Its initial reputation will be built on the brand values and image of the companies involved. It therefore makes sense to link together with organisations which share similar values and business goals - even though this could mean market leaders will be collaborating in the virtual world while still competing in the physical one. Commerce is at the heart of any exchange. It means building a virtual market place around web technology, linking a variety of suppliers of all sizes to participate. A critical part of the whole process is therefore creating a community of both buyers and suppliers, creating a new and separate culture within the exchange.
Content is vital, as it is with any business proposition.
Exchanges need to have an attractive price proposition to generate initial interest and must be able to facilitate trade easily. They must also have a number of product features that appeal to both buyers and sellers. Currently, transactions and software fees are the most common exchange pricing model, but innovative pricing mechanisms will soon replace these. Business models will expand to provide specialised industry focus services, like parts offerings and cross-industry services, such as online payment, settlement and fulfilment services. A secure trading environment is critical, and there are a number of protocols being introduced to help, such as a payment identification and verification system and a company that facilitates trade beween virtual parties.