Press release: Czech startup Melody Mall changes retail sales with multibrand stores

“Business as a service is the perfect combination of the online world with classic retail,” says David Verner, CEO of Melody Mall. “The customer still has interest in physical contact with the product, wants to see it and try it out. At the same time, however, he wants the convenience and benefits of online shopping, which e-shops are beginning to realize and we are trying to fully reflect this trend. We believe that stores are an essential element for the sustainable growth of e-shops in an increasingly competitive environment. The main influence is the entry of foreign marketplaces (Allegro, Temu) and the transfer of purely offline players to the online environment.” adds Verner.

Melody Mall offers e-shops a full service brick-and-mortar store including trained staff without any input investment. Thus, online stores can have their own store within two weeks, which also serves as a delivery point, a space to try the product or return. Melody represents a financially accessible route to building a multi-channel brand, and not only in the Czech Republic. “A custom shop is a key tool to differentiate an e-shop from the competition and helps build trust and credibility, which are often critical to completing an online purchase,” adds Verner.

Successful e-shop is not a guarantee of a functional retail

The success of multibrand stores goes hand in hand with the difficulty of opening your own retail store. After overcoming financial and legislative challenges, the outcome remains uncertain. An example is today

400 million dollar e-shop Kulina focusing on quality equipment for the kitchen and home. “Despite all our efforts, our retail did not achieve the desired results. Therefore, we decided to go the way of Melody stores in Slovakia and Romania. In Slovakia we have already registered the expected after 3 months “hockey stick” in conversion ratio that has increased by beautiful 13.30 %,“ says Antonín Štětina, CEO of Kulina e-shop.

The benefits of Melody include not only accessibility and brand building e-shop, but also savings. “Since the beginning of our collaboration with Melody, we 44 % of orders in Bratislava moved from transport to address and external dispensing points to in-store dispensing. Thanks to this, we have significantly saved on logistics and packaging materials,adds Bristle. During the autumn season, Kulina even scored a transfer 50 % of orders for sale at the store. In Melody it is possible to unpack the package directly from the partner e-shop, select only part of the order and return the rest on the spot. “The experience of visiting the store leads to better memorization of the Kulina brand and for first-time buyers who pick up orders at the store, we record 12 % more repeat purchases than for other methods of delivery, ' concludes Štětina.

Retail as the future of online shopping

The promising future of Melody is confirmed by the interest of many major e-commerce players such as 4camping, ElNino, Pink Elephant,  Angry Beards or Agátin Svět. Many of them choose a faster route to foreign markets through shared stores, which saves them time and money. “Retail is a demanding discipline and every store needs at least 2 to 3 years to get off to a good start. Not everyone has the energy to do this in a fast-paced e-commerce environment, not to mention recruiting all the staff for the store, which is a must,” adds Verner. He plans to expand into major European cities with Melody next year. Melody thus opens a new chapter in the history of retail and pushes the boundaries of connecting the online and offline worlds.

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