Tuesday, March 1, 2011

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Leboncoin.fr, new giant ads ...


Leboncoin.fr, new giant ads ...




In less than five years, this site has made a spectacular breakthrough, despite the look a bit outdated. Based on free, it disrupts the economy of any sector. say that he almost called Chezgeorgette! When in 2006 the Norwegian media group Schibsted allied with the French Spir Communication sought a name to launch a new classifieds site in France is one of the most serious proposals emerged. Other suggestions - Zolius, Coteannonces or Regionade - did not involve belief. Eventually, this led to brainstorming LeBonCoin. "The name of a pub at all glamorous," traces the placid Aizac Olivier, director of the start-up.
This designation pâlichon outdated and design of the website did not prevent LeBonCoin prevail, in four years, as unmissable bargain hunters online. At the point of worry eBay, the global king auction on the Web, and to challenge traditional players like De ParuVendu or owners. This major breakthrough is the simplicity of the biblical site that is based on three pillars. Completeness, first: there are all types of ads (crib, car, villa with garden ...). Free, then: the vendor at no cost to bring its online offering. Simplicity, at last: three clicks to get the number one seller or to sell an object. Each month it attracts 12 million unique visitors. In search engines, the term "right corner" has become the second most popular application of Francophone Web behind Facebook.

Yet when LeBonCoin appeared online four years ago, the challenge was far from won. The market was already crowded with eBay PriceMinister, SeLoger, The Central, The Argus, or Vivastreet Kijiji. As for the technology deployed, it was nothing revolutionary Aizac Olivier, a thirty passed by ESSEC and Vivendi, assisted by a computer, merely adapting Blocket, a site created by Swedish ad Schibsted. No debauch means either: the Nordic group and its partner Spir Communication (a specialist in the free press) took only 5 million euros each on the table. This initial capital was mainly used to pay for online advertising campaigns and purchasing keywords in search engines.
The runaway success of LeBonCoin due primarily to its free primary services. A revolution in the sector. This was not the original plan. Instead, its proponents had planned to offer a free service time to become known individuals, then to pay between 0.50 and 2 euros per ad. Noting that advertising could bring them much more than expected, they changed their minds. And indeed, thanks to its 5 billion page views per month, the site removes 18 million euros, half of its turnover.
The company supplements its income by charging about 10 euros inserting an advertisement to Realtors. Like these can publish hundreds each month, it generates additional income of about 9 million. Finally, individuals who want to improve the visibility of their property by making up the top of the page or appear in a specific column also go to the checkout. These services called "premium" also reported 9 million to LeBonCoin.


The hearing is not sufficient to explain this windfall. If this garage sales turned into advertising war machine is also using the ads are ranked by regions, counties or municipalities. Thanks to proximity. While most competitors' offerings ordered by categories (car, property, holidays ...), geographically LeBonCoin sorts. "It aligns with the model of the Baker panel," says Olivier Aizac. If you select Dijon, it falls directly on all items for sale in town, at the computer desk chair child through the Renault Laguna. So, LeBonCoin drains the market for local advertising, to the chagrin of the local press and free. Result for three years, this sector collapses. For example, Comareg, which publishes the famous "ParuVendu, is in receivership. As for S3G, which publishes such "Refleximmo, it has practically no activity, then it showed another 130 million euros in turnover in 2007.
LeBonCoin also did harm to companies specializing in Web. Customers turn away from Pap.fr, claiming nearly EUR 30, or even eBay, which charges insertion fees for auction items on its platform. "They make us a little shade to the extent that they are free," admits, a bit annoyed, Patrick Jolly, the founder and director of De owners. Prior to justify: "Real estate is serious business, we can not afford to have false advertisements and scams." With him, he assures, all inserts are checked and possibly reformulated. Nevertheless, its sales should decline by 10% in 2010 to 37 million euros. As eBay, the world number 1, it displays its French version than 1.7 million ads, against 13.6 million over LeBonCoin.


The runaway success of LeBonCoin finally explained by its simplicity of use. On this platform, no registration painful, no complicated auction system, the home page is so bare that you understand immediately how the site works. "My grandmother must place an ad without asking questions," says the director. Site developers are constantly working on ergonomics: any sale or purchase must be done in three clicks. The bottom lackluster does not tire the eyes, thick characters, ugly design and minimalist ads contribute to this feeling of accessibility. Moreover, it is not from Paris that geeks LeBonCoin recruited his first followers, but to the Sticks of Pas-de-Calais, frequenters of Zoos and then gradually in major provincial cities.
To ensure the technical maintenance and solicit advertisers, the online bazaar turns with a small team of forty people housed over a hundred square meters, Rue du Louvre, Paris.
offices in good locations, but poorly equipped: furniture without gloss, neon pale and dull carpet show a financial management without madness. "It's also why the site has been profitable since August 2008, two years after its launch," enthuses Terje Seljeseth, the CEO of Schibsted Classified Media. Last November, her group has extended 200 million euros to buy without flinching from Spir Communication to the capital, convinced that the history of this site is just beginning.


To further improve this record margin, the owners have some ideas in mind, as to offer paid services to automobile dealers and other professional groups. But for looks, Norwegians do not want to change: the design will remain resolutely old-fashioned and simplistic interface. It is in the old pots you make the best soups.
Pierre-Alban Pillet


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