The unprecedented ecommerce boom brought on by COVID-19 has made the online shopping space more competitive for advertisers than ever. Every day, new products pop up and vie for the attention of shoppers around the world. In the last year alone, ad spend grew by a respectable 12%… that’s a $320B increase from the previous year.
With savvy entrepreneurs investing so heavily into digital ads, it’s easy for a new Shopify or Amazon store to go overlooked. To compete, founders need to take an aggressive approach to gain market share in an ever-crowded and growing marketplace.
The solution? Thoughtful planning and clever advertising to win market share and retain customers. Unfortunately, 2022 has brought a slew of new issues for ecommerce entrepreneurs.
Not only have the iOS 14 updates made targeting high-quality leads more difficult, but global supply chain disruption caused by the COVID-19 pandemic is enough to make heads spin.
As a result, shipping delays have significantly impacted the supply, demand, and associated costs for those relying on overseas manufacturing and supplies. The resulting inflation on these goods has also caused shipping fees to rise alongside inflation on virtually everything else.
For many business owners, margins are shrinking fast. Even the most lucrative verticals and product categories are seeing lesser profits and scrambling to find a way to free up cash flow.
This is where Clearco comes in.
For founders, by founders, Clearco provides ecommerce founders with non-dilutive marketing capital for ads and inventory spending. Founders love using Clearco as a way to finance their business because it’s easy to access—no credit checks, equity, or personal guarantees are required!
Clearco’s unique revenue-based financing model requires businesses to connect their associated sales platforms and marketing accounts to get started. From account data, Clearco algorithms generate funding offers based on business performance. Within as little as 48 hours, an offer between $10K and $10M is generated based on critical KPIs like return on ad spend (ROAS) and customer acquisition cost (CAC).
This revolutionary financing model takes the bias out of who gets funded; this has allowed Clearco to back 50X more women than traditional venture capital models. As of 2022, over $2.5B has been invested in over 6,500 businesses, making Clearco the world’s largest ecommerce investor.
Thanks to the accessibility of brand-building platforms like social media and a wide range of plug-and-play ecommerce integrations, a business can start selling in a matter of hours. Conversely, these low barriers to entry (combined with the issues we described above) mean that it’s never been harder for brands to stand out from the crowd.
This means that building a successful ecommerce business requires a multi-faceted approach. Front-end concerns, such as having a memorable brand identity and a compelling product range, need to be matched by robust back-end solutions – or it’s impossible to scale your business effectively.
Intelligent support systems, from technologically-led ecommerce fulfillment to data-driven financing, are the key to opening up new avenues for growth and innovation that give your brand a competitive advantage in a deeply saturated online marketplace.
This is why Clearco and Whiplash have banded together to provide our customers with more opportunities to scale their business and bring fast, affordable funding and support across marketing, inventory, founder support, and more.
With the backing of best-in-class ecommerce fulfillment and rapid funding, ecommerce brands can be confident that they have the resources and support to succeed. Best of all, Whiplash customers can get a $500 credit on their first capital advance when signing up for Clearco to kickstart their growth!
It’s not easy being an ecommerce brand in 2022. Aside from the challenges created by the pandemic, increasing competition and rising customer expectations mean that merchants have to pull out all the stops to achieve sustainable growth.
With the Whiplash/Clearco partnership, brands can remove the barriers to launching their brilliant idea and begin scaling successfully.
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