Pressure on companies forces change and their development into new markets to drive turnover. If there’s one example of this; LivingSocial plans to sell products from local and national merchants, as it follows in Groupon Goods footsteps.
This development creates a huge player within online market places. Testing in Cincinnati in June alone created $39,000, I know it doesn’t sound like much, but 39 big ones ain’t bad for testing! If all goes to plan Yipit estimate LivingSocial could generate $200 million this year! It may very well go to plan as year on year growth is sitting at 168.3%, and the market place generated $100 million turnover in Quarter 1 this year!
Wingo (www.internetretailer.com) claims that between Groupon and LivingSocial a $1 Billion turnover marketplace has been created, if they were a retailer they would be roughly the same size as Kohls Corp.
This doesn’t generate a new $1 billion into the online market, but takes it from Amazon, Ebay and the like. So if you’re an e-seller you need to ensure that your sales are competitive, and prices are kept up to date. This is where Seller Dynamics comes into play, helping you to harness your ability to sell effectively on Amazon. Where LivingSocial and Groupon sales fall short are with Customer service, a high seller rating shows a trust worthy seller who gives their customer what they want.