We use logistics of offline retail to make them pick points for e-commerce orders
We have MVP based on Amazon services, we integrated second biggest net of pick points in Russia (integrated X5 and other retail) and started first sales.
Our market is booming e-commerce, about 500 bln USD in USA and 400 bln in Europe + Russia. We want to target at least 10% of it.
Проблема или Возможность
While working on our meal kit delivery start up for 6 years (Olga and Dmitriy) we realized that last mile solution is very expensive for e-commerce (5-15% of turnover). There are some solutions but they have very big CAPEX to build their logistics for e-commerce. E-commerce is growing extremely fast so do its expenses for last mile.
Решение (Продукт или Услуга)
We realized that what e-commerce needs is logistics and traction of parcels. Who already has logistics, warehouses and personnel? Offline retail. Who has traffic - e-commerce. So offline retail gives e-commerce cheap last mile solution, e-commerce gives retail traffic that it knows who to convert. We as a platform support all that. So we made a pilot with one of the retail and proved that clients that come to pick up their parcel also make extra purchase - about 6$.
Currently there are special logistics companies that have big CAPEX expenses because they have to build logistics from scratch. So their last mile solution is quite expensive. What we offer- logistics and warehouses of offline retail that already exists and can split its expenses with e-commerce.
Преимущества или дифференциаторы
We offer solution based on the logistics and expenses that already exist. That gives e-commerce cheapest ever last mile solution. We give retail traffic that it badly needs that is why retail is more than ready to join our platform. We give e-commerce cheapest solution and big coverage (because we use offline retail geography - gas stations, grocery, pharmacies etc.).
We have some revenue of 300 USD in February (we started sales in January). We estimate that we reach 2 mln USD revenue in 2020.
We earn on each parcel transaction and also on payment transaction, because some of the e-commerce items will be paid through us.
Целевое назначение инвестиций
Money will spent on business development in Europe and America: BisDevs and offline retail integration.