French startup Mirakl raised a $70 million funding round. Bain Capital is leading the round, with existing investors 83North, Felix Capital and Elaia Partners also participating.
If you’ve bought a few products from a third-party seller on an e-commerce website that isn’t Amazon or Alibaba, chances are you’ve used Mirakl in the past. The company has built a solution to manage the marketplace of your e-commerce platform.
While Mirakl doesn’t have a ton of customers, each customer is very valuable. The company has worked with some of the biggest names in e-commerce so that they could add a new revenue stream with a marketplace. Examples include Best Buy in Canada, Walmart in Mexico, Office Depot and Darty.
The startup also lets you create B2B marketplaces for bulk selling and other complicated transactions. Sellers can set minimum and maximum quantities and customize their listings.
In 2018, the startup managed to add 60 customers and launch 37 marketplaces — it doubled the gross merchandise volume compared to 2017. And it’s true that marketplaces are attractive. You can greatly increase your sales without any physical infrastructure investment as third-party sellers handle logistics.
Behind the scene, Mirakl has developed connectors that work with multiple e-commerce platforms. After setting up Mirakl, your third-party sellers will also get their own on-boarding back end. And Mirakl continuously helps you when it comes to maintaining a certain level of quality and handling orders.
More recently, Mirakl has developed a catalog manager so that you can more easily manage product listings. It lets you get product information, merge product listings and moderate your platform in general. Any e-commerce website can use it, not just websites that operate a Mirakl marketplace.
The company has also launched a services marketplace so you can upsell your customers with extended warranties and insurance products from third-party companies before they check out.
Mirakl works with global B2B platforms as well as retail websites that usually operate in a country or a handful of countries. Thirty percent of retail clients are French, 30 percent are American and 40 percent are from the rest of the world. The startup charges an upfront fee as well as a monthly subscription that varies according to the success of your marketplace.
With today’s funding round, the company plans to do more of the same, at a bigger scale. Mirakl will expand the team, expand to new countries and improve its product offering.