Hoping to kickstart the local social commerce niche, Australian mums Kim Westwood and Liz Tehan have launched Set That.
Australian mums Kim Westwood and Liz Tehan wanted to create a platform to bring people and product more closely together online. What they’ve ended up launching is a new social commerce platform dubbed Set That.
While still in its early days, Set That has already been embraced by some renowned international brands, including Bloomingdale’s, Marks & Spencer, StrawberryNET and John Lewis, as well as local brands like Styletread, Zanui, Surfstitch and The Iconic.
The concept allows users to explore ‘sets’ of products, which have been compiled and curated by their peers. The individual’s profile and related shopping preferences are used in order to present the ultimate personalised experience. In this sense, Set That is a little like a more retail-oriented Pinterest, and not very dissimilar to eBay’s new Feed feature.
Another novel aspect of this new platform is the method by which it’s incentivising its user base. Set creators are able to earn up to two percent in commissions should they successfully build and market their set through social media channels. This commission can be banked in their PayPal account or donated to charity, depending on the preference of the set creator.
So far, over 100 brands have already committed to joining Set That and its co-founders are already in discussion with investors.
“We are looking both in Australia and in the US to get our first round of venture capital funding. We have a number of presentations lined up next month with interested investors, including both local and international, and have had good feedback and high interest levels in the business from potential investors,” said Set That Co-founder, Liz Tehan.
Projections for Set That are to have 300 registered stores by the end of 2013 with that number increasing to more than 3000 by 2015. The stores are anticipated to showcase 1.5 million products to 200,000 users this year and 15 million products to 2.5 million users by 2015.
“Overall, the reaction so far from retailers has been extremely positive, particularly from those in the US and the UK, who have included this type of marketing model in their strategy for some years and have been quick to sign on. The Australian retailers are a little more hesitant to engage, however we feel confident this will change over the coming months as they see the live product and the success of the initiative,” said Tehan.
“Utilising relationships formed with retailers through international affiliate marketing networks has been a great way to enter the market. Retailers can also join directly with us and, now that the site is live, we can work with those interested to bring their products to people through this innovative marketing model.”
Set That Co-founders, from right: Liz Tehan and Kim Westwood.
Affiliate marketing network provider Rakuten LinkShare has also been recruited to help Set That enhance its visibility, assisting Set That to quickly make a name for itself among big retailers.
“Retail has been remarkably fast in embracing Set That because it provides an innovative opportunity for retailers in the online shopping landscape. The website allows retailers to benefit from new customers delivered by a virtual sales force – the site’s set creators,” said Anthony Capano, Managing Director, Rakuten Linkshare Australia. “Set That is also a great example of how publishers are becoming more advanced in Australia as they find new, innovative ways to drive traffic for retailers” he added.
As far as local, innovative online concepts are concerned, Set That certainly shows promise. However, considering the significant and ongoing shifts occurring in the Australian e-commerce market, success can never be guaranteed.
What do you make of Set That? Is it a promising, original idea, or is the shine wearing of these kinds of ventures?