Enterprise Gateway Marketplaces Will Turn Large Organizations Inside-Out

Four Attributes Of A Successful EGM 1. EGMs have a Gateway, a single point of access for many buyers. 2. Getting inside, get approved.3. Create trust in supply through data.4. Help vendors comply.

Here’s a new marketplace category: Enterprise Gateway Marketplaces (EGMs).   There is a white space opportunity for Founders in EGMs that combines SaaS embedding defensibility with the network effects defensibility of a marketplace.

Now that we have the Internet and better ways of creating trust with people outside of an organization, it should be possible to make it faster/better/cheaper for nodes inside a corporation to link with outside nodes to complete certain tasks. 

EGMs represent a new category of B2B SaaS.

How EGMs Will Change The Corporation Corporations have been the most efficient structure to get stuff done. They are large network structures that, like nearly all networks, minimize transaction costs and work on the law of least resistance.  Traditionally, the networks formed inside a corporation have been denser, faster, and more valuable th... See more

It’s our prediction that large corporations will adopt the gig-economy and freelancer network-style operational approach adopted by SMBs over the last 8 years. EGMs are how large corporations will implement this shift.

EGMs are the approach we’ve seen that best unblocks the network pollution and makes it more efficient to go outside than rely on bringing things in-house.

On the other side, the millions of smaller vendors, EGMs solve the challenge of selling into large corporations. 

Imagine lower transaction costs with people outside than inside the corporation.