Depop pockets $20m Series B investment to drive US growth
3 min read
23 January 2018
Fashion-centric social platform Depop has received a $20m Series B investment, with which it plans to expand on its eight million registered users.
The social shopping service is responsible for creating a series of young entrepreneurs, with the company revealing many of the users, a lot of which are teenagers, are making more than $10,000 a month.
With this new Series B investment, the $20m round has been led by Octopus Ventures, with support from TempoCap. Existing investors including Balderton, HV Holtzbrinck Ventures, H-Farm, Creandum and Lumar also joined the investment.
Growth across the US will be a key focus, as the firm looks to take its digital roots into bricks and mortar territory with two stores in both LA and New York. It comes on the back of 130 per cent US revenue growth in 2017.
Rebecca Hunt, Octopus Ventures early stage VC investor, said: “The company has built a large, engaged and loyal user base amongst predominantly creative young people. Depop provides users with a selling and social platform and a global pool of buyers to leverage their unique community and inventory, generate their own brands and build revenue channels.
“This taps into a key trend in retail for millennials, and we are looking forward to seeing further growth of the business over the coming years, powered by an exceptional team.”
As part of the investment, Hunt will join the board of the social shopping service.
In addition to the US success, revenue growth globally double too. Depop founder Simon Beckerman believes that the social shopping service, which combines mobile shopping with social media, is what has contributed to its success and sustainability.
“The investment will support the global growth of the platform, particularly in the US, and scale the business. This will include the opening of bricks and mortar beta spaces, which will help us get even closer to our users and experiment with new formats,” added Depop CEO Maria Raga.
“We are excited to work with Octopus Ventures. They have a strong portfolio and are experts in accelerating growth of lifestyle and marketplace companies.”
Shoreditch-based Depop, which blurs the lines between ecommerce and social media with a social shopping platform, has secured an $8.25m investment and simultaneously announced Maria Raga as its new CEO.