Tinder for womens shoes. 1 million downloads and featured by Apple in 133 countries.
Stylect aggregates shoes from hundreds of retailers and thousands of brands and takes a commission on every pair sold through its platform. Stylect holds no stock and logistics is taken care of by its partners. Stylect is available worldwide on iOS, Android, and web. The mobile app is known as the “Tinder for women shoes” as it gathers users’ preferences through a Tinder-like hot-or-not interface. Based on users’ likes and dislikes (500 per user per month on average), Stylect recommends better shoes. Stylect’s users keep track of and buy the products they like, and receive notifications whenever a product they love goes on sale.
PRODUCTS & SERVICES
Stylect has around 1 million downloads and has been featured by Apple amongst the best new apps in 133 countries. Their focus on shoes has allowed them to build a very strong brand and differentiate them from the competition. Their aim is to be THE destination for women to buy shoes online. Their technology collects all of their partners’ product information, from thousands of brands and 1.5 million shoes every day, and quickly notifies users when products go on sale. This is a huge competitive advantage compared to companies who rely on retailer’s data feeds. Stylect has also developed a universal checkout which allows customers to check out within the app.
Buying fashion online is already an extremely common thing to do.
However no company has nailed mobile e-commerce.
Mobile needs to be first and foremost about entertaining users and only afterwards about selling to them.
Rather than designing experiences for the mobile context, retailers have often adapted the catalogue storefront for the smaller screen. On the other hand, by providing users with a mobile-focused entertaining experience, Stylect is substituting the fashion magazines as a source of entertainment. By recommending users better and better shoes and letting them know about discounts, Stylect are becoming the first and last step in the process from discovery to purchase.
Stylect takes a commission on every pair of shoes sold through the app. Current commissions range from 5% to 20%. The average commission is about 10% and commissions increase with increased sales volume.
The business also generates revenue via cost per click (CPC – where Stylect gets compensated for every user brought to a partner site) and via Monthly retainers paid by brands to be on the app and to receive increased exposure.
Stylect is also working on a solution to allow brands to target customers who are more likely to purchase from them, effectively giving them an hyper targeted advertising solution.
Trade Sale or IPO.
4 separate buyers already approached Stylect, but it was too early to sell. The most likely buyers are Publishers or e-commerce players.
For example, Stylect has partnered with a series of retailers and built a number of very close relationships. As Stylect sends partners increasing traffic and sales, they become relevant acquisition targets for them, especially when the need to improve their mobile offering emerges.
In a similar fashion, Publishers who are looking into improving their e-commerce strategy can appreciate Stylect’s high number of e-commerce partnerships, robust infrastructure and user base.