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E-Business Model 1.0

Digitize the offline world

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Magazine

Coffee Forum

ClassifiedsRetail Shop

Newspaper

Shopping PlazaLibrary

University Supermarket

DonationAuctionEncyclopedia

Bank

Wallet

WholesalerPhoneRadio

Television Music Shop

DIGITIZE THEM!

Dictionary

BookstoreDiary

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e-Magazine

e-Coffee Forum

e-Classifiedse-Retail Shop

e-Newspaper

e-Shopping Plazae-Library

e-University e-Supermarket

e-Donatione-Auction

e-Bank

e-Wallet

e-Wholesalere-Phonee-Radio

e-Television e-Music Shop

DIGITIZE THEM!e-Encyclopedia

e-Dictionary

e-Bookstoree-Diary

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Dot-com Became Dot-bomb

NASDAQ Composite index peaked in March 2000 and burst before 2001* http://en.wikipedia.org/wiki/Dot-com_bubble

e-Supermarket failureWebvan.com spent far too much on infrastructure (close to one billion USD).It went bankrupt in 2001 before it had even turned a profit. Chowhuay.com went under construction since 2001.

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Why did some models go well,

but some go hell?

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E-Business Model 2.0

Make peoples life easier

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The Transaction Triangle

30 Baht

50 Baht

200 Baht

It is transaction cost!

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What is Transaction Cost?y From theory

y Fixed cost of exchange billing, invoicing, providing receipts,and handling payments.

y

Search costs buyers and sellers search for each other.y Communication costs costs of exchanging information.y Information costs gathering and providing many types of

market data.y Monitoring costs buyers and sellers place their trust in the

intermediary.

y In my opiniony Transaction cost is the cost that makes our life difficult.y Normally, we frequently feel that our life are not difficult.

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Compaq & Dell Case Study

Manufacturer Customer

T3

T3

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PantipMarket.com Case Study

Seller Buyer

T1

Classifieds MagazineT2 + T3

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Google AdWords & AdSense

Case Study

Publisher Advertiser

OnlineAgency

OnlineAgency

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4Ways for Your Online Business1. Disintermediary

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4Ways for Your Online Business1. Disintermediary

2. Be intermediary

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4Ways for Your Online Business1. Disintermediary

2. Be intermediary

3. Reduce transactioncost to compete withexisting intermediary

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4Ways for Your Online Business1. Disintermediary

2. Be intermediary

3. Reduce transactioncost to compete withexisting intermediary

4. Be intermediary of

intermediaries

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Google Acquired DoubleClicky DoubleClick is a big player in display advertising.

y Google bought DoubleClick for $3.1 billion on April 13

(while YouTube was acquired for $1.76 billion).y Googles net profit in 2006 was $3.0 billion.

y DoubleClicks annual revenue was about $300 million.

y One of DoubleClicks subsidiaries is Performics, the

third rank provider of Affiliate Marketing in US.yWhat will happen if Google try to step in Affiliate

Marketing business?

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Before Acquisition

Product Owner

Affiliate Marketer

AdWords

Publisher

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Cakeholder Before Acquisition

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After Acquisition

Product Owner Affiliate Marketer

Publisher

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Cakeholder After Acquisition

6015

12.512.5

Product Owner

Google & Performics

Affiliate Marketer

Publisher