How To Sell Online in India: Website vs Marketplace

How To Sell Online in India

Selling online in India is easier than you can imagine. There are several platforms that allow you to start your online business. But should you opt for a marketplace or get your own website? This will help you decide.

Website vs Marketplace

Where should you start selling your products/services online? Should you get your own website or should you sell in a third-party marketplace like Amazon or Flipkart?

These are valid questions that can confuse you when you’re starting off. Here’s what you should do to take a call. Ask yourself a few questions:

  1. Does my product/service belong to a niche category?
  2. Is my product customizable and of the bid-type?
  3. Will I be selling wholesale?

If the answers to all the above questions are a “yes,” you are better off selling on your own website. For almost everything else, you can look at selling at a marketplace.

Another way to go about it is to calculate the costs involved in your online store business plan:

cost analysis

Once you’ve calculated the costs and determined how much you’ll need to put in your online store, find out if you are making a profit.

Here’s a formula:

Profit = Selling price – (sourcing price + packing & shipping costs + transaction fee + marketing costs + variable costs)

If the numbers look steady and feasible to you, you may go ahead with getting your own website.

Where can I get my own website?

There are several platforms in India that help you set up your own online store. Here is a list:

Choosing a Marketplace

On the other hand, if you’re looking to choose a marketplace, here is some data from:

Statistic: Retail e-commerce sales in India from 2015 to 2021 (in billion U.S. dollars) | Statista
Find more statistics at Statista

The graph doesn’t just show steady growth but also projects a great increase in retail e-commerce sales in the country in the next few years. A little research on the internet turned up some interesting data about marketplaces.

Why are sellers flocking to marketplaces: Great discounts, more access to a large user-base, greater trust, ease of signing up and search-ability.

Here is a list of some popular marketplaces in India and a view of what they offer. This data has been sourced from Browntape.com.

The Small Business Angle

If you are a small business that is product-oriented, you can start your free online store on Instamojo. It has a host of features like SEO-optimized links, invoice generators and shopping cart among other.

However, if you want to make your own web store and are looking for developers, designers etc, give connect.instamojo.com a try.

Instamojo provides you the best of both worlds – marketplace and services to help build your online store.

Instamojo also provides you with a built-in payment gateway. You can start collecting payments online just by sharing a link with your customers over any desired platform.

All that and more in less than two-minutes! Have you tried our on-boarding game yet? Experience Instamojo today!


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7 comments
  1. Great share you give here. We are a web development company and provide sales to clients for their business products as well as services. To target-present marketplace is difficult due to high competition since we focus to give something new than others and grabs the market.

  2. I have just started my online business and I was confused but by reading your blog I have got answers of my some queries. Really I enjoy reading this blog and keep updating on such topics thank you for sharing it.

  3. What a presentation and simply superb one and good analysis and well explained. Glad to see your article and great information…

  4. Right now I am selling my product through Bangladesh online and my store is in Bangladesh how can I sell my product through India online.Is it possible? if yes what is the system. You are requested to give me tips.

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