1stdibs, the online luxury marketplace, has received an unspecified investment from VC Benchmark Capital and appointed David Rosenblatt, former DoubleClick CEO, as its own chief executive. Matt Cohler, the Benchmark GP who led the deal, will join Rosenblatt on 1stdibs’ board.
Names David Rosenblatt as CEO; Benchmark Invests
Largest Online Luxury Marketplace Reaches $500 Million in Annual Volume
NEW YORK, Nov. 3, 2011 — 1stdibs, the world’s largest online luxury marketplace, announced today an investment from Benchmark Capital and the appointment of David Rosenblatt, former DoubleClick CEO, as Chief Executive Officer. Benchmark Capital General Partner Matt Cohler led the investment, and both he and Rosenblatt will join the company’s board of directors. The new executive team and financial backing, combined with Benchmark’s expertise in building online marketplaces, is expected to increase 1stdibs’ already impressive growth.
The company also announced today that the gross merchandise volume of goods reported sold by 1stdibs dealers will exceed$500 million in 2011. As the only online platform that offers a full range of luxury products, 1stdibs enjoys a leadership position in the sale of high-end antiques, 20th century design, estate jewelry and vintage couture. In addition, the site is broadening its already robust selection of fine art and recently announced an expansion into the luxury homes market.
Company Founder Michael Bruno will play an active role in 1stdib’s go-forward strategy. Bruno will be working closely with customers and applying his unique understanding of their needs to drive the company’s international expansion and move into new product areas.
“We’re delighted that a CEO of David Rosenblatt’s stature will be taking 1stdibs to new heights,” commented 1stdibs Founder,Michael Bruno. “David’s expertise in building technology based businesses, along with Benchmark’s track record in backing entrepreneurs who are determined to transform markets, is virtually unmatched.”
Top designers, dealers and artists have embraced and trust 1stdibs – helping them make the transition from foot traffic to online sales. With over 1,200 dealers on the site, and more than 6,000 items sold per month, there’s currently a waiting list of dealers who want to join.
“Michael sparked a revolution by creating the go-to marketplace for luxury goods, already making 1stdibs an iconic brand among the world’s best dealers and interior designers,” said David Rosenblatt, CEO of 1stdibs. “I’m thrilled at the prospect of partnering with him and Benchmark Capital to scale the business, exposing millions of new customers around the world to 1stdibs.”
Rosenblatt, an innovator in creating the category of online advertising as CEO of DoubleClick, engineered its $3.1 billion sale to Google. He is now poised to spearhead 1stdibs’ continued growth, and take the online luxury goods market fully into the digital era. Rosenblatt will continue in his role as chairman of Group Commerce, and as a board member of IAC and Twitter.
The new financial backing will enable 1stdibs to solidify the company’s position as a market leader, as well as fuelling expansion both in products and geography, in the United States and internationally. The investment will also be used to make key hires to build out the executive team and other important functions of the business, allowing the company to grow traffic and develop new tools for existing customers.
Matt Cohler, General Partner at Benchmark Capital was the seventh employee at Facebook and a founding team member at LinkedIn. He will tap his firm’s expertise in growing category leaders including; Twitter, Yelp, Zillow, OpenTable, and eBay.
“Both literally and figuratively, 1stdibs has the goods to significantly extend their leadership position in the online luxury category,” said Matt Cohler, general partner at Benchmark Capital. “We’re confident that David, Michael and the team will lead the company to enormous success.”
According to Bain & Co.’s, “Luxury Goods Worldwide Market Study,” the overall luxury goods market grew 14% globally in 2010 reaching $256.6 billion. While the category is still thriving despite the macro economic challenges, Bain also estimated that online luxury grew at 20% worldwide but that this channel still represents less than 3% of total sales as of 2009.
Today’s news adds to an impressive list of 1stdibs milestones in creating the digital era for luxury goods as the company builds a marketplace where buyers can efficiently purchase, with the highest level of confidence, the most beautiful things on earth from all the world’s leading providers.
Founded in 2001 by Michael Bruno after visiting Paris flea markets, today 1stdibs is the go to source for the world’s leading interior designers and in-the-know wealthy consumers to find antiques, design, estate jewelry, vintage fashion and art. With headquarters in New York City, more information can be found at www.1stdibs.com and at 1stdibs Introspective Magazinewww.1stdibs.com/#introspective. 1stdibs®. The Most Beautiful Things on Earth.®