Bespoke Post, a multi-category e-commerce retailer, has secured USD40 million in a Series B funding round led by NewSpring.
The New York-based company was founded in 2011 to introduce customers to products from under-the-radar brands, once a month. Since then, they’ve worked with thousands of small brands, expanded their offering to thousands of products available to purchase each month, and grown to over 300 thousand active members.
“We’re extremely proud of the fact that 90 per cent of the brands we carry are small,” says co-CEO of Bespoke Post Rishi Prabhu. “They’re fundamental to our ability to fulfill the promise we make to our members about discovering new gear and experiences. We also find small brands share our values in terms of having a deep commitment to authenticity, quality, and craft.”
The company has focused on profitable growth over the years and has only raised USD8 million prior to this round. Last year, the company saw revenue increase by 85 per cent.
“Bespoke Post has focused on capital-efficient growth, led by a data-driven approach to merchandising and customer acquisition,” says NewSpring Partner Hart Callahan. “We are excited to partner with the management team and continue to invest in the company’s innovative technology and bring interesting, emerging brands to the market.”
The company will use this funding to continue to seek out new small brands, launch retail partnerships, and invest in their data science capabilities.
“Over the last two years we’ve increased revenue per member by 35 per cent thanks to a more personalised member experience,” says co-CEO of Bespoke Post Steve Szaronos. “This is just the beginning of how we can use our existing insights platform to identify up-and-coming brands, and then get the most relevant products in front of our customers based on their interests.”
The round included participation from Savano Capital Partners and Second Alpha along with existing investors Walden, Great Oaks, and 500 Global.
