Ecommerce Marketplace Models

Vertical MarketplacePresented By :Group 4II Year , B.comSB College Changanacherry

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Eby Thomas1

George Philip

Akhil Kochumon

Mohan PV

Group Members

5 Sandeep S

Ecommerce Marketplace Models

Megamall

Market Place

Deal Maker

Lowest Bid Auctioneer

Communtity Buying

Aggregators

Facebook Commerce

Vertical Marketplace

What is “Vertical Marketplace” ?

Traditional Shops

ApproachWide

Choices

Sells Single Category Products

Vertical Market

Horizontal Vs vertical

Horizontal

Vertical

Meet the “Vertical Players”

Lenskart .com - Leading Optical Store

AllSchoolStuff.com – Educational Products

Firstcry.com –India’s largest store for baby care products

Demonstration

Watchkartwww.watchkart.com

Features of Vertical Marketplace Model

Deals with single segment of products.

A-Z brands in the segment.

High degree of domain knowledge.

Traditional shopping experience.

Quick and prompt delivery.

Single warehousing infrastructure.

Pros & Cons of Vertical Market Place

Wide Selection of brands.

High degree domain knowledge raises expertise and to deliver customer smoothly.

Trained staff to cater customer needs.

Not fragmented.

Good industrial relationship

Pros

Lack of horizontal availably.

Unstable revenue.

It’s a tedious process to win new customers.

Low returns on marketing.

Customers won’t be a regular buyer.

Very low operations.

Cons

How do they differ???Single category of products.

Low level of operations.

They mostly operate in segments where product knowledge is vital.

Their brand name should match with segments they operate.

Case Study - The 3 Karts!

“Lenskart has grown by 200% in the previous year. We are EBITDA* positive, even though none of the big e-commerce companies have achieved this so far”

* A company's earnings before interest, taxes, depreciation, and amortization

“We are extending our servicedirectly to customers via local partners”

“Attracting customers with quality and service”

(Peyush Bansal , CEO Valyoo)

How ecommerce sites works?

What's happening in Background ?

How do they fulfill our orders?

Any questions?