Marketplace advertising

Why marketplace advertising is different from Google or Meta

On Google and Facebook you pay to bring people to your own site, where you control the page, the price and the follow-up. On a marketplace, the shopper is already inside someone else's store, comparing your product with a dozen others in the same search result. Marketplace advertising is the fee for being seen at the top of that shelf. Conversion rates are often higher than on social media, because people are there to buy, but you also compete more directly on price, reviews and delivery speed.

That changes what good management looks like. The ads themselves are only part of it. Price, stock, listing quality, reviews and fees all decide whether a click turns into a profitable sale.

Start with profit per unit

Before any campaign, I want one number: how much you make on a unit after everything the marketplace takes. That means the product cost, inbound shipping, the referral fee, fulfilment or your own shipping, storage, a fair allowance for returns, and payment costs. What's left is the most you could spend on advertising and still break even on that sale. Many sellers discover at this stage that a product they push hardest barely makes money, or loses it once ads are added.

From there, targets become simple. A product with $15 profit per unit can afford to spend part of that to win a sale; one with $3 needs very careful bidding or should be left to sell organically. Ads then go to products with room in the margin, and the rest is improved or deprioritized.

Listings before ads

Sending paid traffic to a weak listing is the most common way to lose money on marketplaces. Before campaigns go live, the listing review covers:

• Title and bullet points written for how shoppers search, not internal product names.
• Images: a clean main image, lifestyle shots, size and detail images, a short video where possible.
• Price and delivery promise compared with the products next to yours.
• Reviews: how many, how recent and what people complain about.

Good product photography often does more for marketplace sales than any bid strategy.

Amazon and Walmart in Canada

Amazon.ca is the largest online marketplace in the country and usually the first stop for brands. Its advertising tools are mature, with sponsored listings in search, brand banners for registered brands, and display options. My Amazon ads page covers campaigns, and selling on Amazon.ca covers getting the account and listings ready if you're new.

Walmart.ca runs a marketplace for third-party sellers too, with an application process before you can list and its own sponsored placements. It's a good second channel for brands that already sell well elsewhere. Details are on my Walmart Marketplace ads page.

Don't forget your own store

Marketplaces are excellent for reach and terrible for loyalty. The customer belongs to Amazon or Walmart, you usually can't market to them afterwards, and fees can change. I treat marketplaces as one channel, not the whole business. A healthy setup keeps your own online store alive, captures email through your own site (marketplaces have strict rules on contacting their customers, so that list is built separately), and uses Google and Meta to build demand you own. My Facebook ads for e-commerce page explains how that side works.

How the work is split

Marketplace accounts need daily attention from someone who lives in Seller Central and Walmart's seller tools. I deliver this part with a trusted partner who does exactly that. The contract, deadlines and communication stay with me: you sign one written agreement, you talk to me on WhatsApp, Telegram, Zoom or email, and you get reports in the same plain format as your other channels. The seller account and ad account are always registered in your name. Pricing is quoted individually after a short call, and there are no discounts or hidden extras.

Is your product a good fit?

Marketplaces tend to suit products that are easy to ship, priced so fees don't eat everything, and searched for by name or type: kitchenware, pet products, beauty, supplements within the rules, outdoor gear, home goods. Custom furniture, fragile items and very cheap products are harder. If yours is a borderline case, a free consultation is the quickest way to find out.