MuccaShop Buys Brazil's Leading Shoe Subscription Service Shoes4You

CURITIBA, Brazil, June 5, 2013 /PRNewswire/ -- Shoes4You moved fast into Brazil's promising emerging market, cloning ShoeDazzle, the innovative subscription model for shoes created by Kim Kardashian. Funded by Redpoint e.ventures, Accel Partners and Flybridge Capital Partners, Shoes4You (http://www.shoes4you.com.br) was led by the serial entrepreneur Olivier Grinda.

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In the past few months ShoeDazzle has shown signs of slowing down, making it clear that the shoe-as-service model is not as wonderful as initially expected. Investors want to quit, the CEO has left the company and they are now making a shift to becoming the old, vanilla e-commerce of shoes. 

Shoes4You in Brazil was suffering from the same disease and they could have pivoted the model like ShoeDazzle did, but they surprised the market by deciding to shut its doors. Even though Shoes4you had just turned two years old, it is a fairly known brand in Brazil as they received a multi-million dollar fund raising, which was mostly destined for media investment. In addition, as every innovative multi-million dollar business, they received a lot of coverage in the Brazilian press.

In a recent interview, Mr. Grinda mentions the expensive logistic operation in Brazil, which is a fact according to many sources. Though they are definitely not prohibitive as start-ups grow like weeds in Brazil, such as Dafiti, the biggest venture from Rocket Internet around the globe and Netshoes, which has recently announced over a half billion dollars in revenue and has plans to go public in this year. They both started selling shoes on the web in Brazil.

MuccaShop (http://www.muccashop.com.br), a Brazilian website that aggregates online stores, specially focused in fashion and shoes included, bought the brand and domain Shoes4you.com.br. It is not clear yet the plans of MuccaShop for its new brand. Whether it will be simply a segmentation of the original business model aggregating online shoe retail stores or if it will create a shoe retail shop competing with giants like Netshoes and Dafiti.

MuccaShop started in 2010 and after two years working under a lean start-up methodology and focused on bootstrapping, the team raised 5 million dollars from private investors to boost the operation. First fiscal quarter results surged, reporting net revenue growth of 100% in comparison to the same quarter last year. 

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Carlos Fertonani
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SOURCE MuccaShop