Whether it’s a never-depreciating piece of vintage fashion or just a pair of jeans in relatively good condition, you have more chances now to put your many years old clothing item to use again, by selling it via Vinted who speeds up its plans to grow further across and outside Europe.
Just having announced the closure of $27 million of Series B funding led by Insight Venture Partners, Lithuanian company aims to improve its social, mobile app platform and expand business in the US. Existing investor Accel Partners also participated in this second round.
Founded in 2008 in Lithuania as a desktop application, Vinted turned to mobile after raising a then undisclosed funding of $6.5 million in Series A from Accel Partners in January 2013. Now 75% of its business is created on mobile, with 3 million members and 14 million listings as claimed by the company. It is currently available for iOS and Android in seven markets: Lithuania, Germany, France, Austria, Poland, Czech Republic and the United States.
In an official press release, company says the US market, where the operations was launched in last summer, has seen strong traction and the new funding will help to scale up user growth, double development capacity and build the team in Lithuania to improve product features.
Vinted serves as a social marketplace for people who want to turn once-precious piece of clothing to cash. To advertise a piece, the owner takes a picture of the item and upload it with a detailed description. The rest is decided between a social interaction between the seller and potential buyers. Transaction finalizes when the buyer pay in the app and the money is transferred to the seller once the item is received and confirmed by the buyer.
Justas Janauskas, co-founder and CEO of Vinted, says that the idea was born out of a simple desire to provide a marketplace for girls in Vilnius to swap clothes with one another. The concept quickly went viral, attracting immediate registrations and then partners who wanted to take the business to neighbouring countries.
Michiel Kotting, a partner at Accel Partners, said the Lithuanian company had impressive early traction when they first met a year and a half ago and implementing a mobile-first strategy has rapidly boosted the company to 60 million monthly visits.