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Added: Jun 02, 2024
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Case 40 : Don't Let Platforms Commoditize Your Business Student: Hồ Nhật Tiến ID: BABAIU22280
“ Don't Let Platforms Commoditize Your Business ” " Platforms " places (internet) where businesses sell things, like online stores or websites. " Commoditize " not special or unique. " Your Business " your company/shop. Understand the sentence a warning/advice for businesse : "Hey, don't let the platforms make your business just like everyone else's. Stay unique and special!"
Table of Contents The Problems The Root Cause The Solutions Conclusion and Key Takeaways 01 02 03 04
The Problems 01 Enter a subtitle here if you need it
The Problems Sellers on large digital platforms face: Intense price competition Squeezed profit margins Loss of control over customer relationships. These challenges prevent long-term growth and profitability .
The Root Cause 02
The Root Cause As businesses go online increasingly dependent on platforms a wide range of customers. But : This dependence risks decreases their ability to manage their own future.
The Solution - Strategies for Sellers (2) 3
Strategy 1: Develop and Invest in Your Direct Channel Strategy 2: Use MSPs as Showrooms
Strategy 1: Develop and Invest in Your Direct Channel Invest in your own channels, such as branded websites and apps reach and serve customers directly . This enables you to establish a direct relationship and maintain control over customer interactions .
Strategy 2: Use MSPs as Showrooms MSP ( MultiSided Platform) help people connect and get things done on the internet.( Facebook, Amazon, Ebay , etc..) To attract new clients, use platforms as showrooms. Provide exclusive discounts through your direct channels, limit product on platforms, and primarily use platforms for attracting customers .
Success Stories Facebook's Acquisition Strategy. (Strategy 2) Facebook strategically acquired other social media platforms like Instagram and WhatsApp to protect itself from commoditization . By expanding its user base and diversifying its offerings, Facebook maintained its dominance in the social media and prevented commoditization by leveraging the network effect and ensuring strong user engagement across its platforms.
Conclusion and Key Takeaways 4
Conclusion and Key Takeaways By implementing these strategies, businesses can: maintain control over customer relationships Reduce commoditization risks get through in the platform-dominated business market.