How does a new start-up ecommerce business differentiate itself in an overcrowded market?
At a time when consumers are unwilling to spend their cash, it would seem to be an odd moment to choose to start a new ecommerce business. Cocoboat however, is just such a business, it is setting out to establish itself as a challenger to the established brands and change the public perceptions too.
We worked with Cocoboat to help them define how they could differentiate themselves in the market and gain a competitive advantage. We identified that gifts were still being sought by a significant number of online shoppers. This presented an opportunity to stock more unusual, high end products with better margins and not volume sales.
Once we had identified the market, we researched suppliers with no or low minimum order requirements to keep stock levels under control and to minimise financial exposure to the business. We attended trade shows to recommend products and suppliers that fitted and were aligned to the new brand proposition of joy.
Our offer to the consumer is home interior gifts and accessories, which are eco and ethical conscious as well as being more unusual and unavailable on the high street.
We then developed the brand, website, product sourcing model, online pr and optimised the website. This has help to take it to the top of the search engines. Social media tactics were also added to widen the marketing of the website.
As a result, Cocoboat and its products have been covered in women’s magazines and interior glossies. The use of social media has made a significant saving in marketing costs and reflected in a reduced cost of sale as no paid advertising has been used to promote the shop. Traffic to the website has tripled month on month and the average order has now increased to more than £100.