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The accidental entrepreneur

China’s e-tailing scene inspired Tiffany Tan to found Cluster-Cluster, but being her own boss was not something she had thought about

When Singaporean Tiffany Tan founded home and living e-tailer Cluster-Cluster.com in her Shanghai apartment in 2014, it happened almost by accident. The then newlywed had just left her job to join her entrepreneur husband in Shanghai, China, excited to explore the old-meets-new charm of the city. It was not long before she noticed how easy – and fun – online shopping was in the Middle Kingdom.

“Everyone I knew would rely on online marketplaces to buy everyday things from groceries, clothes, books to furniture, and other random things like rubber bands. It would arrive in just a few hours or the next day,” Tiffany remarks. “This was accessible for China as a whole, so that says a lot about how seamless it all was.

“I wanted to provide that same feeling of trust and convenience for Singapore's online shopping experience. I decided to combine my love for interior into the mix, and the rest is history.”

At the very beginning, Tiffany roped in a Singapore-based friend to partner with. Running a business remotely proved challenging, including having to deal with her business partner being unable to fulfil her role mid-way. They parted ways and the rookie entrepreneur took charge of operations herself.

“At the beginning, we worked with a logistics provider that offered the entire e-commerce solution - storage, pick and packing, quality checks and delivery,” Tiffany recalls. “It seemed too good to be true because we soon learnt it was quite an ambitious move and things fell apart quickly. Orders weren't getting delivered. More and more delivery defects were happening. We were basically faced with a crisis everyday with tons of unhappy customer emails. It was a very trying time for all of us, and we knew we had to figure out a solution fast.”

"The advice my father gave me that stuck was his ‘4 Cs’ which stands for: Cash flow, Cost, Control and Customer Confidence. He said as long as I fulfilled those 4 Cs' I'm off to a good start."

She adds: “We moved back to Singapore, and my husband and I took matters into our own hands, giving the business a massive reboot. We basically started from scratch – we found an office/warehouse, built on our team, and established a reliable logistics partner. I can finally say it’s been smooth sailing since.”

All in the family

A quick check on the Cluster-Cluster website suggests things are indeed on track. From the clean aesthetic to the fuss-free checkout process, Tiffany appears to have cracked the steep learning curve of starting a business. While husband Gordon has been her main supporter – “As funny as people say it's never easy working with your loved ones, this was a complete opposite for me; it's been an amazing experience.” – Tiffany also had other familial sources of advice.

“I come from a corporate family background so I've been blessed to have my parents and siblings there to support and give me words of wisdom and business advice,” explains Tiffany. “The dinner table is usually the spot where we talk about business, but the advice my father gave me that stuck was his ‘4 Cs’ which stands for: Cash flow, Cost, Control and Customer Confidence. He said as long as I fulfilled those 4 Cs' I'm off to a good start.

“I also never make decisions when I feel emotional, and I never take anything in business personally. Every failure and little victory I encounter is a lesson learnt.” 

Additionally, Tiffany relates how her father, a retired senior executive at a Singapore-based MNC, emphasised the importance of “the big ‘L’”: Leadership. “Among other things, leadership is about respect. My father always treated everyone - his partners, colleagues, the coffee aunty, or the maintenance guy - with dignity and respect. Great things happen when everyone is motivated, happy and inspired.”

Building for the future

From an office in an industrial estate in central Singapore, Cluster-Cluster is gaining a reputation as a chic alternative to Ikea and other mainstream furnishing brands. But Tiffany has big plans for the two-year-old company.

“We now design and manufacture our own products under our household brand ClusterHOME, and we're very keen to move into the regional market. It's important to create a stronghold and footprint – and I feel we're still seen as a hidden gem to many Singaporeans, so as soon as we feel we've established ourselves in Singapore, we’ll look to other markets.”

She adds: “Currently we also curate from all over the world, with a mix of our in-house designs and other emerging local and regional designers,” she explains, making a point that all homeware must fulfil the brand’s defining qualities of being “stylish, functional and affordable”. “For me, Cluster-Cluster is all about being able to offer home owners/renters stylish affordability, one click at a time.”

For someone who did not set out be in business – “It was never my dream to be an entrepreneur, all my life I’ve just pursued things I was passionate about” – Tiffany has carved out a little niche that could yet grow into a major retail brand. Are there lessons that aspiring entrepreneurs can learn from her experience?

“If there was one thing I would advise any aspiring entrepreneur, it is to make sure your idea sells itself,” she says. “Roll with the punches, and don’t be afraid to adapt to changing business environments. An idea on its own is nothing without decisive execution. Most importantly, recognise what a good and bad idea is.”

 

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Last updated on 27 Oct 2017 .

 

Perspectives@SMU is SMU’s online public outreach publication that seeks to provide thought leadership on management practice in Asia. The monthly newsletter combines exclusive interviews with senior executives and acclaimed academics, with up-to-date reporting on the latest salient issues of the moment. Through continuous coverage of a wide range of topics, readers can get up to speed with the viewpoints of industry practitioners on common or groundbreaking topics, as well as acquaint themselves with SMU’s latest faculty research findings.