The funding will help Fashinza accelerate its expansion in the US and the Middle East. Here are the top-line bullets you need to know.
Fashinza, a fashion technology platform, has raised $20M in a mix of debt and equity. The debt was part of a Series A that drew participation from Accel, Elevation Capital, Stride Ventures, and DisruptAD, among others.
HOW’S THE COMPANY PERFORMING?
- India-based Fashinza is an AI-enabled manufacturing technology provider for the apparel industry. The platform connects manufacturers and suppliers.
- It has partnered with 150 global brands, including Forever 21, Hummel, Clovia, Bewakoof.com, and Centrix.
- In May 2021, Fashinza expanded its operations in New York. It operates across 10 countries including the US, Canada, the UK, the Middle East, and India. It also has 400 ethical partners in countries like Sri Lanka, Bangladesh, China, Vietnam, and India, as of January 2021.
WHY DOES THE MARKET MATTER?
- The global business-to-business e-commerce market is projected to grow at a CAGR of 18.7% to reach a value of $25.65T by 2028, according to Grand View Research.
- When the Covid-19 pandemic hit, retail operations changed overnight. Brick-and-mortar locations closed. Customers shopped online at record levels, with knock-on effects in cybercrime and fraud. Supply chain disruptions led to product shortages and unpredictability. AI for retail took a hit in 2020 as pandemic-related uncertainties shook investors’ confidence. Funding to the space fell 30% yearover-year in 2020, and deals reached a 4-year-low.
- But retail AI has already hit a record funding level in 2021, driven by mega-rounds ($100M+) to vendors tackling issues like e-commerce fraud, e-commerce fulfillment, and first-party data analytics.