...good old-fashioned Kiwi deals go digital
NEWS RELEASE - FOR IMMEDIATE RELEASE – 15.12.00
Let’s Go-Shopping….good old-fashioned Kiwi deals go digital.
Forget the techno-speak and the usual dot-com
hype. The secret to Internet marketing in New Zealand lies
in offering good old-fashioned Kiwi deals.
That’s
according to Kerry Gordon, creator of the newly-launched
Go-Shopping.co.nz virtual shopping mall. This is the site
which promises to save Kiwi shoppers an average $200 a
month just by doing their shopping via the Internet – and
without having to expose their credit card details
on-line.
“The concept is based upon good old-fashioned
Kiwi deals, without any hype or smoke-and-mirrors,” says
Gordon.
“It also solves the big problem which has plagued
Internet shopping in New Zealand – the risk of putting your
credit card details on-line.”
As the founder and former
managing director of the highly-successful BarterCard
network, Gordon turned his talents to the idea of Internet
shopping 12 months ago. He saw its potential to provide an
effective distribution channel for merchants across all
sectors – everything from travel and entertainment, to
insurance and groceries.
Members can shop at as many
shops within the virtual mall as they choose, then settle
their account in one amount. The purchases then appear
broken down by shop on their credit card
statement.
On-line security.
“The big issue with
Internet shopping was that most New Zealanders are reluctant
to expose their credit card details on-line,” explains
Gordon.
“We’ve developed a unique settlement system which
means you never have to put your credit card details on the
Internet.”
When a member decides to purchase from a
Go-Shopping merchant, they use their personalised Membership
Key Number, which is password and PIN protected. This is
transferred to a secure, fire-walled bank server, and
settlement is made off-line between the merchant and the
member’s Go-Shopping account. (So not even the merchant has
access to the credit card details).
For added security,
members receive an automatic e-mail confirming their
transaction, and goods will only be delivered to two
nominated physical addresses.
“From the public’s point of
view, Go-Shopping is the safest and most convenient way to
purchase on the Internet,” says Gordon.
“In fact we
believe it’s the only responsible way to transact
on-line.”
Market opportunities.
Auckland-based Gordon
has been a successful entrepreneur since leaving school. His
approach to business opportunities is simple - identify a
current problem or issue in the marketplace, then solve
it.
At 21 he started a business delivering flowers from
the Pukekohe growers to city florists, so they didn’t have
to get up so early. In 1987 he started a freight company
based on the promise “after three it’s delivered
free.”
In 1992 he purchased the BarterCard license for
the South Pacific and grew the local operation from nothing.
When he sold to Australian interests in 1998 the business
had a $12m monthly turnover. It was during the BarterCard
days that the potential of the Internet beckoned.
“I
always had in the back of my mind that the Internet was an
ideal buying group method, but the technology wasn’t around
then.”
Not that Gordon is a fan of ‘technology for
technology’s sake’. He’d rather employ the professionals
(GFG Group in this case) to develop that side of the
business while he focuses on the big picture.
“I
purposely didn’t get involved in the technical side. I just
held tough on what I wanted delivered – an easy and secure
way to shop over the Internet.”
Brand power.
The
Go-Shopping site has already attracted some impressive
brands. They include names like AMP, Benchmark, Rocom, and
Liquor King.
John Moss, direct sales manager of AMP
General, welcomed the opportunity to be part of the
Go-Shopping network.
Every week the company is approached
by dot-coms and similar companies wanting to associate
themselves with the AMP brand – but it was Go Shopping’s
simplicity and cost-effectiveness that won out.
“Most of
the others want a lot of money to do essentially what Kerry
has done for free. The Go-Shopping network is very low risk
and it doesn’t cost $5,000 just to be
there.”
Importantly, Go Shopping will be a good way for
AMP to try out new marketing initiatives.
“It’s a very
easy way to trial different offers and see what the take-up
rate is.”
Bricks and mortar.
Kerry Gordon has a
checklist for the type of merchants he wants to attract on
the Go-Shopping network.
“They need to be well-branded,
well-recognised and with a physical presence - preferably
nationwide. All I ask is that they offer 15-20 items per
week, priced specifically for Go-Shopping
members.”
Recognising that not all products translate
successfully to on-line browsing – women’s clothing, for
instance - Go-Shopping will also offer vouchers which
members can redeem in-store.
“Kiwis are great
recreational shoppers, and we’re not trying to change that
culture. What we are saying is ‘get your great deal over
the Internet and then go in to the bricks and mortar
location to redeem it’.”
For $15 a month, Go-Shopping
members receive 100 hours free Internet access and the right
to take advantage of the exclusive shopping deals. Kerry
Gordon points out that most people are currently paying more
than that just for Internet access.
It is predicted that
most shoppers will save an average of $200 a month, and
Go-Shopping guarantees to refund their membership if they
don’t save at least $300 a year.
“My objective is very
clear,” says Gordon. “It’s to give the consumer the best
possible deal.”
• View the Go-Shopping site on www.go-shopping.co.nz.
For more information,
contact:
Kerry Gordon
Managing
Director,Go-Shopping.co.nz Ltd
Ph: 09-308 9048
Mobile:
021 650 883, e-mail:
kerry@go-shopping.co.nz