Business Model Analysis
summary
Shows that commission vs cost‑per‑click shifts final prices: commissions raise buyer prices and push deals off platform, while CPC raises advertiser risk. Models an intermediary as a limited attention shelf and proves membership platforms like Costco gain extra supplier bargaining power. Proposes HOT‑lane pay‑for‑performance pricing to remove driver regret. Describes Faira, a home‑sale platform that inserts itself between buyer and seller, charges a nonrefundable 0.5% commitment fee, provides upfront due diligence, and reports two platform transactions so far.
AI-written summary · about
chapters (29)
- 0:00Intro
- 0:51Bottle It!
- 1:22Innovation Pyramid Business Model User Experience
- 4:09Business Model vs Pricing
- 4:27Variety of business models
- 5:27Ingredients
- 6:53Toll Road Business model Highway 167
- 11:08Business Models in this talk
- 12:01A model of Intermediary
- 13:05Matching
- 13:18Positions
- 14:40Cost-per-click vs Commission
- 15:54Illustration
- 16:28Working example
- 16:5610% ebay commission
- 17:34If eBay charges $18.75/click
- 18:28eBay Price
- 18:38Seller's website price
- 20:30Amazon Price
- 20:42Commission vs Mark-up
- 22:37Membership Model vs Mark-Up
- 23:40Amazon Prime
- 25:52Typical Purchase & Sale Agreement
- 27:52Competitive Situation
- 29:12Seller's Experience
- 29:38Buyer's Experience
- 31:16Linkage Principle
- 33:29Conceptually
- 35:08Conclusion
related talks
52mDashboard Mechanisms for Online Marketplaces
44mFacilitating the Search for Partners on Matching Platforms
50mQuality Selection in Two-Sided Markets: A Price Discrimination Approach
30mDesigning an Extensible Billing Platform using Domain-driven Design
44mAdvertising at the Speed of Light: DMP Platform
07mHeadless vs Traditional eCommerce Platforms: Introducing Commerce Layer
32mBuilding Scalable AI-Powered Platforms
54mPanel: Where is the Money at in M&A?