There are many companies that have emerged in recent years following the powerful Business Model "Multisided" and copying the successful experience from companies such as eBay. How would these intermediaries competitive markets?
In the article we identified from different features and approaches Multisided differences between the model and the Reseller. Below is a comparison chart showing key factors, as mentioned in the article, to determine which model is the most profitable and helps create value.
Reseller (Pure) Multisided (Pure)
Examples Costco, Wallmart, iTunes, Avis eBay, App Store, Lyft
They manage their own stock description
No act of resellers have stock
Are the channel between buyers and sellers
Choosing the Model
Business much capital is required high investment costs operating. Low profit margin but with high incomes. It does not require much capital
Low investment costs operating. High profit margin
Buying Experience
Increased sales and involvement in the process. includes price control and sales. They add value by serving intermediary. little control to provide an experience E2E
Scale effect Its focus is on the experience of buy, with a range of services associated or included. Low-profit products
Demand provided by different
Sellers. Model of Long-Tail
Effects of aggregation favor the experience of consumer to avoid dealing with various intermediaries and suppliers. Exploit shopping experience offering products that add value and complement the product
Original
Market Failures
The image of the reseller who is affected by confidence customer experience and post-sale mechanisms are implemented feedback to vendors and buyers, this to reduce uncertainty about the quality products and services.
Challenge for
Strong Start-up investment needs capital. Overcome market barriers objective (buyers and sellers alike).
Covering