 |
August 24, 2018, 09:15:41 PM |
|
Over the last 20 years, the internet has changed the way people shop and sell. Thousands of
online shops are created for people to browse and purchase items without the limitation of
physical location and operation hours. Despite providing consumers with an unparalleled
convenient and easy shopping experience, online shopping has created two issues: dishonest
sellers and customers receiving damaged or poor quality products. Since e-commerce
consumers don’t have the chance to see or touch a product in person before they purchase, the
fear of scam or fraud sellers affects the purchase decision and results in higher return rates of
e-commerce businesses compared to Brick and Mortar stores. To overcome these two issues, a
different selling model was developed in the e-commerce industry and this model produced
two of the largest e-commerce giants: Amazon and eBay. Both of these companies behave as a
middleman between the real buyer and seller to handle payment escort and dispute settlement.
This centralized business model proved efficient and both Amazon and eBay are now two of the
most established and powerful e-commerce businesses.
Instead of using their position to assist smaller e-commerce shops, successful e-commerce
companies like Amazon use their momentum to take advantage of smaller businesses and force
new sellers to pay a multitude of fees for services such as listing, payment, dispute resolution
and marketing. As a result, sellers pay about 30% of the merchandise value to the middleman
platforms as fees, which hurts both the seller and the buyer. Data transparency is also a
concern that sellers and buyers have with giant corporation. Giant e-commerce companies
have uncontrolled access to all consumer and seller’s transaction data, and in turn create
targeted ads to compete with smaller businesses and attract higher sales. Sellers pay more fees
to purchase this valuable information and make up the cost by increasing the margin of their
products. Consumers often have no or very little control over their own data.
Since the formation of our team in 2016, we have aimed to use the latest technology to build a
better marketplace experience for our brands and consumers, especially for cross-border sales.
We strongly believe that blockchain-based technology and decentralized processes are the key
to the next generation of marketplace and online shops. Through tokenization, an e-commerce
community can connect people with shared interests and aligned economic benefits, resulting
in a community with high user viscosity. It also aligns the inventives between all members of
the ecosystem toward further growth of the network itself.
6 of 53
By using blockchain technology, we can build a large scalable marketplace system which is fully
transparent and has beneficial element for both vendors and consumers. This new marketplace
system will harvest scale advantages, require low or minimal fees from each participant and
possesses the functions of a centralized company but operates in a decentralized manner.
Sellers can save a significantly with the elimination of intermediaries’ fees which then creates
lower priced merchandize. Buyers get to enjoy purchase protection against fraudulent sellers or
false advertisement provided by the ecosystem without paying extra cost. Shopping on a
decentralized online shop not only saves money but also provides better protection to both
parties.
ApolloX is the very first blockchain solution for online e-commerce with a large number of
existing participants and mainstream adoption. It also has the potential to disrupt the existing
online marketplace landscape and become the first choice of online channels to sellers globally,
especially new sellers with cross border selling needs. Existing marketplaces or shops may also
migrate their business to ApolloX platform for cost reduction, faster customer acquisitions and
better brand recognition.
join ApolloX today
|
