A strategic guide to picking the right marketplace (and avoiding the wrong ones)

Marketplaces promise reach, traffic, and incremental revenue. But for most DTC brands, launching on every platform is a recipe for complexity, margin erosion, and operational headaches.

This article helps you cut through the noise. We'll look at a practical evaluation framework and provide a strategic breakdown of seven relevant platforms:

• Amazon
• Otto
• Kaufland.de
• About You
• Zalando Partner Program
• Allegro
• Wayfair

Let's dive in.

The Marketplace Expansion Dilemma

Back when I was running my own D2C startup, the question of marketplaces came up after we have successfully build a 6-figure revenue in our own shop. Amazon was the obvious option, but around that time, more platforms started to gain relevance – each promising reach, growth, and access to new audiences.

We ended up listing on Avocadostore – not because of traffic or hype, but because the fit was right. It matched our product values, the operational overhead was manageable, and it allowed us to test the waters without stretching our team too thin.

Now, in conversations with other brands, I often hear: "We're thinking about launching on Amazon next." But is Amazon really the right next step? In many cases, it isn't – because the product or the positioning simply doesn't fit.

So how do you decide where to go next? And more importantly: how do you avoid launching on the wrong marketplace?

This article lays out a clear evaluation framework and gives you a breakdown of key marketplaces – to help you make smarter, more focused decisions.

How to Evaluate a Marketplace

Before you even start speaking to account managers or setting up integrations, run a structured assessment. Here are the key factors to consider:

1. Product-Market Fit

Does your product align with the marketplace's customer base? Are you selling price-driven, design-driven, or convenience-driven items? The better the match, the lower your required effort to get traction.

2. Brand Control

Some marketplaces reduce you to a product listing. Others allow curated environments and storytelling. If your brand equity matters, avoid environments where you become a commodity.

3. Unit Economics

Include everything in your calculations: platform fees, returns, fulfillment, advertising, customer support, payment costs, and more. Don't fall for the "gross revenue" trap.

4. Operational Readiness

Do you have the people, systems, and time to deliver reliably on that marketplace? This includes:

• Demand planning
• Order processing
• Returns handling
• Marketplace-specific customer service
• Performance management (KPIs, SLAs)

Also don't forget the tech stack fit:

• Does it integrate with your ERP or shop system?
• Can your accounting handle the marketplace's payout model and data provision?
• Will it add manual complexity you can't absorb?

5. Strategic Leverage

Will this channel open doors (e.g. new markets, new customers, new categories)? Or is it just a short-term cash injection that risks long-term dilution?

Pro Tip: Don't Scale Blind

Before committing, take the time to:

• Talk to brands already active on that marketplace
• Have a conversation with the platform – their account managers can be surprisingly honest
• Run the numbers – margin, return rates, operational costs
• Check your product portfolio – sometimes only part of it fits a marketplace
• Start small – one or two hero products before going all in

And most importantly: Focus. One marketplace at a time – unless you have the infrastructure and people to handle two launches simultaneously.

Later in the article, you will find a clear flow chart that you can apply to each marketplace to find the perfect fit for you.

Marketplace Deep Dives

Amazon

Best for: Brands with a proven product-market fit, especially for price sensitive customers, and the ability to invesdt in paid ads

Strengths:

• Massive reach and Prime trust
• Fast shipping infrastructure (FBA)
• High-volume sales potential

Challenges:

• Extremely price-sensitive
• Brand-building is limited
• Pay-to-play: you need an ad strategy
• Buy Box volatility
• Stockouts kill your rankings – aggressive inventory planning required

Use if: You want volume and can absorb margin pressure

Avoid if: You're too early-stage with your own shop, premium-priced, or can't play the ad game well

Otto

Best for: Established brands with a clear value proposition in fashion, home, lifestyle

Strengths:

• Trusted by older, quality-conscious German consumers
• Curated assortment keeps noise low
• Long-standing brand perception

Challenges:

• Complex integration
• Slower onboarding process
• Requires operational discipline
• Logistics and returns must be on point
• Accounting is non-trivial – expect some admin load

Use if: You're ready for a high-quality, long-term channel

Avoid if: You're not set up for enterprise-level integrations or CX standards

Kaufland.de

Best for: Brands in home & furniture or mid-priced consumer goods

Strengths:

• Broad reach via strong domain (formerly real.de)
• Easy integration with many ecommerce systems
• Low entry barriers

Challenges:

• Customer base is price-sensitive
• Listings often crowded
• Limited options for storytelling
• Commission + ads = narrow margins
• Support structure less developed than Amazon

Use if: You want scale in Germany and play in functional categories

Avoid if: You rely on premium positioning or curated experiences

About You

Best for: Fashion and lifestyle brands with strong content, visuals, and drops

Strengths:

• Trend-savvy audience
• Shop-in-shop experience supports brand-building
• Influencer partnerships possible

Challenges:

• Return rates are high
• Operational demands are steep
• Approval is selective
• Requires strong visual and content assets

Use if: You have a ready-to-go fashion collection and the margins to support returns

Avoid if: You lack high-quality assets or logistics resilience

Zalando Partner Program

Best for: Fashion brands that are scaling and need premium reach

Strengths:

• Europe's #1 online fashion marketplace
• Full-price selling possible
• Brand storytelling supported

Challenges:

• Returns-heavy business model
• Operational standards are demanding
• Requires dedicated setup (content, logistics, reverse logistics)
• KPI pressure is high

Use if: You want premium positioning in fashion and can meet strict demands

Avoid if: Your team can't yet handle large-scale fashion logistics

Allegro (Poland)

Best for: Brands expanding to Eastern Europe

Strengths:

• Market leader in Poland
• Loyal customer base
• Strong traction in electronics, fashion, home

Challenges:

• Requires local market understanding
• Polish-language support needed
• Payout, VAT, and customer service can be complex
• Local competition is intense

Use if: You're actively expanding into Poland

Avoid if: You're still focused entirely on DACH or don't have local support

Wayfair

Best for: Brands in home, furniture, and decor

Strengths:

• Highly targeted traffic
• Higher AOV possible
• Logistics support in some models
• Dedicated category managers (if accepted)

Challenges:

• Relevant only if you play in furniture or home verticals
• Integration and content requirements are substantial
• Logistics must be handled reliably – expectations are high
• Pricing must stay competitive

Use if: You sell furniture, decor, or home goods and can scale ops

Avoid if: Your products fall outside of Wayfair's category focus

Avocadostore

Best for: Sustainable and eco-conscious brands with verified product claims

Strengths:

• Strong community and clear positioning around sustainability
• High trust within niche audiences
• Low technical entry barriers
• Supports storytelling and transparent brand communication
• Operationally lightweight compared to larger platforms

Challenges:

• Niche audience = limited overall volume
• Strong curation: not every product gets approved
• Growth potential capped compared to broader marketplaces
• Less scalable from a pure revenue perspective

Use if: You offer sustainable, certified products and want access to a highly aligned audience

Avoid if: You're focused on mass scale or don't meet sustainability criteria

Define Your Strategy – And Be Willing to Walk Away

Many brands go live without knowing what success looks like. That's risky. Before launch, define your goals clearly:

• Are you testing a product category?
• Validating demand in a new country?
• Trying to offload excess stock?

Use clear metrics (conversion rate, return rate, margin, sell-through) to evaluate. If the channel doesn't deliver – it's okay to leave. Staying on a bad-fit marketplace just drains your team.

Final Thoughts

The right marketplace can become a growth engine. The wrong one can drown your team in operational chaos and erode your margins.

Take your time. Ask the right questions. Run the numbers. And remember: marketplaces are not a growth hack – they're a serious strategic decision.

If you want to go fast, go alone. If you want to scale sustainably, go focused.

Use this flow chart to evaluate the marketplace for your own brand.

Ready to scale across multiple marketplaces without drowning in inventory chaos?

Fabrikatör helps e-commerce brands manage inventory efficiently across their own store and multiple marketplaces. Our platform delivers unified forecasting across all your sales channels, preventing stockouts while minimizing capital tied up in excess inventory.

Book a demo to see how our multi-channel inventory planning can support your marketplace expansion strategy.

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