MARKET STRATEGY TWO SIDES (1)

Mohammad Suyanto

Abstract

If we register the number of products and services in a number of extraordinary need to do a lot of the re-definition by taking the side of a global business perspective, we will find a relationship with two different groups of users within a network. The most important innovation in financial services since the second world war, almost certainly not be separated from the credit card name, which relate to customers and merchants. Newspapers including involving customers and advertisers. Similarly other products such as computers, health services, cosmetics, medicines and so on. All those who serve the needs of economists called the two sides of the market or network.

For example, two-sided market of personal computer operating systems, the market is the consumer side first, second hand market is a developer and provider of application platform is Windows and Macintosh. Video games, the first side of the market is a player, second hand market is a developer and provider of platform is the PlayStation and Xbox. DVD, the first market is the customer's side, second hand market is the studio and its platform providers are Sony, Toshiba and Samsung. Gasoline, the market's first side is the owner of the vehicle, second hand market is a gas station and its platform provider is Pertamina, Exxon and the like.

Two-sided markets are fundamentally different from the traditional network value chain. In the traditional system, value moves from left to right. To the left of the company is in the form of fees, to the right of the company is in the form of income. In a two-sided markets, costs and revenues, both moved to the left and right, because the platform has a digunakn different user groups on each side. Platforms bring a product or service costs in serving both groups and can generate revenue from each of these groups, even though one side is often subsidized. Because economists call network effects, preferred product platform to increase income continuously, which shows remarkable impact. Previously, most companies still survive on a platform that was built and maintain keberlangsungannya. Their failure is the root of the common mistakes. Thus kusus need a strategy for this two-sided market.

To create a two-sided market strategy or two-sided networks, managers typically have to rely on assumptions and applying the product pradigma without network effects. As a result, they make various kinds of decisions that did not fit with the economic problems in their industry. According Eienmann, Parker and Alstyne Harvard Business Review, October 2006 edition there are three things that must be done to use the two-sided market strategies. First, designing a platform business model, the key point is to set the price on the two sides of the market. Secondly, led victory in the battle, so most industrial markets served almost two sides by a single platform, such as auctions on eBay and the Internet by the operating system by Microsoft. Third, faced the threat of another platform that surrounds the platform company, which means that awareness of other platform providers is very crucial, the company must recognize these hidden opportunities and mobilize resources to exploit these opportunities.