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How To Create My Own Classifieds?

How can we create the network effect for a new classifieds website?

  • I am a product manager for the Buy/Sell category and would love to know how to leverage the product to attract a community of users.

  • Answer:

    Network effects come into play when with each addition of users the overall value of platform increases for everyone.  More sellers will attract more buyers and hence more value for both sellers and buyers. By itself, a classifieds platform or any platform has no value, but with each new buyer or seller its value increases for everyone. In simple terms the faster you can add items for sale, buyers and sellers, the faster and stronger will be your network effect. Another important aspect is the ability of platform to match the buyers with sellers. If this is inaccurate or if there is a lot of unwanted spam in the form of items for sale- then the network effect will break down, despite you adding buyers, sellers and items quickly. This is one of the main reasons why a few of the top classifieds players could not fly in India as fast as they could. Similarly, some more food for thought for creating network effect:  1. Each new review by a user on a seller, increases the value of the platform for everyone (E.g. AirBnB) 2. If you were to provide a realistic sales price indicator for items on sale (so that buyers find it easy to negotiate and buy)- then each new transaction on the platform makes the indicator more accurate and hence creates better value for everyone. (E.g. Maybe Quikr) ...and so on

Saurabh Pandey at Quora Visit the source

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There is wide range of strategies that you can implement to attract more users to increase traffic, engagement and so users to your site. Here are some, but not all of them, as I don't know your site, audience, buy/sell products you allow in your site, etc this strategies could not work as well as in other sites: 1.- Approach users to other classifieds sites, send theme private messages offering a new platform to post or buy their items. Check the most important sites with the same potential users you want. 2.-Via Social media, strategies both paid and free. Facebook ads, twitter ads and youtube are the most important. 3.-  If your site is new, don't expect to charge them to feature products, it doesn't make sense in a site where there is not traffic yet. Offering Free posting attract more people. 4.- Approach little shops in you area or region to post their items in your site for Free. Marketing offline. 5.- Once you have some traction consider "media for equity". Offer equity to a big media group in your target area for showing advertising in their channels (tv, radio, website) 6.- Sponsor some local street markets. Here are some ideas, and all the points described above have their own strategies, ways to do etc..

Marco Sánchez

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