Sportlala may hardly be the first business to sell sports equipment, but operates by taking a list of overstocked equipment and then making it available to its members at steep discounts (up to 70%) through time-limited campaigns (typically lasting around a week). Only after they have sold the product does Sportlala actually purchase the item from the supplier, which allows them to avoid maintaining any inventory and to pass on the resulting savings to consumers. In order to facilitate the process of posting the products for sale, Sportlala has also developed their own software, which it describes as being able to handle product-data quickly, which allows for items to be posted more quickly and for them to hold shorter “campaigns”.
Sportlala only launched last month, but CEO Viktor Sellman revealed to me that they have already attracted “tens of thousands” of customers. They have attracted the attention of investors, as well, pulling in $700,000 from a group that includes Norwegian backer Milla Invest and Swedish investors Chalmers Ventures and Aggregate Media. Sportlala is currently focusing on the Swedish market, but they are planning to use the newly-raised funds to quickly expand, with the Danish, Norwegian, and Finnish markets at the top of their list.
Sportlala has competition in this sphere, from 6-year-old bargain marketplace Fyndiq, which raised $20 million last November from Northzone and Industrifonden (bringing their total to $25 million), but the former differs by focusing exclusively on high-end sporting goods, as opposed to Fyndiq’s more general approach.