integration, U.S. Micro and Newegg wasted no time crafting an effective sales strategy. It was simple—utilize Newegg’s low commission rate to lower U.S. Micro’s end-user pricing and leverage Newegg’s marketing and logistics services to create a seamless shopping experience. The results speak for themselves.
“One of the great benefits of being a Newegg Marketplace seller is that they provide access to a number of robust marketing programs. Having direct access to display products on their homepage, mobile site and app, and email campaigns have allowed U.S. Micro to grow into a multi-million dollar marketplace feed since joining the marketplace program less than two years ago. We accelerated our sell through beyond our expectations. We’ve experienced 600% growth year over year and kept our costs low, which confirms that our partnership continues to be successful. This year we’re projecting to grow again,” shares Al. As U.S. Micro continues to grow its ecommerce presence, they know they have Newegg Marketplace’s support.
Al says, “Another key differentiation point with Newegg is that their marketplace team works diligently and directly with us. This allows us to work effectively as a single team in order to maximize both of our interests. We value and appreciate our relationship with Newegg. Both our direct program and marketplace program involvement have led to dramatic sales growth of our products. We believe Newegg is one of the best ecommerce sites in the world and is an extraordinary fit for what we do best, which is extend the longevity of computer equipment in the most effective environmental way possible. With partners like Channel Advisor and Newegg, we believe we’ve formed an effective ecosystem for our business.”