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All GMV is not created equal

A Crowded Space

Weak marketplaces suffer from disintermediation, pricing pressure, and destructive competition. At oDesk, we started with a 50%+ take rate but quickly lowered that to 30% and then 10% as we became more self-service and also wanted to lock up the market and prevent any disintermediation. This comes back to the value of the match.

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Why I love the Care Space

A Crowded Space

Startups are attacking just about every vertical. This may make disintermediation a big challenge. Making this process easy and convenient should be enough to prevent disintermediation. However, I’ve been surprised to see one industry where there hasn’t been much startup activity. It is an $84B industry in the US.

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Better, Cheaper, More Convenient

Rob Go

M arketplace businesses are the classic example of this because they disintermediate the supply chain and offer a more free exchange of products between buyers and sellers. These are markets where the broad market is very price sensitive, but the high end market is relatively price insensitive. An example of this is the market for wine.

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Transcript of What Local Businesses Need to Know About the State of Local SEO

Duct Tape Marketing

The disintermediation potential there in what’s happening today in certain verticals is absolutely a byproduct. I think for local marketers, I think one important thing to do is understand depending on the vertical that they play in and the geography, right? Because those have a factor as well. I don’t think so.

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