The Mission of Open Marketplaces

The Mission of Open Marketplaces

Open Marketplaces produce a higher overall user experience. Both sides of the market participants, consumers and vendors, receive value in a free market, in the long term.

Free-market benefit user experiences

The idea of an Open Marketplace doesn’t stop with the transaction, it extends into the entire life-cycle of consumers’ sense of utility. Regardless of the final choices consumers make, Open Marketplaces are Internet platforms that help to improve the experience of all users – consumers and vendors.

Open Marketplaces have a common goal to decrease friction in their respective markets and to promote free competition.

Higher convenience to users

In a draw between two seemingly unstoppable forces, the easiest solution always wins. The excellent user experience is no different. Open Marketplaces help to deliver a better user experience by offering a frictionless medium for users to exchange and share information. Open Marketplaces are simpler by design and genuinely solve meaningful problems for users.

Open Marketplaces are built organically into massive experiences, such products can rarely be bought with mega-rounds, and, instead, are built on a vision for mega-returns for all stakeholders – consumers, vendors, team members, advertising partners, and investors.

Some Open Marketplaces, such as Google, are valued very highly by investors, while others, such as Craigslist, may seem less valuable, yet both products deliver impact as highly resilient platforms. Regardless of the capitalization value, all Open Marketplaces are built to improve a user experience first and to collect revenue second.

Higher trust factor

The ability of a platform to establish trust directly correlates into positive network effects. Open Marketplaces deliver a higher trust factor to users by treating the buying or selling experiences as digital content.

Open Marketplaces don’t sell anything, but rather facilitate the sale of products and services of others, as a value-added experience. Similar to road signs offering reliable and helpful information about the road conditions to drivers and riders, Open Marketplaces deliver digital content in the most helpful way possible such as vendor offerings and prices, rather than speed limits.

Higher content quality

Open Marketplaces produce excellent, unbiased, and quality content - we develop valuable digital assets for a living. The higher quality and unique digital assets yield higher returns to stakeholders in the long term.

The channel quality of an Open Marketplace organically improves offered product quality and vice versa. Open Marketplaces aim to deliver excellent information, reliably and fast.

Higher economic utility

Open Marketplaces are rake-less. A platform without any upfront costs, and any subsequent costs, such as referral fees, is a free business opportunity to any vendor willing to participate. There is no better customer acquisition cost (CAC) metric than zero. Vendors working with an Open Marketplace are encouraged to compete directly for consumers not with massive advertising dollars and/or referral fees, instead, based on overall value to consumers: quality, price, delivery, and ease of possession.

Consequently, there is no need for price parity clauses or price-fixing schemes in an Open Marketplace setting since all vendors will offer their best rates to consumers organically. Consumers receive the highest yield of utility on money spent because Open Marketplaces add economic value with network effects. Open Marketplaces identify and deliver savings from third-party vendors directly to consumers.

Impartial vendor ranking

Open Marketplaces are impartial by design. The impartial approach allows an Open Marketplace to objectively rank services without pay-to-play bias. Where Raked Marketplaces inevitably steer consumers in self-interest toward anything that pays them, Open Marketplaces inescapably steer consumers toward consumers’ best options.

Open Marketplaces are self-serving in their users’ interests, as social and responsible collaboration tools. Vendors, of course, are a critical user base of all Open Marketplaces. Without a positive adoption by quality vendors Open Marketplaces fail.

Open Systems Design

Light systems scale better and faster. Automation of tasks and an ability to scale automated tasks is the core of all Open Systems. Open Marketplaces are forced to utilize lighter interfaces, leading to new and effective solutions.

Open Systems Design strategies help Open Marketplaces develop products internally that can be easily shared externally with a blink of an eye. Product developers who build their products openly further invite greater scrutiny, thereby developing a more secure product.

Open Systems allow for maximum unification, re-use, and enrichment of all available data. Open Systems Design does not mean that marketplaces share all information with the public, but rather that the systems design processes and user experiences are transparent and clear.

User interface (UI) mobility

With a lighter product, comes a lighter interface. A highly functional mobile interface is a good indication that a product is scaled effectively. Users eventually, like simple and effective e-commerce. Fully-functional mobile products require careful consideration and flexible design features.

Mobile usability allows consumers and vendors to achieve complicated tasks, such as applying for a mortgage, closing on a home purchase, or signing up for home insurance, all in an expedient manner on any device.

Scalability of value in digital space

The biggest enemy of all technology is time, closely followed by greed. Open Marketplaces are forced to be more sustainable, more effective, and, therefore, more resilient to change. Raked Marketplaces will often look for sustainability at a low 2% success rate with an exigent rake and utilize heavy advertising campaigns. Open Marketplaces require a 98% success rate to reach comparable aggregate revenue organically. Open Marketplaces revenue is tied to scalability and sustainable growth.

Once network effects are established, Open Marketplaces convert superior success rates into greater value to all stakeholders. Raked Marketplaces, on the other hand, are continually forced into greater scrutiny and become more susceptible to disruption with growth (ex. Google vs Yahoo!, AB5 vs Uber Technologies, etc.)

End-to-End Encryption options

Open Marketplaces deliver digital content as a product. This distinction creates an opportunity to utilize optional End-to-End Encryption for select digital products. Because the delivery of digital assets can be viewed on arrival, regardless of the data packet contents, sensitive information can be safely transmitted via Open Marketplaces between consumers and vendors directly.

By utilizing application programming interface (API) technology and End-to-End Encryption technology, Open Marketplaces have an option to deliver an unbreakable level of security.

Similar to a safety deposit box at a bank, where only the intended users have private keys, Open Marketplaces are not required to know the contents of information sent between consumers and vendors, only a confirmation that certain data is sent, and/or is received.

This added security option allows users to transmit highly sensitive e-commerce information, such as insurance quotes, home mortgage applications, closing documents, etc. knowing that encrypted information is impossible to read or see from the perspective of an Open Marketplace.

Raked Marketplaces are unable to utilize End-to-End Encryption because all Raked Marketplaces must know how much each transaction is worth and when it is completed in order to impose a take rake. Raked Marketplaces have to continually poke their noses into private and sensitive details of each transaction.

Open Marketplaces can utilize optional encryption features as a cost-saving advantage: private information is very expensive to keep and often adds significant costs of licensing and regulatory compliance. Open Marketplace can be aided by the delivery of encrypted data without any restrictions and licensing regulations because users’ private keys always remain in the hands of the users.

End-to-End Encryption is the most advanced Internet encryption technology available in 2020, a clear indication of engineering supremacy. Optional End-to-End Encryption reinforces an Open Marketplace to become as a failsafe vault for random digits, rather than names, social security numbers, dates of birth, etc.

End-to-End Encryption is already widely used by companies such as Facebook and Google to secure personal messaging, but it can also be used as powerful leverage to help alleviate user privacy concerns when sharing sensitive information via Open Marketplaces.

Internet Schema compliance

Open Marketplaces comply with the rules of the Internet. Schema compliance is an important factor from the development of the Internet, specifically, e-commerce. Products with better and richer information, higher speed, and relevant descriptions benefit from a significantly lower cost of user acquisition. These savings can be converted into building better and newer products, further lowering costs to consumers.

Open Marketplaces utilize the Internet as an impartial, effective, and friendly communication tool.

Privacy by Design and Security by Design

Open Marketplaces do not engage in C2B practices, nor do Open Marketplaces sell products directly. An Open Marketplace is an Internet tool for effective B2C experience, where services are offered independently by vendors to consumers. Consumers are not steered but rather offered organized choices, most sensibly, in a search for the best possible utility.

Privacy by Design and Security by Design offer conveniences and an easy navigation, where users understand that when the information is asked, it is used solely for users’ benefit.

The best way to guard users is to limit the amount of sensitive data that is permanently stored with the service, such as highly valuable payment information. In case of a potential data loss, the most secure data is non-existent data. If some data is not necessary for the operations and improvement of the user experience, it should not be stored. Open Marketplaces utilize strong privacy and strong security as a singular leeway, where users' interests always govern.

Antitrust regulations compliance

Open Marketplaces don’t just steer clear of antitrust regulations but we look for ways to effectively utilize all consumer protection regulations as a competitive advantage.

Antitrust regulations ensure that collusion and price-fixing are never the primary go-to-market options. The better antitrust regulations are designed and enforced, the harder it is for market participants to collude.

Open Marketplaces benefit from healthy competition, but also suffer damages when others price fix services of third-party vendors, engage in reverse competition, trade consumers as a commodity, allocate markets, and/or divide areas of service.

Strong antitrust regulations help Open Marketplaces bring added value to all market participants while making the job of antitrust enforcement easier on the federal and state authorities.

The success of Open Marketplaces

The success of all Open Marketplaces is directly correlated to our ability and determination to deliver an excellent user experience. Open Marketplaces succeed by delivering quality and unbiased content in scale to all our users, by limiting our advertising channels to clearly-identified value-added products, by lowering costs of operations, and by genuinely solving market weaknesses and inefficiencies.

Open Marketplaces have a mission to maintain the core principles of transparency when we deliver the widest array of quality choices that maximize economic utility to consumers.

Related to: UX, Internet, Open Marketplace, Open Systems, Privacy by Design

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Last updated: February 24, 2020
First published: February 24, 2020