Filed under Asia Ecommerce News, Online Shopping by Michelle Heng on March 3, 2011 at 5:23 am
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March 3, 2011
By the ZippyCart Content Team
Levi Strauss and Co has joined the mass ecommerce migration to the East and set up shop to sell their legendary denim on China’s largest online retail platform, Taobao, an Alibaba Group subsidiary. The new ecommerce store will offer over 200 Levi’s products and introduce styles that are available exclusively online. The move may look to be a lucrative decision for the Levi brand, giving it access to a growing base of 370 million users.
“For corporate retailers, Taobao Mall offers the infrastructure for complete management of their own brand and online retail channel while providing access to consumers situated in second and third tier regions across China in addition to urban centers such as Shanghai and Beijing,” said a spokeswoman for Taobao.
According to Taobao’s ecommerce software, several thousand pairs of jeans have already been sold online and moreover, the Levi’s brand is now available to China’s 450 million internet users. Business-to-consumer (B2C) ecommerce is booming in China and it would seem Levi’s is on an upward slope to capitalizing in a greater market. As such, Levi’s is just one of many countless brands looking to get in on the ecommerce boom who set their eyes on Taobao as their ecommerce solution.
Meanwhile, the storm is brewing as the U.S. Trade Representative recently put Taobao on a list of “notorious markets” where pirated and counterfeited goods are not tightly monitored. This comes shortly after another subsidiary of the Alibaba Group, Alibaba.com, announced that more than 2,000 of its suppliers had defrauded its users.
As a result, Alibaba’s chief executive David Wei, and chief operating officer Elvis Lee, resigned to take the brunt of the responsibility despite not being directly part of the scandal. The issues surrounding the Alibaba Group expose a fatal flaw in an ecommerce boom: everyone wants in, whether or not they provide a legal product, and they can easily enter these marketplaces.
Taobao is no stranger to this kind of problem. There have been previous reports of knock offs of big name brands being sold–which calls into question the credibility of its business. What this could mean for Levi’s is the possibility of another selling counterfeit versions of the brand’s products on the same platform, which may also undermine the commingling of international markets in the future.
It cannot be definitely said that opening a shop on Taobao is not a good move for the Levi’s brand, but it must remain cautious in a period when uncertain practices plague the Alibaba Group. For now,
Taobao remains confident and is making significant efforts to address the availability of infringing goods through its website, which is reassuring for China’s largest online marketplace.
Filed under Ecommerce Financial News, Mobile Commerce News by Jack Cieslak on March 2, 2011 at 6:33 am
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March 2, 2011
By the ZippyCart Content Team
A survey was released yesterday by Shoppercentric, a British ecommerce analysis firm, which shed some light on ecommerce habits within the UK. Leading figures included gender differences, mobile commerce, and social media interaction. The report included several recommendations by Shoppercentric for how companies could better use their existing social media and other ecommerce resources to better connect with past and future customers.
Male respondents were targeted as a major mcommerce market to be. Possibly fueled by stereotypical male gadget-lust, the survey shows that about 40% of men own smartphones, compared to only about 30% of women. This increased prevalence of smartphones translates to an increased use by males of shopping related apps. Almost twice as many men use shopping apps as women (14% vs 8%).
Mcommerce numbers: transaction volume, smartphone saturation and app-use, are only going to rise. More apps flood the market every day and smart retailers are making sure that they have an app for their brand/stores. Apps can help encourage consumer involvement and conversion. Mobile commerce is expected to reach almost a trillion dollars in volume by 2014.
Women, on the other hand, put a more social spin on ecommerce by turning to social media to enhance their experiences. 60% of women use Facebook, the largest social network on earth, as opposed to 52% of men. Both groups, however, were generally distrustful of brands and retailers on social networks.
Most respondents who interacted electronically with a brand or retailer did so via the company’s website, not their Facebook page. “Why go to the Facebook page when there’s already a website?” was a common question from consumers. 64% of users go to a store’s website to purchase an item, compared to 6% who go to the Facebook.
Contrast this with the fact that 54% of users feel like companies are only on Facebook to sell something (which, admittedly, they are). Two of the main things that users want out of their social media interactions with a large company are to learn something new and to have some fun.
These engagement issues are industry-wide. Businesses need to ease into their social media relationship and keep users coming back over and over again to strengthen the relationship. This and mobile commerce are things that users can and do use every day and are great ways for businesses to stay in the minds of their customers.
Filed under Online Shopping by Jack Cieslak on February 28, 2011 at 7:41 am
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February 28, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Hotel-matching startup Room 77 is changing the game by letting users search for rooms by criteria such as view, distance from the elevator, or precise sizing and accouterments. Sites like Trip Advisor and Yelp have been around for years, offering “crowdsourced” reviews and information about hotels cobbled together from travelers and official hotel information. Users log on and hunt down recommendations, then get redirected to HotWire, Expedia, or another reservation site to book their stay. Rooms get doled out closer to the date of the trip, usually 48 or even 24 hours beforehand.
The Room 77 difference is in the details. For starters, they don’t rely on stock information from the hotels themselves or large, faceless websites. Their staff of travel professionals have connections with actual humans in the hotels themselves (front desk staff, managers, etc.) and use them to gather hard data on which rooms have which features and which are the most desirable. The launch of their new app will allow willing travelers to get in on the act as well, using their camera phones to capture images of the room’s dimensions, arrangement, as well as the emergency exit drawing. This will allow Room 77’s staff to ascertain exactly where the room falls within the grand scheme of the entire hotel.
The game changer for Room 77 users is their “view finding” technology. Instead of going old-school and hiring photographers to visit individual hotels and take shots out the windows of every room, which would have been inefficient, taken forever, and cost a fortune, Room 77 turned to technology. Using Google Earth, Room 77’s team has replicated the views from the rooms of the various hotels that they support. So far they are only tapped into major hotels (3 stars or better) in major cities, but they’ve also got a selection of higher-grade vacation destinations in their database as well. For business and pleasure trippers alike, the ability to know what the room and the view will look like before they arrive is a boon.
Users will still need to book their room through the hotel itself or a booking service, and there’s still no guarantee that the room they want will be available. That is, unless they call the hotel directly and request it as the stay date nears. It has been suggested that Room 77 may add a pay feature for that later. As it is, the site and the app both match rooms based on criteria the users input, and display matches in green (best), yellow (okay), and red (not good). Users physically at the hotel about to sign up for a room on the spot can presumably use the app to figure out if the room they’re being addled will fit their needs before they even leave the front desk, possibly saving the guest and the hotel a lot of aggravation in the long run.
Filed under Ecommerce Startups, Online Shopping by Charlie Holbert on February 28, 2011 at 7:16 am
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February 28, 2011
By the ZippyCart Shopping Cart Reviews Content Team
StorkBrokers, an e-commerce site specializing in child-oriented merchandise, announced its new site revamp at the LAUNCH conference in San Francisco on Feb. 24.
Part online-store, part e-community, the new site has been designed for parents who find it silly to spend full price on toys and clothing that their kids will out grow in a month. Thanks to their focus on a parent’s desire to save a few bucks without compromising quality, StorkBrokers provides users with instant access to an online marketplace of previously owned and gently used children’s goods.
“StorkBrokers.com was born out of necessity,” co-founder Bridget Hawkins. “With two growing kids, our home was overflowing with toys, clothes and all sorts of gear we no longer needed. We realized we had the same challenge other parents had: what do do with a house full of outgrown or unneeded kid’s stuff.”
Working as a hybrid between a PG version of Craigslist and eBay, budget-conscious moms and dads can use StorkBrokers to find deeply discounted children’s goods, and turn around and make a few bucks and clear up some space through selling their unused tot clothes and toys.
What sets StorkBrokers apart from all the other cookie cutter online marketplaces is the site’s integrated e-community. The parental community provides moms and dads with a forum for online discussion, as well as areas of original content from StorkBrokers’ experts and parents. Blog posts include information-rich material that will give parents insight and provide different perspectives on topics such as at-home organization, saving money, and living green while raising a family.
The site itself is very user friendly. It’s easy to navigate through content and post items for sale. To list an item, a parent creates an account, uploads a picture and writes an item description, then places it into one of the product categories. Categories include: Learn and Play, Clothing and Accessories, Health and Hygiene, Safety, Travel, and Furniture. Mom and dad even have a special category that lists items like maternity clothes and sports equipment.
StorkBrokers has partnered with moms who actively blog across the country in hopes of further promoting and building the site’s e-community. It could prove a great way to establish its foothold in the world of online shopping.
Filed under Online Shopping by Jack Cieslak on February 24, 2011 at 6:28 am
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February 24, 2011
By the ZippyCart Shopping Cart Reviews Content Team
SeatGeek, a NYC ticket-finding startup recently received a fresh infusion of cash from Ashton Kutcher and his venture capital firm, A Grade Investments. SeatGeek uses innovative algorithms to match customers with sporting and music event tickets to match their needs. In a market crowding with a host of other specialized ticket-hunting services connecting potential buyers with sellers, in addition to long-time players like eBay, a new company needs a strong gimmick to set itself apart from the crowd.
For Seatgeek, one game-changing feature is 3-D mapping. Users can peruse a variety of ticket prices, shows, and locations, and scan through the venues in 3-D. Kutcher visited the firm’s Flatiron offices and was reported quite impressed with their user interface. A smooth UI can be an important factor in getting customers to buy, especially in a fickle field like tickets. If users are unsure of any element of the process, lose their place, or are otherwise disoriented, the sale could fall apart. This is true of any online sales process, but it’s especially dangerous given the time-sensitive nature of event tickets.
Kutcher has become notorious for funding Silicon Valley’s latest lineup of hotshots, even having thrown in money with Q and A service Quora. Manhattan’s Flatiron building is also the home of another of his investments “Fashism.” The companies inhabit a “startup space” called General Assembly.
News of SeatGeek’s latest round of funding comes hot on the heels of their deal with the Bleacher Report to power their professional and college sports scores and schedules. The Bleacher Report is one of the web’s biggest sports websites. SeatGeek also has deals with the Wall Street Journal and Yahoo! Sports. They will use the influx of new money to grow out their team, which currently consists of twelve members. It’s unknown if they will use Kutcher’s social media heavy-hitter status to get some love on Twitter, but don’t be surprised if he shows a sudden interest in upcoming sporting events and concerts.
Filed under Online Shopping by Charlie Holbert on February 23, 2011 at 5:29 am
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February 23, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Missouri’s Department of Conservation (MDC) will soon be offering a majority of their hunting and fishing permits online. e-Permits, as they call it, will allow hunters, anglers and trappers to purchase tags from their home computers.
Purchasing permits online has been available since 2002, but that previously only allowed the users to print a confirmation page, leaving them to wait upwards of two weeks for permit delivery.
e-Permits will allow hunters and anglers to not only purchase but also print their permits from the safety of their desk chair. The entire process takes but a few minutes. As such a convenience fee of $1 will be tacked on to their purchase, which the MDC says is half of the original online convenience fee.
As part of this new system, hunters will also see a new design for deer and turkey permits. The tags will now have months and days around the edges, requiring hunters to record their harvest date. With that, hunters will be responsible for keeping their permits legible and attached to the animal in an area that is clearly visible for fish and game to inspect.
Vendors will also be able to sell e-Permits beginning June 2012. Until that time, the original system of purchasing permits through vendors over the phone will remain in place.
According to the MDC website, the state sells around 2.6 million permits a year, with half of those being for deer and turkey hunting. As of now, the department says less than 2 percent of their sales come from online purchases.
Once the new system is fully operational, the MDC is expecting e-Permits to save nearly $500,000 annually. The department also says they should be able to save around $1 million every six to eight years because they won’t have to replace the equipment used by vendors.
The new system will be online and ready for action March 1st. Perfect timing with spring season is just around the corner.
Filed under Online Auction, Online Shopping by Jack Cieslak on February 22, 2011 at 8:14 am
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February 22, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Adrian Ghighina, a Romanian man formerly living legally in the US, pleaded guilty to his part in an eBay fraud ring totalling almost three million dollars. Charges include conspiracy, fraud, and money laundering. The plea hearing took place in the Chicago US District Court of Judge Matthew F. Kennelly on Thursday, February 18, 2011. Sentencing is set for some time in May and could include up to 20 years in prison and fines of up to $250,000. Ghighina is already in prison serving time connected to several previous visa and fraud violations. These earlier charges were brought against him in a US District Court in Washington D.C. and also carry a possible 20 year sentence and quarter million dollar fine potential.
Ghighina entered the US legally in 2004, but soon began engaging in criminal activities. The plan was simple but devious: Ghighina set up numerous fake bank accounts in various US cities. Then he and his accomplices (a group of approximately 10 unnamed co-conspirators) would post false auctions on fraudulent eBay accounts, or sometimes hack genuine accounts, but use the ill-gotten accounts to auction off non-existent merchandise. Either way, unwitting users would find the auctions, bid on the items, and send money, never to receive merchandise.
The fraud ring made itself more profitable and difficult to track by eschewing credit card accounts and PayPal (two preferred ways of dealing online) and instead managed to convince buyers to pay them via wire transfers. This is significant as many online marketplaces, such as Craiglist — another place where the fraudsters were operating– explicitly warn their users to avoid postings that ask for cash or wire transfers, as these are often scams. Good advice, apparently.
These charges stretch as far back at 2005, and the state of online financial security is constantly changing. In this modern online environment, where safety and security are steadily increasing, it’s still important to know who you are dealing with and if you can trust them. As security measures get better, the bad guys also get sharper.
Filed under Online Shopping, Social Shopping by Michelle Heng on February 22, 2011 at 8:04 am
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February 22, 2011
By the ZippyCart Shopping Cart Reviews Content Team
New York-based company, Gilt Groupe, has been surprisingly unswayed by Nordstrom’s recent purchase of competing flash sales site, Hautelook. Maybe call it a surge of confidence from its recent $1 billion valuation? The company has raised more than $80 million of capital in several rounds of financing from private-market investors including Matrix and General Atlantic. Gilt recorded taking in $270 million in 2010 and its billion dollar valuation is partly based on the hopes that the company will double that revenue to roughly $500 million this year.
Many assumed Gilt Groupe would go the way of Hautelook and sell to a brick and mortar retailer like Nordstrom but the company has shown it is not ready to go in that direction. By playing the valuation game, Gilt looks to be making a bigger and bolder move. Gilt’s chief executive, Kevin P. Ryan said the company is on track for a major round of fund-raising in the first half of 2011 and considering 2012 public offering that may position itself to play with the upcoming IPO giants like Facebook, Groupon, and Zynga.
However, before Gilt can take the big leap into the public sphere, the company needs to solidify itself as a company worth investing in. The flash-sale industry has taken off at an extraordinary rate, but like any industry that sees such growth, it is also expected to experience a slow-down at some point. As such, the company is preparing for a rainy day and is moving its concentration to vertical development. Coming to the forefront now is “Gilt City,” a Groupon-like daily deal service with local niches, and Jetsetter, which provides Gilt members only insider travel deals. Its new verticals are also growing in revenue and currently make up 20 percent of Gilt’s business. Towards the July quarter, Gilt will slowly depart from the discount goods and service industry as its main focus of revenue and explore offering goods at full price, one of which is reported to be men’s clothing. As 2010 progresses, it will be interesting to see whether or not Gilt matures into a consistently profitable company with the staying power it needs to eventually go public. As the economy changes, so do the consumers, which begs the question, how long will Gilt’s growth last?
Filed under Online Shopping by Jack Cieslak on February 22, 2011 at 7:11 am
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February 22, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Rumors have abounded regarding recent disruptions in Apple’s website. Several Mac news websites reported today that shipments of the current generation MacBook Pro line of computers had been cut off completely, suggesting that Apple could be ramping up demand in anticipation of releasing the new version of the MacBook Pro. Then came the retractions, when the MacBook Pro came back up for purchase, only with a shipping time of 3 to 5 days (previously 24 hours). This still gives the news-mills room to speculate.
The original idea was that Apple (under the careful direction of Tim Cook) was cutting off the supply of the Pro series ahead of a launch this week — most likely Thursday (because, apparently, that’s the day for these kinds of things). This idea was bolstered by reports that Apple and Mac stores around the country had received “mysterious packages” and been warned not to tamper with them, pending further instructions.
Not meddling with a box that could possibly contain one of the hottest new pieces of hardware from notoriously secretive Apple is a tall order, even for them. Even before all this shipping subterfuge, rumors swirled around the latest MacBook Pro models and what its features and capabilities might be. For starters, new MacBook Pros are supposed to use Intel’s new “Sandy Bridge” architecture for processing power and possibly feature their “Light Peak” fiber-optic peripheral technology as well.
The final, and most uncertain, element of the new MacBook Pro is the casing. Apple recently signed a deal with Liquidmetal to use their revolutionary new material (a metal that can be processed like a plastic) in their future products, but exact announcements have not been forthcoming. A Liquidmetal shell replacing the present alluminium would save about a pound of weight per unit and help bring Apple’s new laptops more in line with their “Air” series, which rocked the computing world with their incredibly low weights. As always, time will tell.
Filed under Online Auction, Online Shopping by Jack Cieslak on February 21, 2011 at 8:28 am
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February 21, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Designer Derek Lam and eBay are teaming up for the first ever “crowdsourced” fashion event. Dubbed simply “Derek Lam + eBay,” the event consists of 16 unique designs by Lam. Fans will log on and vote for their favorites. The top five winners will go on sale in May. The line is aimed at fans of Lam’s work who want/need more affordable options. All pieces are priced from $125 to not more than $2,950. Sizes will range from 0 to 16. Lam’s work typically goes for anywhere from just under a thousand dollars to almost $1,700. More elaborate gowns can cost even more.
In an era plagued by recession, where consumer deal-seeking behavior is at its peak, a crowdsourced initiative like this paired with affordable prices could have a bright future. Crowdsourcing, for those who’ve never heard of it, is the process of soliciting aid (financial, imaginative, etc.) from a large group of people, rather than relying on a small team. Says Michael Fink, dean of the Savannah College of Art and Design’s fashion school:
“EBay gets 16 million hits a day. I mean, come on, 16 million people are not walking through a store every day.”
eBay has been in some hot water with fashion designers in the past due to fakes and forgeries surfacing on its retailers. However, of late eBay has been aggressively trying to rebrand itself as a high-end fashion outlet. A program like Lam’s, officially sanctioned by him, the designer, would definitely be safe from any allegations of fraud. Input from fans and soon-to-be consumers gives the program the weight to help make it truly successful.
Lam, a self-described early adopter and tech nerd, is excited about the program for several reasons. First off he said that he wanted a way to make his clothes available for everyone, “not just friends or family or the press.” He also said that he had approached other designers about affordably priced lines in the past but
“none of it felt fresh…When we do a collection, the press is involved and the stores become involved and sometimes I’m like, ‘You know what? I think the consumer can tell us a lot more and more directly.’ “
Getting consumer input can be a great way for ecommerce outlets to increase interaction with their sales base and shift their product line more towards what the customers really want.
Filed under Online Shopping by Jack Cieslak on February 21, 2011 at 7:28 am
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February 21, 2011
By the ZippyCart Shopping Cart Reviews Content Team
A new scam surfaced this holiday season, aimed at targeting sellers using Amazon marketplace. The application, billed as a “social engineering” device, allows users to enter in product information from a sale that never happened. The program then generates an html file that is almost identical to a real Amazon receipt. The next step for the scammer is to approach the retailer that they supposedly made the purchase from and ask for a refund or replacement for the value of the receipt.
This scam is a deviation from the norm as it targets retailers without using an intermediary third party. Typical financial scams target credit card holders, either by drawing down advances using their existing accounts, purchasing “big ticket” (high value) items, or opening new accounts without the owner’s knowledge. In all these cases, the main victim is the credit card holder (and to a smaller degree the credit card company); without the credit card holder the scam just can’t go through. One notable combination scam that involved credit card companies, buyers, and sellers was perpetrated by two Vietnamese students in Minnesota, who used eBay and PayPal to fraudulently fulfill orders and send the profits back to Vietnam.
The Amazon receipt scam targets retailers directly, and by doing so eliminates the tracking and security measures put in place by the credit card company. However, this direct connection with the retailer also makes the scam easier to break down. It seems to go without saying that retailers should have a record of every transaction they’ve made, and even if they don’t, Amazon does. Scot Wingo, CEO of ChannelAdvisor, an ecommerce software company, stated that the retailers most at risk for this kind of fraud are in the $2,000 to $20,000 monthly sales range. Companies of this size are big enough for things to start getting lost if there’s a sudden uptick in sales, which is exactly what fraudsters were probably hoping would be the case with the holiday rush.
Checking incoming receipts against Amazon’s record’s is a retailer’s best defense against fraud like this. Experts advise all ecommerce professionals to protect themselves in these situations by having a firm return policy and publishing it prominently on their sites. Only allowing store credit for returns is another defense – ones you have a customer’s money, it’s in your best interests to try to hang on to it and find some other way to resolve any customer service dispute. Don’t be swayed by sob stories either, they say. If you want to make it in ecommerce, sometimes you need to be a little tough.
Filed under Online Shopping, Social Shopping by Jack Cieslak on February 21, 2011 at 5:28 am
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February 21, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Brick-and-mortar powerhouse Nordstrom has acquired members-only “flash sale” website Hautelook in what many experts are calling a bid to enter the increasingly popular daily deals / flash sale / pop-up store market. The deal called for $180 million in stock with up to an additional $90 in “earn out” for Hautelook. The flash sale site will continue to operate independently, but as a wholly-owned subsidiary of Nordstrom.
Flash sales are special promotions that are only available for a limited time. They can be open to anyone, or private (like Hautelook’s). Members are usually notified by e-mail or text message. Pop-up stores are a similar phenomenon wherein companies set up smaller, more exclusive merchandise selections in a separate site away from the main store site. Roots, Canada, has had great success with these types of stores on Facebook.
Pop-up stores on Facebook allow a retailer to attract business by hitting consumers where they live, or at least, where they are browsing at the moment. Both pop-up stores and flash sales serve several important functions for ecommerce retailers. First off, they increase consumer demand/”anxiety.” With the decreased duration of either the special savings, special selection, or both, customers feel an extraordinary need to act on the sale. Private sales and the increasingly social nature of online shopping are driving many shoppers to alert their friends and family about the sale, increasing brand awareness. These sales also allow retailers to offload merchandise (sometimes overstocked merchandise) quickly and without sacrificing brand prestige.
Nordstrom isn’t as strong in the ecommerce world as it has been in the real world, but in recent years it has made several important changes to its online presence that have had positive effects on its bottom line. Their first move was to link up real world and online inventories, allowing customers to view product availability at nearby stores, which is a main way that smartphone users interact with the ecommerce elements of brick-and-mortar stores. Other ways that Nordstrom has reinforced its online presence were to add a blog and a rating system to their store site, increasing the feedback relationship with customers. Then end result was a 25% increase in sales in their direct division, about three times the increase that they saw in-store.
Blogs and rating systems are social elements that many ecommerce retailers already took advantage of. Many larger, established brick-and-mortar retailers have proven slow to react to the ecommerce world, but seeing the gains that they are experiencing when they do get on board really proves the value in these commerce pathways. Integrating flash sales into your ecommerce model could be a great way to diversify your customer interaction means.
Filed under Online Shopping by Nick Grant on February 15, 2011 at 6:58 am
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February 15, 2011
By the ZippyCart Shopping Cart Reviews Content Team
Online coupons continue to be a hot topic in 2011, as consumers become more savvy about their shopping habits and want to save money as often as possible. Rough economic conditions over the past few years have created a more cost-conscious consumer who does not mind spending a little extra time and energy to find a e-coupon for their next purchase. In order to get some insight into the e-coupon niche and where the industry is headed in 2011 and beyond, the ZippyCart team chatted with Aaron Mendes, CEO of Drop Down Deals LLC.
One of the first things we wanted to know was why will 2011 finally be the year of the e-coupons and what factors are contributing? Aaron replied that “Two of the biggest factors shaping the e-coupon industry are time and the economy. As people have less free time and money, shoppers are turning to e-coupons, not only to save money, but also to avoid looking for print coupons, getting in their car, driving across town to look for their product, and then standing in line to purchase it. Coupon browser apps like Drop Down Deals expedite this process by bringing relevant e-coupons to consumers when they need them. A purchase that takes you an hour or more to complete with print coupons can be completed online using e-coupons in less than five minutes.” His answer makes a lot of sense, especially when you combine that with the fact that almost everyone in the U.S. can get online somehow, either via their own computer, smart phone, or local library.
Next we asked Aaron about group buying sites like Groupon and LivingSocial that dominated the news in 2011. Are they set to bloom or fade? Will mega popular daily deal sites cause people to forget about e-coupons? According to Aaron: “Groupon and LivingSocial have had much success in the last year but they are not without their limitations. Group buying sites only offer one specific product or service per day and only after a certain number of people have also purchased it. Most days consumers will not be interested in that day’s offer. However, using e-coupons allows consumers to buy what they want, when they want while still getting a great deal. Each type of coupon serves an entirely different purpose. Groupon and LivingSocial are location-based coupons for mostly ‘brick-and-mortar’ retail outlets, while Drop Down Deals is national in scope and for online merchants. With hundreds of competitors entering the daily deal/group buying space, Groupon and LivingSocial will have an increasing amount of trouble growing. They may fall from the spotlight in the second part of this year. In my opinion, these sites are not causing people to forget about e-coupons.” While the answer is insightful, it appears that Groupon and LivingSocial are here to stay, and this is may be best illustrated by the recent Super Bowl commercials from both companies.
We were also interested in learning more about what factors Aaron thinks have limited e-coupon growth in the past. He said that “I actually don’t think e-coupon growth has been limited over the past few years. It appears to be growing faster than ever. There are now hundreds of coupon websites and aggregators. However, there is a sense of skepticism surrounding e-coupons for a couple of reasons. The biggest reason is that most coupon sites do not remove old coupon codes, resulting in a ton of websites that have expired codes on them. The consequence of that is people spend a tremendous amount of time searching for coupon codes only to find that the code has expired.” This brings up a great point. Many coupon sites are loaded with outdated information, which makes it tough for a consumer to put their faith in them. This often causes consumers to jump around and can make it tough for them to only choose one or two “go to” e-coupon sites to search when the need arises.
We also wanted to know which service areas or product niches that Mendes sees consumers caring most about e-coupons. Aaron let us know that “Electronics and clothing seem to be two of the top niches on Drop Down Deals consumers care most about. People are always looking for the best deals on back to school clothes, baby clothes, etc. Conscious consumers know that these items will be quickly worn out so they look for the best deals, and of course electronics are always sought out items. Consumers are always looking to have the latest gadgets and devices but at discounted prices.”
Lastly we asked Aaron what he had to say about where he sees e-coupons going in 2012 and beyond: “Eventually e-coupons will become highly personalized. Each e-coupon will be determined by personal preferences, purchase trends and amount of money spent with any particular online retailer. Also, as mobile devices continue to flood the market, I suspect that geo-location will become a major feature of e-coupons. This will require more local retailers to offer e-coupons in order for consumers to adopt geo-targeted mobile coupon apps. Currently there aren’t enough local coupons available in most areas for consumers to have a good user experience from their mobile.”
Filed under Online Shopping by Jack Cieslak on February 15, 2011 at 6:06 am
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February 15, 2011
By the ZippyCart Shopping Cart Reviews Content Team
The fashion landscape is changing, with stylish bags for men rising in prominence. Australian ecommerce retailer Hip Industries (a possible reference to the bags being “hip” and cool, and also resting against a man’s hip when worn as a shoulder bag) has seen increasing demand for good-looking, high-quality bags for men. Even with the economic situation being what it is, the niche for durable, fashionable accessories is getting larger and Hip Industries has found a way to capitalize on the need.
Where has this new need come from? The increasing complexity of modern life and all the accoutrements that come with it seems to have contributed to men’s increasing need for a stylish, attractive way to carry everything that they need. Hip Industries founder Ben Loe offers this explanation:
“Unlike the past, men cannot get by carrying everything in their pockets. In many cases, we carry around a lot of stuff, stuff like laptops, books, and mobiles. You need a place to put this stuff. That’s where men’s bags come in.”
Practicality can be a strong motivator. When customers have a simple, non-negotiable need to fulfill, they will turn to the most basic and attractive solution. According to Chris, a 30-something business man:
“I have so many things to carry around. These new range of bags provide a stylish solution.”
Style is a more important consideration now than any other time in recent memory. Some attribute this to the rise of so-called “metrosexuals,” a term for men who care about their grooming and appearance. This phenomenon has become so common that it almost begs the question, do we really need a special word for men who care about these things anymore? When do they stop being a special subset of men and start being just “men?” Can’t you carry around a high-class manbag (or shoulder bag, or messenger bag) and still be just a man?
The shift from more practical backpacks to more stylish shoulder bags may seem motivated by fashion, but have men really given much up in terms of storage capacity and mobility? Hip Industry’s line of bags are all large enough to accommodate laptop computers and other bulky items. It’s not as if men are ceding practicality for a smaller, less efficient bag, similar to a purse.
What solution does Hip Industries turn to for its ecommerce needs? The Australian retailer seems to favor the open source utility from Magento, which might offer them the versatility in the digital realm that their bags offer in the real world.
Filed under Online Shopping by Jack Cieslak on February 15, 2011 at 5:03 am
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February 15, 2011
By the ZippyCart Shopping Cart Reviews Content Team
The rise of the “prey diet” has forced some Florida pet owners to turn to the world of illegal internet meat to find food for their pets. The prey diet, which is built on the idea that the best diet for dogs and cats is one based on raw, whole foods modeled after the diet that their genetic forebears would have consumed in the wild. Another important element of the diet is that the meat be hormone free. This makes wild caught/hunted meat an apparently good option for pet owners who could be hard-pressed to find a suitable variety of affordable meat for their pets.
The problem: not everyone hunts. The (apparent) solution: the internet, where people with money can find people with goods for sale and exchange the two.
The new problem: it is illegal in Florida to sell wild game meat.
In 2010 alone, Florida’s Fish and Wildlife Conservation Commission (FWC) made 177 arrests, initiated 168 investigations, and served 92 warrants associated with the sale of wild game meat. FWC agents say that they mainly want to educate Floridians to let them know that what they are doing is illegal, reasoning that if more people knew that it was not allowed and that there were penalties for buying or selling wild meat online, they would stop. But this illegal buying and selling is only going up with the increased use of the internet to connect buyers with sellers.
A typical Craigslist ad seeking wild meat may say something like: “Looking for wild game. Any kind. Deer, duck, squirrel, anything. We are feeding our dog a raw food diet.”
Aside from the illegality, FWC agents also urged caution for the safety of both humans and animals. Wild meat that has not been properly slaughtered and processed in hygienic conditions can be extremely dangerous, carrying both parasites and germ-based diseases. Worse yet is that not all wild meat purchased online is guaranteed to be eaten by animals. People who buy this meat for their own consumption are also putting themselves at risk. For the safety of all Floridians, on two legs or four, the FWC encourages people who see these Craigslist ads to report them to the authorities immediately.
Filed under Online Shopping, Top Ecommerce Retailers by Michelle Heng on February 11, 2011 at 8:30 am
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February 11, 2011
By the ZippyCart Shopping Cart Reviews Content Team
The clothing industry heavily markets to the way women shop, leaving the modern men of today with sad faces and looking for ways to cope. As such, women’s online luxury fashion retailer Net-a-Porter, has found a way to turn those frowns upside down and will launch Mr Porter, an online store that speaks, breathes, and markets only to men. The brand delivers a no-frills approach to shopping. The site boasts a cleaner design incorporating more white space and features short videos, simple styling tips, and basic images, in contrast to Net-a-Porter’s busier layout.
“I think guys sometimes feel ‘It’s too complicated, I’m out of here’ or ‘I don’t have time,’ ” said editor-in-chief of Mr Porter, Jeremy Langmead. “Guys, we want things straightforward and quickly,” says Langmead. “And sometimes we’re in the office and don’t want to be caught cruising a shopping site.”
Men will also find the fashion on Mr Porter runs the gamut from upscale casual to formal within their limited offering of 80 brands. The mix includes high-fashion lines such as Alexander McQueen, traditional brands like Brooks Brothers, and more casual sportswear like J. Crew.
“The Mr Porter customer is interested in wearing designer collections, but he is not necessarily interested in the silly side of fashion” said a rep for Mr Porter.
As Mr Porter paves a new way for men to shop the way they want, its counterpart, Net-a Porter, is launching another way for women to spend their money. Sure ladies have malls, boutiques, catalogs, online and mobile shopping, but why not shop while they watch TV? T-commerce is a dangerous combination for some, where the distraction of a pretty shiny object may lead to a bleeding bank account and Net-a-Porter seems to take full advantage of it.
Alison Loehnis, VP of sales and marketing at Net-a-Porter, said: “We have taken our original concept of a shop-able magazine one step further with the addition of shop-able TV. Innovation and technology are two cornerstones of Net-a-Porter and it is incredibly exciting to be at the fore-front of this entirely new customer experience. ”
Net-a-Porter TV uses a click-through and buy technique while its viewers watch fashion programming that includes fashion shoots, catwalk shows, designer interviews, and trend reports. Adjacent to those videos, a stream of relevant new product appears on the screen also for purchase (happily consider it a fashion sensory overload). Net-a-Porter hopes its media offering will drive sales and generate a loyal global following. The fashion TV will be available through the latest web-enabled devices including Google TVs and iPads, ensuring everyone can be tuned into Net-a-Portervision wherever they are. With a fashion duo now in the global mix, Net-a-Porter and Mr Porter may have reinvented fashion for both men and women, and it will be interesting to see how their use of innovation affects an industry always looking to be cutting edge.
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