Xcel Brands, Inc., a media and consumer products company with expertise in livestream shopping and social commerce, announced its 30% investment in ORME, a groundbreaking short-form video (SFV) marketplace designed to revolutionize social commerce.
“ORME is an opportunity with unicorn potential,” said Robert W. D’Loren, Chairman and Chief Executive Officer of Xcel. “ORME is redefining how consumers interact with brands and products, creating a seamless and engaging shopping experience that provides a nearly infinite return on ad spend for brands and gives all shoppers an opportunity to participate in the retail commerce flywheel.”
Faisal Ahmed, CEO of ORME, Inc., highlighted, “ORME is more than a marketplace; it is a community where social sharing and referral incentives include and reward shoppers and influencers. This feature not only amplifies brand content but also offers fee earning potential through referrals, leveraging the power of social networks and word-of-mouth marketing.”
ORME is set to transform the retail model from a one-to-many to a many-to-many experience. Combining the best aspects of affiliate, influencer, and digital marketing into a performance-based model, ORME presents a whole new experience for shoppers, influencers, brands, and retailers.
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For shoppers and influencers, ORME creates a unique environment where they can create fun content, tell inspiring stories, learn from authentic people, explore an array of products in fashion, beauty, home, pet, and wellness sectors, and even earn performance-based cash fees for sharing content. For brands and retailers, ORME offers free, simple, and fast integration with all e-commerce platforms and an easy, efficient, and controlled content creation process. The platform also boasts a personalized AI-powered content and product recommendation engine, a style chatbot, and a content editor filter.
ORME aims to solve the issues with low conversion rates with affiliate, influencer and digital marketing, and the lack of an end-to-end SFV platform in the US. According to McKinsey & Company, on average, 28% of video shopping leads are converted into sales, a statistic that ORME plans to capitalize on.
The SFV and social commerce market is growing rapidly. Affiliate and banner marketing is a $12 billion market globally, with video shopping projected to be a $35 billion market in the US in 2024. Social media influencer marketing spend by brands was around $16.4 billion in 2022 and is increasing at a rate of 18.8% per annum.
SOURCE : GlobeNewswire