Filed under Ecommerce Trends, Top Ecommerce Retailers by Michelle Heng on July 29, 2011 at 8:33 am
no comments
July 29, 2011
By the ZippyCart Content Team
Expedia, a Bellevue, Washington-based ecommerce site for travel booking and accomodations has announced this week a 23 percent increase during its second quarter to launch the company over $1 billion in earnings for the first time in its history. Well, guess who’s having the best second quarter ever — After the closing bell rang on Thursday, Expedia’s shares also rose 7.6 percent in after hours trading.
Expedia reported a profit of $140.4 million which, in the same period the year before, it recorded a profit of $114.3 million.
According to market research firm PhoCusWright’s Global Online Travel Overview Second Edition report one-third of the world’s travel sales will be booked through an ecommerce solution by the end of 2012. In addition, online leisure travel bookings are growing twice as fast as the general travel industry, which is to exceed $313 billion by 2012.
With solid numbers like these, it’s hard not to question if these financial jumps are a case for more travel companies to adopt ecommerce solutions, as this is an industry, despite the current shutdown of the Federal Aviation Administration (FAA), is experiencing growth and will continue to in a variety of international markets like Asia-Pacific, Europe, and the U.S.
Daily deal sites are also a factor in the developing online travel landscape. Travel for leisure is no longer just for those with an immense disposable income, as sites like Off and Away, Gilt Groupe’s Jetsetter, and LivingSocial Escapes offer travel packages that are up to 90 percent off the retail price making travel, air and hotels more accessible to every day people.
Earlier this month, Expedia exclusively partnered with Groupon to offer discounted travel deals. Within the first three days of its travel promotions,15,000 deals were purchased through Groupon’s ecommerce solution, with 25 of Expedia’s nearly selling out.
The additional layer added to the success of Expedia in the second quarter and its other major brands like spin-off site TripAdvisor, Hotwire.com, and Hotels.com is being accessible via mobile applications. Collectively Expedia’s mobile apps are downloaded an average of 36 times every minute, which is an increase of about 20 percent compared to the first quarter.
The ecommerce and mobile commerce (m-commerce) industries are forecasted to be multi-billion dollar markets, where ecommerce is projected to hit $279 billion by 2015 while m-commerce should reach $670 billion worldwide. Perhaps Expedia’s banner second quarter is a lesson in ecommerce and reveals how a company leveraging booming markets and industries can now join the ranks of the heavy ecommerce hitters with billion dollar revenues.
Filed under Ecommerce Financial News, Ecommerce Startups by Taylor Dance on July 29, 2011 at 7:47 am
no comments
July 29, 2011
By the ZippyCart Content Team
Groupon may be all the rage for deal-a-day sites here in the States, but Snapdeal.com is the one making waves in India. The country of 1.21 billion loves the New Delhi-based deal-a-day site, which also offers a products and “getaways” page. The company announced today that it has raised $40 million in Series B funding from Bessemer Ventures and previous investors Nexus Venture Partners and IndoUS Partners. This is the largest single investment in an Indian Internet firm to date.
Snapdeal takes a bit of a different approach to the tried and true Groupon model. Instead of offering one deal, the site is offering daily deals to hyperlocal markets while also offering users vacation bargains and discounted prices on products such as jewelry and electronics.
The additional $40 million investment brings the total funding for the ecommerce solution to $52 million. The additional money comes hot on the heels of the $12 million investment that Nexus and IndoUS dropped into the company in January. While such rapid re-investment is rare, the growth that Snapdeal has experienced is just as surprising. In the past 6 months, the company has hired an additional 200 people, and the site’s user base has expanded from 1 million to 8 million people.
According to Snapdeal CEO Kunal Bahl, the ecommerce solution is adding new members at a rate of 1.5 million a month. The site offers deals in 50 of India’s largest cities and offers bargains from 10,000 brands and retailers throughout the country. The next logical step in the company’s growth is to go multinational, and Bahl seems optimistic about the potential for expansion into Southeast Asia. The company already has multinational companies like Pizza Hut, Levi’s, Nike, and Marriot on board.
Snapdeal is also getting a leg up on competitors by offering a mobile version of its site. According to Bahl, around 30 percent of all deals purchased from Snapdeal are generated from a mobile device. One problem the ecommerce solution has run into is employee retention, which is a countrywide issue within India. Bahl said the company is planning on spending some of the new funding on employee training, grooming, and incentives.
Filed under Ecommerce Acquistions and Mergers, Ecommerce Trends by Taylor Dance on July 29, 2011 at 6:40 am
no comments
July 29, 2011
By the ZippyCart Content Team
If outward appearances mean anything, it certainly looks like Amazon is preparing to compete with the streaming side of Netflix. Amazon could be getting ready to ramp up the streaming content available to its Amazon Prime subscribers. This is just the latest development in what seems like a definite effort to compete with Netflix and Hulu. Amazon also announced that it has added app developer PushButton to its acquisition shopping cart. The purchase will help it expand the number of devices on which viewers can access its Prime Instant Movies streaming service.
Amazon announced that it has added 2,000 additional CBS videos to its digital content library. Amazon also added a deal with NBC Universal to its shopping cart, and now Amazon Prime users can access older Star Trek episodes and Universal movies like Eternal Sunshine of the Spotless Mind. The Universal deal will also bring more children’s entertainment to Amazon Prime, such as Sesame Street and Babe.
PushButton is the connected app development firm that developed the PS3, Sony Internet TV and Samsung Smart TV apps for another Amazon subsidiary, Lovefilm. The firm will help expand Amazon’s currently limited reach on mobile devices. Netflix boasts a mobile reach of more than 250 devices, while streaming competitor Vudu is compatible with more than 300 devices. The mobile market, including tablets and smartphones, is rapidly expanding and viewed as a critical sector for streaming services.
The news couldn’t come at a better time for Amazon and other Netflix competitors. Netflix announced a significant price increase earlier this month. Instead of being able to receive one physical DVD at a time at home and unlimited streaming access, Netflix is forcing users to make a choice between the two plans, or simply pay full price ($7.99 each/month) for the two plans. The deep customer dissatisfaction has led to a forecast of fewer new users adding plans to their shopping carts. As if that weren’t enough, Netflix also announced dismal earnings and projections that fell far below forecasted goals, leading to a $25.68 (10%) drop in it’s per share price on Wall Street.
Filed under Ecommerce Research, Ecommerce Software News by Taylor Dance on July 29, 2011 at 5:39 am
no comments
July 29, 2011
By the ZippyCart Content Team
It’s no secret: the speed in which a website loads can severely affect sales and page impressions. A recent survey found that 40% of shoppers are most influenced by site speed, and Amazon also found that for every 100ms in load time, sales decreased by 1%. The primary culprit for decreased speed are mismanaged tags and third party add-ons. While many webmasters are well aware of this issue, less than 35% have taken any action to fix the problem.
Hot on the heels of this news, Google has once again stepped in to offer ground-breaking tools that have the potential to be seriously useful for webpage developers and those offering ecommerce solutions. Page Speed Service has already launched and early reports are starting to come in.
Here’s how it works: Designers and page owners sign up and point their site’s DNS (Domain Name System) to Google, and the Google team enable the tool. From there, Google will load the page content from the page’s server, rewrite the entire webpage, and deliver the new, streamlined product from Google’s own servers.
Google claims this new tool will lead to a 25 to 60 percent increase in page speed. According to reports, users are able to test out just how much faster their page will load before they are asked to commit to the service. Those looking to boost their ecommerce solution load speeds permanently will eventually have to pay Google a fee to utilize the tool.
Some may be a bit wary of rerouting their webpage through Google’s servers. But the payoff for using Google’s new tool may outweigh the risk of outsourcing hosts. In an ever expanding and increasingly influential mobile marketplace, the cost of having a slow loading webpage can be crippling. In 2009, Compuware found that over half those surveyed felt mobile webpages should load as fast as the pages accessed on home computers. Again, around half of the same survey takers said that they refuse to return to a mobile site if they have experienced trouble accessing it in the past. Demand is increasing for breakneck page speeds, and those ecommerce solutions that fail to keep up will be left in the dust.
Filed under All Ecommerce News, Ecommerce Startups by Taylor Dance on July 28, 2011 at 7:07 am
no comments
July 28, 2011
By the ZippyCart Content Team
Has the world of online shopping become a bit too bland and two-dimensional for you? Ecommerce solution providers VirtualE and z3D both plan to change the online experience for shoppers around the world. The company is working on the development of an online shopping mall featuring 3D products and storefronts, complete with social interactions with other customers.
The new development from VirtualE is operating and licensing electronic malls to give online shoppers the sense of actually being “there.” VirtualE “e-malls,” as they call them, require users to download their proprietary software, which then lets them create a shopping avatar, peruse a 3D electronic mall, and meet up with friends while they’re checking out the digital storefronts. The result of all this interactive shopping is a more entertaining and fun shopping experience according to CEO Mark Stein.
“It makes for a more dynamic experience,” said Stein. “I compare it to the transition from black and white to color TV. Once color was possible, why would you want black and white?”
ZEDDD, another 3D ecommerce solution, is working with shoppers and companies to bring their product, called z3D, to market. “ZeDDD is working with a number of companies around the world to set up z3D malls and shops,” ZeDDD spokesperson Michael Hodges says. The company says it can provide a customized or template z3D application, and the software is free for shoppers and storeowners alike.
z3D sees the potential for 3D shopping to expand, potentially allowing entire virtual cities to develop where shops have established virtual addresses within the application. This new approach to shopping could also attract a new customer base, particularly amongst those who have been reluctant to purchase online in the past. 3D images of products provide a more hands on experience, and also allow users to get a feel for what they are actually buying.
In order to sell in 3D, businesses need to create digital 3D versions of their products. The investment is worth it according to ZEDD. Creating 3D renditions of products leads to a higher interest in products, and translates into higher sales for companies. Keep an eye out for more 3D ecommerce solutions!
Filed under Ecommerce Trends, Social Commerce by Taylor Dance on July 28, 2011 at 5:05 am
no comments
July 28, 2011
By the ZippyCart Content Team
Facebook, the world’s largest social networking site, officially launched its “Facebook For Business” page last night. The move is likely a push to get ahead of Google+, which launched last month and already has over 20 million users. Google has come under some fire from business owners, who have been banned from establishing business accounts on the new social networking site.
Google is said to be in the process of developing a “for business” model of Google+, and will allow businesses to finally create pages separate from the personal accounts already allowed on Google+. Sites like Mashable lost their Google+ privileges after trying their luck establishing an account for the company. Ford Motor Company also received a ban from Google+ for the same reason, trying to use Google+ as an ecommerce solution.
Facebook, with 750 million active users, already has a leg up on Google+ in terms of personal accounts. The network has, however, run into some roadblocks with businesses. This leaves the door wide-open for command of the business side of social networking. With Google lagging behind in terms of development and implementation of a business-oriented product, Facebook has stepped in to fill the void. The new business page is focused on setting up small businesses for utilizing Facebook as an ecommerce solution.
Facebook for Business will allow small businesses to establish a presence amongst a crowded Internet marketplace. Social networking makes it easier for small stores or restaurants to gain a following and for customers to rant and rave about the business. All of this free exposure can equate to improved reputations and increased sales. The new site offers insight on how to use the networking tools such as Sponsored Stories and directed ads, which target Facebook users based on language, location, age, gender and most importantly interests.
Google+ users such as Michael Dell have expressed interest in using Google+ to bolster their ecommerce solutions. Dell wants to find a way of communicating with customers directly, saying he would like to use Google+ in some fashion to be able to help customers with issues they may be encountering with products. At this time, Google is working overtime to push out a suitable product, so Dell and other heads of business will have to wait.
Filed under Ecommerce Trends, Social Shopping by Jack Cieslak on July 27, 2011 at 5:55 am
no comments
July 27, 2011
By the ZippyCart Content Team
Technology moves fast. Everybody knows this. Technology has moved fast for as long as technology has existed. And the more technology is created, the fast the landscape for everything that touches it will change.
TurnTo is one company that exemplifies the rapid changes that the world of ecommerce solutions are experiencing. More sites are taking advantage of their novel social question and answer system every day. The latest site to do so is Adorama. One of the Net’s leading photography ecommerce solutions, they chose to go with TurnTo instead of relying on the reviews element of their preexisting ecommerce software.
Product reviews have long been a vital aspect of any ecommerce solution. Shoppers use them to tell retailers what they think of certain products, warn other shoppers to avoid a specific product, or to loudly voice their praise for something. However, reviews tend to be extremely objective and give users little flexibility when it comes to find out more information and broadening their knowledge base.
TurnTo’s social q-and-a technology changes all that. By giving shoppers a social means to access people who have already purchased the item that they are looking at, TurnTo’s system gives retailers a powerful means to drive conversions. A shopper who is sure that what they are buying is what they want is more likely to convert than someone who has reservations.
That’s one major shortcoming of ecommerce solutions: with a brick-and-mortar store, shoppers and retailers are there in person and can ask questions and volunteer information. Online, no matter how plugged in you are to your ecommerce solution, the chances of you or a staff member being able to answer every question all the time are slim to none (even though there are plenty of integrated online programs to allow you to just this).
With TurnTo’s quick turnaround time for questions and answers, and the increasing number of people who shop socially online and want to share their experiences and opinions (doesn’t everybody?), the potential for this system is only going to keep on growing.
Filed under Ecommerce Startups, Ecommerce Trends by Jack Cieslak on July 27, 2011 at 5:07 am
one comment
July 27, 2011
By the ZippyCart Content Team
Every once in a while we’re fortunate enough here at Zippycart to snag some quality time with a leading figure in the world of ecommerce. Today we’re presenting a special interview that we had recently with Zmags’ CEO Michael Schreck. He gave us the inside story on Zmags and their new product “Commerce Pro.”
Q. You were recently appointed as CEO – how did that come about? What attracted you most to Zmags?
My own personal iPad epiphany drove me to connect with Zmags Corporation (Zmags). On day 1 with my shiny new iPad, I was navigating around Flipboard and the WSJ and experienced my first compelling online advertisement (no, dancing babies do not qualify as compelling). I couldn’t believe it. Finally the content, the navigation, and seamless ability to respond to a call to action, could all co-exist simultaneously in a rich media environment. All my beliefs about the future of mobile marketing seemed to finally be possible and available. I wanted to be part of that future.
When I co-founded m-Qube in 2001 (where we accomplished many amazing things and the company was acquired by VeriSign for $250MM) it became abundantly clear that wireless carriers’ platforms and handset limitations at the time would constrict our ability to execute our full vision. I had been waiting for a dynamic new platform to unleash the creativity of the world’s marketers and a signal that the time had arrived. The iPad was the signal. I wanted to be part of that transformation in marketing. I began searching for a company that truly got it – that understood that rich media and these new devices were offering a new way to market…to market the “possible.”
When I experienced my first Zmag, I saw the potential. I was instantly intrigued by what the company was trying to do for its 3,000 global brands; icons like Lenovo, Ralph Lauren, Lexus, Dick’s Sporting Goods and thousands of other leading brands. The Zmags platform offered marketers the brilliance they customarily accomplished offline—but now across virtually any online or mobile device—that was a revelation. Helping leading global brands to better convert and leverage offline skills to drive online engagement and purchases across mobile devices and social media was something I knew I had to be a part of.
And as you know, the Company just launched the first e-commerce engine integrated directly inside this rich digital experience called CommercePro. Some of the top retailers/brands in the world have quickly adopted the solution from Express to Jenny Craig to Laura Ashley. They understand that a truly engaging experience results in improved conversion rates and larger order sizes. For the first time, there are significant impulse purchases happening online thanks to CommercePro.
Q. What is one thing that e-commerce retailers are not paying attention to that CommercePro can help them take advantage of to drive sales?
I think there are two profound trends that major retailers/brands need to be extraordinarily sensitive to:
- E-Commerce, as we know it today, commoditizes and homogenizes previously profitable customers.
- Truly leveraging the art of off-line merchandising and engagement will determine long-term winners and losers in the future of online commerce (f-commerce, e-commerce and mobile commerce). Most retail online sites habitually condition shoppers to search for discounts and promotions, lack an ability to drive impulse purchasing, and fall far short of a comparable in-store experience. The core of web shopping was designed by non-retail techies (often in their early twenties) who had little or no interest in designing a channel that would engage “power shoppers”, merchandise brilliantly, or offer a truly personalized shopping experience. As larger and larger percentages of retail dollars come through the online channels, retailers need to adapt now before they permanently condition massive swaths of profitable customers to become “bargain shoppers” or “task-only shoppers” and lose their accompanying margins forever.
Further, retailers must offer online the “ideal personalized shopping experience” that they work so hard to provide consistently offline. When I walk around a leading retailer’s offline store, there are so many cues that encourage me to stay longer, browse and ultimately buy more. This is exactly what is missing online. Retailers and brands are creating very “standard issue” e-commerce sites (particularly parroting Amazon) because they feel they have to. But competing with a retailer with 2-3% margins feels like a fool’s errand. At its core, personalized merchandising is virtually absent online.
CommercePro solves for both of these challenges. First, it is designed to offer a different path and experience for certain segments of a site’s traffic. Its focus is on the most profitable customers who are seeking engagement and merchandising and enjoy that experience. Second, the digital experience inside CommercePro can be customized and curated (and constantly optimized) leveraging a retailer’s off-line merchandising assets and strategies. Finally, retailers can be consistent across their channels and procure the increased conversions, order sizes, and margins that correlate with such effective cross-channel merchandising.
Q. What is one thing that you want people to know about CommercePro that they might not realize from reading the promotional material? What’s the heart and soul of this product, to you?
Because CommercePro is the first digital interactive experience available with an integrated e-commerce engine, there are no words yet in our common vocabulary to fully describe the Zmags experience. Thus, we tend to refer to it as an “interactive catalog experience” – but it’s so much more than a digital version of a paper catalog. While the user feels that he/she is in control of the experience with the dynamic interface, it is truly the retailer’s direction that guides the interaction between user and products and user and brand. Much like Cyrano de Bergerac, the retailer can orchestrate an outcome without making it obvious who is pulling the strings.
Q. How is the business/retail climate different now? What about today’s marketplace makes it ripe for CommercePro?
The tablet and social media phenomena have forced retailers to accelerate their marketing agendas at a rate previously unheard of. Smartphones, iPads, Groupon, Facebook, to name only a few, are now a permanent consideration for marketers and have arisen virtually overnight. Marketing organizations were already resource constrained as they battled with how the web and offline channels should align (which now seems like the easy part of the challenge).
That is where CommercePro comes in. Our over 3,000 global customers wanted one solution that could help them address all these new channels simultaneously. CommercePro provides the functionality to deliver an interactive digital experience across virtually all devices seamlessly (without significant IT requirements). We can have a leading brand up and running in a few weeks. We can port a merchandised experience to the iPad, Facebook, and the web all from our SaaS solution today.
Q. Which kinds of online businesses are most well-suited to CommercePro – how can businesses of all kind leverage CommercePro?
The core market for CommercePro is principally retailers and brand owners who have 1) an e-commerce store 2) a print catalog/circular 3) brick & mortar locations and/or 4) a product line that is sold through other retailers. Aligning all these channels with a consistent merchandised experience is critical and CommercePro makes that easy.
One of our most prominent conversations right now with global brands is around Facebook commerce. Retailers have spent months (sometimes years) collecting thousands of “fans” in the social network. Yet very few are able to turn those fans into buyers – and even fewer without leaving the Facebook environment. One example of how CommercePro is changing the face of interactive shopping is through Facebook – our customers can embed a fully functioning digital Zmag right into their fan pages. And their fans can become buyers with a few simple clicks. As far as I can tell, that means that virtually every leading brand out there can leverage CommercePro.
Q. Is there anything you’d like to leave our readers with in terms of advice or insight into how to succeed in e-commerce or business in general?
Something I’ve said for years about the offline world continues to be even truer in the online and mobile realms. “It’s all and always about (understanding) the customer, stupid.” What have you done today to delight your customer and how do you know? Ensuring that your culture believes this, is empowered to do this, and most importantly has consistent metrics to track it. We tend to use the Net Promoter Score as our core metric for internal and external customer measurement and in so doing are constantly learning about how we please (and sometimes displease) our clients.
Q. What is a typical day like at Zmags? You have offices in multiple different time zones, how does that affect things?
Even though we have 3,000 brands as customers, we are still a young company striving to keep up with our growth. Because our teams are distributed nearly equally between Boston, Copenhagen and London, each office feels more like a “start-up” in its intensity and collegiality (it is hard to “hide” in an office of only 40-50 teammates). I like that a lot. The downside of course, is we have to travel more, use video conferencing and FaceTime a lot, etc. When we get it right, we effectively have a company that is operating virtually 24×7 somewhere in the world—which is exciting from a productivity point of view. We also benefit from a broader set of cultures, languages, disciplines, and experiences. Cross-functional teams are a part of the daily diet, which means we’re all learning globally all the time. In our new Boston office, we have a large Chinese orchestral gong that is “rocked” whenever we do something that delights a customer. It can be awfully loud….but we want everyone to know when we have made a difference for a customer.
Q. If Zmags was a dog, what kind of dog would it be and why?
I’d say we’re a Labernard – a combination of two great dogs, where the end result is a beautiful hybrid. It’s the best of both animals – the energy and beauty of the Labrador with the protective qualities of a St. Bernard. I like to think we are extraordinarily energetic in innovating with and yet fully protective of our clients. Hopefully, we exhibit the traits of this “gentle giant” of a dog.
Filed under Ecommerce Trends by Jack Cieslak on July 26, 2011 at 9:02 am
no comments
July 26, 2011
By the ZippyCart Content Team
Startup valuation are all over the place these days. With ecommerce solution Zillow’s IPO skyrocketing even before the stock went on the market, as well as the LinkedIn and Pandora IPOs (and the still-looming shadow of Groupon, with its incredibly high valuation [which many believe may be somewhat inflated]), it can be difficult to say what makes a good company or a believable, sustainable valuation. Some might say that a company has a high valuation because it is a good company, others might say that a good companies earn high valuations and make them sustainable and believable for the long run.
Whatever your criteria are for a secure valuation that you can really stand behind, Airbnb’s online rental ecommerce solution is raking in revenue and the company is gathering investment dollars to match its one billion dollar (or more) valuation. They recently closed a Series B financing round that brought in more than 100 million dollars from a variety of sources. Originally birthed by the Y-Combinator business incubator, the burgeoning company went on to acquire backing from Greylock Partners, Sequoia Capital, Ashton Kutcher, and many others.
Airbnb is really a great example of sustained, uniform growth: They started off small with a hard-to-swallow business plan (but one which they strongly believed in). Slowly but surely they grew their circle of host properties (more on that later) and clients. As more people took advantage of their novel service, they started bringing in more money, both from customers and from investors.
Not bad for an idea that seems (on the surface) kind of insane. We covered Airbnb a few weeks ago (when they brought in another load of investment money). For those who don’t know, it’s a service that allows people to list a portion of their property, such as a spare room, etc. on the site’s ecommerce solution. They set a price and wait for reservations to come in. Travelers who need a place to stay in that area can make a reservation through the site, confirm it with the owner, and then show up at the appointed time.
That’s right, if you’ve ever wanted a site that would let total strangers stay with you in your house, congratulations, you’ve found it! See what I meant about the idea sounding a little insane? Well I’ve had a chance to use the service since my last article about Airbnb and I can tell you firsthand, it actually works really well! The ecommerce solution is super-convenient, the accommodations were comfortable and affordable. Best of all, the people I stayed with were super-nice (Airbnb can’t gurantee that, but the site’s review and ranking options allow the community to exercise some level of quality-control). It just goes to show you that if you have a great idea and really believe in it, amazing success CAN happen.
Filed under Ecommerce Financial News, Ecommerce Trends by Taylor Dance on July 26, 2011 at 8:09 am
one comment
July 26, 2011
By the ZippyCart Content Team
Following hot on the heels of Apple’s massive quarter, the CFO of Apple essentially confirmed the upcoming September release of the iPhone 5. The new phone is expected to be a massive hit, as a recent report claims 35% of the US public is waiting to add an iPhone 5 to their shopping cart (that’s roughly 108 million people, for those who are wondering). Recent slow downs in production and a decrease in the availability of the iPhone 4 also lend evidence to a September release.
In a conference call discussing the recent earnings report, Apple CFO Peter Oppenheimer was asked why the company predicted a 12% drop in revenue over the next 10 weeks. One factor is the anticipated slowdown of new users adding the aging iPhone 4 to their shopping cart, as consumers play the waiting game for the newest iPhone installment. Additionally, Oppenheimer’s response claimed there is “a lot going on in the fall with iOS 5 and iCloud,” and added that there will also be a “future product transition that we will not talk about today.” This last little piece is just about as close as Apple ever comes to announcing a forthcoming release. It all but confirms the corresponding release of the new iPhone and iOS 5, the beta testing of which is on course for a September release.
iOS 5 will be massive update to the year-old iOS 4, and will bring with it deep Twitter integration and of course the almighty iCloud. Perhaps most importantly, the new system allows over-the-air software updates, which will make updating games and apps purchased from the iPhone App Store even easier.
In the past, iPhone and iPad users had to connect their phone to a computer, download the new operating system update, and then let iTunes install the update. Now that process can be done natively on the phone itself, no computer necessary. This is helpful from an ecommerce perspective, as independent app developers and Apple have both struggled with getting users to update their software. Apple also tweaked the notification system in iOS 5, which will alert users when their previous App Store shopping cart purchases are in need of an update. Stay tuned for more news on the new iPhone release date!
Filed under Celebrity Ecommerce News, Ecommerce Trends by Michelle Heng on July 26, 2011 at 7:08 am
no comments
July 26, 2011
By the ZippyCart Content Team
One of the most sobering moments in life is the untimely passing of a talented artist at a young age. Consider those in the music industry — Jim Morrison, Jimi Hendrix, Brian Jones, Janis Joplin and Kurt Cobain, all young artists who have mysteriously passed at the age of 27 however whose music increased in popularity after, thus dubbed the members of the “Forever 27 Club.”

Winehouse on the cover of the Back to Black album
On Saturday, July 23, five-time Grammy Award winner Amy Winehouse became the latest young artist to join the Forever 27 Club.
Her passing has gathered great criticism from the public at large about her lifestyle choices and bad girl image but what is clearly emerging to the forefront (as it should be) is her talent, her music.
The news of her death sparked almost, if not immediately, a wave of fans rushing to online stores like iTunes and Amazon (who had immediately released online special promotions) to fill shopping carts with Winehouse singles and albums.
Winehouse’s most public album, “Back to Black” (2007) has now skyrocketed in sales, a clear nod to a genre of music that, unfortunately, will not be produced again or at least with Winehouse’s soulful voice behind it.
According to the UK’s Official Charts Company, shopping carts have been increasingly filled with Winehouse music that the ‘Black’ album sales increased by 299%, jumping to the 59th spot in just two days, and is sold out in many brick and mortar shops.
As of Monday, the album took over the number one slot on iTunes in the U.S. and the U.S., UK, French, and German Amazon sites have both of Winehouse’s albums ‘Black’ and “Frank” (2003) taking over the majority of the top five spots on the site’s bestsellers list.
However, officials say this is just the start as sales are expected to continue to surge over the upcoming week. As the past has shown, posthumous fame (like those in the Forever 27 club) ushers in a new audience of listeners and creates the kind of success that can only snowball after death.
Winehouse clearly brought her inner demons and pain into her music. With bleeding heart singles like “Love is a Losing Game,” “Back to Black,” and the now very transparent “Rehab,” the ‘Black’ album is a eery snapshot of the troubles the artist was battling that eventually lead to her fatal undoing.
As the demand for her music increases, Winehouse’s label, Universal Music is rumored to release an album of songs that were expected on an upcoming album in addition to any unreleased recordings of the soul singer.
Wanting fans can anticipate to put at least one more new song from Winehouse in their shopping carts. The legendary Tony Bennett was the last person to work with the singer and recorded “Body and Soul” set for Bennett’s upcoming album “Duets II.” Bennett responded, “She was an extraordinary musician with a rare intuition as a vocalist and I am truly devastated that her exceptional talent and has come to such an early end.”
From her signature smoky voice and beehive coif, a style nod to an era where the 60’s girl group reigned supreme, paired with a gritty, unabashed personality, Amy Winehouse has become one unforgettable talent in music history.
Filed under All Ecommerce News, Ecommerce Startups by Taylor Dance on July 26, 2011 at 6:02 am
no comments
July 26, 2011
By the ZippyCart Content Team
Coupons are great, but most of the time it’s a pain to find the coupon, clip it out and make it to the store without forgetting them altogether. Lots of companies have tried in the past to make digital coupons easier to use, but SavingStar is a new ecommerce solution that takes a new approach to coupons. Instead of the “buy five, get one free” approach, SavingStar offers easy to use and understand coupons for everything from dish soap to diapers. The company has earned over half a million loyal users in the brief three months that it’s been available, putting it on a faster pace for growth than Groupon or Foursquare.
SavingStar takes a different approach to coupons. The ecommerce solution focuses on digital delivery of simple coupons. Users head to the SavingStar website, iPhone or Android app and link their account to their store loyalty card programs (which most stores offer, and are useful for getting deals). Then when they see a coupon they like on SavingStar, they add that coupon to their account. When they go into a participating store and buy the item, they use the mobile app to redeem the coupon at checkout. Instead of immediately discounting the price of the item, the user pays the listed price upon checkout. Their savings gets applied retroactively to their SavingStar account. When a user accumulates $5 in savings, they get paid out directly to their checking or savings account, PayPal account, in the form of an Amazon gift card, or can make a donation to a charity.
SavingStar CEO David Rochon says that while Daily Deal sites are great, they appeal to infrequent purchases. The new ecommerce solution brings together frequently purchased items and simplifies the coupon process. If a shopper buys a box of cereal, they save $1. If they buy a box of X-brand mac and cheese, they save 50 cents. Rochon says that the company research shows that 89% of consumers visit a grocery store at least once a month. More than 24,000 stores have partnered with SavingStar to bring deals to users. This new digital model is also beneficial for the companies providing the coupons, as they only pay when coupons are redeemed.
Filed under Ecommerce Trends, Online Shopping by Elliott McNary on July 26, 2011 at 5:48 am
no comments
July 26, 2011
By the ZippyCart Content Team

A recently launched
ecommerce solution, Send The Trend, has just launched a new service dubbed My Style. The site is concentrated around the world of accessories! (OMG, yes i’m serious). Their new service,
My Style, allows users to help their friends find the best additions to accentuate their wardrobe, while letting the user make money at the same time.
The company only deals with scarfs, sunglasses, necklaces, watches, etc. When you sign up for the service you take a survey which aims to have the site curate a list of accessories that you would like most. Every single one of the items is $30, so choose accordingly.
The site automatically charges your credit or debit card every month whether you decide to buy something or not. Until you cancel or skip, you’re paying $30 every month. The idea has gained popularity since those shady CD companies started doing it in the late 90’s. You better remember that between the 1st and 5th of each month you have to buy something or else you’re wasting $30. If you’re one of those people who is on top of their subscription game, then you can choose to skip this month (not pay) through the ecommerce solution.
Now, the new My Style service is actually kind of cool. What it allows the user to do is create their own page on the site that has all of their favorite styles. You can have the site add styles onto your page through their technical algorithm, or you can just upload them yourself.
Once your very own ecommerce solution is setup you are able to share it on Facebook, Twitter, and email. If somebody likes your style then every time they buy a product off of your page, you make $10 in store credit. Making 33% commission on a sale isn’t too bad huh? One problem is that there is a wait list right now to create a My Style page.
Send The Trend was co-founded by Divya Gugnani, Mariah Chase and Project Runway winner Christian Siriano. The company has received funding from Battery Ventures and Founder Collective. The ecommerce solution has been seeing great growth after the couple months that it has been live.
While giving up 33% of the item’s selling price to the user, even though it is store credit, is still a pretty big margin, but the clothing business does have gigantic markups. For example, Nordstrom’s lingerie section has a price markup of 1600%. One has to only wonder how much Send The Trend pays for those oh-so-cute beaded bracelets.
Filed under Ecommerce Trends, Mobile Commerce News by Taylor Dance on July 26, 2011 at 5:07 am
no comments
July 26, 2011
By the ZippyCart Content Team
Most iPhone and Android users are familiar with how freemium App content works. First, the user downloads a game from their respective App Store, which they can then play for free. The number of features or levels available to the free user are intentionally limited, encouraging the in-app purchase of the full game. This model has been very successful for app and game developers, and a recent report shows that the average in-app purchase amongst 3.5 million users on both Android and iPhone iOS has reached $14.
Here are some even more surprising numbers: Of all the in-app revenue generated, approximately 51% of that revenue comes from in-app purchases of $20 or more. Despite this fact, the overwhelming majority of in-app purchases (71%) are actually coming in at the lower end of the spectrum, ranging from $10-$20. Purchases greater than $20 come in at only 13% of the total number of in-app purchases. What’s more, the highest end of in-app purchasing is in fact suprisingly high, roughly $50 a transaction.
This news reaffirms the suspicion that smartphone users are more inclined to add an app to their shopping cart if they feel they are getting content for free, even if it is a limited experience. It also shows that consumers are more likely to upgrade their freemium experience if they are first given a sample of what they are buying.
Flurry, the company conducting the research, notes that digital distribution of games is throwing the portable retail game category for a loop. The market that was once dominated by the Nintendo DS and the Sony PSP is now being taken over by consumers who prefer to add digitally distributed games to their shopping cart. The revenue share of portable games on the iOS and Android platforms has risen from just 1 percent in 2008 to 34 percent in 2010. In turn, Nintendo’s market share in portable games went from 75 percent in 2008 to 57 percent in 2010.
Flurry also noted that games drive 75 percent of the revenue among the top 100-grossing iOS apps. 65% of the game revenue comes from free-to-play games, with in-app purchases driving the success of these titles.
Filed under Ecommerce Trends by Jack Cieslak on July 25, 2011 at 6:49 am
no comments
July 25, 2011
By the ZippyCart Content Team
Just to give everyone a heads up, in case you haven’t heard: you can now listen to music over the internet. I’ll give you all a moment to soak that in before continuing with this article.
In case you haven’t been keeping track, Rdio and Spotify, different versions of basically the same service debuted or stepped up their US presence in the last month. What these services allow you to do is listen to a near-endless supply of music for a low monthly price, without putting a single track in your virtual shopping cart.
Previous online options included Grooveshark and Pandora, as well as Last.fm. Grooveshark gave you a lot of the same functionality that Spotify and Rdio give you, but without any of those messy big label contracts. As a result, music on Grooveshark could be spotty at times: songs and albums were mislabeled, and music disappeared without warning if a user (or more likely an artist or their lawyers) took it down.
Pandora was a more legal alternative to Gooveshark, but like cousin Last.fm, users had relatively little control over their playlists. Pandora played a random selection of tracks which you gave the thumbs up or down to in order to increase or decrease their frequency of appearance. You could also opt to purchase a track by putting it into you online shopping cart.
On top of all this, Pandora also slapped free users with a play limit of 40 hours per month, helping to incentivize paying for the the full version. While Spotify features an ad-supported free version with play limits, Rdio offers an ad-free one week free trial instead. For both services, only paid subscribers reap the full rewards of their record label contracts and can even listen to their playlists offline.
As Spotify shores up its American debut (long overdue, some music fans say), Rdio levels a shot right at their user base by offering their first to market iPad app. While they already had a desktop and iPhone app, the iPad app signals their first jump into the tablet market, way ahead of Spotify. If their Android app comes out of Beta any time soon and enough users adapt to it, they can possibly box out Spotify before it even fully takes root. Especially with all the Android phones going into shopping carts around the world.
Spotify’s current music quality issues back home in Sweden may also help hold back their success here in the states. It turns out that not all of the tracks on their premium service meet their own benchmark for quality, which may put them in breach of Swedish law.
Filed under Ecommerce Trends by Jack Cieslak on July 22, 2011 at 7:07 am
no comments
July 22, 2011
By the ZippyCart Content Team
Online shoppers and browsers are extremely visual. One of the keys to having a good shopping cart or ecommerce solution is to have great pictures of your products and lots of them. However, even with this in mind, not many shopping cart owners strongly integrate a lot of video into their sites. Users want video experiences, such as product reviews and interviews, but they want to be in control. They don’t want the videos to hit them over the head. They especially don’t want videos (or music, or audio announcements of any kind) to automatically start playing when they enter a website. That’s a proven deal-killer.
Another way that video can help drive customer engagement and keep them interested in your shopping cart, site, or service is by using them to educate customers and introduce them to your team and your business. That’s where new video content service Pixelfish comes in. Using their innovative, self-serve ecommerce solution, small business owners choose the options that work for their companies and put them in their digital shopping cart, check out, and wait for the magic to happen.
With an easy to use system like that in place, it’s no surprise that they keep collecting money and prestige. They recently closed a four million dollar funding round led by Silicon Valley VC company Bullpen Capital. Supporting investors included Floodgate, Mack Capital, Tomorrow Ventures, 500 Startups, and Western Tech. They also made “Funded Ideas” list of Top 300 Startups.
Right now they carry four “pre-built” options, broken up into two sets. One set is designed to “accelerate growth.” The other set is targeted at “building loyalty.” Think of it as the difference between drawing in new customers who’ve never heard of you vs. developing the relationships that you already have an encouraging return business.
Within these two categories are the same two options for the actual content: montage video or original video. Montage videos use stock footage and only last about thirty seconds. If you put the “Original Video” option in your shopping cart, then you’re paying for an on-site visit by a professional videographer. The footage from the on-site will be used to build a one minute video. Both packages come complete with professional music, voice overs, and editing.
Once the video has been produced, Pixelfish hooks it up with professional-grade promotions, aimed at network-wide visibility and local attention. Your personal accounts manager makes sure that your videos and business are listed on Citysquares, Facebook, and Twitter, and that your videos make the rounds on as many useful formats as possible.
Recent Comments