Wanted: strategic partner for Letsbuyit.com
Christmas is coming, the goose is getting lean
Letsbuyit.com, the online buying club is seeking a tie-in with a "big retailer or a major mail-order company".
In an interview with TheStreet.co.uk, CEO Martin Coles said: "I think going back to the markets today is certainly not top of the list of options for us. A strategic alliance is clearly on our minds."
This looks likes a big for sale sign to us - at current cash burn rates Letsbuyit has until next summer before the money runs out. In the meantime, the company is looking forward to Christmas - as Coles tells TheStreet. "the big conversation right now is that it's an 'e-tail Christmas. Some major retailers do 60% of their business in the fourth quarter, on an ongoing basis that's nowhere near our plans. We believe we have an opportunity in the market place to bring fresh ideas each season."
Christmas may indeed be a bumper season for online retailers - in the UK, at any rate, where Mori predicts 7m Brits will shop online, spending an average of £130 each. Last year 1m British online shoppers spent an average of £97. In other words people are losing their fear of shopping online. But how many will shop at Letsbuyit? ®