The new trading platform is called “Inside Warehouse” and its developers claim that it may increase sales by nearly 200 percent annually.
“We have created the system in 2011. At first, it was tested in the category of products for pets. Sales started to rise by nearly 200 percent annually. Today about 80 percent of category suppliers in Lithuania are using “Inside Warehouse” platform. Initial success encouraged us to expand both geographically as well as to other product categories,” says Tadas Deksnys, “Inside Warehouse” CEO.
Product finds the customer
“Inside Warehouse” technology places products within related content in the publisher’s websites, and provides functionality which enables visitors to buy products without leaving publisher's website. It thus cuts out e-shop link from e-commerce supply chain, providing added value for the remaining participants of online retail.
Product suppliers get instant access to multiple sales points without investing into e-sales development. Content publishers receive an additional healthy income stream from their content and consumers save time by easily picking and buying products right where they read relative information.
“Once we start collaboration with the main news portals, social networks, online forums and communities, people will be able to buy products with a single click of the button in the website where they like to look for and exchange information. For instance, a mother could easily pick and instantly buy a specific baby formula in the website where she is reading about baby allergies. There will be no need to go to a special online shop,” says Justinas Taruška, „Inside Warehouse“ business developer.
Expanding to other markets and product categories
“Inside warehouse” has already facilitated suppliers to sell around 120.000 items of products. Among users of the platform are distributors of „Libero“, „Huggies“, „Disney“, „Hipp“, „Royal Canin“, „Hill‘s“ and many other popular brands. It is expected that the sales through “Inside Warehouse” are going total to 5 million litas (nearly 1,45m euros) by the end of 2013.
Earlier in 2013, the Lithuanian startup has received the first round of investment of almost 1 million litas (290,000 euros) from local investment company “BIP Group”. The investment is going to be allocated to test the concept in other Baltic states and four additional product categories: baby and child goods, beauty and healthcare, fashion and accessories, household products.
“We are especially interested in the product categories where 80 percent of buyers are women, as they usually do much more research on products they intend to purchase. So naturally, our ecosystem is most beneficial for female buyers,” according to Deksnys.
Potential to change the future of e-commerce
“Inside warehouse” founders believe that their ecosystem may change online retail. It may facilitate rapid growth of e-commerce and monetization of content.
At the moment, this platform is unique in Europe and already has delivered tangible results, the Deksnys and Taruška say. The startup founders are now looking for the talent to help them further develop and grow the ecosystem.
About “Future retail”
“Inside Warehouse” is a platform developed by “Future retail”. UAB “Future retail” was founded in 2013 by Tadas Deksnys and Justinas Taruška. Today, the company has seven employees who develop “Inside Warehouse“ and maintain pet food e-commerce markets “Pet24.lt” and “Pet24.lv”. In 2013, the company has raised 0.8 million litas of investment from “BIP Group”.