Jason & Scot do a live podcast on stage at the ChannelAdvisor Connect Show in Austin Texas, April 2019. You can listen to the audio for this presentation as a podcast here: https://retailgeek.com/jason-scot-show-episode-173-channeladvisor-connect-2019/

1. 1
SCOT WINGO
Co-Founder and Executive Chairman, ChannelAdvisor
CEO Get Spiffy, Inc.
jasonandscot.com
JASON “RETAILGEEK” GOLDBERG
Chief Commerce Strategy Officer, Publicis
@scotwingo
@retailgeek

2. On Today’s LIVE Show:
• Marketplace Explosion
• Evolution of Last Mile
• The Future of Commerce
• Q+A
Copyright 2019 Scot Wingo and Jason Goldberg

3. Marketplace Explosion
Copyright 2019 Scot Wingo and Jason Goldberg

4. Marketplace: Where
buyers go to shop from
multiple sellers
Copyright 2019 Scot Wingo and Jason Goldberg

5. What is a Third Party Marketplace?
Responsibility Retail (1P) 3P-MP
Merchandising Retailer Seller
Merchant of Record Retailer MP
Customer service Retailer Seller + MP
Ship the product
Retailer
(or drop ship)
Seller
(or FBA)
Pricing Retailer Seller
Marketing Retailer MP
5Copyright 2019 Scot Wingo and Jason Goldberg

6. Why the Heck are they
so popular?
Copyright 2019 Scot Wingo and Jason Goldberg

7. What Do (Today’s Digital) Consumers Want?
7
We all love to
save $!
Selection
The Great
Bifurcation
One site/app –
lots of items
(aka assortment)
Value Convenience
Trust
Is this lowest price?
Will I get it?
Mobile
Great Mobile
Experience
Copyright 2019 Scot Wingo and Jason Goldberg

8. 20132005
Copyright 2019 Scot Wingo and Jason Goldberg

9. Changing Consumer Behavior: Bifurcation
© 2018 GetSpiffy, Inc. 9Copyright 2019 Scot Wingo and Jason Goldberg

10. Bifurcation: Rocking Retail (Value vs. Convenience)
10Copyright 2019 Scot Wingo and Jason Goldberg

11. Convenience ‘buys’ Happiness
11Copyright 2019 Scot Wingo and Jason Goldberg

12. Copyright 2019 Scot Wingo and Jason Goldberg

13. Why Do VCs Love
Marketplaces?
Copyright 2019 Scot Wingo and Jason Goldberg

14. Suggestions
Copyright 2019 Scot Wingo and Jason Goldberg
Wish
Target
Simon Malls
Albertsons
Instagram Checkout
Amazon cutting back on 1P
Pinterest (Coming Soon) – hired Jeremy King from Walmart
Copyright 2019 Scot Wingo and Jason Goldberg

15. Amazon’s Flywheel…
Key tenets:
• Value
• Selection
• Convenience
Copyright 2019 Scot Wingo and Jason Goldberg

16. Marketplace Examples
Copyright 2019 Scot Wingo and Jason Goldberg

17. Pure Play
Marketplace -
eBay
17Copyright 2019 Scot Wingo and Jason Goldberg

18. 18Copyright 2019 Scot Wingo and Jason Goldberg

19. Hybrid Model (1P and 3P)
19Copyright 2019 Scot Wingo and Jason Goldberg

20. Hyper-
Vertical
Focused
Marketplace
20Copyright 2019 Scot Wingo and Jason Goldberg

21. Drop Ship Marketplace
21Copyright 2019 Scot Wingo and Jason Goldberg

22. Social Media Based Marketplace
22Copyright 2019 Scot Wingo and Jason Goldberg

23. Chat or Messenger Marketplaces
23Copyright 2019 Scot Wingo and Jason Goldberg

24. Alibaba: Integrated Family of Marketplaces
24Copyright 2019 Scot Wingo and Jason Goldberg

25. Most Exciting New Marketplaces…
25Copyright 2019 Scot Wingo and Jason Goldberg

26. Most Exciting New Marketplaces…
26Copyright 2018 ChannelAdvisor
Copyright 2019 Scot Wingo and Jason Goldberg

27. Coming up…?
27Copyright 2019 Scot Wingo and Jason Goldberg

28. Coming up…?
28Copyright 2019 Scot Wingo and Jason Goldberg

29. ChannelAdvisor Marketplaces
29Copyright 2019 Scot Wingo and Jason Goldberg

30. The Future of
Marketplaces
Copyright 2019 Scot Wingo and Jason Goldberg

31. Suggestions
Copyright 2019 Scot Wingo and Jason Goldberg
Wish
Target
Simon Malls
Albertsons
Instagram Checkout
Amazon cutting back on 1P
Pinterest (Coming Soon) – hired Jeremy King from Walmart
Copyright 2019 Scot Wingo and Jason Goldberg

32. Copyright 2019 Scot Wingo and Jason Goldberg

33. Evolution of Last Mile
Copyright 2019 Scot Wingo and Jason Goldberg

35. Evolution of Last Mile

36. Evolution of Last Mile

37. Evolution of Last Mile

38. Evolution of Last Mile

39. Evolution of Last Mile

40. Evolution of Last Mile

41. Evolution of Last Mile

42. Route Based Delivery

43. Point Based Delivery

44. Curbside Pickup

45. Overall US Package Delivery by Carrier, 2017 (%)
41%
30%
19%
10%
USPS
UPS
FedEx
Source: Cowen and Company; Company Reports; FedEx based on fiscal yr.

46. Amazon US Package Delivery by Carrier, 2017 (%)
58%25%
5%
12%
USPS
UPS
FedEx
Source: Cowen and Company; Company Reports; MWPVL International

47. Packages Shipped Growth Rate, 2010-2017 (CAGR)
9.6%
5.4%
3.6%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
USPS FedEx UPS
Source: Cowen and Company; Company Reports; FedEx based on fiscal yr; FedEx acquisition of TNT closed in ‘16.

48. Packages Shipped Growth Rate, 2010-2017 (CAGR)
9.6%
5.4%
3.6%
16.0%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
USPS FedEx UPS eCom Growth
Source: Cowen and Company; Company Reports; FedEx based on fiscal yr; FedEx acquisition of TNT closed in ‘16.

51. Walmart Online Grocery Pickup

52. Alphabot

55. Copyright 2017 ChannelAdvisor 55

57. SameDay
Bot

59. Future of Commerce
Copyright 2019 Scot Wingo and Jason Goldberg

60. Retailers Trying to
Become Brands
Copyright 2019 Scot Wingo and Jason Goldberg

61. RETAILERS TRYING TO BECOME BRANDS

62. RETAILERS TRYING TO BECOME BRANDS

63. RETAILERS TRYING TO BECOME BRANDS

64. RETAILERS TRYING TO BECOME BRANDS

65. RETAILERS TRYING TO BECOME BRANDS

66. RETAILERS TRYING TO BECOME BRANDS

67. RETAILERS TRYING TO BECOME BRANDS

68. RETAILERS TRYING TO BECOME BRANDS

69. TARGET

70. WALMART

71. KROGER

72. Brands are Going Direct
Copyright 2019 Scot Wingo and Jason Goldberg

73. NIKETOWN OPENED IN 1990 — PORTLAND, OREGON

74. NIKE — DIRECT TO CONSUMER

75. $0.00
$4,000.00
$8,000.00
$12,000.00
$16,000.00
$20,000.00
Fiscal
2012
Fiscal
2014
Fiscal
2020E
DTC CURRENTLY 24%
OF NIKE REVENUE
TOP U.S. COMPANIES FOR R&D SPENDING
Direct-to-CustomerRevenue$millions

76. Explosion of DNVBs
• Digitally Native Vertical Brand
• In Other Words, a Brand that is born to go direct to
consumers
• 2007-2010 Bonobos, WP, Casper….
Copyright 2017 ChannelAdvisor

77. Explosion of DNVBs
Copyright 2017 ChannelAdvisor

78. Was Ron Johnson Right?
• 2000 Target->Apple Retail
• 2011 JC Penney
• 2013 Fired from JC Penney
Jonson’s JCP Vision
• A ‘shop of mini-shops’
• Exclusive Brands
• Events/Experiences: Coffee, yoga
• Town Square
• No cash registers
Copyright 2017 ChannelAdvisor

79. ULTIMATELY
A Few
Aggregators
Price, Assortment,
Convenience
Vertically
Integrated
Brands
Exclusivity, Personized,
Experience

80. Copyright 2017 ChannelAdvisor
Domain Northside (Simon)

81. 81
SCOT WINGO
Co-Founder and Executive Chairman, ChannelAdvisor
CEO Get Spiffy, Inc.
linkedin.com/in/thescotwingo/
jasonandscot.com
JASON “RETAILGEEK” GOLDBERG
Chief Commerce Strategy Officer, Publicis
linkedin.com/in/jasongoldberg/
@scotwingo
@retailgeek
Q+A