Global wholesale platform and data exchange firm Joor has secured $16 million in a Series C round of funding.
The round was led by Itochu, a publicly-listed, leading Japanese conglomerate with investments spread across manufacturing, technology and retail. Existing venture capital firms Canaan Partners and Battery Ventures also participated in the round.
With the latest round, Joor has raised an aggregate $36 million.
The company said it plans to use the funding to “drive ongoing product innovation for both brands and retailers.” Joor will also use its new partnership with Itochu to expand into Asia, and the company noted that the transaction will allow it to “access Itochu’s brands and accelerate the entry of new overseas brands into Japan.” The Japanese conglomerate works with more than 150 U.S. and European brands in the Japanese market.
Kristin Savilia, chief executive officer of Joor, said, “At Joor, our focus from day one has been the simplification of the wholesale process for brands and retailers. Our mission is to bring the industry together with one platform.”
Joor’s growth strategy is supported by demand from brands and retailers globally as they seek a “proven solution to support wholesale’s digital transformation.” The company said, to date, its platform has transacted $23 billion in gross merchandise volume across nearly 3.7 million orders, with almost half taking place in the last 12 months.
“We recognize the important of embedding technology into every step of the retail value exchange,” Yoshihiro Fukushima, executive officer of Itochu, said of the company’s decision to invest in Joor. “Upon reviewing several other wholesale platforms, it is clear why Joor is the industry leader–they have leading technology, innovative solutions for brands and retailers, and a robust marketplace.”
Fukushima added that Joor’s dominance in the North American and European markets makes the company the “natural choice for expansion into the Japanese market. We are excited to continue supporting their strategic growth.”
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And that growth could be substantial.
Joor pointed to a McKinsey & Company report that said consumers in Japan spend $33 billion annually on luxury goods, with the Japanese market expected to grow between 3 and 4 percent over the next two to three years as more consumers shift their interest toward high-end fashion. Revenues in the fashion market are projected to hit $15 billion this year, and Japan is the second largest luxury market behind the U.S., and ahead of Mainland China.
The wholesale platform works with more than 8,600 brands across 53 categories, as well as nearly 200,000 retailers in 144 countries. A cross-selection of firms Joor works with include luxury powerhouses Kering, LVMH and Richemont; designer fashion houses Balenciaga, Alexander McQueen, Marc Jacobs and Chloe, along with top brands such as Michael Kors, Burberry, Stella McCartney, Alice & Olivia, J. Lindeberg and Rag & Bone. Retailers using the platform include Neiman Marcus, Bergdorf Goodman, Printemps, 24 Sevres, Harrods, Jeffrey, Saks Fifth Avenue, Harvey Nichols, Lane Crawford and revolveclothing.com.
Founded in 2010, Joor is based in New York City. It has offices in Los Angeles, London, Milan, Paris and Sydney/Melbourne.