The subscription e-commerce market is flush with 57 start-ups that have raised over $1.4 billion in capital across several categories such as men’s and women’s apparel, wine and children’s toys, among others, noted analysts of venture capital database firm CB Insights.
As a category, the analysts at the firm said in a report this week that subscription e-commerce “has had a rocky history, with funding falling…but with deal count up” in the second quarter. “Amidst the ups and downs, at least five subscription companies died in 2015, including Beachmint, which focused on celebrity-curated products.”
CB Insights said Unilever’s pick up of Dollar Shave Club for $1 billion this past summer is evidence that the “category may have regained some momentum.” The firm said there are many “well-funded start-ups” that includes Harry’s in the razor segment with $287 million in disclosed funding and Ipsy in cosmetics with $103 million.
CB Insights described Ipsy as a leader in the beauty and cosmetics segment along with Birchbox with $87 million in disclosed funds. In the men’s wear segment, Bombfell has raised $1 million in funds while Five Four Club has been bootstrapped. Both offer apparel and accessories.
In the women’s wear segment, the startups include TechStyle Fashion Group (which was formerly known as JustFab) with $300 million in funding. TechStyle joins AdoreMe, Stitch Fix and Gwynnie Bee. In the personal-care segment, notable startups include The Honest Company, Lola, Goby and Quip.
In the children’s segment, CB Insights said startups include Rockets of Awesome, which features apparel, and Bitsbox, “which focuses on teaching kids to code.”
In the leisure segment, CB Insights said “Loot Crate is a relatively well-funded company in this diverse category, with $19 million in funding for subscriptions of geek and gaming pop-culture items.”
The database firm said other notable players in the leisure segment “include Datebox, which delivers items for a date each month to couples, and Cairn, which serves outdoor enthusiasts with boxes including goods like energy bars, headlamps and fire-starters.”