A leading e-commerce marketplace wanted to identify and benchmark the fixed fees as well as commissions charged on the products sold by them with their most relevant competitor marketplaces.
Approach
- A sample of products were considered for multiple categories in order to have a inter-category benchmarking.
- Similar SKU’s (products of same brand & variant) available on all portals were considered for the study to ensure apple-to-apple benchmark.
- Active seller portal accounts were used to mine the data.
- The benchmarking was also done basis seller segmentation - standard vs premium sellers in order to study the difference between the rates charged for the services.
Outcome
The data of commission rate & fixed fees was segregated with respect to:
- Product
- Category
- Type
- Brand
- SKU
- Price
- Seller segmentation
- Type of seller service (i.e. standard, premium, fulfilled by marketplace etc.)
- Inter-category competitiveness and leadership and accordingly defining pricing strategies
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