GM! It's Friday, March 10th - Today, we're covering a company that generated $1B in revenue last year, but you've never heard of them, and AI technology so good that it's taking your radiologist's job.
Let's dig in!
The Rise Of E-commerce Accelerators
Today we're going to unpack e-commerce accelerators.
What’s An E-Commerce Accelerator?
Spreetail is the country's largest e-commerce accelerator - it operates 7 fulfillment centers across the US and works with over 500 brands to help them accelerate their e-commerce sales across marketplaces like Amazon, Target, Wayfair, Walmart, and eBay.
They partner with e-commerce brands and use their proprietary data, supply chain know-how, and product development expertise for a share of profits.
The Key Insight
By 2027, up to 59% of e-commerce sales will occur on major marketplaces like Amazon. It's increasingly challenging for small retailers to keep up. Not only are they expected to manage direct sales via their website, but also optimize their presence across 10+ marketplaces.
This is where accelerators come in. They invest heavily in technology, data, and logistics to squeeze out efficiencies at every step in the funnel.
They optimize everything:
Top of the funnel: Starting at the top they'll optimize product images and listing descriptions to across each major marketplace.
Mid funnel: They use analytics, heavy investments in software, and an enormous customer support team to determine product placement, pricing, and ensure a best in class buying experience.
Fulfillment & Logistics: They track purchases through to the last-mile delivery via an owned network of warehouses.
Why It Matters
Tiny improvements, massive results: Being 1% better won't make you a standout, but if you look at a business process holistically, in this case, it's listing products marketplaces through to final delivery, and incrementally improve by 5-10% across each and every step in that process - you can create a wildly profitable business.
Fun Fact: Vitali Lapko founded Spreetail in 2006 but hasn't been actively involved in the business for years. Since leaving the company he started an ultra-luxury private jet company called Thrive Aviation.
Everyone loves a PJ 🛩️
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Goodbye Radiologists, AI Is Here!
You Should Know
While everyone’s become fascinated with ChatGPT and AI’s linguistic capabilities, groundbreaking advancements are happening in the medical space. AI tools show great promise in assisting doctors and radiologists who analyze breast cancer screenings.
AI technology can now spot cancer as well as or better than human radiologists
AI systems have already been rolled out in five Hungarian hospitals that see more than 35,000 screenings a year
These AI systems continue to become more advanced as clinics across the world provide breast cancer screening data from millions of mammograms
Some believe that the future of radiology will be a human-AI partnership while others think AI will outright replace radiologists