Birchbox, the fashion and deals website, has landed $10.5 million in Series A capital from VC Accel Partners, which led the round. Investors, including First Round Capital, that participated in the company’s September 2010 seed financing also joined in the transaction. Birchbox was founded by Hayley Barna and Katia Beauchamp.
Birchbox, Leading Beauty Website, Announces $10.5 Million in New Funding
August 18, 2011 09:05 AM Eastern Daylight Time
NEW YORK- Birchbox, Inc., www.birchbox.com, the innovative startup that brings members access to the best in high-end beauty for $10 a month, announced today the close of a $10.5 million Series A round of funding, led by Accel Partners. The new financing will be used primarily to pursue continued growth in Birchbox’s core offer. Lead investors from the company’s seed financing in September 2010 also invested in this round, including First Round Capital.
“The team has forged partnerships with some of the world’s leading cosmetic brands to give consumers a fun, monthly beauty sampling experience. We believe Birchbox has many opportunities for continued growth, and we look forward to aiding their success.”
Each month, Birchbox members receive four-to-five hand-picked, deluxe samples from top-of-the-line brands across the categories of hair, makeup, and skincare. Additionally, Birchbox.com is a fully integrated editorial and e-commerce site, where members can find expert tips and insights about the products they sampled and purchase full-size versions of their favorites.
Birchbox, created by Co-Founders Hayley Barna and Katia Beauchamp, increases the effectiveness of sampling programs by identifying high-potential consumers outside of a brands’ traditional reach. The company encourages a deeper relationship with customers via a unique loyalty program.
“We are very excited about the opportunities this financing gives us as we continue to grow our business and expand our offerings,” said Hayley Barna, Co-Founder, Birchbox. “We are thrilled to continue our strong partnership with Accel and First Round Capital. Both companies believed in the value propositions of our concept from the first time we met, and they continue to be valuable contributors to Birchbox’s evolution and growth,” said Katia Beauchamp, Co-Founder, Birchbox.
“Birchbox is a leading pioneer in subscription e-commerce,” said Accel’s Theresia Gouw Ranzetta. “The team has forged partnerships with some of the world’s leading cosmetic brands to give consumers a fun, monthly beauty sampling experience. We believe Birchbox has many opportunities for continued growth, and we look forward to aiding their success.”
Launched in September 2010, Birchbox has experienced rapid growth in paid subscribers –50% month-over-month on average– across all 50 states. The company has partnered with more than 70 of the most exclusive beauty brands, including NARS, Benefit, Kiehl’s, Laura Mercier, and Smashbox.
In addition to First Round Capital and Accel Partners, the Series A round includes notable investors such as: Harrison Metal, Forerunner Ventures, Lerer Ventures, Sam Lessin, Consigliere, Gary Vaynerchuck (VaynerMedia), Dave Morin (Path), Stanford University Endowment and Andy Dunn (Bonobos).
Named as a top beauty site in 2010, Birchbox is a unique way for consumers to sample and buy high-end beauty products. For $10 a month members receive a monthly box containing curated, oversized deluxe samples from brands like Kiehl’s, NARS, Deborah Lippmann and Stila. The Birchbox editorial team creates exclusive and educational content to help customers get the most out of their products. Birchbox offers subscribers the opportunity to purchase full-size versions of the products they love. Please subscribe and follow us on Facebook and Twitter and YouTube and our blog.