Perch landed $775 million of investor funding, the largest-ever Series A raised by a consumer packaged goods company, according to Crunchbase, and almost four times larger than the record set by Chinese online used goods trading marketplace Zhuanzhuan in 2017.
WHO: Perch is a technology-driven commerce company that acquires and operates Amazon FBA businesses with winning products in their respective categories. Perch seeks high-quality products and brands that have a steady history of strong customer reviews, are consistently one of the top-three products within their category, and have the potential for expansion. Perch quickly evaluates opportunities, guaranteeing entrepreneurs a 48-hour response on their businesses’ fit with its model and valuation range, providing a fast and risk-free way to understand their company’s potential.
Led by an experienced team from companies that include Wayfair and Bain & Company, the business believes it can transform Amazon winners into global winners by leveraging a combination of technology, operational efficiencies, and business relationships. Through this acquisition strategy, Perch is building a collection of trusted products and brands that consumers can rely on when buying goods online.
WHY: The funding will be used to acquire new businesses, add staff, and develop the proprietary software for its technology platform. Perch’s proprietary software helps them identify viable targets and grow them once acquired by expanding their advertising efforts, setting more dynamic pricing, and managing their supply chains. According to the company, 25% of Perch’s 70-plus employees are software engineers.
IN THEIR OWN WORDS: "We are building the next-gen Consumer Products company," said Chris Bell, CEO of Perch. "This investment is a powerful validation of our amazingly talented team, data-first playbooks, and long-term vision. This isn't a standard roll-up play; we're meaningfully investing in our brands and a unifying technology platform. Our highly analytical and tech-first approach allows us to innovate and automate at scale, driving efficiencies from supply chain logistics to listing optimization. We plan to use these funds to invest in the team and platform, drive additional brand upside through additional channels and geographies, and continue to acquire the best products and brands."
"As one of the largest investors in eCommerce platforms globally, we understand the critical role third party sellers perform in driving Amazon's marketplace growth. Through its unique technology platform, Perch is providing third-party sellers with the resources to help scale and manage their businesses," said Lydia Jett, Partner at SoftBank Investment Advisors. "We are excited to partner with Chris and the Perch team to support their mission of developing great eCommerce brands."
"Perch's success across their 70 brands is undeniable," said Alex Finkelstein, General Partner at Spark Capital. "They have gone from one of the earliest movers in a rapidly evolving industry to a leading eCommerce player on Amazon and beyond. We are excited to watch Perch expand on their success and redefine an industry."
DETAILS:
