UK private Sales site BrandAlley has bought luxury online website Cocosa from MySale Group.
The assets of Cocosa, a members-only luxury online shopping club, have been bought for £1.5m in cash. This includes the Cocosa.co.uk website and trademarks, and its database of around 2 million members and customers.
BrandAlley chief executive officer Rob Feldmann said: “Cocosa is a complementary acquisition that will contribute to BrandAlley’s continued rapid growth as we make available our wide selection of premium and luxury brands across fashion, home and beauty to Cocosa’s customers.”
Cocosa was launched in 2008 by Bauer Media as a project linked to Grazia and was subsequently acquired by former Harrods boss Mohammed Al Fayed in 2001. After being wound down in February 2014 the site was bought by Mysale, in which Sir Philip Green has a 25% stake, for an undisclosed sum the following May.
“Cocosa has a really rich luxurious brand history from the Al Fayed/Harrods days and I’ve always loved the brand, so when the opportunity came up to buy it we jumped and did it immediately,” Feldmann told Drapers. “Strategically it was a really easy decision as it’s another online channel to increase our marketing reach within the UK, and a way of selling more product for our fashion and home brand partners.”
Customers on the Cocosa database will continue to receive marketing emails in the same format, however, Feldmann plans to bolster the sites offering by adding BrandAlley fashion and home partners.
“The fashion and home brands that we have on BrandAlley are going to appear on Cocosa so it will be a much-improved product offering for Cocosa’s customers,” he explained. “When Cocosa customers click to purchase, it will take them back to the BrandAlley site, and the sale will be processed through BrandAlley’s system and excellent logistics.”
He added: ”If brands are already selling successfully on Cocosa we want to keep them - but the product offering will be must stronger than it was in the past.”
BrandAlley increased its revenues by 122% to £46 million in the year to December 2018.
Cocosa was MySale Group’s main UK trading website, and its disposal is part of the company’s plan to shift focus to the Australian and New Zealand markets.
Chief executive officer Carl Jackson said: “This disposal represents a key step in accelerating our ‘ANZ First’ strategy, which looks to optimise our scale, resources and market position in the region. With this more streamlined and focused approach, we can provide an improved offering for both our customers and brand partners.”
MySale Group operates 22 websites in seven countries including Australia, New Zealand, Singapore and Malaysia.