| The next generation of online auctions |
Swoopo is one of the most innovative commerce and entertainment ideas on the internet. Based on a unique business model, the company sells premium products like computers, cameras, game consoles or even cars at very low prices. Swoopo auctions around 10.000 products per month and has more than 1.2 million customers globally. After launching the entertainment shopping platform in Germany successfully, the company has expanded to Austria, Spain, the U.S and the United Kingdom.
Here is how it works: Online customers buy “bids” in advance, each bid costs 50 Cents. Bidders have the choice of placing single bids or using an electronic bid assistant called the “BidButler”. Alternatively, customers can bid via the phone.
Every bid placed increases the price of the product by 10 Cents and the auction countdown by up to 20 seconds. The last bidder standing when the countdown reaches zero wins the auction – usually at a very low price. Winners save on average 65% compared to the recommended retail price. Swoopo is a platform of Munich-based Entertainment Shopping AG, founded in 2005. At the end of 2006 Wellington Partners led the first financing round of more than 3 million euros.
First investment: December 2006
Entertainment Shopping AG
Domagkstr. 34
80807 Muenchen
Germany
