In this episode of Add To Cart, we’re joined by Phil Leahy, a true pioneer in the Australian eCommerce landscape. Some of Phil’s past milestones include being eBay Australia’s #1 Seller in 2007 and 2008 during his time at Entertainment House and founding Retail Global, one of the world’s most influential eCommerce conferences.
In October 2022, after 18 years, Phil sold Retail Global to Maropost and returned to the forefront of eCommerce as the CEO of MedCart, which under Phill’s leadership has become Australia’s #1 Medical Marketplace. Since 2010, Phil has raised over $1M in cash for charities and delivered over $3M in free products and services with the Frontliners initiative to 140,000 Healthcare workers nationally.
Phil shares insights from his decades in eCommerce, giving us insights into everything, from how MedCart is transforming the way healthcare products are bought and sold, to the importance of customer service in an increasingly automated world. We also get a glimpse into the behind-the-scenes decisions that shaped his career, from the lessons he learned running his eBay store to how he’s adapting MedCart for the future.
Customer Service is Everything: Building Trust at MedCart
A key takeaway from Phil’s journey is his commitment to customer service. From his days running Entertainment House on eBay, to his current venture with MedCart, Phil has always believed in the power of a personal touch to build long-lasting trust and loyalty. In fact, he is puzzled that more companies don’t see the value in direct conversations with their customers and instead push them towards automated solutions.
We spend a lot of money on paid advertising—why wouldn’t you want to talk to your customer? I don’t get it. I’ve always wanted a connection with the customer. Even when we were shipping a thousand units a week at Entertainment House, we had a customer service line when no one else did.
Phil’s dedication to real-time customer support is evident in his decision to hire ex-Telstra staff in Cebu to provide personalised, human interaction. Whatever the customer’s age and whatever the sum of money they are spending on his services, Phil ensures that every customer is treated with the utmost care and respect.
“You get an 80-year-old pensioner who wants to send you a cheque for a $20 sale, you know, you just work it out for them. You help them. And then you’ll have a customer call up and drop $30K with you, and you treat them both the same. It’s about building that connection.”
This philosophy reminds us that customer service is more than just handling complaints—it’s about creating meaningful relationships that can build long-term loyalty and set your business apart from the competition.
Quality Over Quantity: Curating the Right Sellers
When it comes to running a marketplace, Phil has learnt that quality over quantity is always the name of the game. MedCart doesn’t accept just any seller—Phil is meticulous about curating partners who share his high standards for customer service and product quality.
“You have to keep dropping off your worst-performing sellers. The bottom 20% of sellers cause 80% of your problems. But the best ones? They give you 80% of your turnover.”
Phil’s strategy is to work closely with top-performing sellers to maintain high standards across the platform. By cutting ties with underperforming partners, Medcart has been able to reduce issues and deliver a more seamless shopping experience for its customers.
“It’s not just about numbers—it’s about having sellers who are aligned with your values and deliver the same quality experience to your customers.”
It’s a timely reminder that when it comes to quality curation in marketplaces, success often involves making hard choices. Letting go of sellers who don’t align with your business goals can lead to a stronger, more trustworthy platform in the long run.
Adaptability is Key: Embracing Change in eCommerce
Phil’s entire career has been a testament to adaptability. From his initial pivot from eBay selling to founding Retail Global, to his new journey in building MedCart into a marketplace leader, Phil has always embraced change as part of his growth strategy.
When MedCart’s initial platform didn’t provide the flexibility needed for growth, Phil made the switch to BigCommerce, a move that allowed the business to scale quickly..
“We launched with a different marketplace system, but we had to switch to BigCommerce for more flexibility. It gave us the control we needed to grow.”
And Phil’s ability to adapt doesn’t stop at platform changes. As a keen observer of market trends, he’s continually looking for opportunities to expand MedCart into emerging market opportunities. At the moment that means tapping into the lucrative world of pet care products.
“We’re not just a medical marketplace anymore. Pet care is a big opportunity for us, and we’re excited to see how we can grow in that space.”
This willingness to evolve and explore new avenues has kept Phil ahead of the curve in a competitive industry. His story is a reminder that adaptability and innovation are crucial for staying relevant and growing in any business landscape.
Focus, Quality and Adaptability
Phil’s story is a testament to the power of quality service, strategic focus, and staying adaptable in a fast-changing market. Whether it’s building lasting customer relationships, curating quality sellers, or embracing new technologies, Phil shows that success in eCommerce is about evolving with purpose. Stay focused on what matters—your customers, your partners, and your ability to adapt—and you’ll set yourself up for long-term growth in any industry.
