The online shopping service digitizes merchandise so that consumers can easily purchase and instantly deliver any product online to someone else. The recipient can then customize the gift to fit their size and color needs, or exchange the gift altogether before it ships.
As the industry’s pioneers, Loop created the service and coined the term Gift-Commerce (G-Commerce) to describe it.
"When we started Loop, no technology existed to facilitate this new type of transaction – eliminating the risk and uncertainty associated with shopping online for others on a retailer’s site – so we had to create it,” said Roy Erez, CEO and co-founder of Loop Commerce. “From the beginning, we recognized the importance of developing and protecting our intellectual property that solved a major problem in the commerce industry that was, until then, built and optimized mostly for self-purchase. We at Loop fully recognize and appreciate the importance and necessity of the continued growth, development and protection of the intellectual property surrounding our technology.”
Loop's GiftNow service is used by leading retailers and brands, such as Macy’s, Coach, Neiman Marcus, Saks Fifth Avenue and Bergdorf Goodman, with a GiftNow button featured on every product page for client retailers.
By eliminating hurdles previously associated with shopping online for others, Loop’s patented system encourages digital gift giving, which drives incremental sales, facilitates customer acquisition and reduces returns.
“Gifting is a highly social engagement between people,” Erez said in a previous interview with PYMNTS. “It’s about feeling good about what you’re buying; it’s about feeling great about what you’re receiving.”
Erez added that Loop has converted the more than 50 percent of gift givers who would never buy or, for some occasions, won’t buy a gift card.