The big news of the week is the acquisition of Postmates by Uber for $2.6Bln, the consolidation continue in the delivery space!
Also some important news from….
Nike going all in with digital sales
Amazon postponing prime day to October
Lululemon purchase of Mirror
Credicorp Financial institution moves into ecommerce platform
Venmo goes into ecommerce
Justo raising $12M for online grocery growth
Few weeks ago, Uber launched 2 new delivery services, it seems that the ridehailing company created for passenger is more and more focused on delivery services. With growth of ecommerce and food delivery, this is certainly a highly promising business!
Lululemon purchase of Mirror is certainly a move to strengthen the digital experience and experience with the consumers to push online sales. The digital connection is becoming increasingly important for any brands. Being top of mind through multiple brands relationships and touchpoints in the digital world is complex. Successful brands have understood that you clearly can’t rely only on influencers & digital marketing to build long term relationship and loyalty with your consumers, you need more than that and this acquisition is a great move for Lululemon (especially in times of COVID as people are not yet confortable to go to the gym)!!
Nike is one of the most admired brand in the world and a clear leader (by far) in their core categories of products! When the leader of an industry makes such announcement, the others listen at it carefully (or they should at least)!! Nike CEO John Donahoe told analysts last Thursday that the company would now aim for online sales to account for 50% of its overall business, up from the 30% recorded in the reported quarter. Last year, I said in a conference that Ecommerce could represent 50% of retail sales worldwide within the next 5-10 years, some people said it was not realistic. Well now, with COVID19, it will most likely happen faster for many brands…
Credicorp, a financial institution from Peru launched Wally-Ecommerce, a tool that will allow 5,000 SMEs to create their online store in 24 hours. In the last months, years, we saw many ecommerce giants entering the financial space (most recent significant was Shopify entering the banking space). This is the other way around, a financial institution going into the ecommerce software space! Interesting dynamics.
Venmo is going after small businesses to help them in Covid times. The mobile-payments app announced it’s piloting a new feature called Business Profiles, which offers small sellers the opportunity to have a more professional profile page on its platform. Sellers can share key business details like address, phone number, email, website and more, this is definitely the first move into building an ecommerce for goods & services linked to the payment functionalities.
Many people ask me? Is the growth of ecommerce going to continue after COVID is gone! My answer is very simple: Absolutely!
One of the best indicator to know how impactful COVID is on ecommerce growth is by looking at the moves of Amazon. Postponing Prime Day to October is a clear sign that AMZN has such a huge growth already that they are not ready to get more!! Nice problem to have. Also, doing this event in October is a good idea, by that date, we can expect many brick & mortar retailers to make sales events to try to get people back into stores and that will give a huge weapon to AMZN to fight back with the future intents from retailers in the physical space!
StartUp Of the week: Jüsto Receives $12M Pre-Series A Round To Expand Internationally
Grocery is the fastest growth category of ecommerce worldwide! People stuck at home are buying their groceries online! Great timing for Mexico City-based online supermarket Jüsto to raise $12 million to grow internationally. Jüsto saw five times growth in orders since the outset of COVID-19, and that’s just the beginning as the penetration for online grocery is very very small in LATAM markets
VP, Global Ecommerce Lead
DHL Supply Chain