Delivery service serves local need
Local Buys app, launched Feb. 1, connects Islanders to P.E.I. products
The founders of a new Charlottetown-based business app want to bring the convenience of an Amazon-style delivery service to local products and their customers.
Fabian Ixkes and Drew Knowles started plans for their Local Buys app when they couldn't find anything similar on offer in P.E.I. A few weeks later, they brought in Shion Phelan to help develop the product, which is now available on IOS and Android mobile app stores.
Through Local Buys, local products are picked up and shipped to Charlottetown, Stratford and Cornwall customers in half an hour or less.
The goal is to support local businesses, especially during COVID-19, said Ixkes, the CEO.
“We looked at a few local businesses, and they are incurring a lot of costs they previously didn’t have (because of COVID-19) and they are still paying rent and everything else. Then they also have to take their time to deliver products using gas and a bunch of time as well,” he said.
“So, we want to offer them a better option.”
The Local Buys app was launched Feb. 1.
Phelan, chief operating officer, said the app provides local businesses with more than just a delivery service.
“We not only provide deliveries, advertising, showing where the businesses are at, we also give them the opportunity to build a storefront where they can view analytics and sales views.”
Besides the convenience, Phelan noted customers using Local Buys are keeping their money inside the province.
“When I order something through Amazon or any kind of online commerce giant, I know that’s not benefiting anybody. I don’t know who I’m paying and where this money is going, and this includes the delivery fee,” he said. “So why not help your neighbours and strengthen your community?
“When you support the local economy, your kids are going to have better sporting events, the town is going to have better events because the taxes come back into the city. What we're trying to do give is you the opportunity to choose between Amazon and local businesses.”
Vendors using the app pay $14.99 a month. There is also a seven per cent transaction rate for each order.
Phelan described the fee as a "very small onsidering in order to do what we’re doing. To run the delivery service, vendors would have to build a website, design and manage (the website), manage orders, hire delivery drivers. That’s a lot of work.”
Shipping fees for the customer start at $3.49 in Charlottetown, $6.99 in Cornwall and $8.99 in Stratford.
All the delivery drivers are local, Phelan said, adding they're earning "the best wage possible”.
The Local Buys app is easy for both vendors and consumers to use, Ixkes said.
“For vendors, they just have to upload the store’s profile picture, name, a description and pictures for their products.
“For consumers, same as any other ordering app, you download the app, select the products they want to buy, add to cart, then pay. It’s at your house within an hour,” he said.
Ixkes said the app has eight vendors. The developers hope they will have up to 25 vendors next month and be able to expand to Halifax soon.
“By ... 2021, we are trying to reach around 1,000 vendors, and we want to have our app in 75 per cent of Atlantic Canada.”
The developers are waiting until the app can verify someone’s age to add delivery of tobacco and alcohol products.
Haley Ha, owner of HAKI Apparel and Accessories, is one of Local Buys’ partners.
“We hope through working with Local Buys, our shop will gain visibility and give our customers a convenient online shopping option," she said.
“I think Local Buys is a great idea to help promote local businesses like my own,” said another business owner, Haley Cole. “I don’t have a shop yet, so this is a way to jumpstart my business and showcase (it) to Islanders.”