Shoply: Shoply snaps up premium domain names to expand retail presence into toys and sporting goods

Shoply Limited (ASX: SHP) should trade higher after acquiring the premium domain names ToyStore.com.au, SportingGoods.com.au, and HomeAppliances.com.au in a push to enter new online retail categories and expand its existing home appliance position.The total cost for the three domain names was under $20,000.This represents the commencement of its organic growth strategy, leveraging Shoply’s existing online shopping platform.These domain names will be used to develop new online stores in the toy and sporting categories and to extend the company’s position in the home appliances market.The toy and sporting goods markets combined are worth $1.6 billion, or 11.7%, of the $12.4 billion online shopping market in Australia.HomeAppliances.com.au will aggregate all home appliances items available on Ohki.com.au and Eljo.com.au, along with additional products from a range of new supplier brands.The creation and management of the online stores will have minimal cost impact due to its recent investment in building a scalable online shopping platform.New online stores will be progressively launched during the June 2014 quarter, and Shoply will continue seeking marketable domain names for acquisition. Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.