Startup Journey Post 8: Back to the New Marketplace “Chicken & The Egg” Problem — Buyers Want Sellers & Sellers Want Buyers — But How to Get One Without the Other?
First, hoping that everyone (if anyone actually reads this) had a great Holiday Season! But now with the formalities over I will again engage with my own internal thoughts that will spill onto the screen with warning that my words are not based on any qualified experience so read and absorb with light consideration.
So, as we now have a “technically functional” marketplace serving the smaller side of the construction industry the problem that we knew was coming is now sitting here staring us in the face — the infamous “Chicken & the Egg” problem. Said another way, a newly created marketplace needs both supply and demand but its difficult to get initial participation from either. As a scrappy boot strapped rinky dinky startup we knew this day would come. Podcasts and published content in sum give two options being “innate growth” and “purchased growth” via marketing $$$’s which of course we do not have.
So, how are we to tackle this problem that we knew it would come? Well 2+ years ago we we wondered if there was a way to create our very own initial marketplace demand thereby not initially needing to rely on outside demand upon marketplace launch. Therefore in 2022 we believe we will be able to provide the initial demand within our own marketplace platform in hopes of starting market momentum but of course only time will tell.
In sum, our wandering thought is that when creating a new marketplace one should always look for an opportunity to be able to create your own initial demand within that marketplace. We believe this is true even if it means it is necessary to create a small independently parallel acting business that can legitimately create that initial needed marketplace demand.
But again, what do we know about launching a successful marketplace except that the ride is fun!