Startup Sutra

Republic of Amazon (building businesses on top of ecommerce marketplaces): Revenue based financing for online sellers, Amazon aggregators, fake review farms, Amazon mystery boxes & ecommerce packaging


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In this episode, Samaksh and Anirudh focus on the booming ecommerce marketplaces and how to build businesses on top of these marketplaces such as Amazon and Flipkart. They start off by discussing about revenue based financing companies for online sellers, such as Clearbanc (https://clear.co/) & Klub (https://klubworks.com/) and how they are creating an alternative financing option for such sellers. Next they move on to the business of Amazon aggregators/rollups such as Thrasio (https://www.thrasio.com/), Perch (https://www.perchhq.com/) and 10Club (https://10club.team/) and how this market is heating up with over 60 aggregators popping up across the globe since 2018 and raising billions in funding. Following this, they dive deep into the world of fake reviews and how it impacts online sellers, while discussing about the process in which these fake review farms operate to avoid being detected by Amazon. Then they break down the product return problem for online marketplaces and how you can create a reseller business in the form of Amazon mystery boxes, such as BlueLots (https://www.bluelots.com/). Finally they discuss about the business of ecommerce packaging, such as the packaging giant Sealed Air (https://www.sealedair.com/), the company behind the revolutionary bubble wrap and how they are poised for growth due to the ecommerce boom in light of the global pandemic.

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Startup SutraBy Startup Sutra