AussieCommerce Group today announced the acquisition of the Australian and New Zealand operations of LivingSocial, in a move it claims further consolidates its position as one of the leading e-commerce businesses in the region.
“This acquisition provides valuable scale while also giving us access to thousands of new merchant and supplier relationships,” said Adam Schwab, CEO and Co-Founder of the AussieCommerce Group.
US deals aggregator LivingSocial offers deals on products, travel offers and local experiences to more than one million active subscribers in the Australian region. Its Australian operations were founded on the framework of North Sydney company JumpOnIt, which was purchased by the Washington DC based LivingSocial back in 2011. With the acquisition of LivingSocial’s Australian interests, AussieCommerce will lift its exposure past eight million members across Australia and New Zealand.
“LivingSocial has built a fantastic business here with a very engaged membership. We look forward to working with their extremely talented team to improve our offering and build further value for our customers,” Schwab said.
The development comes in the wake of AussieCommerce acquiring the Australian operations of product sample distribution website PINCHme just before the Easter break last week.
“The open rates on PinchME emails are twice or three times what you get at a typical e-commerce business, and the information they’ve gathered on subscribers is the richest I’ve seen,” Schwab told Fairfax with regard to the PINCHme acquisition, in a statement that might shed light on the motivations behind the LivingSocial purchase.
In addition to its latest e-commerce acquisitions, AussieCommerce Group owns a number of major online retailers, most notably subscription-based fashion retailer Brands Exclusive, #36 in Power Retail’s annual Top 100 Australian Online Retailers list. The retailer, in addition to other interests such as Cudo, The Active and Luxury Escapes, is expected to contribute to a $200 million turnover this financial year.