LYKE claims to have clocked one million downloads since its public launch six months ago
Fashion and beauty app LYKE today announced that it has secured close to US$4 million in Series A funding, led by German Vc fund Holtzbrinck Ventures, which is looking to enter the Southeast Asian market.
Singapore-based APACIG also participated in the round with “a significant contribution”.
In an interview to e27, LYKE Founder and CEO Bastian Purrer said the company plans to use the funding for product development. “If you compare LYKE with other apps like Instagram Shopping, you will see how much faster and lighter it is on your device. So it (user experience) is going to be our key focus.”
“Investors believe that there is a really strong opportunity for mobile commerce in Southeast Asia. We have a really strong team, especially our tech team and that’s why they invested in us,” he added.
Purrer also mentioned that LYKE will also focus on enabling cash-on-delivery for all our sellers and expanding the team of 20 people.
Also Read: SEA’s iFashion Group acquires Malaysian fashion brand NOSE for US$3.7M
Fast and fashionable
Launched in February 2016, LYKE is a one-stop shop that enables users to discover and shop from various fashion e-commerce sites. It also offers personalised service that allows users to follow their favourite shops and brands. Customers will receive personalised notifications for relevant new arrivals and discounts.
Within six months of launch, the app claims to have clocked one million downloads. It is also currently clocking 30,000 monthly orders.
The startup recently got rid off the email registration step at the time of check-out process, as it feels it is “very desktop thing”. According to Purrer, this would cut shopping time from 10 minutes to just 30 seconds.
Purrer say that LYKE’s secret lies in how it was able to build a fast and efficient app and building customer trust. “We know that trust is a really big issue. That’s why we always hold the money (transferred by the customer to the seller) until we know that the product is delivered,” he said.
Partnership is also key, he says. Recently, LYKE added Sociolla, Berrybenka, HijUp and MatahariMall to the list of fashion stores to its platform.
Also Read: Flipkart-owned fashion e-tailer Myntra acquires Rocket Internet-backed Jabong for US$70M
Fierce competition
Talking about the tough competitive in the fashion e-commerce scene in Indonesia, Purrer said: “The future of e-commerce is definitely mobile. Everybody, especially the relevant audience for fashion e-commerce, is even stronger. They are always on their phone, using LINE and stuff,” he said.
“The strength of the [Indonesian fashion market] is how segmented it is, and I think that’s where the platform is going to work,” he closed.
The post EXCLUSIVE: Fashion & beauty app LYKE raises close to US$4M Series A led by Holtzbrinck Ventures appeared first on e27.