SocialMart, a two-year-old Russian product recommendation service for social networks, raised an as yet unspecified amount of investment in late April from Moscow Seed Fund, Moscow City’s venture arm, and Igor Ryabenkiy, a serial Russian angel investor.
Ryabenkiy already backed the Moscow-based startup last fall in SocialMart’s seed round. That investment helped the company further develop the prototype of its social commerce application for Facebook and Vkontakte, which had been originally enabled through a grant from Yandex, Russia’s search giant, in the summer of 2011.
“This service is of good help for purchase decisions in the field of e-commerce, and I hope it will become an important element in the chain of e-commerce applications which we support,” Ryabenkiy told East-West Digital News.
The SocialMart application allows social network users to get answers to questions about what sorts of popular electronics to buy, and where. The service enables the sharing of impressions and buyer experiences from users to guide other users in their shopping decisions.
A user can read brief comments and recommendations about a gadget left by friends, experts, and other users, and can also put together his personal ‘wish list’ of devices.
SocialMart also incorporates a play mechanics feature to enable users to score points for being active online, earning ‘titles’ and badges and even winning the status of an ‘expert’ in certain product categories.
Integrating the app with Yandex.Market, Russia’s leading e-commerce marketplace, is believed to help people “find virtually any item” by tapping into Yandex’s search and structured catalog functionality. Stores advertised on Yandex.Market can get free exposure on SocialMart as well.
A widget with user comments is also being developed to provide online stores with consumer feedback and boost customer loyalty.
Sources: Moscow Seed Fund, ToWave, SocialMart
- ONLINE RETAIL AND SOCIAL COMMERCE IN RUSSIA – The total volume of Russian online retail reached approximately $13 billion in 2012, up 25% from the previous year, not including cross border sales. EWDN, in partnership with leading universities and consultancies, has published an in-depth research on this industry, including a detailed analysis of social marketing and social commerce in Russia. To receive free insights or to order the full version (2013 edition), please contact us at [email protected].
