Like so many endeavors with game-changing ambitions, the genesis of Loop Commerce kicked off with the need to solve a small but all-too-common challenge.
When I learned that an old business school classmate and his wife had become parents, I wanted to present them with a suitable, thoughtful gift for their newborn. What could be simpler, right? But what should have been a straightforward act of affection turned into a gifting minefield when I realized that I didn’t know their address, nor did I have any idea what sort of baby gifts they had on hand or cared about.
This frustration prompted a flurry of questions: Why am I asked questions I can’t possibly answer during the shopping experience and checkout such as a favorite color, size or their exact shipping address? Why must the only “easy” option be to buy a gift card, which does not fit my criteria for a thoughtful gift? And why is online shopping so difficult overall in these cases?
What started for me as a personal consumer hassle quickly made me think about the opportunity around it. In talking with my friend, and now co-founder, Alex Sirota we realized that e-commerce has evolved so much to become a trillion dollar industry worldwide, but that this sophisticated industry has completely failed to recognize something dramatically important – shopping for oneself is utterly different than shopping for someone else! I remember this moment where it became so clear to us: e-commerce needs to evolve further and reinvent itself around gift purchasing. And there’s a way of doing so that benefits everyone.
Alex and I switched gears and decided to explore this issue from every angle. The problem and solution started to form a logical path to everyone we talked to along the way as we focused our efforts on end users, retailers, e-commerce and technology executives. It became apparent after a few months that we had encountered a real pain in the market, and managed to identify the right solution, which was a challenge to not only fully grasp but to develop.
Our aim was to come up with a solution with an amazing user experience for consumers – but also one that every retailer could seamlessly integrate into part of their online store while building value to the business. This is not as simple a task as it sounds, and it is burdened by many complexities associated with B2B and B2C business.
After six months or so of Alex and I validating the idea and prototypes with the “industry”, we have raised our seed funding and officially started Loop Commerce with a group of tremendously helpful investors, innovators and trailblazers who provided guidance and support. We could not have wished for anyone else backing us.
The result was Loop Commerce, an industry-backed Silicon Valley startup that was ready to offer a new way to make gift giving an easy process for the consumer and merchant, while ultimately giving the recipient the present that they want.
Fast forward: After developing the product and the business, we have a very strong team today that I am proud to work side by side with, and we are working very hard to make this vision a reality. With our recently announced Series A round funding of more than $7 million I am excited by the journey ahead of reshaping e-commerce and gifting.
And in case anyone was wondering why we chose this specific picture to be part of our blog: This cute girl has effectively been our mascot since Loop’s inception, as when we launched our stealth website this picture was front and center, and we continuously got great reviews about it. So it was an obvious choice for her to accompany this post. From the team at Loop, we’d like to express our sincere thanks for being part of Loop during our early days…
– Roy Erez, Co-Founder and CEO, Loop Commerce