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MenuAre there any good examples of marketplaces that grew by focusing on the supply side first?
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Yes there is!...A marketplace is a platform where vendors can come together to sell their products or services to a curated customer base. ... Examples for marketplaces Which grew as a result of focusing at the supplies end are large companies with huge inventories like Amazon, Rakuten or eBay or niche platforms like Etsy (handmade crafts), Runnics (sportswear for running) or Shop. All these Marketplace companies also had a better experiences by Focusing at the suppliers side or angle to better it's development Path.


If you wish to inflate supply side without user-activity, there are several good examples for that. It is however interesting to know that "supply side" is not only the one factor that influences the market place.
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There are many examples of marketplaces that grew by focusing on the supply side first. These include Amazon, Alibaba, eBay, Uber, Airbnb, and Foodspotting.
Marketplaces that focused on the supply side first include Amazon, Alibaba, and eBay. Amazon started by selling books while Alibaba has succeeded in China by selling goods. eBay launched with a focus on classified ads while the majority of its business is now in online auctions.
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Question - how do you attract and retain demand if you don't have supply ;). Lenny R has an incredibly thorough series of articles on the topic of marketplaces - https://www.lennysnewsletter.com/p/how-to-kickstart-and-scale-a-marketplace.
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What is the pros and cons of a marketplace website like houzz.com, zillow.com and trulia.com where users send mail to professional without logging in?
It really depends on your mission and from where you intend to drive revenues. Asking a guest to create an account and log in in order to send an email to your customers could be seen as a stumbling block. The more you can encourage visitors to reach out to your customers, the more your customers will have a great experience, On the other hand, you have to make sure you all the security measures in place so your customers do not get spammed through your site. Give me a call to discuss further. I offer a free initial call to first time clients. Use this link: https://clarity.fm/kevinmccarthy/FreeConsult
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What support software do most marketplace startups use? Is it custom, or a SaaS product like Zendesk, Desk.com or Uservoice
Your support software should cater to your needs, depending on how your business operates. Fiver uses Vanilla forum and Zendesk. Thumbtack uses Zendesk. Not sure about AirBNB, their help center seems to be custom. Depending on how well funded your are, I would recommend starting with a free plan with one of the help desk SaaS products, or even using open source ticketing platform. Then, as your needs grow and you need integration with your marketplace, there's no reason you can't scale and migrate.
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Holding funds in a 2-sided marketplace?
Check out https://www.balancedpayments.com/ They are made for marketplaces. Airbnb CEO among others invested in them and they have some of the best pricing/payout fees. Also some good info on http://www.collaborativeconsumption.com/2013/10/08/online-marketplaces-are-hard/ One of Balanced Payments co-founders is writing this blog series on marketplaces.
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What's the average CAC value or range for a Marketplace client?
I think you're looking at this the wrong way. Your customer acquisition cost is not something you should benchmark against other businesses. Without knowing more, like your short and long-term goals, it's impossible to answer. Two companies with similar business models may have different answers to this question. A venture-backed startup trying to keep up with aggressive revenue goals may be able to stomach an astronomical CAC. A bootstrapped startup that is not seeking venture money may aim for slower growth and much lower CAC. I suggest setting up a call with a marketing or finance expert to determine what CAC is appropriate for your company and how to get there.
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How to solve a chicken and egg problems for a marketplace like Uber? What is the best way to acquire demand side?
The best way to solve chicken and egg problems for marketplaces is to prove market need on each side independently first with a low-cost MVP-type test. Once you've proven the market on both sides with metrics it is much easier to leg in supply and demand with a strategic or enough funding to match a market on a local or niche level to ensure liquidity. For a deeper analysis, here is a post on medium that I wrote... http://bit.ly/1k2vYbY Also, feel free to schedule a call with me if you'd like to dig deeper.