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I decide fast lecture 5 cust relationships
1. IDecideFast – Bidding Business Model
Expanding Bidding Free model Online Automated Bidding Bulletin
Traffic drivers: Templates Increases comfort in Service for bidders Users
1. Bidding websites determining bid and
e.g. Ibid Customer willingness to Bidders in online
2. Decision software Acquisition
firms.
participate Auctions:
1. Traditional eBay Auction
2. Best Offer eBay
3. Three offers – eBay
Separate Premium 4. Name your own price -
Models Priceline
Modelers/
Web
Algorithms Bidders in Real Estate:
1. BiddingPal.Com
Bidders access 2. Intermediaries e.g. 1. Best Offer Real Estate.
Software fellow bidders 2. Haggling – Real Estate.
AppleStore
Developers
Advertising
Eyeball access for Companies
MKTing/Sales/Admin Ad companies
Template fee
Software Development
People Ads for the free from more
Hosting/Infrastructure online auction sophisticated
bidding tool models e.g.
Sales/initial customer acquisition real estate
2. Distribution Complexity
Systems Integrators
Marketing Complexity
Direct Sales
VARs
Retail
Web, Bidding Template
Real Estate
Online Auctions
Bidding Bulletin Rooms
Solution Complexity
3. Web as a Channel for Virtual Products
Channel
Web Physical
Bidding Template
Real Estate
Online Auctions
Bits
Bidding Bulletin Rooms
Product
Physical
4. Two Critical Questions
from Last Lecture
•First one is obvious: How do you want to
1 sell your product?
.Second one is subtle, but more important
2 than the first: How does your customer want
to buy your product?
5. Web Product
Main Hypotheses Tested (Interviewed 35 people)
• Would people be willing to use an online
bidding tool?
• Would people be willing to pay for a bidding
template for online auctions?
• Would people be willing to pay for a bidding
template for real estate?
• Would auction firms be interested in this
product?
6. Here is what we learned:
Real Estate Templates
People would pay for it provided they trusted
source and it provided an information element.
Online Bidding Templates
People would be more willing to use online
auctions if there were a bidding template.
7. Two Critical Questions
from Last Lecture
•First one is obvious: How do you want to
1 sell your product?
Second one is subtle, but more important
2 than the first: How does your customer want
to buy your product?
8. How Customer Wants Access
Free Phone
Premium IDecideFast
App
App Website
with Ads
9. Revenue Streams by Channel
Google
3rd Party IDecideFast
AdSense
40% 60%
CPC: $.05 – 1.00 $.02 - .40 $.03 - .60
Free App Apple
IDecideFast
with Ads Commission
30% 70%
Fee for
IDecideFast
Template
Premium Apple
IDecideFast
App Commission
30% 70%
10. Cost of Goods Sold
Software Google Apple Iphone App Site
development AdWords Commission Development Maintenance
16. Exploration of Other Applications
-Health Care
Jeff Belcoura, PhD, UCSF
C. Trogden, Allergan
J. Daniels, MD, North Shore Hospital
L. Gratkins, MD, Private practice
-Other interviews
Carle Hospital