The grant validates the strength of the Aussie startup’s unique eCommerce offering and positions the supply chain solution against the likes of Amazon Fulfilment Services.
Sydney, June 24, 2021, 11:30 AM (AEST)
Workit Spaces secures almost $900,000 in Government funding to commercialise its innovative eCommerce supply chain solution software SKUtopia.
Workit Spaces, an Australian startup based in Sydney, is building innovative ecosystems that help businesses thrive. Their eCommerce Coworking Hubs represent a microcosm of Australia’s economy and their soon to be released SaaS and order fulfilment solution, SKUtopia was the top funded project in the Federal Government’s Accelerating Commercialisation June round of funding.
Co-Founder and Managing Director, Talea Bader says the Department of Industry, Science and Technology grant will go towards the pilot testing of the SKUtopia computer vision and machine learning software that reduces waste in eCommerce operations.
“Our SKUtopia app and robotics fulfillment network is the next innovation in supporting commerce to scale physical operations while keeping control of their brand,” said Bader.
“We believe our solution will confidently challenge the status quo that has been dictated to the market by Amazon Commercial Services.
“While eCommerce businesses – and retailers for that matter – can easily create a digital storefront and begin selling, scaling their physical operations is difficult, costly and wasteful.”
- Workit Spaces research show that eCommerce businesses dispatching more than 100 orders a week spend up to 40% of their operations time managing up to 3 separate inventory platforms and fixing incorrect orders due to human error; and
- 80% of eCommerce businesses believe their time is better spent on value-adding product development and customer service
- SKUtopia’s right-sized cartonisation will reduce wasteful packaging by 40% on average
- AusPost (2020 eCommerce Insights) notes that the apparel eCommerce category has the highest rate of returns (30%) which erodes margin through extra shipping and handling
eCommerce businesses typically need three to four software solutions and several physical inventory management or warehousing options to manage their supply chain, creating costly errors and bottlenecks in the supply chain.
“Traditional giants in this space remove the ability for businesses to control their brand from end to end. SKUtopia changes all that,” said Bader.
“Our solution is about empowering every business to go from 100 orders a day to 10,000 seamlessly.”
“We’re designing computer vision technology that recognises products as they come into the warehouse, provides intelligent storage recommendations and confirms the correctness of an order once picked and delivered.
At present, online sellers suffer from costly handling errors and returns of up to 30%.
“We’ll also be able to provide recommendations on where to store your products based on demand
“Our aim is to introduce multiple micro-fulfilment centres in metro Sydney, Melbourne and Brisbane, that enable a 1-4 hour delivery window, while reducing waste and carbon emissions. Our solution will also empower existing 3PL providers to optimise their operations and improve profitability.”
- Under the Federal Government’s Entrepreneurs’ Programme, the Accelerating Commercialisation program provides expert guidance and connections to help businesses and researchers to commercialise an innovative product, process or service.
- After receiving commercialisation advice, businesses can access matched grants of up to $1 million to assist in the commercialisation process.
- In the latest round of funding (June), the Department of Industry, Science and Technology awarded Workit Spaces $897,843, the largest amount granted in the $2.4M round.
“The AC Grant not only provides important funding, but validates the uniqueness of our solution,” said Bader.
“The application process was intensive, spanning several months and required us to prove our innovation in a competitive market.
We’re looking forward to taking our solution to market in the coming months, starting with our pilot release this year.”
Watch the video below to learn more about SKUtopia: