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OnBuy growth in 2019 and expansion plans for 2020

By Chris Dawson January 15, 2020 - 12:02 pm

Since they launched in November 2016, there has been massive OnBuy growth, record results in 2019 and OnBuy entered 2020 with over 21m products, over 3k sellers and millions of buyers. In 2019, they saw 5x growth compared to 2018, saw over £1,000,000 in orders for their sellers on Black Friday and had their biggest Christmas yet, so it’s safe to say that 2019 was a fantastic year for OnBuy.

But OnBuy still have plenty of room to grow and they’ve revealed some of their plans for 2020 and have already revealed that they are in their strongest position ever, with a venture capital firm committed to investing in the development of OnBuy. This partnership will enable the marketplace to double their workforce, focus on major marketing activity and optimise our business from top to bottom, including:

  • Expanding the team and widening experience in key areas
  • Driving huge marketing opportunities
  • Increasing development of new solutions, integrations and features
  • Major investment in brand awareness
  • Introducing stronger social engagement and visibility

Want to work for OnBuy?

If you are a marketplace specialist and looking for a new opportunity, it might be worth having a conversation with OnBuy if you’d like to bring your expertise to the party.

OnBuy growth opportunities for sellers

In 2020, OnBuy are forecasting another 5x growth and targeting a sales increase of over £100m this year (and over 100x growth in four years!). That said, even with 21m products on OnBuy they know that they still don’t have it all covered! There are huge pricing opportunities where OnBuy isn’t competitive with other online marketplaces and there are still gaps in their product range. They know that these gaps are narrowing, but this also makes it a great time for retailers to join and benefit from OnBuy growth.

We’ve heard complaints that some products on OnBuy aren’t competitively priced but this is really an opportunity for sellers to take advantage. All marketplaces suffer from gaps in inventory or uncompetitive offers and they all take steps to fill these inventory gaps but what they’d rather have is sellers with great offers that they can market to consumers. If you see competitors on OnBuy with offers you know you could beat, this is the opportunity for you to step in and start winning.

“Gaps in our catalogue with missing products and uncompetitive pricing are far from a negative for online retailers: this is a great opportunity to make the most of the reduced competition. We’re attracting hundreds of retailers per month to OnBuy and these categories are filling up quickly, so the opportunity to benefit is immediate and we invite retailers to start selling on OnBuy as soon as possible.”
– OnBuy

2020 to see OnBuy growth overseas

With an increasing visitor base from overseas in huge markets (including the USA, Australia, France, UAE, Canada, Ireland, Sweden, Denmark, Germany and more), OnBuy is going to launch 22 new online trading locations by year-end 2020 – and a combined 140 new locations by the end of 2023!

This will create a much better shopping experience for customers in these countries and open OnBuy up to a range of new local marketing opportunities, allowing for rapid local expansion. All of OnBuy sellers will have access to all of OnBuy’s markets and they aim to make the process of selling internationally very simple.

OnBuy will also offer optional auto-translation and auto-currency conversion, but give sellers control in overriding the settings for each country because they want OnBuy to work for you as a viable and efficient online international selling channel.

OnBuy Seller Proposition

OnBuy growth is looking strong for 2020, with plenty of developments and investment to come. Their proposition for sellers includes:

Competitive Selling Fees

Ranging between 5-9%, our fees mean you can price lower and attract more buyers without eating into your margins.

Get Paid Immediately

You’re paid immediately by PayPal. All payments are processed through PayPal, so not only do we never touch your money, but you’re paid immediately on item dispatch.

Risk-Free Selling

Selling with us is risk-free! If you make less than £500 in sales in a month, you’ll get our Sales Guarantee, which means we’ll waive the next month’s Standard subscription fee.

PayPal Seller Protection

You can sell with complete peace of mind knowing that eligible orders are covered by the PayPal Seller Protection scheme.

We Don’t Compete With Sellers

And we never will! We’re a marketplace, not a retailer, so we focus our efforts on making sales for our sellers.

Dedicated UK-Based Support Team

We have a dedicated UK-based team ready to help you sign up, onboard you and ensure you’re making the most of OnBuy.

If you’d like to start selling on OnBuy you can sign up here.

  • Andy R
    1 day ago

    I would definitely like to start selling on Onbuy but they don’t want collectables. Despite repeated pleas for proper categorisation they simply haven’t listened. As well as pointing out the huge market for collectables, there is huge dissatisfaction with Ebay in these catagories. So, whilst wishing them well, I won’t be moving my 100,000+ items onto Onbuy. It’s a pity, but I’m not going to waste any more time flagging it up to them.

    • 2 hours ago

      Hi Andy

      You are right, collectibles is not a primary target for OnBuy at the moment but we will review collectibles carefully later in the year. Things will improve on that front, but we know that collectibles is not a focus point of the business at this time.

      Thank you

      OnBuy Team

  • Mark
    1 day ago

    They used stripe for payments but have now gone with paypal which looked great till Paypal decided to start keeping all transaction fees from march so we will be looking at whether that’s a good or bad thing.

    • NorthCrystal
      23 hours ago

      Stripe fees are elected for VAT as far as I remember.

      The exact reason we’re not selling on there.

    • 2 hours ago

      Hi Mark

      Thank you for your comments.

      We do use PayPal exclusively and no longer use Stripe for any commission payments. This is because Stripe created a lot of hardship for our sellers in general, and PayPal offers a range of benefits for sellers and buyers.

      While there are some financial changes at PayPal, we have compared these to charges at other leading payment processors, and they are in line. However, the added benefit of PayPal carrying a great deal of consumer trust is a distinct advantage for OnBuy and thus OnBuy sellers, as a whole.

      We’re working closely with PayPal to optimise the OnBuy checkout experience so it’s well worth giving OnBuy a go and letting us all grow together – we are going to climb to >£100m sales very quickly, and remember, our sales are all for our sellers, we do not retail our own stock and therefore, our growth is your growth.

      OnBuy Team

  • Toby
    1 day ago

    We have had very good results with onbuy so far, yes no where near ebay, but we never expected that at this stage. However the big thing for me is a lack of a mobile app or any talk of one coming. With so much now done via mobiles it just makes sense. However i appreciate it isn’t a simple thing to make it work for both sellers and buyers… just look at the nightmare ebay app if you are a seller!
    Thankfully atleast the normal browser site for onbuy works ok…

    • 2 hours ago

      Hi Toby

      Great to hear!

      OnBuy is growing quickly and you’ll feel that growth over the next three years.

      You’ll be glad to know that mobile app development is expected to start in Q2 2020!

      Thank you

      OnBuy Team

  • jim
    23 hours ago

    not much is expected from on buy, so low sales seem quite a success,
    if it were ebay that success would be deemed failure ,
    we would rather pay more to sell more, not kid ourselves about a few % less fees,
    lower fees would only really be cost effective with quantity of sales

    • 1 hour ago

      Hi Jim

      Thank you for your message.

      I think that this is not quite comparable in the way you have written and I’ll try and share our point of view; Yes, eBay is bigger than OnBuy (and Amazon) by a long shot. But, the key message to take from our performance news is that OnBuy is growing.

      We have seen 12,500% growth in GMV (sales) since completion of our first year. We’re only 3 years in to trading. In the next two years we plan to grow a further 25x and we have the capital and solutions to make that possible.

      So while eBay is undoubtedly bigger, it appears to be slowly declining in GMV market share. OnBuy, on the other hand, is much smaller – but growing (very quickly).

      Our catalogue solution mixed with transparency (being a true marketplace and not a retailer) is really attractive to sellers and buyers. Buyers love the fact that we are transparent with sellers pricing and offer PayPal for their peace of mind. We are winning customers with our approach and those customers are for our sellers.

      We’re not saying leave eBay or leave Amazon to join OnBuy, we’re simply saying that joining OnBuy could add to your bottom line, now and certainly over time. OnBuy is a sound investment to make right now, to piggy back off the growth, and establish your position, rank and metrics on OnBuy so that you’re in a strong place on the site. We value loyalty and weighting is added to ‘length of time’ on OnBuy, so the sooner you start selling the better – you could have increased visibility by the time we are performing at substantially higher GMV.

      We compete with leading stores, luring customers from major online retailers to OnBuy, so we can add incremental sales to your business – it’s not simply a case of moving customers from other marketplaces; we target a number of major online retailers that are not eBay or Amazon.

      With all of this in-mind, our small but growing sales are incremental growth, and add to your overall turnover. And remember, if you don’t get £500 in sales you don’t pay a monthly fee (£19) so you get the chance to get listed and grow with us, and if we don’t create enough sales right now – stock with us through the growth and we’ll get there together!

      In Jan 2020 we are having the best sales month ever, outside of Nov and Dec 19. Our growth is absolutely tangible and we welcome you to join OnBuy now and benefit from it.

      OnBuy Team

  • Mark
    22 mins ago

    Regards
    Your comments on the paypal fees it is not fees that are an issue it is the associated costs.

    If a person buys an item we always know we lose the fixed 30p even if they return the item . However from March Paypal will be keeping all fees..
    So if a buyer purchases a £100 item and then 2 minutes later before we have even packed it says please cancel.

    We lose the whole lot 3% and 30p.

    So hoping that sellers can offer the items they sell on eBay a bit cheaper on the On Buy platform will not be possible as any item that needs to fit such as clothes or collars etc have a pretty big return rate, plus rivals can just sink you without even parting with money by purchasing then cancelling.

    Where as eBay are introducing their own system for payments which will not be incurring these charges so your platform will become more expensive.

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Featured in this article from the Tamebay Guide – companies that can help you grow and manage your business.

OnBuy.com

A rapidly growing UK-based marketplace with millions of buyers, OnBuy.com offers sellers risk-free selling with lower fees and immediate payment by PayPal.

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