New Platform Helps Local Businesses Get Leads
Monday, December 28, 2015
Posted by: Ester Venouziou
Our friends at BALLE, the Business Alliance for Local Living Economies, recently sent us information about a tech company from Michigan that has developed a platform that allows for local retailers to bid for sales from Amazon shoppers.
The service is free for shoppers and retailers, which left me questioning: How does the company make money? I called the company's CEO and he explained that right now the company is building its database, and not making any money, but that the future revenue stream would likely come from charging larger businesses that sign up. He said the service will always remain free for small, privately owned businesses.
PriceLocal is desktop/laptop only, rather than a mobile app, so the customer will be using it from home or work. That's to prevent shoppers who are already at your shop from sending price-match requests.
With that said, here is a quick rundown from the information BALLE sent us:
PriceLocal is a free "reverse showrooming" service. They send Amazon shoppers who are at home or work into local brick and mortar stores to complete their purchases. PriceLocal was featured recently on the Today Show and NBC News.
What happens next:
1. The shop owner (or assigned employees) receive a text with product requests from customers in the area that are looking for a specific product in their category.
2. The retailer then has four choices:
- Accept at the Amazon Prime price (shopper gets a coupon saying the retailer has it in-stock)
- Offer to order it and sell it at the Amazon Prime price (shopper gets a coupon telling them to call retailer to order)
- Offer something similar at the Amazon Prime price
- Decline (declines are anonymous; customer doesn't get a notice that retailer has declined)
I signed up as a shopper to check it out, but the service is very new and right now it doesn't seem like there are many (if any?) retailers signed up in the Tampa Bay region. So this could be good opportunity to get in and be one of the first, before it gets cluttered by the big box stores? Worth a shot? If you try it, please let me know what you think.
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