Tuvalum, a platform to buy and sell bicycles, was kick-started by founders Alejandro Pons and Ismael Labrador in a Demium Startups incubator in 2015. Today, Tuvalum hopes to register its business for EUR 9 million (USD 10.43 million), which is almost double its 2020 value. The firm is also foreseeing the doubling of its turnover this year, compared to 2020.
The Tuvalum Digital Souk startup
The process to use the digital platform is hassle-free. A user must first upload the advertisement of their used bicycle. A dedicated team filter bicycles according to the various categories to increase the commodity’s visibility. Tuvalum also allows users to set the accurate price for their bicycles according to the prevalent market price. Post these procedures, the sales team works on moving the bicycle. On acquisition, the seller is asked to send the bicycle to one of Tuvalum’s associated workshops in collaboration with the firm. Post-certification, the seller receives the money and the buyer, the bicycle.
Founder Alejandro Pons stated that most of the products available on the digital souk are second-hand. However, the firm also offers new bicycles in collaboration with local stores. For these stores, Tuvalum acts as a digital platform for sales. It is the one-stop destination for all digital marketing, sales, and payment needs stated Pons.
For the services gained by individual sellers, the firm offers a marginal commission to its buyers. Contrarily, the sellers are charged a nominal fee of EUR 50 (USD 57.96) to benefit from Tuvalum’s digital services. For professional sellers, Tuvalum charges 10% of the bicycle’s value. Presently, the firm houses 25 people and receives 0 profits as they reinvest all revenue into the startup’s growth.
In the French market, the firm has seen a 300% growth compared to 2020. Tuvalum is now set to enter the Italian and German markets. The firm is also brainstorming a new-fangled medium for the evaluation and purchase of second-hand bicycles.
The firm is currently aspiring to emerge as a portal that is proficient in resolving the inadequacies of the industry. The firm strives to do this by injecting monetary units into the market through second-hand sales and by helping local brands and outlets to sell their new bicycles.