Electronic Marketplaces E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

Table of Contents 1.Definition 2.Different Types of Electronic Marketplaces 3.Advantages of Electronic Marketplaces 4.Profitability & Use of Electronic Market- places 5.Problems with Electronic Marketplaces E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

1.Definition Electronic shopping platform in the internet Many sellers can offer their products & services Many buyers can satisfy their interest to buy or inform about products & services Trade function as in the traditional market place E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

2.Types of Electronic Marketplaces B2B Marketplaces:  Better known E-Procurement  Professional acquisition of goods/services  Automobile industry B2C Marketplaces:  Trading activity btw. companies & private individuals C2C Marketplaces:  Trading activity btw. two private parties E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

2.Types of Electronic Marketplaces Horizontal Marketplaces:  No specified product range  Department store like “Kaufhof” or “Karstadt” E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

2.Types of Electronic Marketplaces Vertical Marketplaces:  Products of one kind  Specialised store E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

3.Advantages of Electronic Marketplaces Eliminates geographical borders No opening times Reduced transaction costs Serves as an information platform Connects more than two parties E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

3.Advantages of Electronic Marketplaces Compare opportunities better Reduction of overall time expenditure Reduction of process costs Cutting in SC-costs and inventory levels Gain cost advantages Flexible price structure E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

3.Advantages of Electronic Marketplaces However:  High internal costs  Chance for 3PL (third party logistics) E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

4.Profitability & Use of Electronic Marketplaces 75 % use Internet to compare prices 63 % actually buy products 2007: 17.2 Billion Revenue via Electronic Marketplace E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker Internet Access Source:

4.Profitability & Use of Electronic Marketplaces E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker (Source: E-Commerce Center Handel – Retrieved on 4th March 2010)

5.Problems with Electronic Marketplaces 56 % of Online-Purchasers have had bad experience Problem: Payment Mechanism  79 % change to other providers when pre-payment required  60 % if credit card payment installed  Seal of approval rate shrinks to 1/3 E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker

Questions?! Suggestions?! ….if not: Thank you for your attention! E-Commerce Presentation – “Electronic Marketplaces” by Kristina Becker