DTC's Daily Digest gives you the latest news on the fastest growing brands in the world. In today's edition: Kokoon funds before launching the subscription; Poshmark moves to the home decor; Velkana collects donations with seeds.
Kokoon funds before launching the subscription
Kokoon, brand headphones designed to help people sleep, I raised £ 1 million through seed. The brand achieved sales of up to £ 4.5 million while still in pre-demand, and shipped 10,000 products worldwide, worth £ 9.6 million before financing.
Kokoon is a digital platform that helps people use sound better to help them relax and turn off. The application provides intelligent voice content and training developed with sleep scientists based on clinically verified techniques.
Businesses are looking to attract frequent travelers, sleepers, and consumers in noisy environments. Kokoon also has partnerships in retail, with a deal with Selfridges, and a pipeline worth millions of pounds from other retail applications.
In the second half of the year, Kokoon plans to launch a subscription model through the Kokoon application. Subscribers (who pay £ 5.99 per month) will have full access to premium content, training, and features. This is followed by a solid business model used by billion dollar applications such as Calm and Headspace.
The proceeds will be used to increase sales, improve the platform and accelerate the product pipeline.
Poshmark moves to home decor
Poshmark extends beyond clothing and used wallets, Launch their home decor. This step is taking them like Wayfair and Rent the Runway, which also Recently launched rental of household goods Such as throwing pillows and blankets.
Manish Chandra, chief executive and founder of Poshmark, said the new Poshmark house would be for things like wall art, pillows, candles and other smaller household items, but not huge furniture. Chandra also explained that Poshmark is still working to improve its logistics to be able to handle heavy items and ship them.
The market for used clothing in the United States was US $ 24 billion (£ 19 billion) in 2018, compared with US $ 35 billion (£ 27 billion) for fast fashion companies such as H & M and Zara, According to data compiled by ThredUp and GlobalData Retail. But by 2028, the second-hand fashion market is set to jump to $ 64bn (£ 50bn), while fast-paced fashion will reach only $ 44bn (£ 35bn).
Poshmark collected about 160 million US dollars (126 million pounds sterling). Its last round, the D series in November 2017, was 87.5 million US dollars (£ 69 million) and the company estimates about $ 600 million (£ 471 million). Major investors include Mayfield, GJ Capital, Menlo Ventures and Union Grove Venture Partners.
Velkana collects donations with seeds
It's time for fundraising DTCs on Seedrs, with Felcana as well Get to work. Falcana is the application that Their owners help to care for the health of their pets and provide veterinarians with the data they need.
Users can obtain online veterinary advice on demand and have critical insights into the health and well-being of their pets. After Seedrs' extra funding campaign in 2018, and with the support of venture capitalists Innovate UK, Felcana Look forward now to achieve marketing.
The company will market on B2C channels, such as its own website and third party retailers, as well as on B2B channels such as pet insurance companies and pet health plan providers. Felcana will also offer a subscription form later in 2019 to provide recurring revenue streams.
The plan is to split funding 60:40, with 60% directed towards sales and marketing (increasing customer access and brand awareness through increased marketing expenses), 40% towards product development (launch of on-demand vet service, and expanding scientific capacity data).