The main tab revamps the luxury goods market after securing $ 1 million in pre-seed funding – TechCrunch
Luxury wholesale marketplace The Main Tab is redesigning its platform following a $ 1 million pre-seed hike earlier this year from serial entrepreneur Jason Bright, who is now CTO of the company.
The New York-based company is set to launch the new website and app this fall with around 200 retailers, but has a waitlist of around 1,000 retailers, Liseda Shelegu, founder of The Main Tab.
“We have deployed a significant portion of the funding on the technology side to completely restructure our website from scratch,” she said. “We are the only market that is friendly to sales reps. Sales people write all the orders and were initially one of our biggest hurdles because of contracts, so we integrated them and integrated them into the business.
Additional funding will go to bolster her three-person team, sales and marketing, something Shelegu, who has sales training, was cautious about – not wanting to invest a lot of money in advertising, so she decided to go. connected with old-fashioned retailers, brands and salespeople by contacting them directly.
One of the challenges the company foresees is inventory, she added. Inventory shortages and supply chain slowdowns currently plaguing e-commerce are affecting its retailers. For example, one owner said the stock of candles would be around 20% of normal units due to the inability to source glass.
“When you’re running a business, it will have a huge impact on us if we normally make $ 20,000 a month in October, but maybe $ 5,000 because they don’t have the stock,” Shelegu said.
Shelegu jokes that much of The Main Tab’s product supply comes from being a “shopaholic” and her background in brands. She also receives a lot of targeted social media ads and will connect with owners, but researches the retail price, packaging, and owner’s story.
While there are 1,000 retailers vying for the main tab, the company approves around 30%, which saves retail shoppers from sifting through thousands of SKUs. Brands earn a commission when they receive orders from retailers and pay no commission to the retailers they refer and currently work with. Retailers can also buy now and pay later and enjoy other rewards based on their business status, Shelegu said.
The website showcases organized luxury brands, like Agraria and Bodewell Living, and allows them, sales reps and independent retailers, to connect and conduct business from a single website, Bright said by E-mail.
“The way retail stores discover their products has changed in response to the global health crisis,” he added. “I am always looking to invest in companies that solve problems and I was delighted to invest and join the team as a CTO. “