Investment Considerations for B2C E-commerce

Investment Considerations for B2C E-commerce

February 22, 2023
February 22, 2023

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Key Considerations for investing in B2C E-commerce


Stax was approached by an investor Client to evaluate the attractiveness of an investment in a B2C e-commerce player and its related market. 


The key objectives of this engagement were to understand:


  • The outlook for e-commerce platform spend
  • The Target’s competitive positioning
  • The Target’s core customer alignment

Additionally, we worked on assessing what steps the Target was taking to move up-market and upsell customers.


Planning Strategy


Stax relied heavily on primary research:


  • Web survey of customers/partners, non-customers, and industry experts
  • Targeted phone interviews customers, non-customers, and industry experts

Secondary research was then conducted to validate primary insights.


Trends in the Market

Our final deliverable quantified the annual addressable market opportunity available to the Target on a segmented basis (i.e., midmarket, enterprise, etc.) in the e-commerce market.


  • Stax mapped the e-commerce competitive landscape, Target’s positioning, and its right-to-win versus key competitors on a segmented basis. 
  • Outlined the customer purchasing process and the Target’s alignment to that process across key market segments, including alignment to agencies (creative, digital, etc.), systems integrators, and other potential partners.

We additionally conducted a growth outlook assessment for the Target based on: 


  • Forecasted annual market opportunity
  • Company win rates
  • Customer spend growth
  • Customer churn

This included an analysis on the Target’s current and future market share vs. key competitors on a segmented basis and its ability to move up-market to serve larger organizations.


A Deeper Look into the Market


Stax outlined the key investment considerations for the Target along with market opportunities, which helped our Client to make a more informed investment decision.


Key Considerations for investing in B2C E-commerce


Stax was approached by an investor Client to evaluate the attractiveness of an investment in a B2C e-commerce player and its related market. 


The key objectives of this engagement were to understand:


  • The outlook for e-commerce platform spend
  • The Target’s competitive positioning
  • The Target’s core customer alignment

Additionally, we worked on assessing what steps the Target was taking to move up-market and upsell customers.


Planning Strategy


Stax relied heavily on primary research:


  • Web survey of customers/partners, non-customers, and industry experts
  • Targeted phone interviews customers, non-customers, and industry experts

Secondary research was then conducted to validate primary insights.


Trends in the Market

Our final deliverable quantified the annual addressable market opportunity available to the Target on a 

segmented basis (i.e., midmarket, enterprise, etc.) in the e-commerce market.


  • Stax mapped the e-commerce competitive landscape, Target’s positioning, and its right-to-win versus key competitors on a segmented basis. 
  • Outlined the customer purchasing process and the Target’s alignment to that process across key market segments, including alignment to agencies (creative, digital, etc.), systems integrators, and other potential partners.

We additionally conducted a growth outlook assessment for the Target based on: 


  • Forecasted annual market opportunity
  • Company win rates
  • Customer spend growth
  • Customer churn

This included an analysis on the Target’s current and future market share vs. key competitors on a segmented basis and its ability to move up-market to serve larger organizations.


A Deeper Look into the Market


Stax outlined the key investment considerations for the Target along with market opportunities, which helped our Client to make a more informed investment decision.


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