When you buy an iPhone from Apple, you may not know it, but you are in fact buying something that has been made with parts from many suppliers, including Samsung, Apple’s bitterest rival in the mobile space. The touch screen glass is made by Corning, the electronics come from a variety of manufacturers and assembly is done in China. Even the software, which you would think was one hundred per cent Apple, historically used mapping from Google and voice recognition application “Siri”, bought in by acquisition.
This is the new world, where companies compete and co-operate together, and where the top skill isn’t being a designer or manufacturer but being able to integrate things from a variety of sources in a seamless way.
There are a number of benefits of getting everything from a single source. When I bought my first car, there were many extras that you could buy from Halfords. Like a reversing light, a heated rear windscreen, and additional voltage and rev counter gauges. It was exciting to soup up your car, but I really don’t miss the hassle of those days.
There are huge economies of scale by letting your supplier provide and integrate everything. They have the time to do the most thorough review of all of the options. They have the clout to negotiate the best prices.
Turning to E-Commerce and Sellerdeck, when we supply additional services like payment, we can effectively negotiate on behalf of hundreds or thousands of stores. It’s much more efficient for the payment supplier to deal with a single customer (us) rather than to negotiate with, support and bill everyone individually. The setup and integration process can be simplified for all parties. It reduces cost and hassle and makes things work better. There are benefits all round. This applies to many other areas as well.
The problem with getting everything from one place is dependence. No sensible business person likes their business to be totally dependent on one supplier. It increases business risk and loses all pricing power.
We believe that we have solved this problem too. Sellerdeck sells software that you own, and which runs on your own PCs. We supply all of the services you need, but the ones that are vital to keep going can be provided by other parties as well. So you get the benefits of a one stop shop without becoming a dependant. We think that it’s a winning formula for our customers and we hope you do too.