On-demand Webinar – How to Create a Winning Marketplace Performance Management Strategy
Every year numerous marketplaces are launched with the promise of better products and more choices for the customer. But only a handful of them succeeds in the longer term. While many operators can bring in the optimum number of sellers and buyers into their marketplace and generate the initial traction, it withers out over a while. Being in the marketplace business for over two decades, we know a thing or two about how to succeed in this business, and it comes down to this. All the successful marketplaces have one thing in common, especially those who reach true scale, they have a comprehensive performance management strategy.
This was the topic discussed in our Marketplace Best Practices event series last month. If you missed this session, here’s your chance to access all the great insights and learning.
We present an on-demand webinar, “How to Create a Winning Marketplace Performance Management Strategy,” an online event that took place on February 24th 2022.
Some of the key areas covered in this webinar were;
- How to select the right key metrics to measure for your marketplace use case
- How to quantify those metrics using dashboards and reports
- How to gain meaningful, actionable insights from that data
- How to operationalize the performance management process to drive scale and profitability
Tyler Ellison from ChemDirect, Mark Brohan from DC 360, and Lee Riesterer from McFadyen Digital brought their perspectives on how marketplace performance management helps drive real growth and scale. Let’s know a little more about the speakers and the topics they covered presented.
Lee Riesterer is Chief Digital Officer at McFadyen Digital. Lee leads Advisory Services Practice helping McFadyen clients develop winning marketplace strategies and driving innovation for their online marketplace and e-commerce businesses. Lee opened the session by setting the objectives and delving into the definition of Marketplace Performance Management right from the academic idea to a product level. “MPM is the concept of proactively managing your marketplace to drive profitable growth,” said Lee while setting the stage for Mark Brohan to talk about Marketplaces – State of the Market.
Mark Brohan is the Vice President, B2B and Market Research Development at Digital Commerce 360. DC360 is a global leader in ecommerce research and media, with over 20 years of experience in reporting and analysis. It has been a go-to source for McFadyen Digital for all things marketplace. Mark presented some insightful data which showed how B2B commerce is continuing to grow at a very healthy rate and how B2B marketplaces have now entered the digital commerce mainstream. The key takeaway from Mark’s part was that companies aiming to start/ operate a marketplace should have a holistic view about things, its not just about technology. For instance, the data must be right, the product mix has to work amongst other considerations.
Tyler Ellison presented ChemDirect case study. Tyler is the Founder & CEO of ChemDirect, a digital B2B marketplace built for the chemical industry. ChemDirect digitally connects chemical buyers to the vast expanse of chemical manufacturers, with a buying experience unmatched in the industry.
Tyler discussed how implementing a marketplace model actually helped ChemDirect several issues. For instance, they have little visibility into customer preference and market access from a supplier standpoint. Most importantly, there is a total lack of data once the product leaves the manufacturing facility. There are long purchase cycles and lack of transparency on the buyer side. All these problems were addressed through the implementation of an online marketplace. Tyler also discussed how McFadyen Digital helped them get a Marketplace Performance Strategy in place. This was further reinforced through the delivery of the Marketplace Performance Management Dashboard that McFadyen Digital rolled out for ChemDirect. Tyler delved into how the MPM dashboard is helping them run marketplace operations with better data at hand to make the right decisions.
ChemDirect case study helped the webinar into the following topic: the key performance areas marketplace operators should be managing. Laura Landau, Client Success Manager at McFadyen Digital, talked about key metric areas from a marketplace performance management standpoint. These included Seller Performance, Buyer Analysis, GMV Patterns, and Category Analysis. One of the exciting slides of this session was the oil analogy for data in terms of how data is extracted, refined and used.
Lee closed the session by giving some valuable guidance on getting started on the MPM (Marketplace Performance Management) process and provided a great visual illustration that spoke about which levers to pull to improve the metrics and part of the advisory services.
Overall it was a fantastic session that provided great learning and insights on creating a winning Marketplace Performance Management Strategy. You can access the on-demand webinar here.
To know more about our strategy services visit Marketplace Strategy Services . We also have a brand new product called the Marketplace Performance Management Dashboard. An industry first best-practices packed intelligence tool created for marketplace operators by marketplace experts. This system of powerful dashboards and reports helps ensure your marketplace operations team is measuring the right metrics to drive actionable intelligence that reliably translates into profit and scale. To download dashboard data sheet or to schedule a demo visit MPM Dashboard.