Using Multiple Marketplaces and Comparison Shopping to Attract More Customers
April, 2013
Jordan Weinstein Director of Business Development
� 3 Major Trends
� E-Commerce Fragmentation
� Cross-Border Trade
� Mobile = Marketplaces
� Utilizing the Magento Platform as the Central Hub for
Multichannel
Agenda
Multichannel
� Multichannel w/ Magento, Powered by ChannelAdvisor
� Marketplaces to consider
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E-Commerce channels over the last decade GMV in $b
Increasing Demand Fragmentation
Sources of consumer demand are increasingly fragmented and complex
Source: Public reports from eBay, Amazon, Google, Shopping.com and ChannelAdvisor estimates based on our transactional data.
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Yields Increasing Complexity
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Source: Public reports from eBay, Amazon, Google, Shopping.com and ChannelAdvisor estimates based on our transactional data.
Global Ecommerce Volume by Region
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Global Ecommerce Volume by Region
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Global Cross-Border Trade Opportunity
$$$
eCommerce(2012)*
7
$
*eCommerce volume represents relative figures, not absolute valuesSource: Forrester Online Retail Forecasts: Europe, US, Latin America, Asia
Operational Challenge
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Leading Global Marketplaces
Canada
Australia Brazil
ChinaUK
Germany
France
Japan
8
France
Italy
Spain
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Mobile is accelerating e-commerce adoption in several use cases:
1. In-store scanning for online/local (Showrooming)2. Local inventory awareness – closing the loop3. Geo-targeting
Mobile / Local
3. Geo-targeting4. Mobile payments5. We are all ‘online’ more, so usage is going up6. Different behaviors between
• Tablets – Incremental activity – couch commerce• Smartphones – Very transactional – price
checking, store locating, mobile purchase etc.
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Mobile - By 2015, 2-3X PC Users
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Mobile
Mobile traffic for top online retailers (in millions)
11
Source: comScore
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Magento – Multichannel Hub
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eBay, Amazon, and more…
Annual
Marketplace
GMV
$5B-$10B $25B <$500M <$500M <$500M
Established 1999 1995 2006 2010 2009
# of Sellers 2M+ 2M+ 10k+ 700+ 2500
Commission/Fees 6-25% 8-22% 6-15% 9-15% 7-20%
Technical
confidential 13
Seller Point-of-
Contact
Seller
Portal Form
Technical
Support
Account
Manager
Seller
Portal FormCategory Manager
Seller Portal
Form
Demographics Mass Mass Mass, 25+ Male, 18-35 Female, 35+
Key Growth
Categories -- -- --
Jewelry, Auto,
Toys/Games,
Home Living
Consumer
Electronics,
Home
Restricted
Categories
Apparel,
Jewelry &
Watches
(Gated)
-- --
Electronics (incl. Health
& Beauty), Cell Phones,
Appliances, Media/Software,
Lighting/Electrical, Office
Supplies
Auto Parts &
Tires, Large
Appliances,
Media
eBay, Amazon, and more…
TaxDetermined
by Merchant
Determined
by Merchant
Determined
by Merchant
Tax is owned by the
Marketplace. Newegg is
the seller of record.
Tax is owned
by the
Marketplace.
Sears is the
seller of
record.
Promotional
Offerings
Item-Level
Seller
Promotions
Daily Deal
Item-Level
Seller
Promotions
Daily Deal
Email, Homepage
placement, Daily Deals,
Promo Banners
Item-Level
Seller
Promotions
confidential 14
Promotions Promotions
Promo Banners Promotions
Used Products
Permitted Limited Yes No Refurb/Re-Certified
Refurb/Re-
Certified
Auto Fitment
Solution Yes Yes No No No
Product Ads
Option Yes No No No Yes
Fulfillment
Options
By Merchant
By Amazon By Merchant By Merchant
By Merchant
By Newegg
By Merchant
By Sears
Advantage When
Competing with
3P Seller
None -- None Newegg is always the
featured seller
Sears is always
the featured
seller