ChatGenie’s transformation with the Strive Innovation Fund: Empowering Filipino small businesses in the digital economy

The following is a guest post written by Ika Rodriguez from ChatGenie, an organization that enables businesses to sell within the world’s biggest apps.

In the midst of a challenging economic climate, ChatGenie is working to equip small businesses in the Philippines to adapt to the future of retail. With its mission to support small business growth, ChatGenie sought to overcome the obstacles faced by merchants and entrepreneurs alike during the pandemic by allowing them to sell within the world’s biggest apps when brick-and-mortar stores were no longer an option. This work didn’t end after the pandemic — with the Strive Community Innovation Fund as a catalyst, ChatGenie has transformed its offerings to drive more impact in the industry.

Crafting a niche in digital commerce

As always, achieving the mission of small business growth was not without its obstacles, and ChatGenie faced challenges in establishing its distinct identity within the digital commerce industry. When merchants were asked about ChatGenie via an internal survey, we were often perceived merely as a chatbot platform. Recognizing the need for a stronger proposition, ChatGenie needed to better describe its end-to-end online selling capabilities, as opposed to technology that just automates responses. Having realized the importance of establishing a distinct identity, ChatGenie successfully repositioned itself as an In-App Commerce platform to help more merchants understand why they should be investing in In-App Commerce.

With the support of the Strive Community Innovation Fund, ChatGenie introduced new features and updates, integrated new partners, and upgraded existing functionalities in order to make social commerce work better for small businesses. These initiatives showed results for small businesses. For example, using ChatGenie’s platform to develop digital storefronts within social media and super apps and using ChatGenie’s Dashboard for sales and marketing tasks led to a remarkable 55% increase in conversion rates for certain categories, such as the computer accessory and tech merchant Bezel Monitors. After investing in an In-App store, they were able to receive an increase in sales of 100% in the first month and an additional 200% growth in the next. The consistent growth culminated in over US$7,268 in sales and a conversion rate of 55% in the third month.

Staying nimble

In our previous post, we covered the resurgence of in-store shopping in the Philippines and how ChatGenie enhanced its features to empower small businesses in delivering exceptional in-store customer experiences. By bringing the familiarity of offline retail to online commerce, ChatGenie was able to introduce a new hybrid shopping experience that had not yet become mainstream in the Philippines. The company developed a Scan-to-Order use case, which was used by 1,322 micro- and small enterprises as of mid-June 2023. Manilapreneur, MNL BeerFest’s event organizer, also reported a 50% improvement in efficiency due to the platform, which led to smoother event management processes and better overall customer experiences.

There remains more room to grow, and super apps are becoming more open to partnerships. Collaborations in co-marketing and strategic alliances have provided ChatGenie with expansion opportunities and a broader reach. These partnerships, including with Viber, GCash, and BillEase, have opened up new avenues for growth and expansion, which we expect to continue:

• Partnering with Viber has allowed ChatGenie to expand its merchant reach through a wide co-marketing campaign while giving special perks to merchants.
• Recognizing the increasing digital wallet usage among Filipinos, ChatGenie capitalized on exclusive partnerships with GCash.
• Another exciting new partnership is with fintech platform BillEase which enables merchants to offer buy now, pay later terms even without a credit card. Our unique collaboration allows ChatGenie merchants to offer special terms of 0% interest for up to 6 months in installments.

Creating an impact

The transformation brought about by ChatGenie had a profound impact on numerous Filipino MSEs. In an effort to boost local small businesses, the ChatGenie Merchant Incubation Program has onboarded 81 MSEs and, as a result, has achieved P11.1M in gross sales (approximately US$205,000 at the time of publishing). One particular merchant, Domus Naturae, a local health and beauty brand, witnessed a notable improvement in Return on Ad Spend after integrating ChatGenie with their Facebook Ad campaigns. This successful integration enabled them to optimize their marketing efforts, resulting in increased sales and enhanced brand visibility. Since investing in In-App Commerce, they achieved a 1400% sales increase in December 2022, followed by a 157% sales increase in the next month. By leveraging ChatGenie’s features and functionality, Domus Naturae was able to drive better results and maximize its marketing investments.

These success stories exemplify how ChatGenie’s transformation through the Strive Community Innovation Fund has positively impacted Filipino small businesses. By providing them with the tools, partnerships, and support necessary to thrive in the digital economy, ChatGenie has become a catalyst for growth and success in the small business ecosystem.

Working for growth

Looking ahead, ChatGenie has a robust roadmap in place to continue its growth and further empower Filipino businesses. One key focus for ChatGenie is doubling down on partnerships with super apps and other strategic partners. By forging these collaborations, ChatGenie aims to expand its reach, tap into new markets, and leverage the capabilities of these platforms to provide even greater value to its merchants.

In addition to partnerships, ChatGenie is set to introduce a range of growth marketing tools in the latter half of 2023. These include SMS and Viber notifications, which will enable merchants to engage with their customers more effectively and drive sales through personalized messaging. Furthermore, the introduction of Guaranteed Delivery will instill confidence in customers and enhance their overall shopping experience. One advantage to selling via In-App Commerce is the option to offer same-day delivery with integrated logistics partners such as Grab Express, Lalamove, and pandago. Moreover, ChatGenie recognizes the power of social media and plans to integrate with TikTok, enabling merchants to leverage the platform’s massive user base and engage with a wider audience.

To offer more comprehensive solutions to a wider range of businesses, ChatGenie will be launching Service Bundle Solutions, a GCash Launcher Shopify App, and POS systems. These additions will provide small businesses with a more holistic approach, offering them a range of tools and features that streamline operations, enhance customer experience, and drive growth at a reasonable price. The Service Bundle Solutions, in particular, will offer a convenient and cost-effective way for small businesses to access multiple services and functionalities from a single platform.

ChatGenie remains committed to its mission of being the leading In-App Commerce platform in the Philippines. With a focus on continuous innovation, strategic partnerships, and customer-centric solutions, ChatGenie is poised to shape the future of the Filipino small business ecosystem and drive the growth of small businesses in the digital economy. The founding team is actively fundraising to sustain the achievements made with the support of the Strive Community Innovation Fund and continue driving positive impact in the ecosystem.

ChatGenie’s partnership with the Strive Community has been transformative, enabling the company to overcome challenges, gain valuable insights, and empower Filipino small businesses. With a redefined identity, strengthened partnerships, and innovative features, ChatGenie continues to lead the way in driving small business growth in the ever-evolving digital economy.