Kering, a global luxury group, has made an investment in Cocoon, a luxury handbag subscription rental service. This investment round is a significant milestone for Cocoon, as the English company was established just two years ago. Alongside Kering, other notable investors include Simon Beckerman, the founder of Depop, Lilly Wollman, former partner at Generation Investment, and Riccardo Pozzoli, a prominent businessman and entrepreneur. The total investment in Cocoon is estimated to be over £2.5 million.
Cocoon specializes in offering subscription-based rentals of luxury handbags and has partnered with Kering in this funding round. The company plans to utilize this investment to expand its platform, improve its technological services and logistics, and bolster its team. Additionally, the funds raised will be used to increase the variety of handbags available and strengthen relationships with luxury brands. Currently, Cocoon offers a selection of around 35 brands, including prestigious names like Gucci, Chanel, Balenciaga, and Jacquemus. The website operates on a monthly or quarterly subscription basis, providing home delivery and predetermined rental periods without an option to purchase. This unique business model was conceived by Cocoon’s President and co-founder, Matt Heiman, along with CEO and co-founder Ceanne Fernandes-Wong. Fernandes-Wong has previous experience in the second-hand sector, having worked at Vestiaire Collective and Net-A-Porter.
Kering’s investment in Cocoon aligns with its recent focus on the circular luxury market. Just a few months ago, the luxury group announced its acquisition of a 5% stake in Vestiaire Collective, a leading pre-owned platform. This strategic move highlights Kering’s commitment to sustainability and its recognition of the growing demand for circular luxury products.
Useful links:
1. Cocoon official website
2. Vestiaire Collective official website
