Establishing an e-Commerce site is a necessary step for retailers looking to expand their customer base and engender brand loyalty. However, if retailers do not have the financial means to launch their own e-Commerce site, they can garner the same benefits by selling through third-party marketplaces such as Amazon and eBay.
Arctic Cat, a manufacturer and distributor of snowmobiles and all-terrain vehicles (ATVs) as well as related parts, garments and accessories, launched an official eBay store to boost sales and brand awareness. Within months of the unveiling, 10% of Arctic Cat’s sales are coming through eBay, which carries official company gear, merchandise and accessories.
“The Order Exchange is set up in a way that is user-friendly for dealers and doesn’t require much searching or clicking,” said Tracy Crocker, VP and General Manager of the Global ATV division at Arctic Cat. “Dealers can decide if they want to fulfill the order, and shipping is prioritized based on the closest dealer to that customer. So far, dealers have understood that the solution is something that enhances their business, and more importantly, brings people into their dealership.”
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In June 2011, Arctic Cat was able to transform its marketing site into a fully functional online store that touted fulfillment capabilities from Shopatron such as in-store pickup and ship-from-store.
“[The eBay launch] was based on the same principle as the e-Commerce launch,” said Crocker in an interview with Retail TouchPoints. “If we could find something that extended our brand that was value added — meaning without competing with the Shopatron network that we had already built, while continuing fulfillment through our dealer network — it could create a win-win. With the initial success we had with Shopatron, we thought it would be easy to connect that to the eBay store.”
Arctic Cat team initially launched the eBay storefront to capitalize on the marketplace’s brand. Because eBay has such a widespread shopper base consisting of approximately 150 million active users, the team considered it an excellent opportunity to reach new audiences.
“We get exposure to the people who might not know exactly who we are,” Crocker said. “They can see what the quality and the breadth of our products is all about.”
As its eBay and e-Commerce sites continue to expand, Arctic Cat will focus on establishing more sophisticated targeting efforts, according to Crocker. Arctic Cat has officially completed the “introductory phase” of targeting, and is now entering the “growth phase,” where the company looks to further integrate targeting into its sales channels.
“When we think about a new product launch, we think about it holistically,” Crocker said. “We think of the snowmobile and all the parts, garments and accessories that go with it. Within our promotional strategy, we have a well-thought e-Commerce strategy that exposes our product to as many different customers as possible targeted in a way that we otherwise couldn’t do previously.”
