Retail technology platform Neto is hoping to break into the US ecommerce market, announcing plans to open an office in Denver this year.
The Brisbane-based company provides a software platform for ecommerce, point of sale, inventory and fulfilment management for small-to-medium sized retailers. The entire platform was recently migrated to Amazon Web Services to ensure the business could provide a highly scalable and secure solution for global customers.
The expansion follows strong growth locally for the nine-year-old company. It’s revenue increased 55 per cent year-on-year in FY18 and transactions through its platform increased 41 cent to $1.5 billion annually.
In 2018 the company also developed a marketplace integration with Amazon and many of Neto’s customers were among the first Australian retailers to sell on Amazon.com.au when it launched in December 2017.
The company plans to adopt a similar strategy in the US and will initially focus on signing up marketplace sellers across a range of industry verticals.
Neto CEO Ryan Murtagh said expanding to the US represented an incredible opportunity due to the size of the market.
“The USA is step one in our international growth strategy and will complement our focus on Australian customers and growing business in this market,” said Murtagh.
“When you consider the total available market in the US is 30-times the size of Australia, we’re anticipating a very healthy start and ongoing growth trajectory come September.”
Murtagh will relocate for several months to Denver to set up operations and spearhead the company’s US growth. He noted that Denver is culturally aligned to Brisbane in terms of its strong start-up tech community and the experienced talent available.
Neto currently has more than 3000 retail customers and 150 employees.
“Not only is Neto growing, but what’s really pleasing to see is our customers sales transaction activity has increased significantly by 41 per cent year-on-year to be more than $1.5 billion annually,” said Murtagh.
“The overall number of items shipped across all of our customer product categories increased by 44 per cent, and the overall number of active users on our point-of-sale (POS) interface increased 77 per cent year-on-year.”
As well as integrating with Amazon’s marketplace, in 2018 the company also developed a marketplace integrations with Google, and integrated a number of new partner offerings into its platform including SmartrMail, Streetpricer, Rejoiner, Seko and Glew.io.