Farfetch is growing like crazy as the company just secured $110 million. The London-based startup has become a dominant e-commerce player in the fashion space. Farfetch runs a marketplace that connects high-end fashion retailers with customers. But the company doesn’t plan to stop there.
Today’s Series F round was led by Temasek, IDG Capital Partners and Eurazeo. Existing investor Vitruvian Partners also participated. Farfetch also secured a $50 million credit line to boost its growth. Previously, the company raised $86 million in March 2015.
In 2015 alone, Farfetch managed $500 million in transaction value. And because of its marketplace approach, the company takes a cut on every transaction.
But Farfetch isn’t anything like eBay or Amazon Marketplace. The company focuses on fashion brands and wants to help them seamlessly integrate offline and online transactions in a unified experience.
That’s probably also why Farfetch has been working on a white label platform solution. As you can see on ManoloBlahnik.com, you can purchase high-end shoes directly on the company’s website. Behind the scene, Farfetch runs the show.
While Farfetch doesn’t manage inventories, the startup can connect directly to your inventory and provides impeccable customer support with in-store pick-ups, same-day deliveries in major cities, pick-up service if you want to return an item and more.
So for a small fashion brand, using Farfetch’s platform could make it much easier to start selling online. You don’t need to make compromises and allocate part of your inventory to the online platform.
As usual, the company is going to use today’s funding round to conquer the world. Farfetch wants to invest in its own marketplace and its white label platform solution. And this is smart, as off-site growth could be a big market for Farfetch given that fashion brands already know how to talk with loyal customers.