The Emergence of Infomediaries:
The role of intermediaries is undergoing drastic modification with the development of new business models and modifies in the industry value chain. In the retail chain, the distributor or dealer is the link between the manufacturer and the user. In the e-business environment, these intermediaries are bypassed and are replaced by websites. Infomediaries are websites that provides products and service information. For example, amazon.com, apart from selling books and other products online, features on its site that offer information and links to other websites for products such as apparels, electronics, toys, cell phones and cameras.
In the early days of e-business, infomediaries operated the task of search engines by helping customers in search for products and services. Now, three business models for infomediaries have emerged: aggregators, online auctioneers and online exchanges. Aggregators offer guidance to buyers in fragmented markets by giving information at a single online contact point. Onlin auctioneers help sellers dispose off perishable goods or excess stocks and enable the buyers toe purchase goods at discounted rates. Online exchanges are neutral third parties that match the ask and bid rates in a regulated environment. All these models bring together sellers and buyers. Infomediaries empower customers and disseminate information quickly. The power of infomediaries lies in being shown by users as the key to the concerned market segment in which they are operating. To be successful, infomediaries could offer value added services.
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