RealTime IT News

B2C Dot Com Borrows From B2B

[Sydney, AUSTRALIA] Following in the footsteps of B2B consortiums which aim to offer members lower costs by consolidating buying power, Scandinavian company CoShopper.com has launched its consumer discount-buying site for the Australian market.

Products on the site including computers, communications equipment, fashion, homewares and sports equipment will be offered at bulk discounts, with the size of the discount depending on the number of visitors interested in buying each product. CoShopper managing director Asia Pacific, Chris Lane, claimed the site would offer up to 30 percent discounts on the street price of goods.

"CoShopper.com will focus on selling higher-value products, typically priced at over $150," he said. "This will give customers a greater average saving per purchase." The company's revenue streams will stem from margin on transactions, rather than an advertising model. Lane added, "A lot of companies use a loss-leading technique to drive traffic to their sites, but we don't believe that's a valid strategy online."

CoShopper.com was first launched in Scandinavia in 1999, and is present in 12 markets including U.K., Brazil, Germany, France and Singapore.