YEAY, a new easy to use E-commerce app that utilises video as opposed to traditional selling formats, announced today it has successfully closed its seed funding round with an investment of single-digit millions in euros from Grazia Equity. YEAY has also welcomed Elio Leoni-Sceti (chairman of LSG Holdings) and Erhard Schoewel (non executive board member of COTY) among other notable investors. The funding will be used to support YEAY’s product development and recruitment as it releases into open beta.
YEAY aims to disrupt the E-commerce sector by allowing a more immersive, creative user experience through building a video content marketplace. YEAY is set to bring entertainment as well as creativity to a segment of the population that already consumes large amounts of digital video content. Studies indicate that Generation Y and Millennials conduct over 58% of their shopping online, watch at least 4.2 online videos per day – spending more time on YouTube that on their TVs – and they are rapidly migrating to mobile apps like Snapchat; therefore, adding video shopping is a natural next step in the evolution of E-commerce, with YEAY claiming their place as the early pioneer.
“We are a bunch of boys and girls that believe in video and love to shop,” said Melanie Mohr, Founder and CEO of YEAY. “Building a video shopping platform from the ground up, which seamlessly integrates massive amounts of products and video content is no easy task. Now with this financing and experienced team of investors on board, as well as the commitment from hundreds of exceptional retailers, influencers and content makers, we look forward to providing consumers with the ultimate shopping experience.”
Erhard Schoewel commented, “We have invested in YEAY because we believe it will have a major impact on consumers seeking more out of their retailers – the combination of a video marketplace, social media, retailers and influencers comes just in the right time, YEAY can now position as the leaders in a sector poised to change the E-commerce status quo.”
The company is scheduled to release their OS app later this month, along with announcing new partnerships with over 100 retailers. “By building these retailers’ relationships, they are breaking down a huge barrier to entry and making themselves the market leader by quite a distance” said Jochen Klüppel, Partner at Grazia Equity. “YEAY is a great addition to our portfolio of innovative, early-stage companies that blends in well with our existing investments in video-related companies such as Moviepilot or Reelio and E-commerce businesses such as Mister Spex or Urbanara. In many ways the company represents the best of both worlds and therefore YEAY will be the frontrunner of emerging ‘V-commerce’ companies.