Drop it, a London, England-based retail technology company that provides transparency in on line and store inventory with the aim of being more efficient and less wasteful accomplishmentcompleted a $25 million Series C funding round, bringing the company’s total funding to $50 million.
Dropit’s technology enables brands to sell their inventory in-store on linetransform physical locations into last-mile distribution points and fulfill orders at locations closest to the customer, to help reduce the environmental impact of the retail sector.
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Dropit technology also consolidates multi-brand orders, so customers can receive their purchases in one shipment or one on-site pickup for convenience, with the goal of reducing packaging waste and emissions.
The latest funding round was led by Vault Investments, an early investor who will also join Dropit’s board. The round was supported by previous investors such as Tiga Investments, Axentia, Sugarbee and others.
The company said the new capital will allow Dropit to expand into the United States and grow its sales office team in Austin, TX to over 100 employees and add key hires for vacancies in 12 states to support both brand partners and shopping centers.
“Some of the biggest headaches facing retailers today come down to brands separating their in-store and online inventory,” Karin Cabili, CEO and founder of Dropit, said in a statement. “The next wave of retail will require brands to use technology to advance operational efficiencies and adapt to the ever-changing shopping habits of consumers who have grown accustomed to the convenience of shopping. on line. By unifying online and offline inventory, brands can reduce operational costs and minimize environmental impact, while simultaneously speeding up shipping times.
“The retail industry continues to evolve, but this is one of the biggest problems the industry has faced in decades, with no real solution to date,” said the former president and Macy’s Inc. CEO Terry J. Lundgren, who invested in Dropit and also sits on the company’s board of directors. “This technology breathes new life into the retail ecosystem as a whole.”
According to information from Dropit, “dead inventory” in the United States costs retailers around $50 billion a year. To a large extent, this waste is caused by brands and retailers siloing their inventory online and in-store, leading to significant lost sales. Companies then often resort to sending excess products to landfills or burning them, creating 2.9 million tonnes of waste in landfills per year, leading to increased pollution.
Dropit also indicated that its technology can integrate directly into accomplishment management systems, eliminating the need to replace old systems.
Six-year-old Dropit has worked with malls and brands in the US, Europe and the UK, and more recently moved from fashion to the consumer electronics space.
The Dropit onboarding process usually only takes a few days. The company said it charges a low setup fee at the start of the engagement, as well as annual licensing fees for using its technology. Dropit also takes a percentage of the gross value of goods and margins on shipments.
The company said it has expanded its operations to serve 250 retailers and brands in the US, Europe, UK and Canada. Dropit said it works with brands such as L’Occitane, Nike, Tommy Hilfiger, Polo Ralph Lauren, Abercrombie & Fitch, Razer and Harrods as well as several mall and outlet operators including Primaris-REIT , Simon Malls, Brookfield Properties, Landsec, McArthurGlen. and Savilles.