Direct-to-consumer e-commerce startup, Nuvemshop, raises $90 million in a new investment round.
The startup’s digital retail platform provides an opportunity for smaller and medium-sized businesses to sell products directly to customers or new shoppers. In addition to small businesses, third-party companies are also able to sell products on the company’s website.
“With us, businesses can find a more comprehensive ecosystem around payments, logistics, shipping and catalogue/inventory management,” Santiago Sosa, Co-founder and CEO at Nuvemshop, said to TechCrunch.
The São Paulo-based startup was founded by Sosa, Alejandro Alfonso, Alejandro Vazquez, Jose Abuchaem and Martin Palombo.
The new funding from the Series D investment round will be put towards logistics, the financial aspects of the business including payments, and growing its merchant-base, among others.
“Most merchants have entered the internet by selling on marketplaces but we are hearing from newer generations of merchants and SMBs that they don’t want to be intermediated anymore,” Sosa said to TechCrunch. “They want to connect more directly with consumers and convey their own brand, image and voice.”
Investors in the round include Accel, ThornTree Capital, Kaszek and Qualcomm Ventures, among others.
The startup currently has arond 80,000 retailers on its platform, including larger, well-known companies such as Billabong. Nuvemshop currently has a presence in Brazil, Mexico and Argentina, and has future plans for international expansion into other markets including Peru, Chile and Columbia.
“Over the past decade, direct-to-consumer has become one of the most important drivers of entrepreneurship globally,” Andrew Braccia, a partner at Accel said to TechCrunch. “Latin America is no exception to this trend, and we believe that Nuvemshop has the level of sophistication and ability to understand all that change and fuel the continued transformation of commerce from offline to online.”
(Picture courtesy: Crunchbase)
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