by Ayesha Zainudeen
CellBazaar is a classifieds site in Bangladesh. Potential buyers and sellers can search for and post information on goods. If you compare CellBazaar to a developed marketplace like Amazon, Amazon covers the full range of a transaction. The search, payment, feedback, delivery. CellBazaar actually just focuses on the search. You can buy anything from goats to gas stations.
There are 69 predefined categories to select from. Mobiles are the most popular item on CellBazaar. Communication devices are 5 of the 15 top categories.
Looking quickly at the revenue, CellBazaar takes a revenue share with GrameenPhone. These are WAP browsing fees, SMS fees, IVR platform charges. 50% of revenue is through WAP, 25% through 25%, 20% through IVR. It’s serving the higher income groups as well, through WAP.
On average there are 20 calls generated per post. They have a targeted advertising platform for BracBank as well.
This actually is an old number, the current number is 3.4 million users. There are 1000 new posts per day, half from rural areas.
Looking at the potential for expansion beyond search
The problems are that the seller has more information that the buyer, asymmetric information. Where goods are less standardized, there are quality and service problems. Before the transaction takes place, trust-worthiness is a key concern.
There are also concerns with payment. Here, usually a third party guarantor is brought. Another concern is delivery.
Takeaways
CellBazaar represents a working form of e-commerce for the developing world. It’s successful in providing market information to a broad segment of the population.
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classifieds
This most important one CellBazaar takes a revenue share with GrameenPhone. These are WAP browsing fees, SMS fees, IVR platform charges.