I’ve taken a look at Buyoo.com. A product recommendation solution which was published in July 2012 to be tested in the Spanish market.
Sounds like a good idea this “social shopping recommendation engine” with wish-list. In fact, it is difficult for me to see shops and shops, and sometimes I have trouble distinguishing between tacky and fashion products. So I found it interesting to search in a few clicks products my friends or other users say they are helpful, good, or that they are fashionable. Buyoo realize the “curation” of my shopping experience allowing me to discover the most exciting products according to my personal or influenced wants, needs and likes.
So, this is fantastic, but what is the business model? The usefulness of Buyoo is very high for the buyer. Its benefits are very similar to the benefits a buyer gets in a list of products of different brands such as, for example, a price comparison site like Google Shopping, Kelkoo, or in the sections of recommended products on magazines: clear, current and relevant information. In all cases the buyers want information about the latest products on the market, either because they are looking to buy a new TV, because you want a new complement dress or just they want the latest gadget for sale.
Buyoo has the differential advantage of being a social recommender in its conception. Unlike recommenders based on purchases made by other users, as the ones available on Amazon and many other e-commerce, in Buyoo you, your friends, people you admire, and even the celebrities you follow are who add products that are on the list of recommended products. And, these are who show their choices in their usual social networks of friends to see who is the last thing they have, what they like or would like …. It could be very viral! This increases the desire for these users to have the products and it increases the confidence in the price and quality of the “products chosen by others“. Additionally, if the user (or the system) can add the shops where you have seen the product, things are looking good!
It´s as if the manufacturers have a showroom in the main shopping streets of the big cities where walkers rate and select the most desired products. But it also could put a smile in traders, also the website shows the “best point of sale”. Solve a real need in the transition of business to the online channel: gain or support market share in the new channel. Therefore, It Buyoo value propositions that benefit and attract consumers, suppliers and distributors. Then, there is business!
As a source of income, a similar model to promocionesfarma.com could be implemented here is. Without knowing the sales figures, just comment that the owner company, Novaventus, has recently secured a second round of investment funding of 1.5 million Euros by Kibo Ventures and Vitamina K, given the success of its business model into a increasing channel (source: Carlos Blanco). Another alternative business model is to make it a flag sales of the desired products, as does Uncovet. In the e-commerce channel, still untapped totally and with an expected continued growth in the coming years in Spain, where he is testing the website, Buyoo have good chances to do business.
Over time we will know more of the Buyoo strategy and I will discuss of the keys of this startup marketing strategy to get customers and as generate money.
I Hope they have a great success not only in Spain, but also internationally.
Please, if you know any spontaneous recommendation engine, I appreciate that you send an e-mail to me with the information to be making a comparison between them. Surely in Silicon Valley, someone has already invented a new one with new differential values. For now, I add these recommendation engines and I hope to add the comparative soon:
- Wooplr – A Social Shopping Discovery Platform (lighthouseinsights.in)