Why we invested in Shop Circle
We are excited to announce that we co-led Shop Circle's Series A, alongside 645 Ventures, with participation from NFX and QED Investors. Shop Circle is the leading operator of eCommerce tools providing a one-stop-shop for merchants looking to scale their store online.
Why we invested in Shop Circle
Building an online store has never been easier thanks to platforms like Shopify. Whilst setting up a store is now relatively simple, growing it is a challenge. Merchants understand that reaching as many customers as possible, while maintaining a great customer experience is something that requires a lot of help. Fortunately for them, help is available in the form of thousands of apps that solve specific headaches, such as marketing automation, customer feedback, analytics or payment reconciliation.
Although there is a lot of choice, oftentimes this is overwhelming for merchants, who have a hard time picking from 7000+ apps from the Shopify store only. Likewise, merchants struggle to address important topics like SLA, data protection or support at scale. Shop Circle aims at solving exactly this - by operating a streamlined portfolio of best-in-class eCommerce tools, it is greatly reducing friction arising from overabundance of choice as well as providing merchants with a unified user experience.
We invested in Shop Circle, because we believe Luca and Gian are the right people to tackle this massive $25bn opportunity, which goes much beyond Shopify.
The time is right for consolidation
eCommerce is booming. Even in a slower economy, brands are doubling down on their omnichannel approach, with millions of businesses seeing online as the main driver of revenues going forward. From a macro perspective, we believe that, notwithstanding a slowdown, eCom platforms such as Shopify and Amazon will continue to grow, opening in turn a lot of opportunities for 3rd party software to piggyback on their success and further enable merchants to succeed.
At the same time, each merchant currently requires on average 12-20 individual tools to scale their online offering, which has led to a proliferation of apps. We believe the time is right for consolidating the best standalone tools under one roof, thereupon greatly decreasing complexity for merchants. Through its tech-driven approach, Shop Circle is now operating an ever expanding suite of 37 apps, serving over 100,000 customers.
Shop Circle - the future of eCommerce
We think Shop Circle is positioning itself to become an important player in shaping the future of eCommerce. The ultimate goal is to give merchants the tools to succeed and scale their online business, we couldn’t be more excited than to pursue it together with Luca and Gian and the rest of the Shop Circle team.
Welcome to the 3VC family Shop Circle!
Read more about the round on Forbes.
