Glami's Business Model
What is GLAMI’s main product?
A fashion search engine that aggregates fashion items from various e-shops.
In which country was GLAMI founded?
Czech Republic.
What is the biggest challenge GLAMI faces with logistics in Latin America?
Poor infrastructure and slow delivery networks.
What online behavior is more common in Latin America compared to Europe?
Shopping through social media (Instagram, WhatsApp).
What entry strategy could help GLAMI reduce risks when entering Latin America?
Partnerships with local e-commerce or logistics companies.
What business model does GLAMI use to generate revenue?
Cost-per-click (CPC) model, where e-shops pay for clicks leading to their website.
In which year did GLAMI launch its first market outside the Czech Republic?
2014 (Germany)
What percentage of Latin Americans were unbanked, making online payments difficult?
49%.
What is the most popular e-commerce platform in Latin America?
MercadoLibre.
What key factor determines the cost of traffic acquisition for GLAMI in a new market?
The average price per click (CPC) for digital advertising.
How does GLAMI decide which fashion items appear at the top of search results?
Priority members (paying e-shops) get higher visibility.
What type of markets did GLAMI initially target for expansion?
European markets with strong online fashion presence.
What alternative payment methods are commonly used in Latin America?
Cash-based payments, bank transfers, and installment payments (e.g., Brazil’s boleto bancário)
What percentage of online shoppers in Mexico buy fashion items?
28%
What is the formula for calculating GLAMI’s total revenue?
Number of clicks × Average CPC (Cost-Per-Click).
What is the name of GLAMI’s sister company that operates in Italy, Spain, and Ukraine?
Stileo
Why is Latin America an attractive expansion opportunity for GLAMI?
Fast-growing e-commerce market, increasing smartphone use, and rising online fashion sales.
What factor affects GLAMI’s ability to attract e-shops in a new market?
The presence of local fashion brands selling online.
What two product categories are most popular for online shopping in Latin America?
Clothing and electronics
What financial metric should GLAMI monitor to ensure its advertising efforts are profitable?
Return on Investment (ROI)
What metric does GLAMI use to measure the effectiveness of its traffic for e-shops?
Cost of Sale (COS) = Cost of traffic generated by GLAMI ÷ Revenue from that traffic.
What was the estimated total value of the Latin American apparel and footwear market by 2021?
$220 billion.
What behavioral trait makes Latin American consumers hesitant to shop online?
Fear of fraud and privacy concerns regarding personal information.
How do most Latin American consumers begin their online shopping journey?
By using search engines or directly visiting retailer websites.
What is GLAMI’s main goal when expanding into a new country?
Maximizing website traffic while maintaining a profitable return on investment (ROI).