Who Are the Consumers in a Double-Sided Marketplace?
Technologies, projects and services that exist to create value between two or more user groups are commonly referred to as double-sided marketplaces. Some of the most popular double-sided marketplaces include TaoBao, Uber, Airbnb, Alibaba, eBay, American Express, Square, Fandango, and PayPal. If you’ve used one or more of these resources in the past, you’ve experienced the beauty of a double-sided marketplace.
In this article, we’ll discuss the people behind the products that make the whole thing work – the consumers.
Destination hub Airbnb unites the travel community to an exceptional host with the simple click of a button. Book, manage, change, or cancel reservations online and save time and money. Airbnb and Vacation Rentals by Owner (VRBO) have made traveling fun and easier than ever before. Messages are sent via the web or mobile apps and vacationers and hosts have the ease of responding at their own convenience (within reason, of course). Strict guidelines ensure both parties are protected throughout the transaction.
Need a ride? Catch a Lyft or an Uber. With the tagline, “Get There, Your day belongs to you”, it’s easy to see why these ridesharing companies are popular with the public. Affordable, fast, reliable, and friendly drivers await. Schedule a car or SUV in seconds with the app – and pay that way, too.
Websites like eBay, Alibaba, TaoBao, and Rakuten connect buyers and sellers with one another in a seamless fashion that promotes ingenuity, style, and pizzazz. Not only does the buyer get to search for what exactly they need using distinct keywords, they also have to be savvy if they want to get the product at a decent price online. Everyone wins! The seller makes a little money unloading their goods while the buyer finds an invaluable new piece of nostalgia to fill their home, life or workplace. When the sale is complete, there’s another double-sided marketplace waiting to help in the wings – PayPal.
PayPal allows buyers and sellers to connect online for payment purposes in a safe and secure way. Buyers and sellers reap the benefit of this low-fee service and it’s available for use by anyone with an email address. This accessible service keeps getting better with time.
Need some excitement in your life? Sony’s PlayStation and Microsoft’s Xbox easily fulfil the need for speed with their double-sided marketplace set-up. Players make in-app purchases and connect with other consumers while playing, meanwhile game developers continue to engage a captive audience.
Want to see a movie? There’s a double-sided service and an accompanying app available for that, too.
American Express is another popular example of a double-sided marketplace used often. Easily buy, sell and cash in on goods and services when you need them the most. Building and maintaining a winning arrangement when cash is involved is not always easy; that’s why American Express must continually offer incentives to build and maintain value for their consumers.
The companies and services above are proof that when there’s a niche, someone – or something – will be quick to fill it.