How would a marketplace for people to just barter products and services work? Would it take off or would it not take off. Would it disrupt the existing e-commerce and market place players.

1. Product Barter
Marketplace
by Prashanth Madhavan Narasimhan
3/17/2015 Product Barter Marketplace

2. The 4 Decisions
Problem
Value
Proposition
Users
Social Media
Usage
3/17/2015 Product Barter Marketplace

3. Problem
Why do people buy products?
3/17/2015 Product Barter Marketplace
Problem
(Happiness)

4. Why do people buy products?
• There are times that people really want a
specific product like exchanging ladders and
tool sets.
• Today, they buy items when they want them
and after that they don’t have a use for them
at all.
• They typically ask their neighbors for things
they need.
3/17/2015 Product Barter Marketplace

5. Why do people buy products?
• Solution:
• The marketplace provides a platform for users
to search for a product and barter it with
something that they have.
• This is easy and they don’t have to pay for
something that they could barter for.
3/17/2015 Product Barter Marketplace

6. Neighborhood
Why do people buy products?
3/17/2015 Product Barter Marketplace
Users
In the past
Currently
E-commerce site
Borrow products
Too many products
purchased
Only purchase
needed products
Product barter
marketplace
Purchase or barter
products
Proposal

7. Why do people buy products?
• Why Now:
• They don’t borrow from neighbors. As people move
more, they stay in less familiar neighborhoods. They
• They run out of space buying lots of things they need
occasionally.
• Current Marketplaces don’t solve the problem of
getting an everyday item at a specific time and in a
specific place.
• With location sharing on mobile devices, Users find
out products that people share or barter for in their
locality
3/17/2015 Product Barter Marketplace

8. The 4 Decisions
Problem
Value
Proposition
Users
Social Media
Usage
3/17/2015 Product Barter Marketplace

9. Value Proposition
What value does the market place add?
3/17/2015 Product Barter Marketplace
Value Prop

10. What value does the market
place add?
• Key Value Proposition
• Works within a specific location
• Allows the user to either lend or barter the article for a specific time and
for a specific article
Examples
• You could barter a tool set for a ladder for a one week period
• You could barter a tool set for permission to use your parking lot
• You could barter your ladder for the service of helping fix your plumbing
at the garden
The discovery of every day stuff that you do not want to buy in your
locality is the value proposition
3/17/2015 Product Barter Marketplace

11. Hidden
What value does the market
place add?
3/17/2015 Product Barter Marketplace
Products I need
Users
Out of the geo-fence
Barter products
Products I have
Other Users in my locale
Products that people need
Products that people have
Other Users not in my locale
Products
In the geo-fence

12. What value does the market
place add?
• Would this be disruptive?
• Users discover the product quickly and near
their location – No transaction costs and
market friction
• No competition with e-commerce channels,
hence avoiding channel conflicts.
• Focuses on the job to be done - helping users
get an every day product as soon as possible
3/17/2015 Product Barter Marketplace

13. The 4 Decisions
Problem
Value
Proposition
Users
Social Media
Usage
3/17/2015 Product Barter Marketplace

14. Users
Who are the users?
3/17/2015 Product Barter Marketplace
Users

15. Who are the users?
• Primary set of users
• Residents who would need a specific every day use
product and are ready to barter it for another similar
product that they can spare.
• Secondary set of users
• Product companies that can lend companies products in
return for feedback
As more primary set of users join, it helps secondary
users to segment and provide users in a specific location
a product sample for feedback.
3/17/2015 Product Barter Marketplace

16. Who are the users?
• Network Or a Platform
• With more users that start using, they are going to add more
products.
• As more products are added, more people would start using the
market place
• Platform
• As the market place matures, this would also become a platform
• The market place becomes a 2-sided market with a secondary
set of users being product or service companies that could target
a campaign for a specific set of users
• In return, they could get feedback for the product that was
included in the campaign
3/17/2015 Product Barter Marketplace

17. Who are the users?
3/17/2015 Product Barter Marketplace
Promotion
Users
Product Barter Marketplace
Barter products
Other Users in my locale Product / Service providers
ProductsProducts Services Geo-location
DataPlatform

18. Who are the users?
• Platform
• When the marketplace turns a platform, we can expect this
to be a local exchange for every day products and services
• People could visit this platform before they decide to buy
• The virtual platform would ensure a real world exchange of
products and services
• This could ensure the marketplace knows about the
products and services in demand in a specific location and
could be used for other players in the market as well
3/17/2015 Product Barter Marketplace

19. The 4 Decisions
Problem
Value
Proposition
Users
Social Media
Usage
3/17/2015 Product Barter Marketplace

20. Social Media Usage
How do we use Social Media?
3/17/2015 Product Barter Marketplace
Social

21. How do we use Social Media?
• Product Features
• Access to this market place is through any of your
regular social media
• Any products that you post is going to be easy to
share on your favorite social media
• If you friends are already present in the market place,
it is visible to them.
• The matching algorithm gives preference to your
social media friends who have the products that you
need so that it is easy for you to get it from them.
3/17/2015 Product Barter Marketplace

22. How do we use Social Media?
• Product Marketing:
• Using location settings in popular messaging
applications, The marketplace can message
users of products that are available and match
your need when you are near the location.
During launch, this could help market the
service
3/17/2015 Product Barter Marketplace

23. Why do people buy products?
• Why Now:
• They don’t borrow from neighbors. As people move
more, they stay in less familiar neighborhoods. They
• They run out of space buying lots of things they need
occasionally.
• Current Marketplaces don’t solve the problem of
getting an everyday item at a specific time and in a
specific place.
• With location sharing on mobile devices, Users find
out products that people share or barter for in their
locality
3/17/2015 Product Barter Marketplace

24. A New product
discovery
Do you think this
would be a hit?
3/17/2015 Product Barter Marketplace