Ecommerce sales have been rising steadily over the last few years, accounting for almost 57% of overall retail growth last year. Forecasts say that ecommerce sales may even reach $6.5 trillion in 2023–more than one-fourth the projected size of the U.S. GDP. What’s even more interesting is that ecommerce sales took off during the pandemic with April 2020 daily sales averaging 39% higher than March’s averages. Given this exceptional growth, we’re always on the lookout for innovative solutions in the ecommerce space. We’re excited to share more about Invidica, a B2B platform that streamlines the process of finding trustworthy suppliers, creating products, and getting products to the market.
The Nuts & Bolts
Problem: The information asymmetries between wholesale and retail can lead to significant economic disparities. While retailers have access to more real-time insights to price items better, the process is not as updated as it should be. Plus, retailers must navigate outdated tactics and standards, such as confusing or non-working websites, from the wholesale side. The industry as a whole heavily relies on obsolete technologies that need an upgrade.
Solution: Invidica is part of the ecommerce market evolution. Its market intelligence tool provides real-time insights and trends, and its easy-to-use interface facilitates transactions between retailers and wholesalers. Invidica is a more modern experience for both sides.
When 500 Met Invidica
We met Invidica during our open office hours, but we also have another unique connection to the Founder and CEO, Sean Bovell. Sean, who’s a double major in Applied Mathematics and Electrical Engineering, spent time learning from one of our popular Entrepreneurs-in-Residence, Nemo Chu. Sean is joined by David Lau, Founding Engineer, and Dmitry Sokulev, CTO, who have technical backgrounds. They know all the ecommerce tools, follow all the trends and always impress me with their attention to detail.
Invidica fits into our ESG framework by working towards three of the United Nations’ Sustainable Development Goals: Goal 7 (Ensure access to affordable, reliable, sustainable and modern energy for all), Goal 8 (Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all), and Goal 10 (Reduce inequality within and among countries).
Larger companies such as Faire and Tundra, which provide an online wholesale marketplace for retailers and brands, appear to be doing well. We believe there’s room for different philosophies and systems within the ecommerce infrastructure landscape that can address the information asymmetries and inefficiencies with price discovery.
Forbes predicts an acceleration in ecommerce over the next four-to-six years. Total online spending hit $82.5 billion in May 2020, up 77% year-over-year. While brick-and-mortar retail won’t die, we believe it will continue to lose market share to ecommerce.
We’ve already seen what data availability and increased computer power have done to optimize financial markets. This technical innovation stopped short with the ecommerce industry. Many pockets in this industry still struggle with legacy technologies that cause inefficiencies. While this is to be expected given how young the ecommerce industry is, it’s time for a technological push.
Invidica’s market intelligence tool aims to change this. The company hopes to attract retailers because of the streamlined process it creates and the approach it takes to modernize the relationship between wholesalers and retailers.
Future of Invidica
Invidica understands that given business changes due to COVID-19, many retailers are trying to find ways to earn stronger revenues. The team is working hard to ensure their marketplace can sustain the recent surge in growth and plans to soon open up more ecommerce tools and product categories.
You can learn more about Invidica at: invidica.com
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