Startup Trends: 5 emerging retail and e-commerce companies
Holiday spending in 2024 is forecast to reach a record $904 per person in the U.S., according to the National Retail Federation. Nearly six in 10 shoppers (57%) said they will make some of their purchases online, making e-commerce the most popular shopping destination.
Here are five privately owned firms that could potentially benefit should the holiday shopping season yield strong results this year.
Fanatics, an online sporting goods merchandiser
Fanatics, a Private Market Magnificent 7 company, is an online sporting goods and collectibles manufacturer and retailer, holding licensing agreements with over 900 amateur and professional teams worldwide. Fanatics’s brands include Topps trading cards, hat retailer Lids, and Mitchell & Ness sports apparel. Through the New York-based company’s Fanatics Sportsbook, fans can gamble on sporting events through an online app.
Fanatics investors include Silver Lake Management, Fidelity, Franklin Templeton, Neuberger Berman, Thrive Capital, and Major League Baseball, according to Forge Data.
Fanatics’s Forge Price™ is $42 as of December 11, 2024, giving it an implied valuation of $17.09 billion, a 20.5% premium to its last funding round in March 2021.
OfferUp, an online marketplace
OfferUp is a mobile marketplace connecting local buyers and sellers of goods online. The Bellevue, Washington-based company’s mobile app has been downloaded more than 150 million times, with more than 30 million transactions each year. The company is backed by investors including Andreessen Horowitz, Warburg Pincus, GGV Capital, T. Rowe Price, and Coatue Management.
OfferUp says the “re-commerce” trend of buying secondhand goods is growing and should account for 8% of the total U.S. retail market by 2029. According to a company survey, 35% of shoppers tried resale shopping for the first time in 2024.
In September 2024, the company launched OfferUp Services, which connects consumers with local businesses for services such as home repair and cleaning.
OfferUp’s Forge Price™ is $1.37 as of December 11, 2024, giving it an implied valuation of $314.18 million, a 79.6% discount to its last funding round in March 2020.
Tory Burch, a women’s fashion firm
Tory Burch is an eponymously named creator and retailer of women’s clothes and accessories. Known for its Double T logo, the firm was founded by designer Tory Burch in 2004. In 2023, Vogue Business reported that the firm had hired Morgan Stanley to explore possible options, which could include an IPO.
According to Forge data, the New York-based company’s major investors include General Atlantic and BDT Capital Partners.
Time magazine named the company one of the 100 most influential companies for 2024. The magazine said the company’s 2023 revenues reached an all-time high of nearly $2 billion.
Harry’s, a retailer of men’s grooming supplies
Harry’s produces and sells razors and personal care products for men and women. The company was founded in 2013 as a direct-to-consumer provider of less-expensive razors for men. Today it also offers products under the Flamingo, Lume, and Mando brands.
Reuters reported in March 2024 that Harry’s hired investment banks including Goldman Sachs, JPMorgan, Barclays, and Wells Fargo to prepare for an IPO. New York-based Harry’s investors include Tiger Global Management, Box Group, and Highland Capital Partners, according to Forge Data.
Harry’s share price is $22, based on its last funding round of $140 million in January 2022.
SKIMs, a shapewear and apparel brand
SKIMs is a women’s shapewear, underwear, and loungewear company co-founded by reality star Kim Kardashian. The Culver City, California-based company sells directly through its website and at retailers including Nordstrom and Saks Fifth Avenue. In 2023, the company launched SKIMs apparel for men, and in December 2024, SKIMs announced a partnership with The North Face to sell ski and winter wear.
Skims has raised a total of $2.59 billion from investors including Wellington Management, Greenoaks Capital Partners, D1 Capital Partners, and Alliance Consumer Growth.
SKIMs's share price is $345.90, giving it a valuation of $4.0 billion, based on its last funding round in July 2023.
