E-commerce service range from tiny to giant, old to new. But one Taipei-based startup, Rosetta.ai, is positioning to show them all how to retain customers.
“Retention is the key to keep the customers for your e-commerce platform, plus it’s the solution to spend less and less on advertisement,“ company co-founder Alice Li told Business Next.
But the steps toward keeping customers can be hard for small and medium e-commerce firms, so Rosetta.ai offers to step in with a complex algorithmic formula that it calls “context-aware personalized service.”
Rosetta.ai uses this per-customer data crunching to form 14 kinds of recommendations for buying things later, Li said. The recommendations are based on previous purchases and can be changed over time as someone’s shopping patterns change.
Although this type of service is hardly new in the market, Li says Rosetta.ai’s offerings are more flexible and rely more on automation than some of its peers.
Rosetta.ai has helped more than 46 e-commerce platforms from Taiwan, South Korea and the United States since it was founded in 2017. It analyzes consumers of apparel, food and travel. Clients see an average 15% click rate increase and 20% higher order values, Li said. Codibook, a Korean apparel e-commerce service, is one of the clients.
Li estimates that 60% of total retail e-commerce revenue in the world comes from fashion, apparel and beauty products.
“Therefore, we are looking for (client) partnerships including with the self-owned e-commerce brands for fashion, accessories and other merchandise,” she said.
Co-founders Li and CEO Daniel Huang had worked for e-commerce platforms before establishing Rosetta.ai. That work left them with knowledge about indicators for retaining customers. The company has a staff of eight today.
“Having worked for other e-commerce platforms in Taiwan before, I saw many good products, but those products would never been purchased if the platform did not use the right tool wisely for promotion to customers.” Huang said.
Li says she empathizes with the plight of entrepreneurs. Her favorite related inspirational quote comes from the French fashion designer Coco Chanel: “If you were born without wings, do nothing to prevent them from growing.” She applies this line to herself, too.