E-business models with samples in NZ

TradeMe.png

Trademe.co.nz

Trade Me is applying similar business model like Amazon.com It is the largest internet auction website operating in New Zealand. Generally, it provides a platform for C2C and B2C services via internet. The website is free to use for buyers, but seller charges fees for listing items and again when those items are sold.

  • Value proposition: order any product from anywhere, anytime you wish
  • Revenue model: commission taken from every purchase
  • Target customer: anybody
  • Distribution channel: Web

Subject to TradeMe’s announcement in 2015, its revenue up 13% YoY to $96.9m, net profit after tax YoY to $38.4m

Readingeggs

www.readingeggs.co.nz

Reading Eggs uses similar business models as Netflix. It is the online reading program that helps children learn to read.  It provides hundreds of online reading lessons, phonics games and books for ages 3-13.

It offers 6 weeks free access with the hope of eventually persuading the customers to pay for the premium version. The free offer is able to attract the highest volume of customers possible for the company.

There are two options of subscription to choose once parents decided to keep using this website to assist children’s education.

6 Month Subscription is $59.95

Or

1 Year Subscription is $79.95

ReadingEggs.jpg

  • Value proposition: providing online children education.
  • Revenue model: subscription fee from premium users
  • Target customer: anyone
  • Distribution channel: Web

 

 

Uber
UBER

Business model: E-Commerce, brokerage, pay as you go, affiliation, 

This company doesn’t own any taxi physically, but only develops, markets and operates the Uber mobile app to provide on-demand service which connects willing passengers to taxi drivers.

The total process is very simple, Uber users call a taxi using the Uber app, then an Uber driver picks up passengers from the calling location of his/her destination. The passenger pays the fare by credit card. Uber deducts its commission rate (20%) and transfer rest fees to Uber drivers.

  • Value proposition: order a taxi driver from anywhere, anytime you wish
  • Revenue model: commission taken from every fare received
  • Target customer: anybody
  • Distribution channel: Web

 

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3 thoughts on “E-business models with samples in NZ

Add yours

  1. hi Michael, thanks for your comment. I think you are right about business models about Uber. I just updated my blog that replaced direct selling by brokerage, and added pay as you go. many thanks.
    Fred

    Like

  2. hi Heidi , thanks for your comment. I presume I get different understanding of affiliation biz model. Subject to Oliver’s identification of affiliation ,this biz model focus on supporting others to successfully sell products and directly benefit from successful transactions. In my start-up project, Parking sniffer is a platform , all car park owners affiliate to my APP to publish info and all drivers pay parking to use these parking spaces(C2C). The profit comes from commission of every successful parking transaction.

    To promote this APP, advertising could still go transitional channels such as radio or free vouchers plus online-ad on Facebook.

    Like

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