Group shopping was always fairly popular. An Israeli site, Shopiz, is trying to reinvigorate the practice with a key twist the price is tied to the number of shoppers purchasing the product.
How does it work? Each item has several price points. The first allows a certain number of consumers to join together to get a discounted price.
For example, the site sells a Braun hair removal machine for NIS 520 instead of the usual NIS 600. Most people can take advantage of that price, but a further discount of NIS 30 awaits users if 7 more people join. When that happens, everyone who bought in receives the lower price even retroactively, using cashback or a credit card refund.
The site allows users who have not found any item to their liking to start their own purchasing group and share it on the platform. That way, as more and more consumers show an interest in a discount for a certain good, stores and sellers that partner with Shopiz could offer relevant offers to the specific group.
The products are delivered free of charge within four business days. Among the goods offered on the site is a Lattissima-model Nespresso machine sold for NIS 950 compared to NIS 1,277, the lowest price on the price comparison site Zap.
The site was launched in its pilot phase three months ago and was officially opened to the public last week, with some 300 suppliers and more than 15,000 customers according to CEO Gilad Brovinsky.
Published by Globes [online], Israel business news - www.globes-online.com - on August 25, 2015
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