Pitting your eCommerce company against Amazon is a daunting prospect, however, there are three niche companies that are doing just that. We take a look at Brandless, Boxed and Dote, to see how they are using the convenience of internet shopping to promote their own products and services.
Brandless sells 250 products on their site – mainly food items – and customers can buy 1, 2 or 3 items for $3 – with shipping costing only $1 for the first order, and $5 for future purchases (or they can sign up for a membership which costs $36 per year and comes with free shipping).
The company puts its low prices down to the lack of ‘brand tax’ (the markup that is added for a brand and its logo) and consumers save an average of 70% across its range of products. Brandless aims to be a cheap and transparent company that serves customers who are looking for products that are clearly labelled – i.e. organic or non-GMO – have dietary requirements or who live in a more remote area where access to these items is limited.
Boxed is building its own brand through a private label, and they will reach 100 products by May. Boxed offers a simple way to bulk-buy online so that consumers save money on the unit cost.
As a modern twist, Boxed has introduced a group ordering feature which means that all members of the household – whether that is flatmates or family members – can add items to the cart.
Aiming for a broad target audience of those aged between 18-45, Boxed is particularly aiming for customers who are having their first child, and the company has stated that 70% of its customers are ‘consistent users’.
Dote aims to become a ‘mobile mall’ that eliminates the need to download individual retailer apps. With over 130 retailers on board with Dote, their consumers can shop and purchase from each of these brands without leaving the app.
The streamlined checkout is the main feature of the app, but Dote will also alert users when ‘liked’ items go on sale. Aimed at 15-25 year olds, Dote users view around 200 products per session, and visit the app 3.9 times a day – and these impressive numbers have seen retailers lining up to become part of the app.
“[Dote isn’t] only about making mobile shopping easy, but also leveraging all the amazing things that you can do when you have people shopping on your phone that you can’t do on any other platforms,”
said Lauren Farleigh, co-founder and CEO of Dote.
Each of these brands has rethought the idea of convenience, and what the internet can offer users to create innovative solutions that are proving to be popular with consumers.