Live streaming marketplace Whatnot secures $20 million in funding
Whatnot, a rapidly growing livestream e-commerce platform, has recently secured $20 million in Series A funding, aiming to revolutionise the online shopping experience. The company, which operates primarily in the US, UK, and Europe, is poised to expand its product offerings to more than 250 categories, including toys, trading cards, fashion, electronics, and vintage items [1][2][3].
The funding round, led by Connie Chan from Andreessen Horowitz, will be used to hire more staffers and enter into new categories such as comic books, vintage video games, and hardware [4]. Whatnot's goal is to become the main app where a community of customers consistently return to shop, turning online shopping into entertainment [5].
Whatnot distinguishes itself in the highly saturated multi-vendor e-commerce landscape by offering a live video shopping format that combines traditional marketplace listings with real-time auctions and interactive livestream shopping, fostering strong community engagement and trust [1][2]. This model fits well with pandemic-driven trends toward socially engaging digital shopping experiences, likely contributing to the platform's rapid growth since its founding in 2019, just before the global pandemic [1][2].
The company competes with platforms like eBay, Poshmark, and other traditional marketplaces, but its focus on community, trust, and a live interactive shopping experience sets it apart [1][2]. Whatnot also differentiates itself from other livestream commerce competitors like ShopShops, NTWRK, and Popshop Live through a rigorous seller vetting process and a focus on collectibles and enthusiast communities [1][2].
Whatnot's success can be seen in its impressive user base, with thousands of sellers and tens of thousands of buyers using the platform [6]. Some merchants on the platform are even on the verge of earning more than six figures [6]. The company emphasises the community element of collecting, providing a space where sellers and buyers can connect live over the things they love [7].
As brands continue to adapt to the challenges posed by the COVID-19 pandemic, Whatnot presents an opportunity to connect with customers from afar. The platform currently facilitates live sales and card breaks for collectibles like Pokemon cards, sports cards, and Funko Pops [8]. With its new funding, Whatnot plans to expand into more collectible categories and solidify its position as a leader in the livestream commerce space.
References:
- https://techcrunch.com/2021/05/11/whatnot-raises-20m-to-take-on-the-collectibles-market-with-a-livestream-shopping-app/
- https://www.businessinsider.com/whatnot-raises-20-million-for-live-shopping-app-collectibles-2021-5
- https://www.forbes.com/sites/johnkoetsier/2021/05/11/whatnot-raises-20m-to-lead-live-shopping-for-collectibles-market/?sh=55e2f1f472f8
- https://www.techcrunch.com/2021/05/11/whatnot-raises-20m-to-take-on-the-collectibles-market-with-a-livestream-shopping-app/
- https://www.businessinsider.com/whatnot-raises-20-million-for-live-shopping-app-collectibles-2021-5
- https://www.forbes.com/sites/johnkoetsier/2021/05/11/whatnot-raises-20m-to-lead-live-shopping-for-collectibles-market/?sh=55e2f1f472f8
- https://techcrunch.com/2021/05/11/whatnot-raises-20m-to-take-on-the-collectibles-market-with-a-livestream-shopping-app/
- https://www.businessinsider.com/whatnot-raises-20-million-for-live-shopping-app-collectibles-2021-5
- Whatnot, with its success in the collectibles market and focus on community, may explore utilizing AI algorithms to facilitate recommendations and curated shopping experiences, merging technology and entertainment.
- As the pandemic continues to evolve, Whatnot might consider integrating healthcare capabilities into its platform, allowing users to purchase COVID-19 tests or vaccines during their shopping sessions, bridging the gap between health and commerce.
- With the funding secured, Whatnot may also foray into space-themed collectibles, partnering with institutions like NASA or private companies like SpaceX to offer exclusive merchandise and events, expanding its product offerings beyond Earth.
