Thanks to tools like Google Adwords, marketing in the online world is now both easier to do and is much more measurable. However, marketing in the physical world of bricks-and-mortar stores is still difficult to undertake and even more difficult to measure the success of, particularly when it comes to small retailers.
New Zealand startup Collect has built a solution that provides its users with cost-effective and highly measurable marketing via its suite of software tools. These tools include database management, loyalty, marketing campaigns, and automated marketing.
“What’s unique about Collect is that we’ve integrated with the world’s leading cloud-based software solutions for retailers and hospitality operators to consolidate data on customers, products, and transactions,” said Brent Spicer, cofounder and CEO of Collect.
“This allows the creation of a very detailed single view of the customer. This can then be used to generate highly relevant marketing with the success able to be measured right down to return on investment.”
The Collect journey began when Spicer met twin entrepreneurs Matt and Brady Thomas back in 2012.
“Matt was in the local business incubator CreativeHQ working on a product, while Brady worked full time during the day earning money to support them both, and then working with Matt in the evenings and weekends on their idea. Spice was asked to advise the guys and after meeting and really hitting it off, we began to work together,” said Spicer.
After looking closely at traditional and other digital marketing tools for SME retailers and hospitality operators, the trio saw a need for tools that would allow these small businesses to build their own customer databases, which incorporated ways to then market back to their customers easily and inexpensively. They built a minimum viable product called rewardjunkie!, raised some seed capital, and got to work.
After around eighteen months of market research and product iterations this eventually led to the creation of Collect, a suite of tools designed to help small businesses become effective marketers. Since the commercial launch of Collect in July 2014, more than 1 million consumers on the platform’s database are able to receive targeted offers from more than 800 retail locations in 60+ countries.
To date Collect has raised $2.7 million, and is currently raising another ‘large’ round that Spicer says will lead the company through to profitability.
“The startup has been making revenue from day one which has always been part of our product validation measures. However we’re now starting to scale revenue and growing at 20 percent month-on-month,” Spicer said.
Collect is tightly integrated into the MYOB Kounta platform. All four of its tools (apps) are integrated, so that when an order is placed, a customer’s profile appears along with their loyalty points balance and a list of available rewards specific to them, which the staff member can press to redeem. When a reward/offer is redeemed, their discount is automatically applied to the order.
All customer purchase data is then synced into the platform, which then allows the retailer to slice and dice data, gain valuable insights about their customers, and easily action on the data.
“The process [of integration] for us was quite straightforward,” said Spicer. “The MYOB Kounta API has excellent documentation, and the API development team are very responsive to any questions. Having a deep integration at point-of sale allows us to offer a seamless user experience for both end customers and staff.”
“The integration is important to our business because it allows us the get to a new market, providing distribution for us. More importantly, it allows us to provide our world class tools to MYOB customers.”
Featured image: Brent Spicer, Matt Thomas, Brady Thomas
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