Trove, a re-commerce specialist, recently announced the successful closure of its Series D funding round, raising an impressive $77.5 million in investment. This brings the total funding for the company to $122.5 million and boosts its valuation to between $200 million and $300 million. The funding round saw the participation of prominent investors including G2 Venture Partners, Bank of Montreal, Capital One Ventures, Commerce Ventures, Wellington Management, and existing board investors of Trove.
With this significant influx of capital, Trove has ambitious plans to expand its presence in Europe and venture into the luxury market. The company aims to broaden its list of brand partners substantially and strengthen its technology and logistics infrastructure. Additionally, Trove seeks to tap into a new customer base in Europe and bolster its position as a leading platform in the branded re-commerce market.
Trove’s platform allows well-known brands like Lululemon, Patagonia, REI, Nordstrom, Levi’s, Eileen Fisher, and Arc’teryx to establish their own re-commerce channels. By partnering with Trove, these brands can retain a closer connection with their customers and exercise greater control over their resale operations.
The re-commerce market is predicted to account for 14% of the apparel, footwear, and accessories sector by 2024, amounting to approximately $60 billion, according to research from Cowen. This represents a significant growth from its 7% market share in 2020. As consumer demand for resale grows, premium brands have an opportunity to establish their own trade-in and resale channels, rather than relying solely on third-party marketplaces.
Trove’s technology platform and logistics expertise have played a crucial role in processing nearly 1 million unique items and managing over 10 million catalogue records in 2020, marking a threefold increase from the previous year. By utilizing Trove’s services, brands can streamline their re-commerce operations and bolster their sustainability efforts.
G2 Venture Partners, the lead investor in this funding round, recognizes the potential of re-commerce in addressing the fashion industry’s carbon footprint and driving towards a more sustainable future. By investing in Trove, they are backing a company that empowers brands to participate in the circular economy and reduce waste.
Trove’s successful Series D funding round not only provides the necessary financial resources for expansion but also underscores the growing significance of re-commerce in the retail industry. With its innovative platform, Trove is well-positioned to further propel the growth of re-commerce in Europe and the luxury market. Moreover, it offers brands the opportunity to enhance their sustainability practices and foster closer relationships with their customers.
Additional Links:
Trove Official Website
Cowen Research
