#Ecommerce is on a high, but will it ever make money? Will investors keep putting in money in enterprises which sell similar products at throw away prices with similar delivery/site experiences?
My take - A #differentiation/price premium game or A #volume/low price game.
First one is about that factor that competition cant copy (hard to find - CoD, Ppl, Tech, Selection all copied) & lets you scale up bcoz competition cant deliver it.
2nd one is what is happening in the indian horizontals. Leading to a game between top 2 #Homegrown Vs #Global. Scaling to be the biggest fastest to keep the challenge. But consumer doesnt care if x or y, till the need gets over. As volume game is commodities. This will end till the money is over as the article says.
But what is the differentiation in a horizontal play? Building private labels that are big drivers (Echo/Roadster). Building exclusive tieups which are strategic and long term (mi or one+). Building additional services around the common core which differentiates ( prime video or a loyalty pgm with offline experiences).
How about offline connection which is strategic and long term across all categories? Online/Offline - #OneRetailerNetwork!!
A dated article below but insightful.
