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How to build and scale winning marketplaces | Casey Winters (Eventbrite, Pinterest, Grubhub)
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Exploring the Dynamics of Software Marketplaces and Supplier Quality Standards
In software marketplaces, the emphasis is on the quality of the service provided by suppliers rather than the software itself. Marketplaces need to raise the standards of supply over time to ensure customer satisfaction. This can be done by either setting higher criteria for suppliers to join or incentivizing behaviors that lead to better quality and more demand. For instance, at GrubHub, low-rated suppliers were removed to maintain service quality. Additionally, offering great customer support and addressing issues promptly can lead to better customer retention. Data aggregation for demand and training suppliers on customer expectations are crucial. By enhancing supplier quality and setting standards, marketplaces drive better service and higher customer satisfaction, although this may result in only top sellers remaining in the marketplace.
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