Boxed raises $6.5 million in funding for wholesale shopping app
Mobile commerce company Boxed has secured an additional $6.5 million in funding for the continued expansion of its warehouse club shopping platform. Since its launch last August, the Boxed platform has expanded to offer over 800 products. Unlike real-world warehouse stores, Boxed requires no membership fee, and offers free overnight shipping on purchases of $75 or more.
Previous investor Greycroft Partners led the round alongside First Round Capital and Signia Venture Partners. They were joined by ENIAC Ventures, Social Starts and BoxGroup, among others. This funding will be used, in part, to increase the speed of delivering purchases to consumers across the US.
Boxed allows users to browse and sort through name-brand products, including heavy bulk items. The app offers wholesale-sized organic and eco-friendly products, which it says aren’t typically found in brick-and-mortar warehouse stores.
“The Boxed team are experts in sophisticated mobile design and have created one of the best mobile shopping experiences we have ever seen,” said Kamran Ansari of Greycroft Partners. Ansari will join the company’s board of directors. “Unlike all the new local delivery services, they’ve built a fulfillment network to reliably satisfy the demand of not only city-dwellers, but folks across the country, in most cases without delivery fees, tips, or surcharges.”
Boxed previously raised $1.5 million in funding in January 2014. It’s available for free on iOS and Google Play. More information on the platform is available in our interview with Boxed CEO Chieh Huang.
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