Own The Entire Space – FanXchange CEO on B2C Customer Acquisition (Part I)
TORONTO: During Techweek Toronto Growth Summit 2017, Brandon Koffler, Co-Founder & CEO, FanXchange, shared his views on the challenges of acquiring customers in the B2C marketplaces and what future opportunities lie in the space. In Part 1 of this 3 part series, Koffler talks about how B2C companies are focusing on selling more than one product/service.
“Today, it’s more about targeting ancillary revenue options and trying to own the entire business space as opposed to just selling one product.” – Brandon Koffler, Co-Founder & CEO, FanXchange
FanXchange is an online ticket marketplace for sports, concert and theater events across North America. Brandon founded the company in 2009, which has offices in New York and Toronto. Prior to FanXchange, Brandon founded Hype Productions – a live event and promotions management company in 2001.
As a panelist at Techweek Toronto’s Growth Summit, Koffler was asked to share his views about the changing landscape of B2C marketplace.
“It’s interesting how the landscape is shifting”, Koffler said, “Earlier it was more about selling one or two products. Today, it’s more about targeting ancillary revenue options and trying to own the entire business space, as opposed to just selling one product.”
Koffler underlined his point by talking about how online travel agencies are making this shift rapidly. “Big companies like Airbnb, Expedia, Trivago traditionally were selling one or two products/services – just accommodation or strictly travel. Now, they are trying to own the entire travel space by offering more. Airbnb is making a big push to move into experiences, local activities, things to do, etc.”
Koffler is not the only person vouching for this trend. Analysts are predicting Uber CEO Dara Khosrowshahi is likely to follow a similar strategy, taking a cue from his time with the Priceline Group. Priceline owned multiple properties to ensure they owned the entire space.
“I guess I have [TripAdvisor CEO] Steve Kaufer to thank,” Khosrowshahi has said. “Maybe he saved me my job. But having a portfolio, having different brands, allows you to invest in different parts of the business and TripAdvisor being a part of the family in those early years was a big part of where we are today.”
Koffler went on to explain how they are implementing this strategy at FanXchange. “We are partnering with a number of different distribution verticals and channels. We are going entirely digital, where we can streamline the way consumers access live event tickets.”
FanXchange has started powering white-labeled live event ticketing solutions for major loyalty programs, travel providers, hotel operators, and distribution partners. This is a shift from a pure-play B2C model to a more B2B2C approach for catering to a wider customer base.
In the next part of this series, we’ll share Koffler’s opinions on how to survive in the world with large incumbents like Amazon and Google.
To see the full video for Techweek Toronto Growth Summit 2017: B2C Customer Acquisition, go here.
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