Predict your next investment

HipSwap company logo
INTERNET | eCommerce / Apparel & Accessories
hipswap.com

See what CB Insights has to offer

Stage

Seed VC | Alive

Total Raised

$1.1M

Last Raised

$1.1M | 9 yrs ago

About HipSwap

HipSwap is an online, fashion focused marketplace that offers a service which looks to help connect local buyers and sellers, combining a delivery service, mobile apps, and photo sharing in its online marketplace.

HipSwap Headquarter Location

2436 2nd Street

Santa Monica, California, 90405,

United States

310-396-5400

Latest HipSwap News

Shopigram Pivots From Resale Marketplace to Help Local Merchants Sell Their Wares

Jan 4, 2013

Belgium-based Shopigram launched in September as a mobile-first resale platform which let users take a photo of an item, upload it, and sell it other users in the Shopigram community. After recognizing the difficulty in making such a model work given the resources that the bootstrapped startup had, not to mention the variety of resale competitors including Hipswap, eBay, and Craigslist, it recently decided to shift its focus to become a platform for local brick-and-mortar merchants to quickly build their ecommerce storefronts and start selling their products. CEO Vincenzo Ruggiero spoke with BetaKit about why they decided to shift directions, and the relaunch of the company's platform with its new focus. "We decided to move away from this model for a lot of reasons, but mainly because it is too difficult a model for a startup company. We wanted to have more impact and be faster, so we had two possibilities, find a lot of money to grow really fast or change,” said Ruggiero. The company recognized that retailers were a more reliable source of income as opposed to individual sellers looking to sell their items, especially because resale marketplaces rely on having a critical mass of buyers and sellers to be useful in local markets. With the change Shopigram now aims to be a go-to marketplace for people to shop for items from independent and local merchants including boutique clothing stores, home decor, culture, entertainment, and food. The platform is currently available in the company's hometown of Brussels, with plans to expand to other major urban centers across Europe including Paris and London. Merchants can get set up by adding photos of their products, either uploading them online or via the revamped iPhone app, making their own store catalogue available for browsing. Retailers can choose to just showcase their items online, or they can add a buy now option for those who want to buy and ship them. Local merchants can choose either to pay eight percent commission on each item sold through the platform, or pay a monthly subscription fee of 45 per month. In the near future merchants will also be able to add a custom-branded mobile app that's fully supported for 95 per month. “This is very cheap, this is very easy to set up. We visit a shop in Brussels, we have the mobile app and we can create the shop and sell something like 10 products in 20 minutes with the retailers. This is very easy, they don’t have to wait for some agency to create an online shop,” Ruggiero added. They will be supporting the classifieds site for another two months, and then shutting it down to focus on the new marketplace. The pivot to being a platform for local merchants to create their own catalogue is very similar to Canadian rival Shopcaster, which also decided to focus on helping people buy items from local stores after pivoting from mobile resale marketplace HipSell. For merchants who want to sell directly to consumers and have their own devoted storefront, they also have the option of using services like Shopify to create their own standalone ecommerce store, however, according to Ruggiero, the benefits of going with a platform like Shopigram is that it attracts shoppers who might not know a store or product exists. Shopcastr is active in Toronto and Vancouver right now, and will likely focus on North America with planned launches in Montreal and New York City, while Shopigram is looking to carve out a niche in the European market. The company will be looking to raise a seed funding round to add to its development team and build out the platform as it gets ready for its European expansion. However, it will have to make sure it's drawing the right amount of traffic to make its service more attractive than the multitude of other options merchants have to bring their brick-and-mortar stores to the world of ecommerce. It pivoted to get away from a business model that relied on critical mass, but Shopigram will now have to get enough shoppers and retailers on board to make it a robust, active online marketplace.

Predict your next investment

The CB Insights tech market intelligence platform analyzes millions of data points on venture capital, startups, patents , partnerships and news mentions to help you see tomorrow's opportunities, today.

Expert Collections containing HipSwap

Expert Collections are analyst-curated lists that highlight the companies you need to know in the most important technology spaces.

HipSwap is included in 2 Expert Collections, including E-Commerce.

E

E-Commerce

8,471 items

S

Smart Money VCs (2017-2019)

6,297 items

We crunched the data to identify the 24 VC firms with the best combination of portfolio valuations and investment outcomes.

HipSwap Web Traffic

Rank
Page Views per User (PVPU)
Page Views per Million (PVPM)
Reach per Million (RPM)
CBI Logo

HipSwap Rank

CB Insights uses Cookies

CBI websites generally use certain cookies to enable better interactions with our sites and services. Use of these cookies, which may be stored on your device, permits us to improve and customize your experience. You can read more about your cookie choices at our privacy policy here. By continuing to use this site you are consenting to these choices.