In the contemporary e-commerce space, controlling spend can be a challenge not necessarily well addressed by financial management tools imported from other industries.
For online retailers with international revenue streams, for example, financial management can involve multiple websites, currencies, payment methods, and gateways, making this process even more challenging.
“One of the big challenges in e-commerce, whether as a founder, CFO, or CFO, is getting the big picture of how your business is performing and [money] flow,” Samir El-Sabini, co-founder and CEO of Swedish eCommerce FinTech Juni, told PYMNTS in a recent interview.
The financial platform El-Sabini, co-founded in 2020, has been specifically designed for e-commerce businesses and partners of a wide range of online retailers, including British homeware brand Aeyla and homeware store. Boltshop Dutch electronics. Earlier this year, the company secured $206 million in venture debt financing to fuel its growth and continue to develop tools for the e-commerce market.
Continue reading: Juni, a Swedish FinTech platform for e-commerce, raises $206 million
Elaborating on Juni’s affinity with businesses that sell online, El-Sabini said e-commerce is in the company’s DNA: “Half of our employees have an e-commerce background. … We believe in the future of e-commerce and it is very important to us.
He added that the FinTech company wanted to eliminate financial management work, helping entrepreneurs across Europe save time and money.
In addition to reducing administrative costs, the Swedish company also offers access to credit via the Juni card, which is described as a card “made for online advertising“.
Thus, customers can use the Juni card to track their expenses and earn money from their expenses. Additionally, since all spend runs through Juni’s platform, a range of analytics and automation capabilities are also available to businesses.
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On automation, El-Sabini explained that the “deeper insight” created by a holistic view of spending can be used to automate certain decisions. With advertising, for example, he explained that Juni can help e-commerce businesses set up their campaigns to automatically cancel if or when they don’t create the right ROI.
Having the right tools in place can also help with inventory management and cash flow optimization, which, combined with Juni’s credit facilities, help businesses maintain sufficient working capital, he said. note.
To make all of this possible, Juni offers its customers 2,000 more integration options, including major payment processors and online advertising providers.
Meeting ever-changing challenges
To meet the changing needs of its customers, El-Sabini said it is essential to keep up with trends and that “if our customers want to use cards, we will help them use the best card. If they want to transfer money in another way, we will help them transfer money in the best possible way. »
This philosophy is reflected in Juni’s advertising approach, where by prioritizing integration, Juni can adapt to different customer needs. After all, the online advertising landscape in Europe may soon change thanks to the EU’s efforts to open up the market to more competition.
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Despite these developments, he said: “If you look at the last 10 years, the dominance of Facebook and Google has grown stronger”, and although “this process may slow down, I don’t see any big threats in the short term”. .
However, things are not going to get any easier. “Overall, what we’ve seen in the e-commerce space is that it’s getting harder and harder,” he explained, and for businesses to make a profit, they have to do two things: maximize the production of their customer acquisition costs (CAC) through higher order values. and be “as efficient as possible with [their] spend.”
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