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Marketplace trends: what you need to remember from April
29 April 2021
Each month, Cocolabs selects a panel of articles to help you understand e-commerce and more specifically the marketplace landscape.
SMEs are rising up against Amazon
Small Business Rising, a SMEs coalition is rising up against Amazon, that is more and more impinging on their activity.
Relationship between small companies and Amaon has always been difficult. The giant is regularly targeted in the medias for the destructions of small traders and SMEs, because they are mainly selling the same type of products than them, but much more cheaper. Indeed, according to Small Business Rising, if prices continue to drop, small companies will collapse.
Cocolabs note: the giant’s horizontality makes him practically unassailable on its market; for the competition, they must focus on a particular segment.
Walmart marketplace arrives in Amazon’s line of sight. With its digital and physical offer and its rigorous vendor’s onboardin, Walmart accelerated its growth facing Jeff Bezos’ pure player platform that is paying the price for its way too easy onboaring.
Cocolabs note: generate an environment of trust on a marketplace is a key element for its success, wheter it is for vendors’ identity verification, payment security or data security.
If american B2C’s companies are the most powerful, European B2B’s start ups are also excelling thanks to the regional high technology and the relationship developed with the client. They generate approximately 2.4 times the revenue per dollar invested compared to american B2B’s startups.
Cocolabs note: according to a Gartner study, 75% of B2B’s purchases will be made through marketplaces by 2022.
Marketplaces as entrance door to the international
Two companies: Marbotic and Dodow, where digitization caused an unprecedented internationalization. Marbotic counts 98% of its sales revenues at the international level and Dodow, going through Amazon, benefited from 80% of its sales revenues thanks to its sales all around the world.
Cocolabs note: marketplaces help to delete spatio-temporal barriers and to propose products and services to larger public. ON services marketplaces, it is necessary to concentrate on precise segments and geographies to ensure an interesting offer/demand balance.
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