With $139 billion raised globally, 2021 was a record year for investment in online marketplaces, which have reached a combined enterprise value of $7.2 trillion. In partnership with Adevinta, we look back on a record-breaking year, and its most important emerging trends.
2021 saw investment grow fastest in Europe, while India emerged as a leading hub in Asia, while NFTs, foodtech and lending are among the busiest segments for marketplace investment and value creation globally.
Gianpaolo Santorsola, EVP European Markets at Adevinta, commented "In 2021, investments in marketplaces were driven by accelerated user adoption, ambitious founding teams and low-interest rates. I’m excited to see how this evolves over the coming years, especially in Europe, the fastest-growing region in terms of VC investment.”
In the full report, we've looked at the winning categories based on investment, new unicorns, valuations growth and more.
📮 FedEx, Microsoft Unveil ‘Logistics-as-a-Service’ via PYMNTS. FedEx expects 110 million packages will be delivered in the U.S. daily in 2022. 86% of the growth comes from ecommerce. To help merchants manage growth, FedEx and Microsoft team up to create a cloud-based logistics-as-a-service platform.
👕 Amazon expands to expands to physical clothing stores via MorningBrew. Amazon is building the future of physical retail with a new Amazon Style store. Customers can send items to the fitting rooms via Amazon Shopping App. Colors, sizes and ratings can be seen though QR codes and recommendations will be automatically shown in fitting rooms depending on customer preferences.
🌽 Uber expands grocery delivery offering with new partnership via SeekingAlpha. The new partnership with Smart & Final will expand Uber's grocery delivery footprint by 173 stores across the West Coast. Smart & Final is the first big retailer to offer alcohol delivery via Uber Eats.
📦 A more than $761 billion dilemma: Retailers’ returns jump as online sales grow via CNBC. As consumer demand has shifted online, returns tend to be higher. Online retailers expect to get 16.6% of merchandise sold back. To stay agile and competitive, online retailers need to invest in warehouse automation and sorting tools, so returned merchandise does not sit idle.
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Select deals from last week:
🇮🇳 Swiggy, Indian on-demand delivery, became a decacorn following a $700 million round led by Invesco. Swiggy doubled its valuation since its last private round in July last year. The share price of its main rival Zomato, which went public last week, is down 21%.
🇺🇸 Handshake, a SF-based recruitment platform, raised $200 million at $3.5 billion valuation. Launched in 2013, Handshake became a unicorn last year in May and since then it has more than doubled its valuation. The platform helps 20 million candidates and 1,400 education providers build new relationships through online career fairs, 1-to-1 chats and direct messaging.
Other notable marketplace deals from the last week:
🇺🇸 Wheel, a Texas-based job marketplace for clinical jobs, raised $150 million in Seriec C funding.
🇮🇳 Purplle.com, a Mumbai-based beauty and wellness marketplace, $38 million at $735 million valuation.
🇩🇪 Lendis, a Berlin-based office equipment rental company, bagged €80 million in debt and equity.
🇫🇷 The French meal kits and grocery delivery service Frichti was acquired by the ultrafast delivery company Gorillas for an undisclosed amount.
🇺🇸 Terra Exports, a fruits and vegetables distributor and data intelligence company, was acquired by GrubMarket, one of the largest farm-to-table companies.
Dealroom users can browse marketplace startups based on alignment to the UN Sustainable Development Goals. There are 860 startups and scaleups that align with at least one of the UN SDGs.
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