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Dear Readers,

Happy Columbus Day to those who celebrated on Monday!

The three questions on my mind this week:

1. Why did MyTheresa management change its focus and acquire Yoox Net-A-Porter? Was it the low price of the asset or Richemont's desperation to find a new owner? I can't decide.
2. Is there a world in which Temu wins in the US? Or is it dependent on regulation?
3. Why do marketplaces struggle to keep medicines and drugs on their platforms? Coupang got the attention this week, but this is a sector problem.

​Onwards, Hendrik

Marketplaces

Amazon Laid the Brandless Foundation for Temu. - Marketplace Pulse​

Amazon taught shoppers to look past brand names, laying the foundation for the rapid growth of Temu. It made buying no-name products the norm, and Temu is now selling them for less.

Anything in 10 Minutes: $5 Billion Delivery App Sweeps Latin America. - BNN Bloomberg​

“Gorillas, Gopuff, Getir didn’t make it work because the economics weren’t there,” said Paulo Rebolledo, Rappi’s senior vice president of retail and Turbo. “But Latin America is a great market for us, if you think about just Turbo alone, the costs here are better, from our supply chain, stores, technology — especially real estate.”

Frasers Group takes £10m stake in online retailer THG. Cross-border platform Zimi raised funds from Fearless Fund. Larixon Classifieds receives investment from Zubr Capital. ClearCourse acquires B2B eCommerce platform GOb2b. Asda becomes a dropshipping marketplace stocking Decathlon OnBuy partners with Google Cloud to scale its marketplace internationally. Union organizers say 87% of eBay's trading card experts​ 'earn less than a living wage.

​Alibaba pushes back on excessive ‘refund without return’ requests to protect merchants. Alibaba gears up for 2024 11.11 with over $4B in consumer perks and merchant support. JD.com launches 2024 Singles Day Grand Promotion. US TikTok Shop sales 2023-2024. Storfund launches financing solution with TikTok Shop.

Azerbaijan turns into Trendyol Group's second key investment market. Mercado Libre sells 20M products in August as Argentina recovers.

​Takealot and M&C Saatchi Abel conclude their relationship. Takealot has increased the delivery fees and the minimum threshold for orders to qualify for free delivery in South Africa. Woolies Dash dark stores win. Shoprite to buy Pingo Delivery. The Ecommerce Counsel appointed to launch and manage Tiger Brands products on Amazon.co.za. Jumia to sell Starlink equipment in Africa.

Amazon debuts AI-powered shopping guides. Amazon’s Prime Day event in October is picking up steam. Amazon India slashes fees for sellers to help SMBs in the festive season. Amazon.in becomes the top customer choice for electronics during the festive season, reveals Counterpoint Research. Amazon bets big on sports streaming to boost Prime memberships and advertising revenue. Amazon nearing top 3 in Dutch e-commerce. Temu sells $4 remotes compatible with e-commerce rival Amazon’s Fire TV Stick.
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​"Give With Gopuff,” a new in-app product donation tool, allows US customers to send essentials like food and water to Florida residents impacted by Hurricanes Helene and Milton.

Temu launches in Vietnam. Bukalapak responds to Temu acquisition report following a recent share price increase. Chinese online retailers could dodge EU safety checks, say Polish rivals. The European Union told Temu to explain its steps to combat illegal product sales. Temu faces class action lawsuit over text message marketing. Indonesia asks Apple and Google to block Temu to protect small merchants. Temu sales soar to make it the clear leader in the Hungarian e-commerce market.

‘Coupang should be reported to investigative agencies for repeated, unlawful trading of drugs.’ Seoul court denies arrest warrant for Qoo10 CEO. South Korea has introduced stricter payment rules for online platforms.​

One big Thought

I got busy this week, but next week, I will have posts on Auger's $100M Series A and Mytheresa acquiring Yoox Net-A-Porter.

Luxury Commerce insights sponsored by Luxlock​

Richemont sells Yoox Net-A-Porter for $610M. - Fashion Dive​

​Richemont will sell Yoox Net-A-Porter to MYT Netherlands Parent B.V., the parent company of Mytheresa, for 555 million euros, or about $610M at current exchange. The deal will also give Richemont a 33% equity stake in Mytheresa, an e-commerce luxury business. Richemont will provide 100 million euros in revolving credit facility to YNAP for a six-year period.

Alibaba’s Lazada Wants Armani, D&G to Help Hit $100 Billion Goal. - Yahoo! Finance / Bloomberg​

Lazada operates in Southeast Asia, which has a fast-growing, developing economy. Currently, only Singapore has the GDP and economy that would enable customers to buy luxury brands. Lazada is essentially betting on other markets, such as Indonesia and others, to grow economically. Alibaba Group’s Lazada is courting top European fashion and design brands to help fend off Asian rivals and eventually reach its goal of $100B in e-commerce volume by 2030.

The merger of Zhuanzhuan and Hongbulin could transform China’s secondhand luxury market by improving authentication capabilities and addressing rising demand for affordable high-end goods. Alibaba Group presents Laz Mall Luxury channel to sell to South-Eastern countries.

China's Bosideng invests in Canadian luxury outerwear brand Moose Knuckles. END. acquired by private equity firm Apollo. Ganni and Steve Madden battle over the most popular shoes of the year. With Saks, can Authentic Brands Group carve out a slice of the luxury pie? The 1916 Company launches 1916 LIVE, an interactive, shoppable livestream experience.

Fashion e-commerce

Superbalist’s new owners plan to retrench at least 28% of the online clothing retailer’s workforce with retrenchment notices.

Squirrel Media buys 10.5% of the GoTrendier platform for 4.4M Euros. Shein's 2023 sales hit $2B in the UK. Shein may open clothing factories in Paraguay. Nykaa and Licious pilot fast delivery services to meet growing consumer demand. Social Studies Is a new retail concept for 'Sustainable' Indie fashion brands

As celebrity beauty brands grow, some are deemphasizing their star power. GUESS? partners with SuperCircle for a new e-commerce recycling program: GUESS Again. Direct-to-consumer boxer brief brand Manmade grows 300% for third straight year. Hello Tailr launches B2B platform for sustainable fashion.

Advertising

How TikTok and YouTube’s e-commerce push redefines the search journey. - Search Englne Land​

As TikTok and YouTube integrate ecommerce features, brands and marketers need to adapt their search strategies to optimize for both traditional search engines and social commerce platforms. They must embrace a “search everywhere” approach rather than focusing on just one platform.

RedTrack Raises $3.2M in Series A. Mondelēz, PepsiCo, and General Mills experiment with new retail media formats, Brands are cautious about Google and Meta’s gen AI holiday ad push. Amazon is coming for Kenyan TikTok creators with a new Influencer program. PayPal formally launched an ad business to pitch its shopping data to advertisers. AAFA pushes again for Facebook and Instagram to join the notorious markets list.

Amazon’s Prime Video Is adding Apple TV+ as a subscription add-on. Instacart and Roku are expand its advertising partnership with new shoppable formats and targeting. Just Eat Takeaway.com Partners with Rokt.

Google Ads announces 11-year data retention policy. Google is making a major change to Local Service Ads. Google search shows competitor ads above local reviews. What Google’s new Performance Max controls mean for advertisers.

Lazada's CMO claims vague OOH ads, which took Singapore by surprise.

Logistics is sponsored by Third Person - a new way for brands to discover 3PLs

Dave Clark made Amazon a logistics powerhouse. Now he’s raised $100 million to help Fortune 500s perfect their supply chains too. - Fortune​

Clark founded a new AI-powered supply-chain startup called Auger this summer and has raised $100 million in Series A funding entirely from the investment firm Oak HC/FT. What is Auger and how does this help brands?

The Next National Carrier Won’t Be One Company. Regional Carriers Are Creating Syndicates. - John McClymont​

With over 90% of eCommerce volume being 5 pounds or less, however, your cost structure per package doesn’t charge for over-the-road activity. Without a deeper connection to shippers, these regional players will find it challenging to maintain their position as a sustainable alternative to the nationals who can hit every zipcode or postal code.

Imperative Logistics Group acquires JAMCO, STG Logistics raises $300M in financing. DesktopShipper rebrands as ShipWise. Amazon is set to expand its subcontinent footprint with its Indian Post deal. parcelLab and Metapack partner. Pitney Bowes lunches an e-commerce shipping platform, ShipAccel.

Amazon Air Cargo sells excess cargo capacity to third-party shippers. Levi Strauss shifts Ohio logistics work to Maersk. Jumia announces new integrated warehouses in Egypt and Ivory Coast.

​swftbox launches Middle East's first subscription-based fulfillment and shipping plans for SMEs. DHL Global Forwarding launches new cross-border e-commerce solutions. Amazon puts plastic air pillows to bed globally. J&T Express launches the first self-built smart supply chain industrial park in China.

Consumer

Marlow raises $1.9M. Danish distributor Bemakers has raised €3.5M (US$3.8M.) Infinite Reality boosts commerce capabilities with the acquisition of Zappar for $45M. LQR House acquired www.cwspirits.com,

​NextLevelApps raises Pre-Seed funding. Amazon brings together the best of Whole Foods Market, Amazon Fresh, and Amazon.com with more selection and savings.

Grocery execs are concerned about competition from internet-only grocers. Instacart’s smart cart helps you navigate the sauce on sale. Tech-Forward convenience store chain Choice Market closes its doors. Amazon cashierless tech competitor Grabango shutters after failing to secure funding.

​Newell Brands and Kidsy announce partnership. How Walmart decides which new partnerships and perks to add to Walmart+. The influencer economy revives the camera market in China. Saudi Arabia’s PIF acquires 40% stake in Selfridges Stores.

Payments

​Zepz raises $267M to expand in African markets. FlexFactor raises $16.8M Series A to tackle checkout failures due to payment declines. Emirates NBD and noon unveil co-branded Visa credit card. Experian acquires ClearSale in a $350M deal.​

Stats and Other Interesting News

​E-commerce in Peru increased by 17% in the first half of 2024. Saudi Arabia’s e-commerce sector sees 9.4% growth in Q3. Five make-or-break truths about next-gen e-commerce, according to McKinsey and Company,

The content here is for informational purposes only and should NOT be taken as legal, business, tax, or investment advice. It does NOT constitute an offer or solicitation to purchase any investment or a recommendation to buy or sell a security. The content is not directed to any investor or potential investor and may not be used to evaluate or make any investment.

This was edition number 312, sent on 15 October 2024.