Opportunities, but also dilemmas for advertisers
Posted: Tue Dec 17, 2024 3:24 am
That is not so strange. On the internet, the really big money is essentially earned with the distribution of clicks, leads and sales. Companies that have anchored that in their business model, in most cases run off with the big money. The economies of scale and network effects of platforms are so great that they will continue to expand their positions in the coming years. For advertisers, this offers many opportunities, but at the same time it also brings with it the necessary dilemmas. It produces many (new) questions, to which the answers cannot always be given yet.
Many large retailers have seen this for some time now and have started transforming their own model into platform models quite early. Amazon and bol are good examples of this. Many other (traditional) retailers have already experimented here and there in this area. Understandably, because the place you take as a retailer within the albania phone number library entire distribution chain has become more important online than ever before. One of the biggest challenges, however, is that the transition from a less flexible model to a network orchestration model is often very capital-intensive at first.
Distinguish with your proposition
A challenge for retailers who are active or want to become active within these platforms is to offer differentiation with their own proposition. Many of these platforms are namely focused on standardized products, which means that price can quickly play a major role.
This can cause a constant competition in that area of price. This competition - combined with the dependency that can exist - can pose major challenges. As a retailer, competing primarily on price within platforms will therefore not be sufficient in most cases.
14. Continuous optimization of business models
Many large parties work daily in an (almost) scientific way on the optimization of their business model. They not only have the most data at their disposal, but also know how to use this data in a smart way to optimize the entire business model. That is one of the reasons why the large parties are getting bigger. For smaller parties it is often difficult enough to realize similar growth percentages.
Due to the availability of tools such as Optimizely, Convert and VWO, many parties have now performed the necessary A/B tests. Often focused on improving 1 or 2 components. However, a relatively small number of parties actually use these A/B tests to work on optimizing the entire business model in a data-driven manner.
Many large retailers have seen this for some time now and have started transforming their own model into platform models quite early. Amazon and bol are good examples of this. Many other (traditional) retailers have already experimented here and there in this area. Understandably, because the place you take as a retailer within the albania phone number library entire distribution chain has become more important online than ever before. One of the biggest challenges, however, is that the transition from a less flexible model to a network orchestration model is often very capital-intensive at first.
Distinguish with your proposition
A challenge for retailers who are active or want to become active within these platforms is to offer differentiation with their own proposition. Many of these platforms are namely focused on standardized products, which means that price can quickly play a major role.
This can cause a constant competition in that area of price. This competition - combined with the dependency that can exist - can pose major challenges. As a retailer, competing primarily on price within platforms will therefore not be sufficient in most cases.
14. Continuous optimization of business models
Many large parties work daily in an (almost) scientific way on the optimization of their business model. They not only have the most data at their disposal, but also know how to use this data in a smart way to optimize the entire business model. That is one of the reasons why the large parties are getting bigger. For smaller parties it is often difficult enough to realize similar growth percentages.
Due to the availability of tools such as Optimizely, Convert and VWO, many parties have now performed the necessary A/B tests. Often focused on improving 1 or 2 components. However, a relatively small number of parties actually use these A/B tests to work on optimizing the entire business model in a data-driven manner.