This document summarizes a presentation about establishing a B2B marketplace. It discusses how marketplaces can help brands sell directly without disrupting existing channel partnerships. The presentation includes a case study of how HPE launched a marketplace in 2015 that drove more traffic, leads, revenue and average order value. Key lessons from HPE's experience include evaluating partner capabilities, having different marketplace models for different regions, and structuring the site for leverage and scale. The presentation provides tips on starting a marketplace such as having a strong sponsor, building consensus, and creating a foundation that can scale.
10. Convenience determines starting point
54% of product searches begin on Amazon, up from 46% in 2015
Copyright 2019 ChannelAdvisor 10
54%
46%46%
54%
40%
42%
44%
46%
48%
50%
52%
54%
56%
58%
2015 2018
Google Amazon
Source: Jumpshot
18. Confidential 18
REWIND
2015
APRIL 2015
“How do you maintain and manage an
online eCommerce presence without
disrupting the relationship with the
channel? – i.e. avoid channel conflict, avoid
channel cannibalization and avoid
disrupting relationship with partners”
19. WHY THE MARKETPLACE WAS AN APPEALING OPTION
• Enabled channel-friendly execution
• Made existing channel inventory and channel pricing visible for partner managed, current listed
SKUs. No pricing, merchandising, logistics, warehousing.
• Monetized “.com” traffic, improved customer digital experience.
• Aligned with company strategy to increase no-touch transactions and grow SMB leads (long
tail).
• Leveraged existing software, resources, GUI. Easy to extend globally. Low startup and
maintenance costs.
• Enhanced direct customer relationships (customer experience and data)
19
20. TIMELINE
20November 2015
• Launched original US Marketplace, which referred
traffic to partner sites.
• Kayak Model – referral based- Customers were
redirected to partner site to finish purchase
• Launched HPE’s first public online store in the US.
• Hpe.com hosted cart and checkout experience (
complete transaction managed at hpe.com )
• Late 2017: Added online config for purchase or quote.
Simple bundles
June 2017 March 2019
• Platform upgrade- moved to Industry leading
eCommerce platform.
• Migrated product catalog from AEM to Hybris.
Significant integrations with HPE.com.
21. CUSTOMER PROFILES
Are we hitting our target audience in the unattended
SMB space?
Yes, we are! Inspiring
90%
public happiness
in 2016
CONFIDENTIAL 21
22. SIGNIFICANT VALUE-ADD TO BUSINESS
2X increase in average monthly visitors
40% more time spent by customers
browsing and shopping our site
300% increase in average
monthly SFDC leads
2X increase in average order value
(AOV)
400
%
increase in online average monthly revenue in past 6 months.
Iterative incremental learnings continue
to drive reach, scale and results
22CONFIDENTIAL
23. KEY TAKEAWAYS FROM
OUR JOURNEY
23
What have we learnt from establishing and operating our marketplace?
Partner Capabilities Are Key
Evaluate your partner landscape for
• Technological Maturity
• Breadth of product portfolio coverage including services
• Country footprint
CONFIDENTIAL
24. KEY TAKEAWAYS FROM
OUR JOURNEY
24
What have we learnt from establishing and operating our marketplace?
Marketplaces can have different flavors
The right marketplace model for your business can vary based on country and local
preferences. One size does not fit all.
• Platinum partners only
• Fulfillment by Distributor
• Direct Sell with Partner Fulfillment in the backend
CONFIDENTIAL
25. KEY TAKEAWAYS FROM
OUR JOURNEY
25
What have we learnt from establishing and operating our marketplace?
Structure your site for leverage
• Make the transition from Browse/Learn to Buy seamless
• Lowest priced partner does not always get the order. Choose default sorts accordingly.
• Traditional eCommerce engagement metrics work just as well for marketplaces.
• Chat and Online to offline transitions are surprisingly popular.
• Platform performance matters.
CONFIDENTIAL
HP split – 2015
HP Inc got the public facing eCommerce Assets
- Hewlett Packard Enterprise which had “Enterprise” in its name had to decide how,it would play in the public eCommerce space
- HPE is a channel centric company with the theme “Partner First”
Global company – operating in almost all countries either directly or via partners.
Kayak model – lead drop offs, transition was jarring focus groups didn’t like it
Integrated cart and checkout helped
Configurations and bundles needed for our business
Integrated product catalog and platform upgrade helped even more