Bespoke Post has received a new $40 million Series B funding round led by NewSpring to fuel the rapid growth of its business and hone in on its efforts to help customers discover the most unique small brands. The round included participation from Savano Capital Partners and Second Alpha along with existing investors Walden, Great Oaks, and 500 Global.
The subscription box and e-commerce company has focused on profitable growth over the years and has only raised $8 million prior to this round. Last year, the company saw revenue increase by 85 percent. The company said it will use this funding to continue to seek out new small brands, launch retail partnerships, and invest in its data science capabilities.
“We’re extremely proud of the fact that 90 percent of the brands we carry are small,” said Rishi Prabhu, co-CEO of Bespoke Post. “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.”
“Bespoke Post has focused on capital-efficient growth, led by a data-driven approach to merchandising and customer acquisition,” added Hart Callahan, partner at NewSpring. “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.”
“Over the last two years we’ve increased revenue per member by 35 percent thanks to a more personalized member experience,” commented Steve Szaronos, co-CEO of Bespoke Post. “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 New York-based company was founded in 2011 to introduce customers to products from under-the-radar brands, once a month. Since then, Bespoke Post has worked with thousands of small brands, expanded its offering to thousands of products available to purchase each month, and grown to over 300,000 active members.