Online marketplaces

Disrupting the status quo in any industry

The rise of the third-party seller

Hand-in-hand with the major shift in retail spend from offline to online, we have seen the introduction of a wildly successful model: the online marketplace. After classifieds websites such as Craigslist started connecting local buyers and sellers in the late 1990s, the marketplace model has grown to a huge share of the (online) economy. For example, over a third of US online retail sales is now generated by third-party sellers on Amazon’s marketplace platform.

Within this revolution, marketplaces themselves have transformed as well.

Marketplaces quickly unbundled into specific areas, focusing specifically on jobs, dating, or real estate. Marketplace start-ups then expanded to relatively simple, on-demand services, such as ride hailing and food delivery. The current wave of managed marketplaces removes friction by taking on additional steps in the value chain, for example by taking care of logistics and admin, or keeping inventory. The future will see marketplaces increasingly venture into complex, regulated areas such as healthcare, legal and financial services, engineering, and agriculture – disrupting the status quo in each of these industries.

VIQTOR DAVIS both has the expertise to help marketplaces grow, as well as to advise companies on adopting a winning strategy.

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