Marketplace or Flagship: which is best for e-commerce?

Feb/2025

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Reading: 3 min

Marketplace or Flagship: which is best for e-commerce?

|

Reading: 3 min

E-commerce keeps growing! Since the pandemic, selling online has become a habit for many people, and the numbers don't lie: according to the survey E-commerce trends 2025According to a study by Opinion Box, 88% of Brazilians shop online at least once a month. This raises a common question among entrepreneurs: is it better to sell on marketplaces or have your own flagship store? 

The answer depends on what your brand is looking for and how much you're willing to invest. But before you decide, let's take a closer look at how each model works. 

What is a Marketplace? 

Marketplace is a virtual shopping mall where several sellers offer their products. Platforms such as Free Market, Shopee, Amazon and Magalu work as intermediaries, helping to boost your ads, attract traffic and, in some cases, even take care of the logistics and delivery of orders. 

The great attraction of the marketplace is the visibility. As these platforms already have millions of daily hits, your chances of selling increase. But beware: you pay a fee on each sale, which can impact your profits. 

Advantages of the Marketplace 

  • Greater Reach: millions of people access these platforms every day. 
  • Less concern with marketing: the marketplace itself invests in promotion. 
  • Easy to get started: all you have to do is register your products and you're ready to sell. 

Disadvantages of the Marketplace 

  • Fees and commissions: each sale has a cost for the seller. 
  • High competition: Many brands are competing for space, which can lead to a price war. 
  • Less control over the customer experience: the buying journey is defined by the platform. 
  • Customer base belongs to the marketplace: you don't have direct access to consumer data. 

And the Flagship Store? 

The flagship store (or own store) works in a different way. Here, the brand has total control over prices, communication, service and logistics. You decide how you want to sell and can customize the entire shopping experience for your customer. 

However, unlike marketplaces, you need to attract traffic to your store. This involves investing in ads, SEO, content marketing and social media. 

Advantages of the Flagship Store 

  • Total control over the brand: you define the customer experience and the company's positioning. 
  • More freedom to price your products: without having to follow the rules of a marketplace. 
  • Own database: you can create personalized actions and build customer loyalty. 

Marketplace or Flagship: which one to choose? 

The decision depends on your business moment. 

  • If you're starting out and want to sell fastWithout having to spend a lot on marketing and structure, the marketplace may be the best choice. 
  • If your brand is already more established and you want to have total control over the customer experience and your profits, invest in a flagship store may be more advantageous. 

Many businesses adopt a hybrid strategy: they use marketplaces to gain visibility and attract new customers, but they also invest in their own store to strengthen their brand and guarantee better margins. In this way, they get the best of both worlds. 

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Go digital, go global, choose Social for the future of your business.

Go digital, go global, choose
Social for the future of your business.

Get to know the Social hubs

Go digital, go global, choose Social: the way forward for your business.

Go digital, go global, choose Social for the future of your business.

Go digital, go global, choose
Social for the future of your business.