3. Marketplace challenges:
Two-Sided Markets: Where to Focus
• Markets have two distinct users: The service or product seller, and
the buyers.
• Each group benefits more when the other group joins the market
• Economists: focus user acquisition on more difficult group.
So the question is: Which is the more difficult group to acquire?
Legal exposure
4. Trends in Marketplaces
• Internet enables market efficiencies
• Classifieds → Craigslist
• Media → iTunes
• Books → Amazon
• Social discovery furthers market efficiencies
• Interests → Twitter, Pinterest
• Friends → Facebook
• Jobs → LinkedIn
• Marketplaces leverage social and commerce
• Donations → Kickstarter
• e-Commerce → The Fancy
• Discounts → LivingSocial