Why Marketplace is Your Next Big Initiative

1. Becoming a Marketplace, for B2B Manufacturers
Expert Talk
Why Marketplace is Your Next Big Initiative
spryker.com sqli.com

2. WHAT ARE THE
CONSEQUENCES
OF NOT HAVING A
MARKETPLACE?

3. Today everyone wants to become
a platform. Huge opportunities lie
ahead to accelerate the transition
towards sophisticated business
models.”
Alexander Graf,
Spryker Co-founder

4. The only feature that mattered was
that everyone was there.
Whoever gets the network effect
first, wins.
James Currier
NFX Guild

5. GUIDO X JANSEN
Evangelist @Spryker
MARNIX DEKKER
Digital Expert @SQLI

6. WHY ARE
MARKETPLACES
REVOLUTIONIZING
THE DIGITAL
LANDSCAPE?

7. The rise of marketplaces in numbers
$2.67
TRILLION
spent globally on the top 100 online marketplaces in 2020
Source: Gartner Inc, digitalcommerce360, Roland Berger
of Global Online Retail Sales are
accounted for by Marketplace Sales
62%
of the enterprise marketplaces launched will
serve B2B transactions by 2023
70%
Gross Merchandise Value Growth of 100
marketplaces, 2019-20
+29%
Asia USA UK France
REGIONAL MATURITY
Marketplace share in the regional e-commerce
market in %
$50B - $100B+
TOP 100
Size of the Top 100 Marketplaces broken down by
GMV in Billion US-$ in 2020
$1M - $40M $40M - $250M $250M - $1B $1B - $10B $10B - $50B
ON THE RISE
Marketplaces are driving the growth of GMV in Billion
US-$ of the worldwide e-commerce market
2014 2017 2018 2021e
Marketplace Wholesale

8. The Evolution of E-Commerce in a nutshell
E-Commerce 1.0:
Standard Pipeline (online
retailer) who owns the
majority of their
warehouse items
Online-Shop
E-Commerce 2.0: Retailer
with mix of dropship/
marketplace inventory.
One face to the customer
Hybrid
E-Commerce 3.0: Pure
platforms without any own
inventory
Platform

9. The Evolution of E-Commerce in a nutshell
Fully owned inventory +
direct shipping
Mix of dropship/
marketplace inventory
Pure platforms without any
own inventory
Online-Shop Hybrid Platform
Inventory
Risk
Product choice
Customer
Lifetime
Value

10. AND WHAT IS A
MARKETPLACE
EXACTLY?

11. Communication & Community Content Creation Service Transaction
Different types of platforms
Product Transaction Development Finance & Payment

12. MARKETPLACIFICATION
IS EVERYWHERE

13. Marketplace-ification is real.
FOOD & BEVERAGES
LEARNING & DEVELOPMENT HEALTH CARE & PHARMA
CONSTRUCTION & RAW MATERIALS
SERVICES TRANSPORTATION & PACKAGING

14. C2C
[From consumer
to consumer]
Commerce Type Accessibility
Characteristics of Marketplaces
Offering Business Model
D2C / B2C
[From business
to consumer]
B2B
[Pure business
transactions]
Open
[no entry barriers]
Closed
[invitation required]
Pure 3rd party
[Marketplace Owner
is only Operator]
1P & 3P
[Marketplace Owner as
Merchant + Operator]
Generalist
[Broad Portfolio]
Specialist
[Niche Portfolio]

15. WHAT ARE THE
CHALLENGES
RETAIL
COMPANIES
FACE OVER THE
NEXT YEARS?

16. Challenges that drive the rise of marketplaces
Organic growth cannot meet the
market speed
1
New business models and categories
have to be tested constantly
2
Scaling is subject to major
financial risk
3
Customers are searching
for one stop solutions,
which increases cart sizes
4
Competing on the more
diverse product catalog
with product longtail
5
Increasing CAC require
higher lifetime values or
basket sizes
6
The need of complex IT
solutions demand a broad
reach to ensure a ROI
7

17. HOW DOES A
MARKETPLACE
SUPPORT
RETAILERS
DEFINE A
STRATEGY FOR
LONGTERM
SUCCESS?

18. An Enterprise Marketplace offers benefits for all
involved parties
MARKET-
PLACE
Operator
Operator
+ products & services w/o
inventory increase
+ additional revenue streams
+ harmonization of channels
Customer
Customers
+ transparency
+ products & offers
+ curated offers
Merchant
+ access to new customers
+ operate in standardized
environment
+ Partial outsourcing value chain
+ self-service selling
Merchant

19. An Enterprise Marketplace is the logical consequence
for retail organizations
Customer expectations
increase
Customers are getting
more price sensitive
Customer loyalty
decreases
A broad portfolio and best prices are generally expected
Differentiation though added value.
Enterprise Marketplace enable a focus on such aspects
Trust &
Security
Advisory &
Consultation
Service &
Support

20. Digital commerce opens up unlimited commerce possibilities
D2C
Producer sell products or
services directly to
consumers [e.g. Adidas]
B2B2C
Two or more businesses offer
products or services to
consumers [e.g. UberEats]
B2C
Transactions conducted
between businesses and
consumers [e.g. Apple]
C2C
Customer purchases from
another customer (peer to
peer) [e.g. Etsy]
C2B
Customers offer services
(or goods) to businesses
[e.g. Upwork] B2B
Commercial transactions between
businesses [e.g. Grainger]
B2Gov
Businesses offer goods or
services to governments [e.g.
US Federal Gov Platform]

21. HOW DO YOUR
CUSTOMERS
APPROACH THE
TOPIC OF
MARKETPLACE

22. Sourceability: a marketplace disrupting the electronic component supply chain

23. Common Spryker Enterprise Marketplace Use Cases
23
Scalability & Customer Access
- Extension of portfolio with
additional products or services
- Scaling without inventory risk
- Capitalizing customer access
with merchant integration
Indirect Sales Solution
- Utilizing (an existing) partner
network as Merchants to fulfill
orders or connect website with
retailers
- Digitizing the indirect sales
approach
Unified Commerce
- Connecting the online store with
stationary outlets as Merchants
- Empowering subsidiaries, retail
locations, etc. to steer digital
participation directly

24. Business Value
of Enterprise Marketplaces
● Increases conversion & revenue, test and offer additional services
● Empowers to scale without (or with decreased) inventory risk
● Allows the introduction of new products & services
● Enables CAC & CLV improvements, capitalizing existing customer access
● Creates transparency and attractive offers for buyers

25. WHAT ARE SOME
SUCCESS
FACTORS IN
BUILDING A
MARKETPLACE?

26. What makes a great marketplace?
- Reached marketplace liquidity: users can have the reasonable
expectation to sell something they list or find what they’re
looking for
- Cross-side network effects: The strengths of one side has
effects on the growth of the other.

27. Raffle
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Here is what you need to do:
- Visit our booth
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We will draw and and contact the winner at the end of the day.

28. Becoming a Marketplace, for B2B Manufacturers
Expert Talk
Why Marketplace is Your Next Big Initiative
spryker.com sqli.com

29. End

30. 10 steps to setup your Enterprise Marketplace
Define portfolio
extension
Derive a value
proposition
Setup backend &
settings
Define working
model
Select & onboard test
merchants
Design Merchant
process & SLA
Set targets and key
metrics
Upgrade processes &
technology
Consider customer
needs
Shoot &
Learn

31. Audience Question
Is your organization planning to introduce
your own marketplaces?

32. Business models in retail change fast and become digital
Transportation
& Storage
Offline
Channels
Recycling
Design
Production
Sales to
Shopper
Automated Reorder / Smart
Replenishment
Unified
Commerce
Reseller Marketplace
Design Community / Customization
Online
Channels
Local Product Marketplace / Fulfillment Services
Sharing Models / Pay by
Consumption
Re-Commerce & Upcycling

33. Digital purchasing will streamline the sales process
33
Purchase
1.0 Traditional
Merchant
2.0 E-commerce
Intermediary (e.g. Google)
2.x M-commerce
Intermediary (e.g. Google)
2.x Services
Service (e.g. subscription, Prime)
3.0 Devices
Device (e.g. subscription)
4.0 „Thoughts“
Neuro (e.g. Chip)
Purchase
Purchase
Intention
Momentum Competition
Product
Selection
Product
Selection
Supplier
Selection
Product
Selection
Supplier
Selection
Supplier
Selection
Product
Selection
Purchase
Purchase
Purchase
Purchase
Source: http://blog.carpathia.ch/2010/04/09/der-digitale-kaufprozess-gestern-heute-und-morgen

34. This leads to three stages of platform development
34
E-Commerce 1.0: Standard Pipeline
(online retailer) who owns the majority
of their warehouse items
1.0
– Limited selection for the customer
– High inventory risk
– Business model heavily under pressure by the 2.0 model
(cyberport.de, h&m.com….)
E-Commerce 2.0: Retailer with mix of
dropship/ marketplace inventory. One
face to the customer
2.0
– Huge selection for the customer
– Medium inventory risk
– Most successful commerce model (Amazon.com, Otto.de)
E-Commerce 3.0: Pure platforms
without any own inventory
3.0
– Biggest selection but less control over quality of products/service
– Zero inventory risk, best prices
– Most successful in the next decade (Alibaba.com; Etsy.com)
3.0

35. 35
Consumers have to deal with an overwhelming
amount of products and services.
Jim Gaffigan
Comedian
They should bundle all
the streaming services
together and call it cable.
300
By the end of
2022, the average
internet user will
have
individual
digital accounts.
Source: Dashlane
10.000
The average
American
consumer sees
around
ads per day.
Source: Forbes

36. 36
Marketplaces are dominating digital commerce.
$2.67 TRILLION
spent globally on the top 100
online marketplaces in 2020
Source: digitalcommerce360

37. 37
Marketplaces displace traditional Retail Businesses.
62%
of Global Online
Retail Sales are
accounted for
by Marketplace
Sales
Source: digitalcommerce360

38. 38
Consumers increasingly look out for solutions that
make their lives easier by aggregating offerings of an
industry.
Service Aggregators
Product Aggregators

39. 39
● PepsiCo offers a cross-brand online
shop that aggregates “food and
beverages for every occasion”
● Customers can order product by product
of choose from curated bundles (e.g.
Protein Bundle or Family Bundle)
PANTRY SHOP
BY PEPSICO
● Unilever offers a
webshop with all their
brands, incl. curated
bundles and
cross-brand promotions
U SHOP
BY UNILEVER
How can CPG brands strategically extend their multi
brand shops to complement their own assortment
(relevance)?

40. 40
Independent operator marketplaces aggregate
product offerings across an industry.
● Motatos is NOT a marketplace yet but
the business model would we highly
attractive for a marketplace solution
● Motatos buys expired products from
CPG brands and retailers and sells them
to consumers online at a certain margin
MOTATOS
● Douglas started as operator
marketplace for all things beauty
● Later they started to strategically
develop and integrate own products to
close gaps in the assortment and tap
into behavioral trends
DOUGLAS

41. 41
Independent operator marketplaces aggregate
product offerings across an industry.
● Durst is a market place for drinks from
local retailers
● Users can purchase products from
different merchants
● Durst will pick up the selected drinks
from local retailers and deliver them to
customers’ doors
DURST

42. 42
B2B will be heavily influenced by Marketplaces as
well.
70%
B2B Transactions
will be served by
Enterprise Market-
places by 2023
Source: Gartner

43. 43
Markets are getting increasingly fragmented, more and
more players specialize in niche areas of an industry.

44. 44
Marketplaces should integrate products and services
to turn into true one-stop shops.
● Gastivo aggregates all products services that
are relevant for hotels, restaurants and cafés
● Customers can choose from a wide range of
merchants, from product replenishment to
maintenance and cleaning services
GASTIVO - THE
HORECA
MARKETPLACE
● Danish ship supply provider
launched an independent operator
marketplace that offers all things
ship supply - from crew supplies to
spare parts and maintenance
services
● Wrist does not offer own products
or services on the platform but
purely benefits from transaction
fees and value added services
WRIST
MARKETPLACE

45. 45
Marketplaces should integrate products and services
to turn into true one-stop shops.
● Kollex is a B2B marketplace for
HoReCa
● Beverage wholesalers are listed as
merchants and hotels, restaurants
or cafés can order directly from the
platform
KOLLEX // BEVERAGE
MARKETPLACE

46. Two different business models
Marketplace
Operator
Enterprise
Marketplace

47. 47
Q3:
What are the specific challenges of retailers in the
Benelux?

48. 48
5 Success Factors of building a successful marketplace

49. 49
Welcome to our Expert Talk!
What we will cover
− Industry insights: The relevance and potential of B2B marketplaces
− Key challenges for manufacturers and how to overcome them
− Industry best practices
− Marketplaces features that benefit B2B manufacturers
− Top 5 marketplaces features for manufacturers
− Q&A
Our experts
Yara Molthan, Director of Business Consulting at Spryker and a pioneer in E-Commerce
Marnix Dekker, Digital Commerce Expert at SQLI
Housekeeping
− The webinar will be recorded and you will receive the recording
− All participants of the event are muted - please interact with us by using the chat
− Please participate within our 2 polls!

50. POLL 1
What are your goals and objectives towards
marketplaces for your organization?

51. 51
Current and Future Challenges of B2B manufacturers
in the Netherlands and Europe?

52. 52
How does a marketplace business model help to solve
these challenges and support manufacturers define a
comprehensive strategy for long term success?

53. 53
How to build a marketplace properly?

54. 10 steps to setup your Enterprise Marketplace
54
Define portfolio
extension
Derive a value
proposition
Setup backend &
settings
Define working
model
Select & onboard test
merchants
Design Merchant
process & SLA
Set targets and key
metrics
Upgrade processes &
technology
Consider customer
needs
Shoot &
Learn

55. 55
5 Success Factors of building a successful marketplace?

56. 56
Based on your experience, what are the key success
factors in the development phase?

57. 57
How do your customers approach the topic of marketplace
and what is the proof of value? Can you share some best
practices?

58. Senti . Quaesti . Labora . Inspira

59. 59
SQLI is committed to your digital success.
We are technical and creative thinkers and doers,
delivering engaging experiences and business
growth across the digital landscape.
WHAT WE DO
WE CRAFT DIGITAL
EXPERIENCES
THAT DEFINE THE SUCCESS
OF GREAT BRANDS

60. 60
SERVICES
• DATA & INSIGHTS
○ Master Data Management (MDM)
○ Digital Asset Management (DAM)
○ Product information Management (PIM)
○ Search & Analytics
• CUSTOMER EXPERIENCE & DESIGN
○ Branding / UX & UI Design
○ SEO / SEA
○ Social Media
○ Digital Marketing
• EXPERIENCE PLATFORMS
○ Websites / Customer Portals
○ Experience Management
○ Customer Data Platform
TO MAKE YOUR DIGITAL JOURNEY A SUCCESS
• DIGITAL CONSULTING
○ Digital Strategy & Roadmap
○ UX research
○ Lean innovation
• E-COMMERCE
○ Webshop / B2B portal
○ Guided Selling / Virtual Assistant
○ Marketplaces
○ Order management
• TECHNOLOGY & TRANSFORMATION
○ Hosting
○ Application Maintenance
○ Monitoring
s

61. 61
CHOOSING THE
BEST SOLUTIONS
ON THE MARKET
To build sustainable and efficient solutions, we work in
collaboration with partners aligned with our ambition.
Our approach is agnostic. We strive to offer you the
solutions that are best suited to your challenges and
constraints.

62. 62
Question from Registration Page:
What Industries are recently most receptive to the
DTC+Manage-Reseller approach and why?

63. 63
Question from the Registration Page:
How to integrate a marketplace to an existing B2B from a
strategic perspective

64. 64
Question from Registration Page:
Biggest challenges in establishing B2B marketplace?