Impulsive shopping is an important aspect of customer spends in both, the brick and mortar and e-commerce business. Since impulsive shopping is not need-based, to carve a niche and capture market this segment, Shoptimize, a two-year-old startup has come up with a new product ‘Cooliyo’, which customises discounts and app listings to suit the user.
Cooliyo is a community-driven, women-only shopping portal and app, catering in the fashion and home decor space. It works on the line of Pinterest, wherein, any Cooliyo user can post an interesting product, which will be listed based on its popularity. Cooliyo also displays curated product catalog from popular e-commerce portals. “Buying what you need covers only 40% of retail. The rest is, buying things you did not even need. According to Accel Partners report, women outnumber men based in the impulsive shopping category. And that’s why our focus is on women-only products,” Mangesh Panditrao, CEO of Shoptimize India said.
A customer who likes ethnic wear and has purchased similar products on the platform, he/she would get special discounts and offers. Push notification with customised product listing is another way Cooliyo reaches it customers. At the product level, it posts trending products on social media and draws buyers attention. “We want to be different from the online marketplace where customers search for products, compare prices and check with physical stores and then decide to buy. We are
focused on product discovery and the social aspects of shopping. Shopping is a by-product. We want you to have fun!” Panditrao added.
According to Accel Partners’ India E-commerce Report 2014, women-influenced online sales in India will grow 5x by 2017, mainly due to growth in the supply of women-specific categories like jewelry, and fashion segment. The platform is not open for offline merchants yet. Cooliyo is based on the affiliate model and it generates revenue based by commission on sales.
“We charge a minimum of 10% on the products that are sold by merchants on our platform,” Panditrao said. Cooliyo also works closely with certain merchants to drive large volumes of traffic. It has tie-ups with Flipkart, Jabong, Koovs and other e-commerce players,whose products are listed on its portal. It also encourages individual entrepreneurs with good product listing to come their platform.
Shoptimize has raised $750,000 so far from Tandem Capital and others, and is in talks with VCs to raise addtional funds for its expansion plan. It is said to record 800-1,000 transactions per day. Shoptimize also provides an end-to-end e-commerce solution for small time merchants’ creation of the online store, integrating with payment gateways and logistics, generating traffic to the online store etc.