Flip is the next-generation e-commerce platform that combines a premium e-commerce business with a discovery experience akin to TikTok. The company has recently announced a USD 60 million Series B fundraising round at a USD 500 million valuation. In this round of investment, led by WestCap and existing backers – Mubadala Capital and Streamlined Ventures, the company raised a total of USD 95 million.
The Series B funding comes after a period of rapid expansion, during which Flip’s user base increased by 500 percent since the start of 2022 and platform transactions increased by more than 600 percent. The investment will be used by the business to grow its team, strengthen its relationships with brands, and introduce its own third-party social commerce marketplace this summer.
Flip created an experience that organically integrates the efficiency of e-commerce with the power of social discovery. Flip is a one-stop shop for consumers to find and learn about products using 60-second user-generated content videos that are instantly shoppable, offer one-click payment, and offer same-day shipping. Then, by sharing their own video evaluations with the community and making money off of it, consumers may transform from consumers to creators.
“Our thesis from day 1 was that the future of commerce is centered around people. No one sells a product better than the customer that has purchased that product multiple times, and we see that every day on Flip,” said Noor Agha, Founder and CEO of Flip. ”Through our patented technology that dynamically connects digital content to physical products, we’ve developed a seamless discovery-to-purchase cycle where users can shop instantly through content, share their own video reviews of products they’ve purchased, while monetizing their content over time. It’s the beginning of the next era in e-commerce.”
“Flip has thoughtfully stitched together complex technologies to redefine and elevate the way we discover products and shop online,” said Laurence Tosi, Founder and Managing Partner at WestCap. “Their cutting-edge social commerce model is here to stay and ready to scale. The beauty industry is a first-mover, but that’s just the beginning and we could see other industries follow suit.”
“As early investors in Flip, we’ve been impressed not just by the product, but by the speed of execution and innovation. The company delivers a novel e-commerce solution for today’s consumers that has the potential to scale globally. We’re happy to partner with the company on that journey,” said Ibrahim Ajami, Head of Ventures, Mubadala Capital.
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Flip is also announcing the launch of its own independent third-party social commerce marketplace to give independent brands access to the platform and give customers a single, dependable location. Emerging brands will now have access to Flip’s social network of users and creators as well as a complete set of exclusive e-commerce capabilities. Each brand partner will have a dashboard with insights into the performance of their brand, including sales data, order management, content engagement, content performance, and more. This will allow them to get immediate feedback from a social community of consumers who are rating their products.