Report

December 1999

Net Marketplaces Grow Up

Varda Lief 		Vertical B-to-B eMarketplaces are all the rage. But as these sites begin to collide within industries, they'll need to interconnect with other marketplaces to survive.
by Varda Lief with Bruce Temkin, Kathryn McCarthy, Jeremy Sharrard, Tobias Brown

INTERVIEWS
  • eMarketplaces have ambitious goals -- they expect their transaction volume to grow more than seventyfold by 2001.
  • 74% of sites will provide more than one transaction mechanism within two years.
ANALYSIS
  • Transaction fees alone won't pay the bills for eMarketplaces.
  • Within two years, eMarketplaces will evolve into interconnected one-stop shops.
ACTION
  • Firms should invest in eMarketplaces, not build them.
  • Specialized services will affiliate with marketplaces.
WHAT IT MEANS
  • The FTC must allow firms to work together -- unfettered.
  • eMarketplaces will become a system integrator specialty.
 
Figures & Data
  • Figure 1.  eMarketplaces Anticipate Skyrocketing Growth
  • Figure 2.  Growth Drivers For eMarketplaces
  • Figure 3.  Sites Roll Out Additional Transaction Mechanisms
  • Figure 4.  eMarketplaces Diversify Revenue Sources
  • Figure 5.  Sites Expand Services
  • Figure 6.  B-to-B eCommerce Moves Toward Dynamic Connections
  • Figure 7.  Implications Of New eMarketplace Rules
  • Figure 8.  Vertical eMarketplaces' Path To Survival
  • Figure 9.  eMarketplaces Interconnect
   
RELATED MATERIAL 
  • Companies Interviewed For This Report
  • Related Research
 
GRAPEVINE
  • It's war, and the victor is . . .
  • You are what you eat.
  • Give it a break.
  • This site's got it nailed down.
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