How Do You Build Critical Volume Before Going Mass-Market?
Developing a thriving enterprise requires an innate understanding of your target demographic and how best to present your product or service to them. When your business serves the role as a middleman connecting other service providers and consumers this issue becomes even more acute. You’re suddenly tasked with identifying ideal service providers while simultaneously connecting them with quality clients while creating an environment conducive for business.
This need to simultaneously tackle both the “chicken” and “egg” side of the equation makes traditional marketing and business management seem like a walk in the park. Here are some ways you can tackle this quandary with relative ease while getting ahead of the competition!
Recognize the Need for Paid Staff until Service Providers Sign Up
One of the greatest hurdles double sided marketplaces encounter is the ability to build the credibility necessary to convince potential service providers to extend to you their time and services. A great way to handle this issue can be to build up a healthy client base by operating as a traditional company and extending out your presence as a double sided marketplace as a way to handle excess demand. This will help provide your company with a financial stream but also helping you obtain the critical information needed to properly position your marketplace to the general market.
Focus on Quality over Quantity with Your Service Providers
A service provider can be considered an employee of your company in many respects, especially in regards to ethics and public relations. As you grow your list of service providers it is vital to remember that a single bad apple can do more damage to your quarterly projections than a dozen delayed projects. Hold each freelancer to the same, if not higher, standards during the introductory phases of your on boarding process and make certain to monitor performance for any irregularities.
Recognise Where You Lack the Expertise to Proceed
There’s an old expression that no business owner should every forget, “No man is an island.” A great deal of your day-to-day activities revolve around delegating tasks to team members with the relevant training and experience needed to successfully carry them out. This includes advertising, a particular wrinkle for many double sided marketplaces.
For double sided marketplaces, most of the tools and methods that are currently ‘best practice’ can set your team up for failure. So to get the best out of your team, you need to provide them with the best tooling. That’s why tamme is solely focused on the complexities of double sided marketplaces. This focus allows the platform to understand the supply and demand of a marketplace at a postcode by postcode level and is able to determine budgets, channels, and creatives for each side of your marketplace, in each postcode. All based on the analytics data from your website crossed with a plethora of demographics data sources.
Using tools like tamme, that are designed specifically around the particular problem set that double sided marketplaces face, is a good way of ensuring that you are giving the best people, the best tools.
Success Comes from Spotting Possibilities for Even During Failure
The single most important thing to remember when developing your double sided marketplace is that the best niche to fill is often the one few recognize. As you go about implementing your initial business plan obtain feedback from both ends of the market to determine if there is an opportunity you are missing.
This is key, especially if your plan fails to garner your company the revenues needed for long-term success. Much like with a traditional business, any opportunity you fail to take advantage of will undoubtedly be leveraged by your competitors for increased market share down the line.