Hungry For A Bigger Piece Of The Pie

Wanelo currently touts itself as the top digital mall where clothing and fashion related brands can reach a wide range of millennial shoppers who have grown to value a shopping experience that is entirely accessible via their laptops and smartphones versus spending time at a traditional store.  While the social shopping network is doing better business than ever before and its user base continues to grow, if it weren’t for a key strategic move the company made a little over a year ago, things may not be looking so good today.  In the earlier versions of Wanelo, shoppers actually had to leave the application once they had found a product that they liked and then complete the purchase process on the merchants own sight. (Sigh)

That all changed in November of 2014 when the digital mall partnered with over 200 brands to begin to let users complete purchases without having to leave the Wanelo app.  At the time, Wanelo was offering roughly 20 million products in their online marketplace.  The 200 brand sign initially converted more than 500,000 products to be available for in app purchase.  That number has since grown tremendously as Wanelo has now shifted their focus and aim for almost all of the purchases associated with the application to be completed “in-app”.

wanelo

Image Credit: Wanelo

In reference to the recent movement of Twitter and companies such a Spring & Curate revolving around the addition of e-commerce capabilities, Wanelo CEO Deena Varshavskaya said,

“They are concerned about millennials that are getting harder and harder to reach.”

The movement of these companies doesn’t worry Varshavskaya because she is confident in the focus that Wanelo has put strictly on e-commerce.  Only time will tell if their “loyal” users will stick around or leave for future similar applications and networks.

Now let’s dissect the strategic change Wanelo made in their operating system.  They found that the conversion rate for customers finding the product and actually purchasing was 3X higher when the purchase took place in-app versus being redirected from the product page on Wanelo to brand own website.  The functionality of the change seems to cater more toward the human physcolgical process more than anything.  People have hard time letting go of money.  That is a simple truth.  The less effort that is associated with making a purchase, the less the buyer has to thing about spending money and the easier (more likely) the purchase becomes.  Simplifying the purchasing process on Wanelo’s application and web services uses the same logic as waiving a credit card versus swiping a credit card.  Studies have shown that waiving a credit card over a card reader takes less energy and provokes more purchases at higher dollar amounts than when shoppers have to slide the card through the machine.  The less effort required, the easier it is to get customers to let go of their hard earned cash.

The idea that Wanelo users are more comfortable with purchasing products and are more likely to do so versus traditional online or instore shoppers could be huge for marketers.  If you work for a brand and haven’t started to explore the possibility of selling your product through Wanelo, I would suggest you do so. You may be surprised at the change in customer behavior you see.

Is Wanelo A Pinterst For Purchasing? Find Out Now.

What’s With All The Hype?

Wanelo has seen great success early on in its existence.  As I’ve said previously, for being only four years old, the social shopping app has already amassed an impressive user base of 11,000,000 users.  In comparison to wildly popular social platforms like Instagram and Pinterest this figure may not seem like a lot.  But, brand marketers have already taken notice of the unique sharing environment that Wanelo has created for its user and they believe the future of the “digital mall” is going to be something special.

Let’s take a look at the numbers and see where Wanelo stands in comparison to Pinterest in its fourth year since launching.  Pinterest is running roughly 100 million users per month which is staggering still.  Pinterest was launched in 2010 so it’s technically a year ahead of Wanelo in terms of operating time.  While Wanelo’s user base may only be 10% of that of Pinterest’s, there is unique statistic that may shock you.

The average image posted on Pinterest receives 10 “pins” or saves.

And the average product posted on Wanelo receives 140 saves.

wanelo saves

Image Credit: Wanelo

This is truly remarkable and even though Wanelo’s user base is currently 90% smaller than Pinterest’s, the social shopping network is receiving over 10X the amount of activity and saves per post than its competitor.  To put things in perspective in regards to the potential that Wanelo still has untapped, Instagram has roughly 300 million users which is 3X the size of Pinterests user base.  If Wanelo continues to grow and their activity rate per post stays the same, they could experience nearly 1,300 saves per product at 100 million users.  Now, compare that number to the 10 pins per post that Pinterest is currently receiving — amazing.  The sky truly is the limit for Wanelo.

When analyzing technology and social platforms, often times, Gartner’s Hype Cycle is used to get a feel for where a company or network may stand in the process of maturity, adoption and social application.  There are five phases in Gartner’s Hype Cycle.  They include technology trigger, peak of inflated expectations, trough of disillusionment, slope of enlightenment, and the plateau of productivity.  In Wanelo’s case, it seems as though they are approaching the peak of inflated expectations but are not quite there yet.  When we compare Wanelo’s user base to those of more established social networks, it’s easy to see that there is still a lot of room for growth.  Wanelo has not yet reached its full potential and could cater to a user base similar to the size of Pinterest’s in the near future if digital e-commerce continues to show fast growth.

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Image Credit: Google Images

 

Many marketers are taking advantage of the opportunities that Wanelo presents which allows brands to grow closer to their customers.  Maybe entering in the digital e-commerce race is the right decision for your business.  Perhaps Wanelo is just what you’ve been looking for.

If you would like to learn more about how brands are diversifying their social portfolios, be sure to check out my guest blog post.

Is Wanelo a “Pinterest for Purchasing?”

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Image Credit: Smartz

Wanelo was launched in 2012 and has been described by many as a future for commerce.  This is understandable as the company’s slogan is “The digital mall for your phone”.  The site currently has over 12,000,000 products posted for more than 300,000 stores.  This includes both large established brands and independent sellers similar to those found on Etsy.  With more than 11,000,000 users across their mobile applications and traditional web platform, it’s hard for companies to ignore the position Wanelo has taken as major social channel and the marketing potential that it holds.

As a social platform, Wanelo allows users to shop and share what products they purchase and prefer with various communities with the user base.  Brands and retailers are manage and operate their “store pages” while engaging the the Wanelo community using comments and stories.  They are also able to see valuable information such as which of their products are trending or being talked about most.  More recently, retailers and brands have started to add the “Wanelo Save” button to their own e-commerce websites.  This is a huge, excited breakthrough for Wanelo.

It’s hard not to compare Wanelo to other social media applications and comparison is important as we continue to understand what makes the network unique.   The obvious and most prominent comparison made with Wanelo is the application, Pintrest.  In September of 2015, the social giant reported that the platform had more than 100,000,000 MAU’s.  This epic milestone was revealed first in a report by the New York Times.  While Wanelo is working hard to catch up to Pinterest in terms of usage, they are not aiming to emulate them.

In a 2013 interview with TechCrunch,  Wanelo’s founder and CEO Deena Varshavskaya had some very interesting things to say when asked about the comparison between her, at the time, “hot startup” and Pinterst.  When asked to address the idea that Wanelo was simply a “Pinterst for things you can buy” Varshavskaya had this to say,

 “I think comparing is fine but we are not defining ourselves a s a “Pinterest for X”.  There are companies who have done that, we are not. We are, from the very beginning of the of the product and the company, exclusively focused on solving commerce and reorganizing commerce around people.”

 

Video Source: Wanelo Makes Shopping Social

While it sounds like Wanelo is focused on differentiating themselves from Pinterst, the fact remains that the two are competitors and a vying for users who are interesting in browsing lists of products and ideas that others like and find worth sharing.  However it is important to note that Wanelo is specific to items that are available for direct purchase only. With Pinterest, users can share or “pin” anything such as recipes, tips, tutorials, clothing, etc.

It will be interesting to see how the two social channels continue to compete with one another and differentiate themselves.  Even though both might not be trying to emulate one another, they are most definitely aware of one another.

Can Wanelo Compete With Pinterest &Facebook? Find Out Here.

 

Urban Outfitters Live

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Image Credit: http://goo.gl/BF7VkO

Urban Outfitters currently has 3.2 million followers on Wanelo , has 21.8 thousand products available for purchase through Wanelo, and is trending. Urban Outfitters has integrated Wanelo into their website and their mobile app for the most cross-screening possible. Through Wanelo users can then collect, post and shop products straight from Urban Outfitters’ website and mobile sites and applications. Urban Outfitters is claiming to have the most products on Wanelo today. Urban Outfitters sees 540 Wanelo saves per product. This is more than ten average engagements that a product sees on Pinterest. Urban Outfitters’ approach is to utilize as many additional opportunities available for marketers outside of the main social media channels.

“As consumers are moving online, they are faced with an explosion of choices,” said Deena Varshavskaya, CEO and founder of Wanelo. “What this means for retailers is that, in order to succeed, they need to not only be online, but also be where consumers are now making buying decisions.”

Not only is Urban Outfitters going to where people are making their purchases, they are also sharing behind the scenes looks into their company via newer social media channels like Periscope. Periscope, a live streaming app owned by Twitter, was recently launched in early 2015. Urban Outfitters again was one of the earliest adopters of a new social media channel and began marketing efforts through a new medium. Urban Outfitters’ UOLive campaign is where sponsored musicians and bands perform live, sometimes even at Urban Outfitter locations. Urban Outfitters streamed live performances, like of Jamie XX, on Periscope to give customers and followers an insider look. This new organic way of marketing gives followers a reassurance of the brand they are purchasing. Now whenever a customer goes to the Urban Outfitters website or searches Urban Outfitter products on Wanelo they can be redirected to each site. After checking out live performances by sponsored artists, followers can search the clothes they were wearing on Wanelo and share, comment, or save them to their wish lists. If they do so through the Urban Outfitter app, they will be redirected to Wanelo if they want to save the item or comment on it.  The customer can now experience the entire Urban Outfitter brand completely online and live.

Why Urban Outfitter Wagers on Wanelo for MCommerce

This post was brought to you by Adriannstuff. Check out my blog for more information about how your business can and should be using Periscope.