Klika expands its marketplace to support burgeoning demand for online shopping
In 2005, Klika was established as one of Australia’s first online-only retail companies. Since then, the company has grown to the point where it now offers more than 30,000 products delivered directly to customers throughout Australia and New Zealand.
Challenge and goal/purpose
During the past 17 years, Klika has positioned itself as a leading online retail powerhouse with product categories that include fitness equipment, outdoor furniture, trade and tools, and children’s toys. Its customers range from young families to small and mid-sized businesses looking for an effective way to source and purchase items online.
In its early years of operation, Klika relied on eBay as its primary channel for reaching customers online. While this worked well initially, the company decided to expand its reach by establishing its own websites as its product range and sales grew.
About 7 years ago, a decision was taken by senior management to shift to a marketplace model of operation. Relationships were established with a range of traditional retailers and links forged with other established marketplaces.
“To continue our growth, we knew we had to work to extend our reach and provide a range of ways for customers to find our product range and make purchases,” says Zaitsev. “Following a marketplace retail model was clearly the best way forward for us.”
- Klika needed a scalable platform to underpin its ongoing growth plans
- The company was keen to streamline the way it handled product listings and customer transactions
- Klika was keen to find new channels to market to help ongoing revenue growth by partnering with established retailers and online marketplaces
In 2020, the Klika management team took the decision to integrate with the Marketplacer platform to support its online operations. Relationships were established with existing Marketplacer-powered marketplaces and the platform integrated with Klika’s proprietary software.
- Marketplacer’s sophisticated APIs allowed the platforms to be tightly integrated with Klika’s systems.
- The Marketplacer retail ecosystem provided a range of opportunities to grow working relationships with established bricks-and-mortar retailers
- From the time the decision was taken, the Marketplacer-based integration was fully operational in just a few weeks.
Since joining the Marketplacer seller program, Klika has enjoyed a rapid increase in customer interactions and purchases. The seller program offers access to other retailers that operate Marketplacer-based online shopping sites.
For Klika, the result has been improved access to potential customers and a rapid increase in turnover. The company now operates an 18,000 square metre warehouse and fulfilment facility in Melbourne and has a staff of 30 people.
- Klika has significantly expanded its reach and turnover by integrating with existing online marketplaces
- Commercial relationships have been established with approximately 30 different marketplaces and retailers in Australia and New Zealand including the likes of Myer, BBQs Galore, and Woolworths Everyday Market
- The traditional retailers with which Klika is now working have enjoyed a significant spike in sales. One in particular, that has a national physical presence, has experienced growth of more than 30% during the past 12 months
- Marketplacer has streamlined the operation of Klika’s systems and significantly improved the shopping experience for customers
- New products can be added to marketplaces quickly with listings supported by high-quality photos and video
- Klika is now well positioned to continue its strong retail growth across all its product categories