Typical impressions from the online cash register became disgusted from friction. And although more companies build solutions around the online cash register, it does not think much from scratch. One of such companies is Onettextwhich builds something that he calls the “text network for buying”, which allows buyers to fill out shopping via a text message.
The company, founded by former employees of PayPal, has just closed a $ 4.5 million round supported by Khosl Ventures, Coatue, Citi Ventures, Y Combinator, Good Friends (Fund created by the founders of Warba Parker, Allbirds and Harry) and Matt Bellamy, Frontman of Muse.
Co -founder and general director Jonathan Fud He came up with this idea while working on the cash register in PayPal. There he saw a lot at the top with a skillful UX stumbling over the same obstacle on the market: convincing buyers to exchange existing payment flows.
“It's a difficult pitch,” he said Fud, adding that many merchants don't even have the freedom to choose a cash provider; Their e-commerce platform often decides.
Using SMS, Onettext does not require trade to replace the existing money of your website. While large platforms such as Instagram and WhatsApp also have the functions of electronic trade, Fudem believes that brands still need direct, their own relationships with clients.
Onettext is perceived as a competitor for SMS marketing companies known for mass, impersonal messages and spam links.
Instead, it uses a combination of tools-in including two-way conversations and people in the loop-to improve conversion by 20% to 30%. Functions such as basket recovery, Upsells by plan and recommendations specific to buyers significantly contribute to this efficiency.
Under the mask, Onettext runs his own wallet, which integrates with the existing brand processor to complete the transaction. ONTEXT securities securely summarize the information about the customer's payments after the first purchase. From then on, they can order again with one answer.
This configuration “File card” is what, according to Onettext, makes his text trade similar to charging items to the room during a hotel stay.
To act, Onettext uses what Fudem calls “compatible” automation. If the brand wants to charge the customer on the order, Onettext sends the text with information that the payment will pass in 24 hours, unless the customer cancels. By default, there is a resignation.
Over time, it plans to expand the network so that the buyers can use their vaulted profiles in many brands, with pre -spoken box office data and smarter recommendations.
In this sense, the company is approaching something much larger: a breakthrough, native SMS payment network.
“Building a portfolio directed to consumers, which is 10 times better, is really difficult,” said Fud. “But we can create a business SMS platform, which brings the impression of” Charging it to your room “, only now it is your phone number. In this way we will build a network. “
Onettext has gone through Y combinator in 2023 And he quietly built his platform after a demo day. Today, the platform has an average size of e-commerce brands, achieving annual revenues of 10 million to 100 million USD, as customers say, although it also serves smaller startups and large enterprises.
“We've been scaled 3 times a year and we are making millions of revenues,” said Fudem, who launched a company with CTO Daniel Brain.
