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A performance index for B2B marketplaces

Joint McKinsey & Company and Stanford University Business School’s Center for Electronic Business and Commerce research

Just a short time ago, expectations were that the business-to-business Internet sector would be in full swing today. Yet many once-promising B2B exchanges have now either gone out-of-business, downsized, or been forced to change their business model. The torrent of venture capital has meanwhile slowed to a trickle.

Where does B2B go from here? McKinsey & Company teamed recently with Stanford University Business School’s Center for Electronic Business and Commerce to collect and analyze operational information from 60 independent B2B platforms across the US and Europe. The team’s goal was to create a performance index for B2B companies based on their ability to acquire customers, penetrate customer spending, and monetize the business opportunities they’d targeted. The eleven exhibits that follow present the study’s findings.

About the Authors

Bertil Chappuis is a principal in McKinsey’s Silicon Valley office, Ron Lemmens is a principal in the Silicon Valley Accelerator, Haim Mendelson is the director of Stanford Business School’s Center for Electronic Business and Commerce, and Denise Villars is a consultant in the San Francisco office.

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