Ameet Shah, partner at Golden Ventures, on the economics of vertical SaaS marketplaces

This is because marketplaces are not a race to growing GMV, they are a race to creating the most value for both the supply and demand side (liquidity). When you start in a small, focused market, it’s a lot easier to build liquidity and get to a meaningful percentage of that market, becoming the best place for both the supply and demand to go.