Data analytics firm Poshly has acquired social network and e-commerce site Coterie.com.
This story first appeared in the June 16, 2014 issue of WWD. Subscribe Today.
Terms of the deal were not disclosed.
Doreen Bloch, chief executive officer and cofounder of Poshly in 2012 with Bradley Falk, Poshly’s chief technology officer, said of the transaction, “Our users wanted a place to share their preferences and needs more publicly and socially.”
The acquisition also helps Poshly mine data for brand clients at the stockkeeping-unit level.
Poshly works with consumers to get their insights about their beauty-care routines. Beauty and personal-care brands have real-time access to the aggregated information, which can be culled for specific drill-down data on whatever queries brand clients are gathering information for, whether a product launch, chemical component, or color preference. Poshly also offers giveaways for products in which consumers enter the giveaway by answering a number of questions. In the case of sampling, Poshly can target specific consumers to receive the product sample who fit a certain profile.
“Our data has been mostly about physical attributes, or lifestyle attributes. Now with the acquisition of Coterie, we can cull data for brands at the sku level. The kinds of questions we can ask within BB creams [for example] are which products are trending and [for sun care], be able to pick out which are the top-five lipstick[s] with SPF, and which are the top foundations with SPF,” Bloch explained.
Coterie’s cofounders, Catherine Magee and James Warner, will join Poshly’s advisory board.
The company closed its first funding round this past quarter, receiving nearly $1 million in commitments from investors that include Frontier Equities VC, 645 Ventures and Astia Angels, among other private investors.
The plan is to operate Poshly and Coterie as two platforms, although there will likely be one login system for both sites at some point later this year.
Brands have different options for paying for the data from Poshly. Some pay for the sponsored giveaways, while others pay for the research they request. Bloch said Poshly is set to offer a subscription-based platform for its analytics that will include data from Poshly and Coterie.
Poshly’s clients include L’Oréal, Unilever, Atypical Brands, Benefit Cosmetics and Cutex.