DEMO: ShowUhow’s video guides promise to reduce product returns

In 2007, $13.8 billion worth of products sold in the United States were returned. According to Accenture, 68 percent of these products were returned because they were not meeting customer expectations or were simply too confusing to use. ShowUhow, a startup presenting at DEMO, has developed a solution for the latter problem and has guaranteed to retailers and manufacturers that its service will decrease product returns and increase sales conversions.

ShowUhow is collaborating with retailers and manufacturers to create and host a series of product video guides, which will then be distributed to consumers via mobile devices and the web. These video guides will include information on set-up, configuration, features and benefits. After or prior to purchasing an item, a consumer can download the ShowUhow mobile application, scan the item’s barcode or enter the product information, and then be shown the product video.

As an example of how effective ShowUhow’s videos are, one cell phone manufacturer using the service saw a 64% increase in monthly product sales during the first three months compared to a 7% overall product average. Simultaneously, the manufacturer experienced a 12% decrease in support calls concerning products supported with ShowUhow guides.

ShowUhow generates revenue by charging retailers and manufacturers for the product video guides, hosting services, and use of the guides. Although there are no companies that compete directly with ShowUhow, the company may face competition from larger retailers who are interested in releasing similar guides of their own.

ShowUhow currently has 500 guides total with 9 of the top 11 retailers, including BestBuy, Costco, Walmart and ToysRUs. The guides have been viewed over a million times, the company said.

Founded in 2008, ShowUhow is headquartered in San Diego and has 16 employees. It raised $3M in a first round investment from SYNCOM Venture Funds. ShowUhow is led by Chief Executive Kim Olson, who previously served as the VP and General Manager of DriveCam and SeminarSource.