Amazon e-commerce boom pushes startup valuations to $2 billion

Pattern Inc. initially sold refrigerator magnets and some trinkets on Amazon’s third-party market. Currently, the company says it has raised US$225 million in new external investments, valued at approximately US$2 billion. The company was founded in 2013 and is headquartered in Leahy, Utah, with approximately 950 employees and operations in 18 countries.

Online market sales, which many people used to ignore, have become big business in recent years. But building a new “Amazon” is too difficult, and many companies are beginning to fund companies that are ready to benefit from the rise of the largest online retailers. Investment banks, venture capital companies, and private equity investment companies have injected billions of funds into e-commerce aggregators who integrate online brands and are committed to boosting their sales and achieving economies of scale.

Pattern is to occupy a related niche market (Niche Market-also called niche market, refers to those market segments that are ignored/abandoned by the rulers/companies with absolute advantages), and act as consultants for other companies. Sales agent. The company now manages some brands of e-commerce sales, buys products wholesale and sells them online, and this business brings more than half of the company’s sales. Customers include Nestle SA, Panasonic Corp. and Yogi Tea Co. (a hot-selling tea brand in the United States, with a reputation equivalent to Lipton in China)

Pattern says it is one of the five highest-paid third-party sellers on Amazon. It also operates in most other important online markets, including eBay, Wal-Mart, Alibaba’s Tmall, and JD.com, and has established its own in-house designer and brand studios.

“After the pandemic, there are many behaviors that will not go back,” he also said in the interview. “This is why we have to redouble our efforts.” In other words, the epidemic has made people develop the habit of online consumption. Even if the epidemic is over, the convenience and services provided by online shopping will not make consumers change this habit easily. Online shopping will become more and more popular in the market. It will also get bigger and bigger.

Pattern said it has been profitable since its inception, with revenue of approximately $500 million in 2019, and Wright said the company is expected to more than double that number next year.