Weitere ähnliche Inhalte Ähnlich wie "The Changing Dynamics of Retail - MultiSupplier Marketplaces" (20) Kürzlich hochgeladen (20) "The Changing Dynamics of Retail - MultiSupplier Marketplaces"1. The Changing Dynamics of Retail --
Multi-Supplier Marketplaces
Special Guest Speaker
Presenters
Paul Kogan, SVP Business Development, Ixtens
Sucharita Mulpuru, VP and Principal Analyst, Forrester Research
Eugene Nikiforov, CPO and Founder, Ixtens
To Join The Teleconference:
Toll: +1 (909) 259-0012
Access Code: 515-292-310
Presentation Content:
Will be made available for download at www.ixtens.com
Email will be sent to notify you of availability
Questions:
Please ask questions via Twitter #IXWebinar or through the Q&A function
2. Agenda
Brief Introduction of Ixtens
What You Need To Know About Marketplaces with Sucharita Mulpuru
How Marketplaces Work
Marketplaces in Action with Eugene Nikiforov
Q&A with Eugene and Sucharita
Copyright Ixtens, Inc. © 2011
4. Ixtens Company Overview
! A group of e-commerce veterans who helped Amazon build their
Enterprise Webstore.
! 7+ years of expertise in e-
commerce and online
marketplaces
! Global reach with offices in
New York, London, Russia
! 80+ employees
Copyright Ixtens, Inc. © 2011
6. Ixtens Products
Ixtens Connect
• SaaS solution that powers online multi-channel ecommerce
Ixtens Central
• Normalization platform, optimizing data flows in real time
Ixtens Marketplace
• Backend platform managing third party supplier ecommerce
Copyright Ixtens, Inc. © 2011
7. Sucharita Mulpuru, Principal Analyst, Forrester
Research
• At Forrester, Sucharita serves eBusiness & Channel Strategy Professionals
• Leading expert on eCommerce, multichannel retail, consumer behavior, and
trends in the online space.
• Authored joint study Top 5 eCommerce Trends 2011
Previous Work:
• Saks Fifth Avenue
• Toys R Us
• Walt Disney Company
Education:
• B.A. Economics from Harvard
• M.B.A Stanford Graduate School of Business
Copyright Ixtens, Inc. © 2011
8. 8 © 2011 Forrester Research, Inc. Reproduction Prohibited
9. What Every Large Retailer Or Media Company
Needs To Know About Marketplaces
Sucharita Mulpuru, VP and Principal Analyst
July 12, 2011
9 © 2011 Forrester Research, Inc. Reproduction Prohibited
2009
10. Amazon is the new Walmart
10 © 2011 Forrester Research, Inc. Reproduction Prohibited
11. Trend 3: Investment in online marketplaces
“One of the most significant facts regarding
eCommerce in recent years is how Amazon.com
is growing faster than the rest of the eCommerce
industry…. Retailers that compete with Amazon
have come to discover that offering marketplaces
on their own sites is critical to driving margins
and remaining competitive on the prices and the
shipping fees of the items they do stock in
inventory. “
11 © 2011 Forrester Research, Inc. Reproduction Prohibited
12. Two key facts: consumers don’t really shop around…
“Thinking about your most recent online purchase, approximately how many online
retailers did you visit during the purchase process?”
Base, 3,179 US online adults
Source: Q2 2010 Forrester Consumer Technographics Online Retail Survey
12 © 2011 Forrester Research, Inc. Reproduction Prohibited
13. …and they seek selection and variety online
Percent agreeing with statement
Base: 4,114 US online adults
Source: Q2 2010 Forrester Consumer Technographics Online Retail Survey
13 © 2011 Forrester Research, Inc. Reproduction Prohibited
14. Agenda
Lessons from Amazon’s marketplace
Key considerations
14 © 2011 Forrester Research, Inc. Reproduction Prohibited
16. Amazon has gradually earned more profit
Profitable
Small and
erratic!
Profit as
a % of
sales NA NA NA 1% 8% 4% 2% 3% 3% 4% 3%
Source: Amazon annual reports 2000-2010
16 © 2011 Forrester Research, Inc. Reproduction Prohibited
17. What is the marketplace?
A product offered
for sale by
Amazon.com
The same product on the same
product detail page offered by
other sellers
17 © 2011 Forrester Research, Inc. Reproduction Prohibited
18. Some Amazon marketplace highlights
• Marketplace has many pros: wider product & brand selection, no
costs for storage and distribution, content costs borne by sellers/
merchants
• Sales from marketplace sellers represented 31% of unit sales in 2010
(up by 3% compared to 2005)
• Given that Amazon makes up to 15% (in revenue share) from any
sales on marketplace and that 31% of unit sales is sales from
marketplace and assuming that units had the same average price
from Amazon and marketplace, Forrester estimates that marketplace
sales account for 6% of total sales.
18 © 2011 Forrester Research, Inc. Reproduction Prohibited
19. The Amazon marketplace is a significant driver of the
company’s profit
US Marketplace revenue and GMV ($B) US Marketplace Revenue as a profit driver
Source: Amazon SEC filings; Forrester analysis
19 © 2011 Forrester Research, Inc. Reproduction Prohibited
20. Some retailers have learned this the hard way, and
others likely will follow
20 © 2011 Forrester Research, Inc. Reproduction Prohibited
21. The implications of this business model are
transformational
Retailer 1 Retailer 2 Retailer 3
Consumer
electronics 5% 10% 15%
sales
Est. margin
0.5% 1% 1.5%
from CE sales
Other
95% 90% 85%
categories
Old profit 1% 2% 4%
New profit 0.5% 1% 2.5%
% decline in
-50% -50% -38%
profit
21 © 2011 Forrester Research, Inc. Reproduction Prohibited
22. Agenda
Lessons from Amazon’s marketplace
Key considerations
22 © 2011 Forrester Research, Inc. Reproduction Prohibited
23. If I already offer drop shipping on my site, is this
different?
§ Not necessarily, drop shipping can be one type of a marketplace
§ The common link is shifting inventory ownership
§ Marketplaces can be “white labeled” products or explicitly branded as
marketplace offers
§ There is one single shopping cart that captures transactions
23 © 2011 Forrester Research, Inc. Reproduction Prohibited
24. Important facts to know about launching a
marketplace
§ Your brand equity is reliant on a 3rd party; invariably, lapses occur with marketplace partners
§ It takes many years to build up appropriate partnerships and business processes (e.g. escalation,
order swat teams) to ensure that marketplaces operate with minimal problems
§ Companies (that sell into marketplaces) may be reluctant to share the keys to their kingdom (sales,
velocity, price elasticity) with potentially competitors; finding effective partners can be a challenge
§ Competition is more difficult because product assortments may be less differentiated; your
marketplace partners may be the same partners of others
§ The ability to capitalize on a marketplace depends on a unique, differentiated asset that your site
delivers to shoppers (e.g. one-stop shop, superior service, name recognition)
But if executed effectively, marketplaces can
be extremely lucrative
24 © 2011 Forrester Research, Inc. Reproduction Prohibited
25. Key success factors of marketplaces
Requirement What It Means
Breadth of merchandise • Overlap with current merchandise assortment and an extension of it
Extensive presentation of • Design support to ensure that marketplace merchandise is well-
merchandise presented
• Feedback from shoppers on accuracy and timeliness of order
Merchant performance audits
processing
and monitoring • Consistency of product details and imagery
• Enables merchants to set up items
Self-service merchant tools • Links to items in your inventory(if relevant, similar to Amazon)
Reporting for merchants on sales, impressions, etc.
Merchant accounting and • Bulk of IT development costs and time
payment mechanisms • “Affiliate-like” payment structure in place
Dedicated team members for
• Merchant solicitation and ongoing account support
marketplace growth and • Assistance in features like SEO
success
25 © 2011 Forrester Research, Inc. Reproduction Prohibited
27. Q&A
Q&A
Questions from Sucharita s presentation
Copyright Ixtens, Inc. © 2011
29. Amazon has proven the marketplace concept
$34.20
$6.92 Billion
$3.12 Billion
Billion
$610
Million
$16 2010
40+ product
Million 2004 categories
Launch Webstore Marketplace
2002 Services
Sales are > 30%
Launch Amazon
Marketplace (3rd of Total
party sellers)
1998-99
music, DVDs,
toys, electronics,
tools, and
hardware
1995
only books
Copyright Ixtens, Inc. © 2011
30. Marketplace Trends
! A major trend for 2011
! Have built their own marketplace platforms.
! Launching a marketplace in the U.K. (Retail
Week/BBC News)
! eBay is shifting toward a more Amazon-like
experience.
Copyright Ixtens, Inc. © 2011
31. Marketplace Definition
! Unified Catalog
! Third Party Suppliers
! Merchant of Record
! Single Basket
Copyright Ixtens, Inc. © 2011
32. Marketplace Benefits
BENEFITS RETAILER MEDIA
Expand eCommerce offering ✔ ✔
Outsource inventory risk and reduce investment ✔ ✔
One-time onboarding of multiple suppliers ✔ ✔
Gain new float revenue ✔ ✔
Transform readers into buyers
✔
Own the customer and the data ✔
Copyright Ixtens, Inc. © 2011
33. Eugene Nikiforov, Co-Founder / CPO
History
• Founder of Ixtens in 2004
• Working in electronic commerce since 1996
Previous Work:
• Co-Founder Quantum Art (CMS Systems)
• Intershop
• Simon & Schuster
• Cannon USA
• CBS Sportsline
• Tesco
• Marks & Spencer
Copyright Ixtens, Inc. © 2011
35. Marketplace Fulfillment
Items
Customer
Marketplace Operator Suppliers
Customer browses Single-Cart shopping experience Each Supplier responsible for
catalog fulfillment
Marketplace Supplier A
Routes
Order-Items Supplier B
to Each
Supplier
Supplier C
36. Marketplace Payments
Payments
Customer
Marketplace Operator Suppliers
Merchant A
Marketplace Marketplace
collects settles with
payment Merchants
Merchant B
Merchant C
Holds float up to Minus
30 Days 8-20%
Marketplace fee
38. User Case Studies: Ixtens Marketplace
Ixtens Assembles One
Stop Shopping For
mydeco.com
! Mydeco reached out to Ixtens with a desire
Name: mydeco.com to create a marketplace that would enable
them to increase the number of items
Sales Channels: mydeco.com
available on mydeco.com
SKU s: 2,500+
Launch Date: Q4 2010 ! Wanted to increase their market beyond
furniture to include kitchenware
! Needed a solution that would enable them to
offer a web portal to their suppliers and
merchants for managing data and inventory
! Within a couple of months, they ve launched
with 10 manufacturers offering 2500+
products,
! Maintain an automated, central repository
for managing merchants and data feeds
Copyright Ixtens, Inc. © 2011
39. User Case Studies: Ixtens Central
Ixtens Makes a Happy Home
Online For Lifetime Brands
! Lifetime Brands had an extensive number of
back-end systems that they need to
automate the sharing of information across.
! Had to choose a solution that did not
interrupt core operations and workflows that
were vital to their business.
! Lifetime selected Ixtens Central to provide
data automation and integration across their
systems and sales channels.
! Company no longer wastes valuable time
and resources manually entering data and
synchronizing updates across multiple
channels.
Copyright Ixtens, Inc. © 2011
40. Q&A
Q&A
Questions for
Sucharita and Eugene
Twitter: #IXwebinar
Copyright Ixtens, Inc. © 2011
41. Thank you!
Paul Kogan, VP Business Development, Ixtens
Sucharita Mulpuru, VP and Principal Analyst, Forrester
Eugene Nikiforov, CPO and Co-Founder, Ixtens
info@ixtens.com